American History. Retreat From the New Deal. Retreat From the New Deal. Retreat From the New Deal 2/11/2015

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American History Chapter 19 Cold War Politics A Conservative Turn Conservative Backlash Opposition to the New Deal Richard Nixon Republican from California Outspoken Critic Of Communism Fast Rise in Politics After His Return from the War Elected to Congress in 1946 Conservative Shift, and Anti-Communist Rhetoric Put the Republicans in Power in the 1947 Congress Backlash against the New Deal by business leaders, consumers, and farmers The New Deal Represented Government Control over the Lives of the People Nixon offered people the freedom to acquire all that their talents would allow President Truman Represented the Image of the New Deal Fears About the Economy Truman Removed Wartime Economic Restrictions (The cork was out of the bottle) Called for Voluntary Limits on Prices Inflation Rate Climbed 25% in 1946 Wartime Shortages Produced a Demand for Goods Americans Eagerly Bought Luxury Items Inflation Hurt Real Wages Unions Were Fed Up 1946-47 More Strikes than in Any other Time in U.S. History Many Americans Blamed Problems and shortages on Labor Unions 1

Rising Food Prices, 1946 Month Loaf of Bread Lb. of Butter Doz. Eggs March $.09 $.55 $.48 June $.11 $.61 $.51 September $.12 $.83 $.67 December $.12 $.92 $.70 How do those prices compare with today s prices? How could gasoline be placed on a similar chart? Who is to blame for rising prices? In 1946, they blamed Truman, should we blame the government today? Backlash Against the New Deal Republicans were Elected to Clean Up Affairs in Washington Keep Government out of the Lives of the People Two Goals of the Republicans in Congress 1. Cut Back New Deal Spending 2. Rein in Labor Unions Biggest Issue 1935 National Labor Relations Act New Deal Program Gave Unions the Right to Bargain Collectively Businesses Felt they Had Lost the Right to Manage Their Employees Taft-Hartley Bill Favored management over labor Ban the Closed Shop Where only Union Members Were Hired States Could Pass Right-to-Work Laws which outlawed Union Shops Requiring New Workers to Join the Unions Employers Could Sue Unions Gave the President the Power to Send Striking Workers Back to Work for 80 Days Robert Taft of Ohio Son of Former President Taft Truman Fights the Taft-Hartley Bill Truman Felt Taft-Hartley Threatened Worker Protection Taft-Hartley Passed Congress, Truman Vetoed Congress Voted to Override the Veto Organized Labor Became an Ally of Truman As the 1948 Election Approached, Truman Would Need the Support of Organized Labor 2

The Uphill Race in 1948 Opposition to Truman Came From Republicans and From Within His Own Party Many Questioned Truman s Ability Inflation Caused Prices to Go Up Truman entered the race with a 36% approval rating Henry Wallace Vice- President under Roosevelt, and Former Member of Truman s Cabinet Formed the Progressive Party Wallace Had the Support of Liberal Democrats and Members of the Communist Party Support by Communists Hurt Wallace The Uphill Race in 1948 Truman and Civil Rights Truman Began to Desegregate the Armed Forces Backed Antilynching Legislation Wanted to End Poll Taxes Truman Would Not Back Down on Civil Rights Southern Democrats Called Dixiecrats Formed their Own Party Dixiecrats Ran South Carolina Governor Strom Thurmond Dixiecrats Supported Racial Segregation Race Relations a State not National Issue 3

Thomas E. Dewey Republicans Nominated Thomas E. Dewey From New York Dewey Lost to FDR In 1944 Contrasting Style to Truman Careful and Reserved Viewed as a Good Administrator Supporters were Confident that Dewey would Win the Election Few Gave Truman any Hope of Winning Election of 1948 Running on the Rails Truman Called for a Special Session of Congress After the Republican National Convention He asked the Republicans to Make Good on their Campaign Promises When Nothing Happened, Truman Could Make the Point that the Republicans were All Talk Republican Congress Rejected Minimum Wage Legislation Civil Rights Aid to Farmers Housing Bill Social Security Legislation Election of 1948 Running on the Rails Truman s Whistle Stop Tour Labor Day to Election Day 32,000 Mile Trip Spoke Face to Face from the Back of the Train On Election Day Truman Was Home in Independence, Missouri Historic Headline from the Chicago Daily Tribune 4

1948 Presidential Election Results Truman The Fair Deal 1948 The Democrats Were Back In Charge They Controlled Both Houses of Congress Truman s New Deal was the Fair Deal National Medical Insurance Expanded Social Security New Public Power Projects Rise in the Minimum Wage Construction of Low Income Housing Repeal of the Taft-Hartley Bill Fair Deal Lacked Support of Southern Democrats Truman s Support Faded Communist Takeover in China, War in Korea, Corruption, Increased Military Spending The Hunt for Communist (RED) Sympathizers Why did We Have a Communist Scare? Soviet Atomic Bomb Spread of Communism Around the World Fighting Communism was Good Politically House Un-American Activities Committee (HUAC) Explored the Communist Influence of the New Deal Looked for Communists in Truman s Administration Did Not Find Any Launched Richard Nixon into National Prominence 5

