Chapter #32: IDENTIFICATIONS
Andrew Mellon was the Secretary of the Treasury during President Harding and President Coolidge’s terms. Coolidge’s thrifty nature caused him to sympathize fully with Mellon’s efforts to reduce both taxes and debts.
Herbert Hoover became president after Coolidge. Hoover spoke of “Rugged Individualism,” which was his view that America was made great by strong, self-sufficient individuals, relying on no one else for help. He was harshly criticized during the Great Depression.
Albert B. Fall was the villain behind the Teapot Dome Scandal. He leased land in Teapot Dome, Wyoming, and Elk Hills, California, to oilmen Sinclair and Doheny, but not until Fall had received a bribe of $100,000 from Doheny and even more from Sinclair.
Robert LaFollette led the Progress Party as the third party candidate in the election of 1924 against Democrat John W. Davis and Republican Calvin Coolidge. He gained the endorsement of the American Federation of Labor and the Socialist Party, and won 5 million votes.
Alfred E. Smith, a New York governor, opposed Hoover in the election of 1928. Smith was involved in many scandals, including drinking during the Prohibition era, and he was hindered by being a Roman Catholic. The radio was detrimental to his campaign, as he sounded foolish, and Coolidge easily won 444 to 87 electoral votes.
The Ohio Gang consisted of Harding’s poker-playing, shirt-sleeved cronies. There were a lot of corrupt people in the Gang, like Harry M. Daugherty.
The Washington Conference of 1921-1922 resulted in a plan that kept a 5:5:3 ratio of ships that could be held by the US, Britain, and Japan, in that order. This greatly upset Japan and surprised many delegates at the conference. The Soviet Union was not invited.
The Kellogg-Briand Pact, also known as the Pact of Paris, stated that all nations that signed would no longer use war as offensive means. It earned Frank B. Kellogg, Coolidge’s Secretary of State, the nobel Peace Prize.
The Fordney-McCumber Tariff Law raised the tariff from 27% to 35%. It was a result of business not wanting Europe to flood American markets with cheap goods after the war.
The Teapot Dome Scandal involved Albert B. Fall leasing land in Teapot Dome, Wyoming, and Elk Hills, California to oilmen Harry F. Sinclair and Edward L. Doheny, but not until Fall received a “loan” (a bribe) of around $400,000 from the both of them.
The Dawes Plan, engineered by Charles Dawes in 1924, rescheduled German reparation payments and gave the way for further American private loans to Germany. The Americans never really gained any money or got repaid in genuine. Also, the US gained bitter enemies in France and Britain.
The Hawley-Smoot Tariff of 1930 raised the tariff to an outrageous 60%. Foreigners hated this tariff because it reversed a promising worldwide trend toward reasonable tariffs and widened the yawning trade gaps.
The Reconstruction Finance Corporation (RFC) was established by Congress in early 1932. It became a government lending bank. It was a large step for Hoover away from laissez faire policies and toward policies the Democrats would later employ. Giant corporations, however, were really the ones that benefitted from this the most.
The Bonus Army consisted of many veterans who were not yet paid compensation for WWI. It marched to Washington, DC to demand the veterans’ entire bonus. They erected unsanitary camps and shacks in vacant lots. Riots followed after troops came to intervene.
The Hoover-Stimson Doctrine is a policy of the US government to Japan and China of non-recognition of international territorial changes that were executed by force.
Chapter #32 Identifications
The Republican "Old Guard" Returns
Know: Warren Harding, Ohio Gang
1. What flaws did Warren Harding possess?
Harding possessed a mediocre mind. He was afraid of hurting people’s feelings, and was naïve of corruption. Also, he was part of the mischievous, poker-playing Ohio Gang.
GOP Reaction at the Throttle
2. What pro-business policies were taken by the government during the Harding administration.
It hoped to further laissez-faire capitalism, as seen in the Supreme Court, where Harding appointed four justices. Also, the Supreme Court killed a federal child-labor law in the 1920s. In Adkins v. Children’s Hospital, the Court invalidated a minimum wage law for women.
The Aftermath of War
Know: Railway Labor Board, American Legion, Adjusted Compensation Act
3. What effects did the war have on the post-war economy?
Wartime government organizations disappeared, including the War Industries Board, which was dismantled. Also, the Esch-Cummins Transportation Act of 1920 returned control of railroads to private hands. The Railway Labor Board also ordered a wage cut of 12% in 1992. The Adjusted Compensation Act gave every former soldier a paid-up insurance policy due in twenty years.
America Seeks Benefits Without Burdens
Know: Unofficial Observers, Charles Evans Hughes, Five-Power Naval Treaty, Four-Power Treaty, Nine-Power Treaty, Kellogg-Briand Pact
4. How did the U.S. take the lead in disarmament in the 20's?
The Wsahington Disarmament conference resulted in a plan that kept the 5:5:3 ratio for the US, Britain, and Japan, in that order. US Congress only approved the Four Power Treaty on condition that the US is not bound, which basically made it useless.
Hiking the Tariff Higher
Know: Fordney-McCumber Tariff Law
5. What effects were produced by high American tariffs?
The Fordney-McCumber Tariff Law, which raised the tariff from 27% to 35%, presented a major problem. Europe needed to sell goods to the US in order to get the money to pay back its debts, and when it could not sell, it could not repay.
The Stench of Scandal
Know: Charles R. Forbes, Albert B. Fall, Teapot Dome, Harry M. Daugherty
6. "Such was his [Harding's] weakness that he tolerated people and conditions that subjected the Republic to its worst disgrace since the days of President Grant." Explain
Harding allowed corruption like the Teapot Dome Scandal, in which Albert Fall took bribes from oilmen Doheny and Sinclair. Also, Charles Forbes took money and had to resign as head of the Veterans’ Bureau. Daugherty illegally licensed liquor during prohibition.
