1. The Harding Presidency
WARREN G. HARDING

2. “Normalcy” Ohio Senator that assumed the Presidency in 1921
Harding yearned for “normalcy” or the simpler days before the Progressive Era and the Great War
His words of peace and calm comforted the healing nation

3. Struggling for Peace After W.W.I.
Problems surfaced relating to the arms control, war debts and reconstruction of war-torn countries
President Harding invited several major powers to the Washington Naval Conference
Russia was left out because of its Communist government
Secretary of the State Charles Evans Hughes urged that no more warships be built for ten years
Suggested five major naval powers—U.S., Great Britain, Japan, France and Italy– scrap many of their battleships, cruisers, and aircraft carriers

4. Struggling for Peace Conference delegates cheered
Powerful nations agreed to disarm for the first time in history
In 1928, 15 countries signed the Kellogg-Briand Pact
Kellogg-Briand Pact renounced war as a national policy
Had no means of enforcement

5. Paying the Reparations
Britain and France could not pay back money they borrowed from U.S.
Do so in 2 ways:
By selling goods to the U.S.
Collecting reparations from Germany
In 1922, America adopted Fordney-McCumber Tarriff
Raised taxes on U.S. imports to 60% (highest level ever)
Tax protected U.S. businesses (chemical and Metal industries) from foreign competition
This made it impossible for Britain and France to sell enough goods in the U.S. to repay its debt

6. Paying the Reparations
France and Britain turned to Germany for Reparations
Germany could not pay and French troops marched in
To avoid another war, Charles G. Dawes, an American investor negotiated a loan, known as the Dawes Plan
The U.S. arranged to be repaid with its own money

7. Paying the Reparations
Dawes Plan caused resentment
France and Britain believed U.S. was not paying a fair share of the costs of W.W. I.
U.S. had benefited from the German defeat
Europeans paid for the victory
How did the Europeans pay for the victory?
U.S. considered Britain and France financially irresponsible

8. Scandal Rocks Harding’s Administration
Harding’s Cabinet
Charles Evans Hughes, Secretary of the State
Later became Chief Justice of the Supreme Court
Herbert Hoover, Secretary of Commerce
Had done a great job handling food distribution and refugee problems during W.W.I.
Andrew Mellon, Secretary of Treasury
Drastically cut taxes
Reduced national debt

9. Scandal Rocks Harding’s Administration
Ohio gang: President’s poker-playing cronies
The cabinet included members of President Harding’s poker playing friends
They often caused a great deal of embarrassment

10. Scandal Rocks Harding’s Administration
Harding’s administration unraveled as his corrupt friends used their offices to become wealthy through graft
Graft: bribe
Charles R. Forbes, head of the Veterans Bureau
Caught illegally selling government and hospital supplies to private companies
Colonel Thomas W. Miller, head of the Office of Alien Property
Caught taking a bribe

11. Scandal Rocks Harding’s Administration
Teapot Dome Scandal
The government had set aside oil-rich public lands at Teapot Dome, Wyoming and Elk Hills, California for use by the U.S. Navy
Secretary of the Interior Albert B. Fall, a close friend of various oil executives
Fall said it was in the government’s best interest
He later received more than $400,000 in loans, bonds, and cash
Later on found guilty of bribery, first American convinced of felony while holding a cabinet position

12. Scandal Rocks Harding’s Administration
In the summer of 1923, Harding declared, “I have no trouble with my enemies…But my friends, they’re the ones that keep me walking the floor nights!”
August 2, 1923 President Harding died suddenly
The crimes of his Administration came to light as his Vice-President Calvin Coolidge took over