Jump to ContentJump to Main Navigation
Deconstructing the MonolithThe Microeconomics of the National Industrial Recovery Act$
Users without a subscription are not able to see the full content.

Jason E. Taylor

Print publication date: 2019

Print ISBN-13: 9780226603308

Published to Chicago Scholarship Online: September 2019

DOI: 10.7208/chicago/9780226603445.001.0001

Show Summary Details
Page of

PRINTED FROM CHICAGO SCHOLARSHIP ONLINE (www.chicago.universitypressscholarship.com). (c) Copyright University of Chicago Press, 2022. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in CHSO for personal use.date: 21 May 2022

The Schechter Decision and the Lingering Effects of the NIRA

The Schechter Decision and the Lingering Effects of the NIRA

(p.157) 8 The Schechter Decision and the Lingering Effects of the NIRA
Deconstructing the Monolith

Jason E. Taylor

University of Chicago Press

While the implementation of the NIRA wage and hour provisions in the summer of 1933 had dramatic effects upon workweeks and average hourly earnings, the Schechter decision of May 1935 brought no discernable change in either measure. One possibility is that firms followed President Roosevelt’s request to voluntarily abide by their industries’ code even in the absence of a legal requirement to do so. The Robert Committee, which was charged studying the issue, reported a great deal of industry-level heterogeneity with respect to continued compliance with the NIRA codes after Schechter. In the iron and steel industry, 95 percent of firms reported full compliance with the industry code’s labor provisions. On the other hand, in the cotton garment industry only 11 percent of firms reported no departures from that industry code’s labor provisions. In fact, empirical findings suggest that industries with more complex codes of fair competition saw a larger post-Schechter output boom than did those with shorter codes. These findings offer further evidence of the heterogeneous impact that the NIRA—and in this case its demise—had on various industries.

Keywords:   Schechter, National Industrial Recovery Act, Franklin Roosevelt

Chicago Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs, and if you can't find the answer there, please contact us.