“Silent Cal” Coolidge
Know: Calvin Coolidge
7. Do the nicknames, "Silent Cal" and "Cautious Cal" accurately describe the Coolidge presidency?
These words do accurately describe Coolidge and his presidency. The president was very conservative with his choice of words, and he was also morally clean. He was very cautious in his selection of office, often playing it safe.
Frustrated Farmers
Know: McNary-Haugen Bill
8. What had changed for the farmer since 1890? What had remained the same?
World War I gave the farmers some prosperity. After the war, however, they fell into poverty. The McNary-Haugen Bill sought to keep agricultural prices high by authorizing the government to buy up surpluses and sell them abroad.
A Three-Way Race for the White House in 1924
Know: Robert La Follette
9. Why did Calvin Coolidge easily win the 1924 election?
All the Republicans agreed on Coolidge, so he had complete support from his entire party. The Democrats, however, were split between John Davis and La Follette. This schism in the opposing party led to an easy victory for the unanimously-supported Coolidge.
Foreign-Policy Flounderings
10. What are the arguments for America canceling the WWI debt of European countries?
America loaned 10 billion dollars to the Allies. The Allies, however, said repayment was unfair because it protected American until the unready came to back them up.
Unraveling the Debt Knot
Know: Dawes Plan
11. What were the world-wide repercussions of America’s insistence on debt repayment?
The Dawes Plan stated that American would loan money to Germany. It rescheduled Germany reparations payments and gave the way for further American private loans to Germany. As a result, the Americans never really gained any money or got repaid. Also, the US gained enemies in France and Britain because of its greed and carelessness.
The Triumph of Herbert Hoover, 1928
Know: Al Smith, "Rum, Romanism, and Ruin"
12. Why was Herbert Hoover so much more popular with voters than Al Smith?
Hoover was popular because he came from a poor background and made himself into a millionaire. Americans were inspired by this and thought they could do the same. Al Smith was an Irish Catholic and also drank during prohibition. Furthermore, Al Smith sounded foolish and unwise on the radio, which hurt his campaign.
President Hoover's First Moves
Know: Farm Board, Hawley-Smoot Tariff
13. Did Hoover’s attempts to help farmers produce positive results? Explain.
Hoover’s attempts did produce positive results, though not only positive results. The Farm Board, set up by Hoover’s Agricultural Marketing Act, made farmers able to support themselves within the board. The Grain Stabilization Corporation was also helpful in strengthening sagging prices. The Hawley-Smoot Tariff, however, raised tariffs to 60% , which slowed down trade and worsened the depression.
The Great Crash Ends the Golden Twenties
Know: Black Tuesday, "Brother Can You Spare a Dime?"
14. What were the immediate effects of the stock market crash?
There was business depression at home and abroad. More than 4 million people were jobless, and that figure tripled later on. Banks crashed along with the citizen’s life savings. Honest people lost their homes and farms to foreclosure.
Hooked on the Horn of Plenty
Know: Hoover Blankets, Hoovervilles
15. What causes contributed to the Great Depression?
The overproduction by both farm and factory. The nation produced far more goods than it could consume. Too much money was going into a few wealthy people and not into salaries and wages. Labor-saving technology also resulted in unemployment.
A financial collapse in Europe (failure of Vienna banking house) also had a negative chain reaction effect in the US. The Hawley-Smoot Tariff hastened the drying of international trade.Drought in the Mississippi Valley forced farmers to sell their farms.
Rugged Times for Rugged Individualists
Know: Rugged Individualism, The Great Humanitarian
16. How did President Hoover’s beliefs affect the way he handled the Depression?
As a "rugged individualist" who believed in free enterprise, he didn't want government to interfere with the national economy, as this is how America reached its state of prosperity. He would not use federal funds to feed Americans. He then gave in and decided to help railroads, banks, and rural credit corporations, thinking that repairing the top would fix unemployment at the bottom.
Hoover Battles the Great Depression
Know: Muscle Shoals Bill, Reconstruction Finance Corporation, Pump-Priming, Yellow Dog Contracts
17. Is Hoover’s reputation as ultra-conservative well deserved? Explain.
Hoover’s reputation for being a prominent conservative is justified. His actions against the Bonus Army demonstrated intensely conservative methodology. Also, his anti laissez-faire ideology went against newer economic methods. He also initiated the prosecution of gangsters and did not support civil rights.
Routing the Bonus Army in Washington
Know: Bonus Expeditionary Force, Douglas MacArthur
18. What happened to the Bonus Army? Why?
When hostilities arose, Hoover ordered the army to forcefully evict the veterans. He deployed tanks, gas, and armed soldiers against the camp. In the end, over one thousand civilians were injured. Hoover falsely charged that the force was led by communists, and the American opinion turned even more against him.
Japanese Militarists Attack China
Know: Manchuria, Stimson Doctrine
19. How did the Japanese attack on Manchuria demonstrate the weakness of the League of Nations?
The Japanese took advantage of the depression to capture Manchuria. Both the US and the League of Nations wanted to take action as Japanese moves violated “fair play” and the open door policy. The League, without US membership, and with most countries in depression, was powerless. The League was hesitant to stop Japan since the League was not confident about American support.
Hoover Pioneers the Good Neighbor Policy
20. What was President Hoover’s policy toward Latin America?
Hoover sought to seek a friendlier, yet more passive relationship with Latin America, refuting the Roosevelt Corollary. The policies were well-met, as the depression meant American no longer wished to pursue the economic imperialism it once pursued. This was the “Good Neighbor” policy.
