1. The Harding Presidency

2. Objectives
Contrast Harding’s policy of “normalcy” with progressive era reforms
Identify scandals that plagues the Harding administration

3. Harding Struggles for Peace
Washington Naval Conference
Charles Evans Hughes
Kellogg-Briand Pact
Secretary of State
15 county pact that renounced war as a national policy
Urged no more warships be built for 10 years
Wanted the naval powers to scrap their largest ships
Set no means of enforcement
The delegates were largely behind the idea and agreed to disarm

4. Harding Struggles for Peace
High Tariffs and Reparations
Britain & France has barrowed $10 million to fight the war
Fordney-McCumber Tariff
Raised taxes on some imports as much at 60%
Made it impossible for Britain & France to sell enough goods in the U.S. to repay debts
They could pay it back in two ways
Selling goods to the United States
Collecting reparations from Germany

5. Harding Struggles for Peace
High Tariffs and Reparations (cont.)
Experiencing terrible inflation
Was forced to default
Fail to make payment
French troops march
American banker, Charles G. Dawes, sent in to negotiate loans
U.S. would give Germany a $2.5 billon load to pay back Britain & France
Thus, the U.S. was paying themselves
Germany
Dawes Plan

6. Scandal Hits Harding’s Administration
Harding’s Cabinet
Scandal Plagues Harding
Charles Evans Hughes
Secretary of State
Herbert Hoover
Secretary of Commerce
Andrew Mellon
Secretary of the Treasury
Ohio gang
Cronies
a close friend or companion
Poker buddies
Charles R. Forbes
Veterans Bureau
Caught selling government and hospital supplies to individuals
Sentenced to 2 years, $10,000 fine($134,480 – 2014)
Thomas W. Miller
Office of Alien Property
Caught taking a bribe
Sentenced to 18 months
Paroled and later pardoned by Hoover

7. Scandal Hits Harding’s Administration
The Teapot Dome Scandal
Teapot Dome Scandal
Oil rich public lands set aside in Teapot Dome, Wyoming & Elk Hills, California
Originally under control of the Navy
Albert B. Fall
Secretary of the Interior
Transfers control of the reserves
Leases the land to two private oil companies
Receives $400,000
Convicted of bribery

8. Scandal Hits Harding’s Administration
“I have no trouble with my enemies … But my … friends, they’re the ones that keep me walking the floor nights!”
The Teapot Dome Scandal (cont.)
Harding dies of a heart attack or stroke
Calvin Coolidge come to office and tried to restore the respect and integrity of the government and the Republican party

9. 1. Why was the Kellogg-Briand Pact Ineffective. 2
1. Why was the Kellogg-Briand Pact Ineffective? 2. How did Harding’s tax policy on imports affect Britain and France and the war debt issue? 3. How did Harding’s friends damage his administration?