1. HOW DID PRESIDENTIAL LEADERSHIP
INFLUENCE U.S. POLICY
DURING THE 1920'S?

2. President Calvin Coolidge
“The business of America is business. The man who builds a factory builds a temple. The man who works there worships there”
President Calvin Coolidge

3. Presidential Leadership in the 1920’s
President Warren G. Harding
Harding wins landslide election promising a return to “normal”
Return to isolationism
Pro-business policies
Make economy grow and create jobs
Americans were war weary & wanted a return to pre-war days
"Return to Normalcy"

4. How did Harding Disappoint the People?
Political Scandals
Harding’s political appointees were corrupt
Cabinet secretary was bribed and secretly leased land to oil companies at Teapot Dome, Wyoming
First time a cabinet secretary was sent to prison
Harding dies in office of a heart attack before scandals are connected directly to him

5. Calvin Coolidge Takes Office
“Silent Cal”
Sworn in after Harding’s death
Coolidge was different from Harding
Not a big speech maker or party thrower
Coolidge repaired damage caused by scandals

6. Coolidge Prosperity Silent Cal
“The business of America is business. The man who builds a factory builds a temple. The man who works there worships there”
Calvin Coolidge
What was Coolidge’s priority as president?
Pro big business
Business was the most important part in creating the American way of life
Began a period of rapid economic growth
Silent Cal

7. Coolidge Prosperity Industry Booms
Quantity of goods made by industry doubled
More jobs were made and incomes rose
People spent money on new products
Refrigerators, radios, phonographs, vacuum cleaners
Installment buying (credit) allowed people to spend more money than they could afford
Overspending became a serious economic problem

8. Coolidge Prosperity A Soaring Stock Market
More people invested in the stock market than ever before. (Bull Market)
Stocks were bought on margin
For 10% down payment, buyers held stocks until the price rose and sold it for a profit
Margin buying works as long as stock prices rise
Margin buying became a cause for The Great Depression of the 1930’s

9. Foreign Affairs
Presidents Harding and Coolidge kept the U.S. out of European affairs (Isolation)
US remained out of the League of Nations
The US intervened in Latin America when American business interests were threatened
US signed the Kellogg-Briand Pact
This treaty outlawed war, but had no means of keeping the peace

10. Conclusion
How did presidential leadership influence US policy during the 1920’s?
Presidential leadership:
Created a strong economy
Created a bull market
Returned the nation to pre-WW1 isolation
Increased jobs and family income
Created an era of peace & prosperity