Chapter #33: Identifications
Eleanor Roosevelt was FDR’s wife, and she became his political partner when he was struck with polio. She was the most active First Lady in American history. She was the most visible example of women taking on new roles.
Harry Hopkins headed the Federal Emergency Relief Administration (FERA). It was the Federal Emergency Relief Act’s way of looking for immediate relief rather than long-term alleviation.
Frances Perkins was the first female cabinet member. She was an example of the new opportunities for women in both politics and in society overall.
Father Coughlin was an FDR spokesperson. He at first sided with FDR, but later on disliked the New Deal and voiced his opinions on the radio.
Huey Long was a Louisiana Senator popular for his “Share the Wealth” program. It claimed “every man a king,” and each family was to receive $5000 from the rich. However, the math of the plan was not realistic.
Francis Townshend attracted the support of 5 million senior citizens with his plan to give each senior $200 a month, provided that all of it would be spent on within the month. Just like Huey Long’s plan, it was unrealistic.
Harold Ickes was the Secretary of the Interior. He headed the Public Works Administration (PWA) with was intended for industrial recovery and relief for the jobless. The PWA aimed at long-range recovery by spending huge money on public works projects that would give people jobs.
Alfred M. Landon was the Republican nominee to run against FDR. He was weak on the radio and even weaker in personal campaigning. Though he criticized FDR’s spending, he also favored FDR’s New Deal, and people did not like this uncertainty. Roosevelt easily defeated him 523 electoral votes to 8.
Brain Trust(s)
The three R's were relief, recovery, and reform. These were part of Roosevelt’s New Deal to help the nation out of the Great Depression.
The National Labor Relation Board encouraged unskilled laborers to begin organizing themselves into effective unions. John L. Lewis, for example, who was the boss of the United Mine Workers, succeeded in forming the Committee for Industrial Organization.
The Congress of Industrial Organizations was formed when the Committee for Industrial Organization broke completely with the American Federation of Labor and renamed itself.
The Liberty League had been formed by conservative Democrats and wealthy Republicans in 1934 to fight against “socialistic” New Deal schemes. The League was one of the main opposing forces against FDR, though he still easily won.
The court-packing scheme was Roosevelt’s attempt to take more power from the Supreme Court. The plan failed, but he still got some justices to start voting his way, like Owen J Roberts. The failure of the scheme showed how Americans still did not want to change their sacred justice system.
Chapter #33 Guided Reading Questions
FDR: A Politician in a Wheelchair
Know: Franklin Delano Roosevelt, Eleanor Roosevelt
1 What kind of man was FDR?
FDR was tall, athletic, and handsome. He suffered from polio in 1921 and was put in a wheelchair. He constantly empathized with the “forgotten man,” who, to him, was not forgotten. He was also the first person to accept the presidential nomination in person.
Presidential Hopefuls of 1932
2. What was Roosevelt's campaign message in the 1932 election?
In 1932, FDR featured an attack on Hoover’s spending. His Democrats also found expression in the tune “Happy Days Are Here Again,” promising new prosperity following the Great Depression, which hit hard for most average Americans.
The Humiliation of Hoover in 1932
3. What were the immediate results of Roosevelt's victory?
Noteworthy was the transition of the Black vote from the Republican Party (Lincoln’s party) to the Democratic Party. After his victory, he emphasized the Three R’s and passed many new laws to help improve the conditions of the ailing economy.
FDR and the Three R's: Relief, Recovery, Reform
Know: New Deal, Banking Holiday, Hundred Days, Three R's,
4. Describe the New Deal.
The New Deal focused on the Three R’s: relief, recovery, and reform. One part of the New Deal was a call for a nationwide bank holiday to eliminate paranoid bank withdrawals. He managed to shut down all the banks for a certain amount of time until they were ready to open. The Hundred Days Congress was filled with more legislative activity than ever before.
Roosevelt Manages the Money
Know: Fireside Chats, Glass-Steagall Banking Reform Act, Federal Deposit Insurance Corporation, Managed Currency
5. What were the key aspects of FDR's monetary policy?
Roosevelt declared a one-week “bank holiday,” so people would calm down about the banks. The Glass-Steagall banking Reform Act also provided the Federal Deposit Insurance Corporation (FDIC) which insured individual deposits up to $5000, eliminating the epidemic of bank failure and restoring faith in banks.
Creating Jobs for the Jobless
Know: Pump Priming, CCC, FERA, Harry Hopkins, AAA, HOLC, CWA
6. Explain the difference between New Deal agencies and what radical critics wanted the government to do.
The New Deal wanted to stop people from hoarding gold. He urged people to turn in gold for paper money and took the US out of the gold standard. He wanted inflation to make debt payments easier and urged the Treasury to buy gold with paper money. Radical critics disagreed with these plans.
A Day for Every Demagogue
Know: Father Charles Coughlin, Huey Long, Dr. Francis E. Townsend, WPA
7. List other historical demagogues.
Father Charles Coughlin, a Catholic priest, disliked the New Deal and voiced his opinion on the radio. Senator Huey Long promoted his “Share the Wealth” program which would give each family $5000 from the rich. Dr Francis Townsend suggested giving each senior $200 a month. Both plans were unsound and illogical.
New Visibility for Women
Know: Frances Perkins, Mary McLeod Bethune, Ruth Benedict, Margaret Mead, Pearl Buck
8. Explain the factors that made it possible for these women to gain fame.
Eleanor Roosevelt was a very active First Lady, and therefore greatly helped the movement for women’s equality. Also, after African-Americans were receiving their rights, the women thought it was their turn. As more intelligent and powerful women were coming up, others began to blossom everywhere and society realized their contributions.
