Harry S Truman

The Domestic Problems of the Truman Administration 1945-9

Introduction

Truman succeeded FD Roosevelt when the latter died in April 1945
He had been FDR’s Vice-President
He had experience in Congress too but he was not prepared for the Presidency
He said that it felt like the moon, stars and planets had fallen on him
The political machine of Kansas City, Missouri was known for its corruption and many believed he would be another Warren Harding
He was liked and respected by those who knew him from Congress
He came from a poor background and wanted to build on the New Deal to take social reform into new areas such as health care.
He was aware that the public were tired of change having lived through the Depression and the 2^nd World War
Under Truman there was conflict between the White House and Congress, conflict in industry, and conflict over communism

Truman’s problems with Congress

The Republicans controlled Congress from 1946-48 but for most of his time in office Truman had a Democratic Congress
This was not a united party though because the ‘New Deal liberals’ wanted Truman to continue with the work of FDR
If things went wrong they blamed him – forgetting the problems FDR had with Congress in 1938
Southern Democrats (‘Dixiecrats’) hated his position on civil rights – they often voted with the Republicans in Congress over issues such as union rights
As a result Truman didn’t have an easy time getting legislation through eg: one of his first actions was to put forward a 21 point programme of social reforms – Congress rejected all of them due to the cost and resentment that he was asking so much so soon
FDR had been granted ‘broad executive power’ in time of crisis – Truman would have to work harder to get policies through
1946 mid-term elections Republicans got first majority since 1930 (Hoover President then)
They had 246-188 seats in House of Representatives and 51-45 in Senate
Economic problems caused by the War: inflation and labour disputes
These turned many people against the Administration
Republicans came up with a slogan – ‘Had enough?’ which summed up the mood of many
Outside the South Democrats did badly
Rather than a real turning against them this was really a protest vote
In fact both Houses returned to Democratic control in 1948
Before this happened though Congress blocked several of Truman’s measures
Republicans did manage to pass the 22^nd Amendment which limited a President to 2 terms
The passing of this Amendment and its ratification by the states illustrates the concern about the increase of Presidential power under FDR during 1930s and 40s
Relations between Truman and Congress difficult because latter was determined to re-assert its power to pass or reject legislation
President vetoed 250 bills passed by Congress during 7 year period
They overrode 12 of these vetoes

Economic Problems

Truman feared USA would sink back into depression after the war
So his policies aimed to avoid this and to foster growth:

Demobilization

Decided on slow demobilisation because of the effect 12 million men flooding the job market
Cold War developing so it was important to keep a substantial armed force
This would be unpopular with families who would want their men to come home
Mid–term elections coming so families used political influence to secure this
Campaign of sending post cards to the White House with the slogan
This worked – army reduced to 3 million within a year, and halved again in the next year.
There was much short-term unemployment but the feared recession did not return
Unemployment never rose much above 4% during this Administration

Business and the Public

Plants returned to peacetime production
Government controlled factories were privatised
With all these servicemen returning there would be a demand for goods and it would take time for industry to produce enough
The economic effect was 25% inflation in 1945-6
This was made worse by Congress’ $6 billion tax cut
This was one of the reasons the Democrats lost support in the 1946 mid-term elections
Truman wanted to continue the Office of Price Administration (OPA) to control inflation and stabilise prices as it had during the war
The conservative coalition in Congress wanted to abolish OPA and return to business having more say over its own affairs
1946 Truman introduced a price control bill to continue with OPA
Congress made so many amendments to it that it would have had no power – Truman vetoed these amendments
But his supporters in Congress told him it was the only possible deal so he accepted it
By end of 1946 though the economy was stabilising so OPA wasn’t needed
Truman’s proposal for a Council of Economic Advisors (CEA) was accepted (1946)
It was to recommend government action if needed in the economy
This didn’t go as far as Truman wanted
He wanted a bill for “full” employment but it showed that the US accepted more government involvement in the economy
America wasn’t going back to laissez-faire

Housing and jobs

12 million servicemen coming home so need for jobs and houses to prevent the problems that followed World War I
Housing was to be provided by the Federal Housing Agency which provided government-backed mortgages at reasonable interest rates
Congress though refused money for public housing
Also construction companies preferred to build commercial properties
Even so the construction boom of the post-war years provided many jobs for returning men
Congress passed the ‘GI Bill’ as compensation for those who had served in the war
Servicemen were allowed 52 weeks’ unemployment relief if needed
There were also loans for education, farms, housing and business
1945-55 $20 billion awarded to help 7.8 million veterans

