Chapter 30 Wilsonian Progressivism at Home and Abroad
- Democrats out of controlling White House since 1897.
o Had their chance when Repubs divided.
o Woodrow Wilson once mild conservative but now strong progressive
§ Reform campaign against trusts and promised to return state gov to people.
The “Bull Moose” Campaign of 1912
· Nominated when William Jennings Bryan sides to Wilson’s side.
· Progressive platform, the “New Freedom” program
o Stronger antitrust legis, banking reform, tariff reductions.
· Roosevelt runs as candidate on 3rd party Progressive Republican ticket.
o Jane Addams placed TR’s name for nomination for presidency (symbol of political status of women”.
o Progressive Republican party lots of energy.
· Result TR and Taft slit each other’s throats.
o Clash between TR’s New Nationalism and Wilson’s New Freedom.
· Favored strong active gov role in econ and social affairs.
o Disagree over strategy.
· Roosevelt on Herbert Croly’s The Promise of American Life.
o Trusts and labor unions as well as growth of regulatory agencies.
o TR’s “bull mosses” for woman suffrage, social welfare,
o Minimum wage laws
§ Supposed by “Bull Moose Progressives”
· Wilson’s New Freedom
o Small enterprise
o Entrepreneurship, free functioning of unregulated and unmonopolized markets.
o Focused on fragmentation of big industrial combines through enforcement of antitrust laws.
Woodrow Wilson: A Minority President
· Wilson minority president
o Popular total 41%
o Party won majority in Congress
· Showed the popularity of Progressivism.
o Progressive party no office held in gov, dying party.
o Socialist elected many officers.
· Republicans now minority status in Congress
Wilson: The Idealist in Politics
· Wilson first president from the south since Taylor
o Sympathized w/ Confed attempt for independence.
o Inspired his ideal for self-det of people.
· Very religious and persuasive and eloquent
· Believed that president should play dynamic role.
o Doesn’t appeal to public as well as TR.
o Lacked common touch.
§ Quite stubborn.
Wilson Tackles the Tariff
- Wilson planned when he went into presidency. Had the “triple wall of privilege”: tariff, banks, trusts.
- Precedent shattering – goes to Congress himself to send his presidential message. Convinces many.
o Aggressive leadership.
o House swiftly passed Underwood Tariff Bill
§ Substantial reduction of rates.
§ Under latest 16th Amendment enacted a graduated income tax.
o Defended bill from lobbyists when he issued message to people to tell them to hold elected representatives in line.
Wilson Battles the Bankers
- Previously country’s financial structure fail due to National Banking Act.
o Had the inelasticity of currency.
o Banking reserves heavily concentrated in NY
§ Could not be mobilized in times of need.
- 1908 Congress authorized investigation by Repub Aldrich.
o Commission recommended a large bank w/ many branches.
§ A 3rd bank of US.
- Demos used findings of Arsene Pujo located source of “money monster” into Amer. Banking and business.
- Louis D. Brandels and “Other People’s Money and How the Bankers Use It”. Called for reform.
- Wilson greatly appealed to sovereign people.
o Federal Reserve Act called for nationwide system of regional reserve districts, each w/ central bank.
§ Guaranteed substantial measure of public control.
o Federal Reserve Board empowered to issue paper money, “Federal Reserve Notes” backed by commercial paper.
o So amount of money in circulation swiftly increasable. .
- Federal Reserve Act carried nation through crisis of WWI.
The President Tames the Trust
- Passed Federal Trade Commission Act of 1914.
o Empowered presidentially appointed commission to target interstate commerce incl meatpackers.
o Expected to attack monopolies by rooting out unfair trade practices.
- Clayton Anti-trust act strengthened Sherman Act (before)’s list of business practices.
o Incl. price discrimination and interlocking directorates.
o Previously conservative courts and ruled that trade unions fell under Sherman Act.
o So Clayton Anti-trust act explicitly legalized strikes and peaceful picketing.
o Samuel Gompers, leader of Amer. Railway Union (?) saw that it was the Magna Carta of labor.
§ Conservative judges would still oppose unions and strikes.
Wilsonian Progressivism at High Tide
- Very popular in first 18 months of presidency.
o Federal Farm Loan Act made credit available to farmers at low rates of interests.
§ Was a pillar of Populists.
o Warehouse Act which authorized loans on the security of staple crops.
§ Also Populist.
- Laborers also gained from progressivism.
o La Follette Seamen’s Act
§ Required decent treatment and living wage on Amer. Merchant ships.
§ Led to crippling of US merchant marine as higher wages = higher freight rates.
o Workingmen’s Compensation Act
§ Assistance to civil-service employees during disability.
- Pres also approved of act restricting child labor.
o Supreme Court soon invalidated law.
- Railroad workers had Adamson Act which est. 8 hour workday for all employees on trains in interstate commerce.
- Also attempted ot be racially equal.
o Nominated Louis D. Brandeis, first Jew to the Supreme Court.
o But because from the south, accelerated segregation in fed bureaucracy.
§ Dismissed blacks when they protested.
- Support form business people through conservative appointments to Federal Reserve Board and Federal Trade Commission.
- But most focused on progressive support.
New Directions in Foreign Policy
- Wilson did not answer call of bull moosers.
o Unlike TR and Taft, did not pursue aggressive foreign policy.
o Did not like big stickism and dollar diplomacy.