Helping Industry and Labor
Know: NRA, Sick Chicken Decision, PWA, Harold Ickes
9. How did the NRA attempt to restore industry?
The national Recovery Administration tried to restore industry by combining immediate relief with long-range recovery and reform. It wanted to assist industry, labor, and the unemployed. Individual industries made codes of fair competition, reduced hours for more employment and restored industry. There were also max work hours and minimum wages, as well as benefits to labor.
Paying Farmers Not to Farm
10. How did the federal government attempt to help farmers?
The Agricultural Adjustment Administration made available many millions of dollars to help farmers meet their mortgages. The Domestic Allotment Act of 1936 also paid farmers to plant soil-conserving plants like soybeans or to let their land lie fallow.
Dust Bowls and Black Blizzards
Know: Dust Bowl, Okies and Arkies, The Grapes of Wrath, Indian Reorganization Act
11. How did nature cause problems for some farmers on the plains?
The Dust Bowl wreaked havoc on agricultural in the region from eastern Colorado to western Missouri. It made the soil completely dry and unusable for agriculture. The kies and Arkies were therefore forced to flee to California. Also, a drought in the Mississippi Valley made many farmers go bankrupt, so they had to sell their farms.
Makers of America: The Dust Bowl Migrants
Know: San Joaquin Valley, Farm Security Administration, Okievilles
12. In what ways were things better in California? In what ways were they the same?
California did not have as many jobs as portrayed. Also, the San Joaquin Valley was very similar to the old homes of the migrants, showing parallel qualities of the state of California. The Farm Securities Administration set up camps and houses to help the Okies. Eventually, Okievilles developed in California, bringing in western music, pecan pie, and evangelical religion to the Far West.
Battling Bankers and Big Business
Know: Federal Securities Act, SEC
13. "Reformist New Dealers were determined from the outset to curb the `money changers....'" Explain.
Reformist determination is seen in the actions of the Hundred Days Congress. This Congress passed the “Truth in Securities Act,” which required promoters to transmit to the investor sworn information regarding the soundness of their stocks and bonds. The Public Holding Company Act was put into action in 1935, putting a “death sentence” on bloated growths of business, except where it might be economically beneficial or necessary.
The TVA Harnesses the Tennessee River
Know: TVA, Creeping Socialism
14. What arguments were used for and against the TVA project?
Arguments against the Tennessee Valley Authority were that it was “planned economy” and “creeping socialism in concrete.” It was also government control. The supporting arguments were that it was cheap, electric power with low-cost housing. It also brought much employment, and led to reforestation, navigation, and flood control.
Housing Reform and Social Security
Know: FHA, Social Security
15. How did the FHA and Social Security attempt to help some of society's least fortunate?
It sped recovery from the war. It improved dwellings and sped construction of dwellings. The Federal Housing Administration stimulated building industry (small loans to householders. The slum areas also stopped growing.
A New Deal for Labor
Know: Wagner Act, National Labor Relations Board, CIO, John L. Lewis, Sit-down Strike
16. How did labor respond to the improvement of conditions brought about by the New Deal?
There were many strikes and walkouts in 1934. Also, the National Recovery Administration was struck down by Congress. The Wagner Act also guaranteed the right of unions to organize and to collectively bargain with management. Unskilled workers began to organize into effective unions. The Committee for Industrial Organization led many strikes, including the sit-down strike at GM.
Landon Challenges "the Champ”
Know: Alfred Landon, American Liberty League
17. What was the significance of the 1936 election?
In this election, Alfred Landon went against FDR. The American Liberty League was formed by conservative Democrats and wealthy Republicans to oppose the “socialist” New Deal. After FDR easily mutilated Landon,
Nine Old Men on the Supreme Bench
18. Why did Roosevelt ask Congress for a bill that would allow him to add justices to the Supreme Court?
Roosevelt was trying to gain more power from the Supreme Court, but it kept blocking Roosevelt’s programs. He wanted to add a member to the Supreme Court for every existing member over 70. Congress voted against him because it did not want to lose power in the Supreme Court and Roosevelt was ripped for trying to be a dictator.
The Court Changes Course
Know: Court Packing, Hugo Black
19. What were the consequences of FDR's attempt to pack the Court?
Hugo Black, a justice appointed by FDR with the New Deal, replaced the oldest justice, adding more pro-FDR members to the Court. Also, he gained support from some justices, like Owen J Roberts, who was formerly conservative. The failure of the court-packing system overall, however, showed that Americans did not want to change their justice system.
The Twilight of the New Deal
Know: Roosevelt Recession, John Maynard Keynes, Hatch Act
20. Assess the successfulness of FDR in his second term.
In 1937, the economy took a brief downturn during the “Roosevelt Recession,” caused by his government policies. Finally he embraced the policies of John Maynard Keynes and announced a bold program to stimulate the economy by planned deficit spending in 1937. In 1939, Congress passed the Reorganization Act, which gave him limited powers for administrative reforms. The Hatch Act of 1939 barred federal administrative officials from active political campaigning and soliciting. Aside from the damage of the Great Depression and the brief “Roosevelt Recession,” FDR had a successful second term.
New Deal or Raw Deal?
21. What criticism of the New Deal seems most fair to you? Least fair?
The criticism of the waste of the New Deal, saying that nothing had been accomplished was the least fair. The mot fair criticisms were those of the “try anything” attitude of FDR, who increased the federal debt from $19 million to $40 million in seven years from 1932 to 1939.
Varying Viewpoints: How Radical Was the New Deal
Know: Arthur Schlesinger Jr., Carl Degler, Constraints School of Historians, New Deal Coalition
22. What did William Leuechtenburg mean when he called the New Deal a "half-way revolution?" (Your answer should focus more on the information before this term than on the information after it.)
He meant that the New Deal was not too radical but at the same time not conservative. IT also was created in response to the Great Depression. It was the first time the government assisted people going through hardships, and it also went against capital ideals.
