1. Politics of the 1920s Warren G. Harding & Calvin Coolidge

2. Warren G. Harding Promised a “return to normalcy” Small town roots from OH Middle class appeal Successful newspaper entrepreneur Easy to talk to – like a neighbor Ran a front porch campaign

3. Warren G. Harding Very popular because he “didn’t do anything” Let the country heal economically and emotionally Died two years into his term August 2, 1923 Public mourning He was a very popular president at that time

4. Warren G. Harding - Economics RECOVERY!!! Business minded president Architects of Harding’s Economic Policy: Andrew Mellon (Secretary of Treasury) Herbert Hoover (Secretary of Commerce) Created the quickest economic recovery in history

5. Warren G. Harding - Economics Mellon’s three goals to prosperity: 1.Balance Budget 2.Reduce Government Debt 3.Cut Taxes (Supply Side Economics) Wealthy 73% down to 25% Average 4% down to.5%

6. Warren G. Harding - Economics Supply-Side Economics Lower Taxes People Spend More Money More Goods Will Be Produced More Jobs Will Be Created More People Pay Taxes Also Known As Trickle Down Economics

7. Warren G. Harding - Scandals He appointed friends from OH to his cabinet The Ohio Gang Poker playing atmosphere in the White House Most scandals not discovered until after his death Therefore he remained a well-liked and popular president Harding was NOT personally a part of these scandals

8. Warren G. Harding – Scandals 1.Teapot Dome Scandal US Secretary of the Interior Secretly leased government lands to businesses Lands contained oil fields reserved for US Navy Gained $300,000

9. Warren G. Harding - Scandals 2. Forbes Scandal US Head of Veterans Bureau Sold medical supplies from Veteran Hospitals Gained $250,000,000 3. Daugherty Scandal US Attorney General Accepted bribes from German businessman Helped German buy back chemical company captured during WWI

10. Warren G. Harding – Scandals

11. Calvin Coolidge Known as “Silent Cal” People joked he was silent in five languages Cleans up scandals Fires the “Ohio Gang” Maintains Supply-Side Economics Interferes very little with businesses Runs for President in 1924 Keep Cool With Coolidge Landslide victory for republicans Roaring Twenties Continue!

12. 1920s Economic Reform Does it appear to be working?

13. 1920s Economic Reform Does it appear to be working?

14. 1920s Economic Reform Does it appear to be working?

15. The Twenties begin to… Roar!

16. Trade and Arms Control Allies owe the US $10 billion We want that back The US became the SUPER POWER of the world Due to economic improvements (not military) American citizens turn back to favor ISOLATIONISM Didn’t ratify Treaty of Versailles or join World Court We were really too powerful and connected to truly be isolated, so we try to promote an end to war and violence…

17. Trade and Arms Control THE WASHINGTON CONFERENCE (pg 366) President Harding World leaders met in Washington, D.C. Signed three separate treaties Four-Power / Five-Power / Nine-Power  Respect foreign territories (now worried about Japan)  Use negotiations to work through disagreements  Halt production of warships -Did not limit land forces -Japan upset about being forced to downsize navy

18. Trade and Arms Control Economic Problems in Europe Germany struggled to pay $33 billion in reparations Their economy is crippled Money worthless (HYPERINFLATION)(HYPERINFLATION) They just printed, and printed, and printed money. By November 1923, one American dollar was worth 4,210,500,000,000 German marks England and France struggled to pay off war debts 50,000,000 Mark

19. Trade and Arms Control THE DAWES PLAN US Germany England & France 1. US loans Germany money to pay reparations 2. Germany pays back allies on agreed upon lower rate 3. Allies pay back US with money from Germany US needs strong nations with which to trade TRADING NATIONS ARE PEACEFUL NATIONS

20. Trade and Arms Control KELLOGG-BRIAND PACT Calvin Coolidge US and 14 nations sign an agreement WAR IS DECLARED ILLEGAL!!!! All arguments shall be settled peacefully Obviously NOT enforceable… but hailed as a victory for PEACE