Political Developments of the Post WWI Era

The Republicans Rule

Economic Developments“Golden Twenties”

New industries and fields: autos, chemical, radio, movies etc. Output and profits increased.

Flaws in the Business Boom - Coal mining, textiles, agriculture, and the railroads. Purchasing power could not keep up with the increasing output of goods.

Warren G. HardingConservative Republican “Return to Normalcy.”Favored less gov’t, reduced federal spending and restricted use of Pres. Powers.Pro-business, higher tariffs, lower taxes, lax gov’t regulatory agencies, leaned toward isolationism.

Scandals at the National LevelCharles Forbes. Veterans Bureau. Embezzled millions.Harry M. Daugherty. Attorney General. Received kickbacks in the rigged sale of government property.Albert Fall. Secretary of the Interior. Teapot Dome Scandal. Could you compare and contrast the Grant and Harding administrations?

Significant Foreign Affairs

Return to Isolationism. Rejection of the Treaty of Versailles and non-participation in the League of Nations.

Washington Conference. (1921-1922)Five-Power Agreement: provided for partial naval disarmament.Nine-Power Agreement: pledged respect and territorial integrity of China.

Foreign Affairs

Kellogg-Briand Pact. (1928) Signed by 62 nations. Outlawed aggressive war?

Silent Cal takes over.Election of 1924.

Coolidge/Republicans.John Davis/DemocratsRobert La Follette & Progressive Party.Coolidge won easily. But, La Follette polled over 5 million votes.“The business of America is business.”

Domestic Legislation

Emergency Quota Act of 1921. Set quotas for “preferential” immigrants.Immigration Act of 1924. Tightened immigration restrictions. Replaced the 1921 act.Adjusted Compensation Act of 1924. Provided WWI vets with paid up life insurance policies.

Herbert Hoover

Election of 1928.Hoover v. Al Smith.Hawley-Smoot Tariff of 1930. Highest protective tariff in history. Implications worldwide?

Stock Market Crash

Overspeculation in real estate and stocks.Black Tuesday: October 29, 1929.Beginning of the the Great DepressionReasons:– Overpriced stocks– Margin buying