Andrew Mellon was the Secretary of the Treasury during President Harding and President Coolidge’s terms. Coolidge’s thrifty nature caused him to sympathize fully with Mellon’s efforts to reduce both taxes and debts.
Herbert Hoover became president after Coolidge. Hoover spoke of “Rugged Individualism,” which was his view that America was made great by strong, self-sufficient individuals, relying on no one else for help. He was harshly criticized during the Great Depression.
Albert B. Fall was the villain behind the Teapot Dome Scandal. He leased land in Teapot Dome, Wyoming, and Elk Hills, California, to oilmen Sinclair and Doheny, but not until Fall had received a bribe of $100,000 from Doheny and even more from Sinclair.
Robert LaFollette led the Progress Party as the third party candidate in the election of 1924 against Democrat John W. Davis and Republican Calvin Coolidge. He gained the endorsement of the American Federation of Labor and the Socialist Party, and won 5 million votes.
Alfred E. Smith, a New York governor, opposed Hoover in the election of 1928. Smith was involved in many scandals, including drinking during the Prohibition era, and he was hindered by being a Roman Catholic. The radio was detrimental to his campaign, as he sounded foolish, and Coolidge easily won 444 to 87 electoral votes.
The Ohio Gang consisted of Harding’s poker-playing, shirt-sleeved cronies. There were a lot of corrupt people in the Gang, like Harry M. Daugherty.
The Washington Conference of 1921-1922 resulted in a plan that kept a 5:5:3 ratio of ships that could be held by the US, Britain, and Japan, in that order. This greatly upset Japan and surprised many delegates at the conference. The Soviet Union was not invited.
The Kellogg-Briand Pact, also known as the Pact of Paris, stated that all nations that signed would no longer use war as offensive means. It earned Frank B. Kellogg, Coolidge’s Secretary of State, the nobel Peace Prize.
The Fordney-McCumber Tariff Law raised the tariff from 27% to 35%. It was a result of business not wanting Europe to flood American markets with cheap goods after the war.
The Teapot Dome Scandal involved Albert B. Fall leasing land in Teapot Dome, Wyoming, and Elk Hills, California to oilmen Harry F. Sinclair and Edward L. Doheny, but not until Fall received a “loan” (a bribe) of around $400,000 from the both of them.
The Dawes Plan, engineered by Charles Dawes in 1924, rescheduled German reparation payments and gave the way for further American private loans to Germany. The Americans never really gained any money or got repaid in genuine. Also, the US gained bitter enemies in France and Britain.
The Hawley-Smoot Tariff of 1930 raised the tariff to an outrageous 60%. Foreigners hated this tariff because it reversed a promising worldwide trend toward reasonable tariffs and widened the yawning trade gaps.
The Reconstruction Finance Corporation (RFC) was established by Congress in early 1932. It became a government lending bank. It was a large step for Hoover away from laissez faire policies and toward policies the Democrats would later employ. Giant corporations, however, were really the ones that benefitted from this the most.
The Bonus Army consisted of many veterans who were not yet paid compensation for WWI. It marched to Washington, DC to demand the veterans’ entire bonus. They erected unsanitary camps and shacks in vacant lots. Riots followed after troops came to intervene.
The Hoover-Stimson Doctrine is a policy of the US government to Japan and China of non-recognition of international territorial changes that were executed by force.
Chapter #32 Identifications
The Republican "Old Guard" Returns
Know: Warren Harding, Ohio Gang
1. What flaws did Warren Harding possess?
Harding possessed a mediocre mind. He was afraid of hurting people’s feelings, and was naïve of corruption. Also, he was part of the mischievous, poker-playing Ohio Gang.
GOP Reaction at the Throttle
2. What pro-business policies were taken by the government during the Harding administration.
It hoped to further laissez-faire capitalism, as seen in the Supreme Court, where Harding appointed four justices. Also, the Supreme Court killed a federal child-labor law in the 1920s. In Adkins v. Children’s Hospital, the Court invalidated a minimum wage law for women.
The Aftermath of War
Know: Railway Labor Board, American Legion, Adjusted Compensation Act
3. What effects did the war have on the post-war economy?
Wartime government organizations disappeared, including the War Industries Board, which was dismantled. Also, the Esch-Cummins Transportation Act of 1920 returned control of railroads to private hands. The Railway Labor Board also ordered a wage cut of 12% in 1992. The Adjusted Compensation Act gave every former soldier a paid-up insurance policy due in twenty years.
America Seeks Benefits Without Burdens
Know: Unofficial Observers, Charles Evans Hughes, Five-Power Naval Treaty, Four-Power Treaty, Nine-Power Treaty, Kellogg-Briand Pact
4. How did the U.S. take the lead in disarmament in the 20's?
The Wsahington Disarmament conference resulted in a plan that kept the 5:5:3 ratio for the US, Britain, and Japan, in that order. US Congress only approved the Four Power Treaty on condition that the US is not bound, which basically made it useless.
Hiking the Tariff Higher
Know: Fordney-McCumber Tariff Law
5. What effects were produced by high American tariffs?
The Fordney-McCumber Tariff Law, which raised the tariff from 27% to 35%, presented a major problem. Europe needed to sell goods to the US in order to get the money to pay back its debts, and when it could not sell, it could not repay.
The Stench of Scandal
Know: Charles R. Forbes, Albert B. Fall, Teapot Dome, Harry M. Daugherty
6. "Such was his [Harding's] weakness that he tolerated people and conditions that subjected the Republic to its worst disgrace since the days of President Grant." Explain
Harding allowed corruption like the Teapot Dome Scandal, in which Albert Fall took bribes from oilmen Doheny and Sinclair. Also, Charles Forbes took money and had to resign as head of the Veterans’ Bureau. Daugherty illegally licensed liquor during prohibition.