Were There Communists in the U.S.? The American Communist Party Grew During the Depression Promised to Put People Back to Work To Communists, the Depression was Proof that Capitalism Did Not Work Communism Appealed to: Intellectuals, College Students, Minorities, and Artists Communism became a Chic Intellectual Trend Communism Seemed to Offer Relief From the Evils of 1930s Society How Active Was the American Communist Party? Tapered off During World War II Communism was Associated with Stalin American Interest in Communism Had Faded Away Cold War Brought Communism to Public Attention Knowledge that the Soviet Union was Spying on the U.S. Aroused Fears in America The House Un-American Activities Committee Was in Charge of Finding Communist Sympathizers in the U.S. HUAC Resorted to Demagoguery and Character Assassination to Stir the Public The Case of Alger Hiss Had Soviet Spies Infiltrated the Government? Nixon and the HUAC Found the Perfect Target in Alger Hiss Hiss was Targeted By Whittaker Chambers a Former Member of the American Communist Party Hiss was a Former FDR Staff Member, and the Clerk for Chief Justice Oliver Wendell Holmes He was the President of the Carnegie Endowment for International Peace Peace Organizations Were Seen as Pro-Communist The Trial of Alger Hiss The Pumpkin Papers Top Secret Documents on Microfilm Found inside a Pumpkin on the Farm of Whittaker Chambers The Document had Been Typed on a Typewriter Owned by Hiss Convicted on Two Counts of Perjury 5 Years in Prison Richard Nixon Came out the Big Winner in the Hiss Trial Alger Hiss 6

Rosenberg Flow Chart Showing a Link to Stalin Julius and Ethel Rosenberg Were Convicted of Selling Secrets on Building an Atomic Bomb to the Russians They Were Both Executed on June 19, 1953 Claimed to be Innocent, But Evidence Today Indicates Otherwise World Wide Appeal to Save Their Lives Failed The McCarthy Era Republican Senator From Wisconsin Announced he had a List of 205 Communists Working in the U.S. State Department (1950) Without Producing any Creditable Evidence He Managed to Ruin Many Public Officials McCarthyism Became a Term Associated With Using Ruthless Tactics to Fight Communism Millions of Americans Supported McCarthy Edward R. Murrow Senator Joseph McCarthy McCarthy Goes Too Far Viewed by Republicans as a Loose Cannon Accused the Army of Having Communist Supporters 1953, Reporter Edward R. Murrow Discredited McCarthy on T.V. 1954, The Senate Voted to Condemn McCarthy 7

Anti-Communist Brochure The Red Hunt Goes On Private Citizen Watch Groups Vigilantes Vigilante groups published brochures such as this one to expose suspected communists By the 1960s much of the fear generated by the Red Scare had vanished All over the nation, public employees still had to take a loyalty pledge supporting the United States government Case Against John Henry Faulk 1957 Made a Stand Against Blacklisting Faulk Was Falsely Associated With Communism by a group called Aware, Inc. Faulk Successfully Sued the Group, But His Radio Career was Ruined The Case Was Not Settled until 1963 Faulk was awarded $3.5 million in damages The Media Capitalized on People s Fears About Communism Comic Books Such as This Fanned the Fear of a Communist Takeover of the United States Warrior in the White House 1952 Ike Answered the Nation s Call to Duty Eisenhower Was Free From Political Controversy The Nation Did Not Know Eisenhower s Political Party Until He Ran for President Eisenhower Was a National Hero With Proven Leadership His Lack of Political Experience was an Attribute He was a Committed Anti-Communist Ike was the First Candidate to Use Television Advertising Effectively in his Campaign 8

Stevenson Eisenhower 1952, The Democrats Ran Governor Adlai Stevenson of Illinois Stevenson Was Doomed because of Truman s Unpopularity Richard Nixon as Eisenhower s Running Mate added Political Experience and Anti-Communist Appeal Ike Promised to Clean up the Mess in Washington End the War in Korea Nixon, A good Choice? News broke of a secret fund used to support Nixon s extravagant lifestyle Many called for Nixon to drop out of the race On September 23, 1952 Nixon took his case to the people on a live TV broadcast referred to as the Checkers Speech Eisenhower 442 Stevenson 89 A New Command Eisenhower Followed Consensus Decision Making Relied on Group Efforts to Make Decisions Appointed Successful Business People To Government Positions Made Sure Government was Friendly to Industry Atomic Energy Act of 1954 Allowed Private Companies to Operate Nuclear Power Plants Ike was middle of the road with a don t rock the boat approach to government 9

Eisenhower loved golf He took advantage of many opportunities to play a round of golf at Augusta National Golf Course A Second Term 1956 Eisenhower vs. Stevenson Again Ike s 1955 Heart Attack Brought Nixon into Issue Foreign Policy Dominated Ike s Second Administration Korean War Ended Cold War Intensified Castro Came to Power In Cuba Russians Launched Sputnik I in 1957 Congress Created National Aeronautics and Space Administration (NASA) in 1958 Campaign 1956 Once again Adlai Stevenson was defeated by Eisenhower The public had to face the possibility of President Nixon Eisenhower 457 Stevenson 73 Jones 1 10

: Paving America Federal Interstate Highway System Final Cost: More than $80 Billion Plan Was Supported by Oil Companies, Automobile and Rubber Manufacturers, Letter Carriers, Trucking Companies and Others Federal Interstate Highway System, June 29, 1956 Ike s Legacy Conservative When it Comes to Money, Liberal When it Comes to People Expanded Social Security and Unemployment Insurance Increased the Minimum Wage to $1.00/hour Federally Financed Low Income Housing Construction of the St. Lawrence Seaway Construction of the Interstate Highway System In With The New Presidential Campaign of 1960 Republican Nixon vs. Democrat Kennedy Rich vs. Poor, Catholic vs. Protestant 11

Campaign 1960 Election 1960 Nixon Was the First Candidate to Campaign in All 50 States He Lost Kennedy Used the Electronic Media Effectively Nixon-Kennedy Debates Radio Listeners Gave the Victory to Nixon, TV Viewers Went with Kennedy One of the Closest Elections in American History 303 219 14 12