- Declared war on dollar diplomacy.
o Saw that government would no longer give special support to Amer. Investors in Latin Amer and China.
- Also persuaded Congress to repeal Panama Canal Tolls Act
o Act had exempted Amer. Coastwise shipping from tolls
o Protests from Britain.
- Also signed the Jones Act
o Granted to Philippines by promising indep as soon as “stable gov” available.
§ Came 30 years later.
- California and Japan immigration crisis.
o Cali prohibited Japanese from owning land to prevent them from settling.
o But sent Secretary of State William Jennings Bryan to ease tensions through pleading Cali legis.
- Political turmoil in Haiti
o Population assassinated Haitian president.
o Wilson dispatched marines to suppress riots.
§ Would remain there for next 8 years
- Purchased from Denmark Virgin Islands and
o Increase control in Carribean in the now navigable Panama Canal.
Moralistic Diplomacy in Mexico
- Mexico exploited by foreign investors in oil, RR, mines.
o Amer. Had invested a lot in Mex.
- But Mexicans poor so they revolted and established General Victoriano Huerta as president.
o Accelerated mass migration of Mexicans to US.
- Revolution bloodshed prompoted public to call for intervention.
o Incl. William Randolph Hurst
- Wilson refused to intervene, but did not recognize Huerta.
o Most other foreign powers acknowledged his regime.
o Gave ammo to Huerta’s rivals. Incl. Venustiano Carranza and Francisco Villa.
- Near conflict w/ Mex.
o Small party of Amer sailors arrested.
o Mex. Promptly released and apologized.
- When refused demand for a salute, Wilson asked Congress to use force.
o Before Congress acted, ordered navy to seize port of Mex.
- War was about to break out but rescued by ABC powers.
o Argentina, Brazil, Chile.
o Huerta collapsed w/o any force.
- Succeeded by Venustiano Carranza.
o Still resented Wilson’s military mending.
o So Wilson reluctantly supported Francisco Villa, Carranza’s rival.
§ But Villa also did not handle Amer miners well.
o Villa + followers hoped to provoke war b/w Wilson and Carranza and murdered more Americans.
§ General John J. Pershing ordered to break up band and crushed Carranza’s forces, Villastas, but withdrawn army later as WWI about to start.
Thunder Across the Sea
- What happened in Europe: Serb patriot kills heir to throne of Austria Hungary, so Austria Hungary (capital Vienna) backed by Germany, presents ultimatum
o Serbia backed by Russia half refuses, Russia begins to menace Germany when France also menacing Germany, then Germany attacks France through unoffending Belgium.
o Then British offendeded by jeopardized interests through German’s assault on Belgium and joined France.
- Central Powers – Germany and Austria-Hungary, later Turkey and Bulgaria.
o Allies France, Britain, Russia and later Japan and Italy.
A Precarious Neutrality
- Both sides attempted to get Amer.
o British due to cultural similarities, and Germans and Austro Hungarians due to sympathies of the immigrants in Amer.
o Most Amer anti-Germany.
§ Did not like Kaiser Wilhelm II as he rep autocracy.
· Impression ^ by German strike at neutral Belgium.
§ Germany also have agents resorting to violence in Amer. Factories.
- Majority of Amer. Hoped to stay out of war.
America Earns Blood Money
- US faced economic recession before, but during WWI helped Amer. Industry.
o Boom supported by Amer. Bankers like JP Morgan who supported Allies with great sum.
o Central Powers protest, but did not violate international neutrality laws.
§ But Germany prevented from trading by geography and British navy.
- In retaliation Germany announced a submarine war area around British islands.
o Submarine new weapon so international law didn’t fit it.
o Berlin = would try not to sink neutral shipping, but mistakes could occur.
- U Boats began sinking many ships in war zone.
o After sinking of Lusitania with loss of 1100 lives w/ many Americans,
§ Amer shocked at hostilities.
o Most of country (west which was far from war) showed strong distaste for hostilities.
- Wilson through verbal diplomacy and after sinking another British liner, Berlin agreed to not sink unarmed passenger ships WITHOUT WARNING.
o Violated again and warned that if they didn’t stop, would go to war.
- Relunctantly agreed to Sussex ultimatum and agreed to above and also included merchant vessels.
o But also added that US must persuade Allies to modify British illegal blockade.
- Wilson refused but accepted German pledge.
Wilson Wins Reelection in 1916
- Bull moose progressives – nominates TR
o Didn’t want to split up Repub party so refused to run.
- Republicans nominated Supreme Court justice Charles Evans Hughs who was very liberal.
o Platform condemned Demo tariff, assaults on trusts.
§ Wilson’s lack of diplomacy in dealing w/ Mex and Germany.
o Charles Evan Hughs had changing assertions – on anti-German areas attacked Wilson on lack of diplomacy, in isolationist areas did not.
§ Impeded by TR and his aggressive speeches as well as lack of support.
- Democrats nominated Wilson w/ slogan “He Kept Us Out of War”.
- Election day
o Hughs got East and thought they would win.
o But westerners attracted by Wilson’s progressive reforms, anti war policies, made Wilson win very closely and won.
§ Pro-labor Wilson strong support from working class and renegade bull moosers (Progressives) who Repubs failed to lure back to camp.
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