“Silent Cal” Coolidge
Know: Calvin Coolidge
7. Do the nicknames, "Silent Cal" and "Cautious Cal" accurately describe the Coolidge presidency?
These words do accurately describe Coolidge and his presidency. The president was very conservative with his choice of words, and he was also morally clean. He was very cautious in his selection of office, often playing it safe.
Frustrated Farmers
Know: McNary-Haugen Bill
8. What had changed for the farmer since 1890? What had remained the same?
World War I gave the farmers some prosperity. After the war, however, they fell into poverty. The McNary-Haugen Bill sought to keep agricultural prices high by authorizing the government to buy up surpluses and sell them abroad.
A Three-Way Race for the White House in 1924
Know: Robert La Follette
9. Why did Calvin Coolidge easily win the 1924 election?
All the Republicans agreed on Coolidge, so he had complete support from his entire party. The Democrats, however, were split between John Davis and La Follette. This schism in the opposing party led to an easy victory for the unanimously-supported Coolidge.
Foreign-Policy Flounderings
10. What are the arguments for America canceling the WWI debt of European countries?
America loaned 10 billion dollars to the Allies. The Allies, however, said repayment was unfair because it protected American until the unready came to back them up.
Unraveling the Debt Knot
Know: Dawes Plan
11. What were the world-wide repercussions of America’s insistence on debt repayment?
The Dawes Plan stated that American would loan money to Germany. It rescheduled Germany reparations payments and gave the way for further American private loans to Germany. As a result, the Americans never really gained any money or got repaid. Also, the US gained enemies in France and Britain because of its greed and carelessness.
The Triumph of Herbert Hoover, 1928
Know: Al Smith, "Rum, Romanism, and Ruin"
12. Why was Herbert Hoover so much more popular with voters than Al Smith?
Hoover was popular because he came from a poor background and made himself into a millionaire. Americans were inspired by this and thought they could do the same. Al Smith was an Irish Catholic and also drank during prohibition. Furthermore, Al Smith sounded foolish and unwise on the radio, which hurt his campaign.
President Hoover's First Moves
Know: Farm Board, Hawley-Smoot Tariff
13. Did Hoover’s attempts to help farmers produce positive results? Explain.
Hoover’s attempts did produce positive results, though not only positive results. The Farm Board, set up by Hoover’s Agricultural Marketing Act, made farmers able to support themselves within the board. The Grain Stabilization Corporation was also helpful in strengthening sagging prices. The Hawley-Smoot Tariff, however, raised tariffs to 60% , which slowed down trade and worsened the depression.
The Great Crash Ends the Golden Twenties
Know: Black Tuesday, "Brother Can You Spare a Dime?"
14. What were the immediate effects of the stock market crash?
There was business depression at home and abroad. More than 4 million people were jobless, and that figure tripled later on. Banks crashed along with the citizen’s life savings. Honest people lost their homes and farms to foreclosure.
Hooked on the Horn of Plenty
Know: Hoover Blankets, Hoovervilles
15. What causes contributed to the Great Depression?
The overproduction by both farm and factory. The nation produced far more goods than it could consume. Too much money was going into a few wealthy people and not into salaries and wages. Labor-saving technology also resulted in unemployment.
A financial collapse in Europe (failure of Vienna banking house) also had a negative chain reaction effect in the US. The Hawley-Smoot Tariff hastened the drying of international trade.Drought in the Mississippi Valley forced farmers to sell their farms.
Rugged Times for Rugged Individualists
Know: Rugged Individualism, The Great Humanitarian
16. How did President Hoover’s beliefs affect the way he handled the Depression?
As a "rugged individualist" who believed in free enterprise, he didn't want government to interfere with the national economy, as this is how America reached its state of prosperity. He would not use federal funds to feed Americans. He then gave in and decided to help railroads, banks, and rural credit corporations, thinking that repairing the top would fix unemployment at the bottom.
Hoover Battles the Great Depression
Know: Muscle Shoals Bill, Reconstruction Finance Corporation, Pump-Priming, Yellow Dog Contracts
17. Is Hoover’s reputation as ultra-conservative well deserved? Explain.
Hoover’s reputation for being a prominent conservative is justified. His actions against the Bonus Army demonstrated intensely conservative methodology. Also, his anti laissez-faire ideology went against newer economic methods. He also initiated the prosecution of gangsters and did not support civil rights.
Routing the Bonus Army in Washington
Know: Bonus Expeditionary Force, Douglas MacArthur
18. What happened to the Bonus Army? Why?
When hostilities arose, Hoover ordered the army to forcefully evict the veterans. He deployed tanks, gas, and armed soldiers against the camp. In the end, over one thousand civilians were injured. Hoover falsely charged that the force was led by communists, and the American opinion turned even more against him.
Japanese Militarists Attack China
Know: Manchuria, Stimson Doctrine
19. How did the Japanese attack on Manchuria demonstrate the weakness of the League of Nations?
The Japanese took advantage of the depression to capture Manchuria. Both the US and the League of Nations wanted to take action as Japanese moves violated “fair play” and the open door policy. The League, without US membership, and with most countries in depression, was powerless. The League was hesitant to stop Japan since the League was not confident about American support.
Hoover Pioneers the Good Neighbor Policy
20. What was President Hoover’s policy toward Latin America?
Hoover sought to seek a friendlier, yet more passive relationship with Latin America, refuting the Roosevelt Corollary. The policies were well-met, as the depression meant American no longer wished to pursue the economic imperialism it once pursued. This was the “Good Neighbor” policy.
Chapter #33: Identifications
Eleanor Roosevelt was FDR’s wife, and she became his political partner when he was struck with polio. She was the most active First Lady in American history. She was the most visible example of women taking on new roles.
Harry Hopkins headed the Federal Emergency Relief Administration (FERA). It was the Federal Emergency Relief Act’s way of looking for immediate relief rather than long-term alleviation.
Frances Perkins was the first female cabinet member. She was an example of the new opportunities for women in both politics and in society overall.
Father Coughlin was an FDR spokesperson. He at first sided with FDR, but later on disliked the New Deal and voiced his opinions on the radio.
Huey Long was a Louisiana Senator popular for his “Share the Wealth” program. It claimed “every man a king,” and each family was to receive $5000 from the rich. However, the math of the plan was not realistic.
Francis Townshend attracted the support of 5 million senior citizens with his plan to give each senior $200 a month, provided that all of it would be spent on within the month. Just like Huey Long’s plan, it was unrealistic.
Harold Ickes was the Secretary of the Interior. He headed the Public Works Administration (PWA) with was intended for industrial recovery and relief for the jobless. The PWA aimed at long-range recovery by spending huge money on public works projects that would give people jobs.
Alfred M. Landon was the Republican nominee to run against FDR. He was weak on the radio and even weaker in personal campaigning. Though he criticized FDR’s spending, he also favored FDR’s New Deal, and people did not like this uncertainty. Roosevelt easily defeated him 523 electoral votes to 8.
Brain Trust(s)
The three R's were relief, recovery, and reform. These were part of Roosevelt’s New Deal to help the nation out of the Great Depression.
The National Labor Relation Board encouraged unskilled laborers to begin organizing themselves into effective unions. John L. Lewis, for example, who was the boss of the United Mine Workers, succeeded in forming the Committee for Industrial Organization.
The Congress of Industrial Organizations was formed when the Committee for Industrial Organization broke completely with the American Federation of Labor and renamed itself.
The Liberty League had been formed by conservative Democrats and wealthy Republicans in 1934 to fight against “socialistic” New Deal schemes. The League was one of the main opposing forces against FDR, though he still easily won.
The court-packing scheme was Roosevelt’s attempt to take more power from the Supreme Court. The plan failed, but he still got some justices to start voting his way, like Owen J Roberts. The failure of the scheme showed how Americans still did not want to change their sacred justice system.
Chapter #33 Guided Reading Questions
FDR: A Politician in a Wheelchair
Know: Franklin Delano Roosevelt, Eleanor Roosevelt
1 What kind of man was FDR?
FDR was tall, athletic, and handsome. He suffered from polio in 1921 and was put in a wheelchair. He constantly empathized with the “forgotten man,” who, to him, was not forgotten. He was also the first person to accept the presidential nomination in person.
Presidential Hopefuls of 1932
2. What was Roosevelt's campaign message in the 1932 election?
In 1932, FDR featured an attack on Hoover’s spending. His Democrats also found expression in the tune “Happy Days Are Here Again,” promising new prosperity following the Great Depression, which hit hard for most average Americans.
The Humiliation of Hoover in 1932
3. What were the immediate results of Roosevelt's victory?
Noteworthy was the transition of the Black vote from the Republican Party (Lincoln’s party) to the Democratic Party. After his victory, he emphasized the Three R’s and passed many new laws to help improve the conditions of the ailing economy.
FDR and the Three R's: Relief, Recovery, Reform
Know: New Deal, Banking Holiday, Hundred Days, Three R's,
4. Describe the New Deal.
The New Deal focused on the Three R’s: relief, recovery, and reform. One part of the New Deal was a call for a nationwide bank holiday to eliminate paranoid bank withdrawals. He managed to shut down all the banks for a certain amount of time until they were ready to open. The Hundred Days Congress was filled with more legislative activity than ever before.
Roosevelt Manages the Money
Know: Fireside Chats, Glass-Steagall Banking Reform Act, Federal Deposit Insurance Corporation, Managed Currency
5. What were the key aspects of FDR's monetary policy?
Roosevelt declared a one-week “bank holiday,” so people would calm down about the banks. The Glass-Steagall banking Reform Act also provided the Federal Deposit Insurance Corporation (FDIC) which insured individual deposits up to $5000, eliminating the epidemic of bank failure and restoring faith in banks.
Creating Jobs for the Jobless
Know: Pump Priming, CCC, FERA, Harry Hopkins, AAA, HOLC, CWA
6. Explain the difference between New Deal agencies and what radical critics wanted the government to do.
The New Deal wanted to stop people from hoarding gold. He urged people to turn in gold for paper money and took the US out of the gold standard. He wanted inflation to make debt payments easier and urged the Treasury to buy gold with paper money. Radical critics disagreed with these plans.
A Day for Every Demagogue
Know: Father Charles Coughlin, Huey Long, Dr. Francis E. Townsend, WPA
7. List other historical demagogues.
Father Charles Coughlin, a Catholic priest, disliked the New Deal and voiced his opinion on the radio. Senator Huey Long promoted his “Share the Wealth” program which would give each family $5000 from the rich. Dr Francis Townsend suggested giving each senior $200 a month. Both plans were unsound and illogical.
New Visibility for Women
Know: Frances Perkins, Mary McLeod Bethune, Ruth Benedict, Margaret Mead, Pearl Buck
8. Explain the factors that made it possible for these women to gain fame.
Eleanor Roosevelt was a very active First Lady, and therefore greatly helped the movement for women’s equality. Also, after African-Americans were receiving their rights, the women thought it was their turn. As more intelligent and powerful women were coming up, others began to blossom everywhere and society realized their contributions.
Helping Industry and Labor
Know: NRA, Sick Chicken Decision, PWA, Harold Ickes
9. How did the NRA attempt to restore industry?
The national Recovery Administration tried to restore industry by combining immediate relief with long-range recovery and reform. It wanted to assist industry, labor, and the unemployed. Individual industries made codes of fair competition, reduced hours for more employment and restored industry. There were also max work hours and minimum wages, as well as benefits to labor.
Paying Farmers Not to Farm
10. How did the federal government attempt to help farmers?
The Agricultural Adjustment Administration made available many millions of dollars to help farmers meet their mortgages. The Domestic Allotment Act of 1936 also paid farmers to plant soil-conserving plants like soybeans or to let their land lie fallow.
Dust Bowls and Black Blizzards
Know: Dust Bowl, Okies and Arkies, The Grapes of Wrath, Indian Reorganization Act
11. How did nature cause problems for some farmers on the plains?
The Dust Bowl wreaked havoc on agricultural in the region from eastern Colorado to western Missouri. It made the soil completely dry and unusable for agriculture. The kies and Arkies were therefore forced to flee to California. Also, a drought in the Mississippi Valley made many farmers go bankrupt, so they had to sell their farms.
Makers of America: The Dust Bowl Migrants
Know: San Joaquin Valley, Farm Security Administration, Okievilles
12. In what ways were things better in California? In what ways were they the same?
California did not have as many jobs as portrayed. Also, the San Joaquin Valley was very similar to the old homes of the migrants, showing parallel qualities of the state of California. The Farm Securities Administration set up camps and houses to help the Okies. Eventually, Okievilles developed in California, bringing in western music, pecan pie, and evangelical religion to the Far West.
Battling Bankers and Big Business
Know: Federal Securities Act, SEC
13. "Reformist New Dealers were determined from the outset to curb the `money changers....'" Explain.
Reformist determination is seen in the actions of the Hundred Days Congress. This Congress passed the “Truth in Securities Act,” which required promoters to transmit to the investor sworn information regarding the soundness of their stocks and bonds. The Public Holding Company Act was put into action in 1935, putting a “death sentence” on bloated growths of business, except where it might be economically beneficial or necessary.
The TVA Harnesses the Tennessee River
Know: TVA, Creeping Socialism
14. What arguments were used for and against the TVA project?
Arguments against the Tennessee Valley Authority were that it was “planned economy” and “creeping socialism in concrete.” It was also government control. The supporting arguments were that it was cheap, electric power with low-cost housing. It also brought much employment, and led to reforestation, navigation, and flood control.
Housing Reform and Social Security
Know: FHA, Social Security
15. How did the FHA and Social Security attempt to help some of society's least fortunate?
It sped recovery from the war. It improved dwellings and sped construction of dwellings. The Federal Housing Administration stimulated building industry (small loans to householders. The slum areas also stopped growing.
A New Deal for Labor
Know: Wagner Act, National Labor Relations Board, CIO, John L. Lewis, Sit-down Strike
16. How did labor respond to the improvement of conditions brought about by the New Deal?
There were many strikes and walkouts in 1934. Also, the National Recovery Administration was struck down by Congress. The Wagner Act also guaranteed the right of unions to organize and to collectively bargain with management. Unskilled workers began to organize into effective unions. The Committee for Industrial Organization led many strikes, including the sit-down strike at GM.
Landon Challenges "the Champ”
Know: Alfred Landon, American Liberty League
17. What was the significance of the 1936 election?
In this election, Alfred Landon went against FDR. The American Liberty League was formed by conservative Democrats and wealthy Republicans to oppose the “socialist” New Deal. After FDR easily mutilated Landon,
Nine Old Men on the Supreme Bench
18. Why did Roosevelt ask Congress for a bill that would allow him to add justices to the Supreme Court?
Roosevelt was trying to gain more power from the Supreme Court, but it kept blocking Roosevelt’s programs. He wanted to add a member to the Supreme Court for every existing member over 70. Congress voted against him because it did not want to lose power in the Supreme Court and Roosevelt was ripped for trying to be a dictator.
The Court Changes Course
Know: Court Packing, Hugo Black
19. What were the consequences of FDR's attempt to pack the Court?
Hugo Black, a justice appointed by FDR with the New Deal, replaced the oldest justice, adding more pro-FDR members to the Court. Also, he gained support from some justices, like Owen J Roberts, who was formerly conservative. The failure of the court-packing system overall, however, showed that Americans did not want to change their justice system.
The Twilight of the New Deal
Know: Roosevelt Recession, John Maynard Keynes, Hatch Act
20. Assess the successfulness of FDR in his second term.
In 1937, the economy took a brief downturn during the “Roosevelt Recession,” caused by his government policies. Finally he embraced the policies of John Maynard Keynes and announced a bold program to stimulate the economy by planned deficit spending in 1937. In 1939, Congress passed the Reorganization Act, which gave him limited powers for administrative reforms. The Hatch Act of 1939 barred federal administrative officials from active political campaigning and soliciting. Aside from the damage of the Great Depression and the brief “Roosevelt Recession,” FDR had a successful second term.
New Deal or Raw Deal?
21. What criticism of the New Deal seems most fair to you? Least fair?
The criticism of the waste of the New Deal, saying that nothing had been accomplished was the least fair. The mot fair criticisms were those of the “try anything” attitude of FDR, who increased the federal debt from $19 million to $40 million in seven years from 1932 to 1939.
Varying Viewpoints: How Radical Was the New Deal
Know: Arthur Schlesinger Jr., Carl Degler, Constraints School of Historians, New Deal Coalition
22. What did William Leuechtenburg mean when he called the New Deal a "half-way revolution?" (Your answer should focus more on the information before this term than on the information after it.)
He meant that the New Deal was not too radical but at the same time not conservative. IT also was created in response to the Great Depression. It was the first time the government assisted people going through hardships, and it also went against capital ideals.