Results

1947 half the world’s manufacturing output was from USA
Mid 1950s huge economic growth
Peacetime production restored and able to meet the high demand
The GI Bill and wages from the war meant returning service personnel had a lot of money to spend in the economy
Baby boom – created a massive demand for domestic products
Korean War 1950 was an impetus for growth
New technology had same effect
First few years of Truman presidency not economically successful, but last couple of years were – continued for next 2 decades

Problems with organised labour

By the 1940s trade unions much more powerful than in 20s and 30s
1935 Wagner Act encouraged union growth
Need for labour during the War increased union power
1945 - 15 million trade unionists
This was 36% of non-agricultural work force
High post-war inflation led to demands for higher wages
1946 strikes in most major industries
November 1945 conference sponsored by the Administration failed to bring unions and management together
Truman often mediated in strikes but there were 19% price rises and 18-19% wage rises – inflation got worse
The problem for Truman was that when there were pay rises, prices went up to pay for them and inflation rose too
Unions were vital to Democratic Party finances – Truman knew it
Public hostility to union demands and within the Party
Political problem for Truman
April 1946 400,000 coal miners went on strike – looked like spreading
Rail strike next – such strikes would cause severe damage to US industry
To deal with it Truman asked Congress for emergency powers to use troops and even to draft strikers into the army
Congress of course refused – Truman’s overreaction would make matters worse

The Taft-Hartley Act

Its terms were: ‘unfair’ labour practices were listed; closed shop outlawed; union officers required to sign non-communist oaths
Bosses could sue unions under certain conditions
President could demand 80 day ‘cooling off’ period before strike began

Results

Unions furious – wanted Act repealed
Also wanted federal guarantees for the closed shop and free collective bargaining
Truman vetoed the Act
Congress overrode the veto
Truman believed the Act to be vindictive but under the American Constitution Congress passes the laws even if the government doesn’t want them

Further Developments

April 1952 steel workers wanted pay rise because of increased production for the Korean War
Truman not wishing to appear weak and concerned about a strike in wartime, took control of steels works under Executive Order
Steel companies didn’t want a strike but didn’t want government control either
They took it to the Supreme Court who agreed with the mill owners
Truman gave back the mills and a 7 week strike followed
Result – shortages and thus higher prices

Why Truman won the 1948 presidential election

Truman had many problems with the Eightieth Congress (Republican Controlled): abour issues; the economy; the race issue; social reform
Democrats split over race and wasn’t keen to nominate Truman the ‘accidental President’
Everyone expected the Republicans to win the election
Truman won with 49.5% of the vote
Democratic Party badly divided at the time

The other Democrat candidates

Henry Wallace

From Iowa
Ran as a progressive candidate
New Dealer disappointed by lack of social reform from Truman
Well respected with wide political experience as Secretary for Agriculture under FDR
Was Vice-President before Truman (1940-44)
It was feared he would take enough liberal votes from Truman for the Republicans to win
Won only 2.5% of the vote

Thurmond

Governor of South Carolina led Southern Democrats
Disagreed with Truman’s positive civil rights stand in the election
Polled less than 2.5% of vote – these were concentrated in the South
Won 4 states and tied with Truman in Tennessee
States’ rights candidate

Why Truman won

Organised labour and ‘blue collar’ working class Americans supported him because they didn’t want the Republicans to win
Unions had been a strong foundation of Democratic support for over 20 years
Black support was strong because of Truman’s stand on civil rights
The votes of Northern blacks more than made up for the losses to Thurmond
On the whole the South remained solidly Democrat
Republicans made poor showing
Their candidate Thomas E. Dewey was a moderate but dull candidate
Like the Democrats they were divided
Many would have preferred Senator Robert Taft of Ohio but he was seen as too conservative
Taft was an isolationist in foreign policy ie. not popular during the Cold War
Divisions over how far to reverse the New Deal
Offered little to the electorate and had no real strategy
Truman travelled 22,000 miles to promote his policies
His message was largely designed by Clark Clifford, his special advisor

Clifford

Clifford got Truman to appeal to groups who might support the Democrats
Blacks and Jews were singled out as large minorities who could tip the scales in the election
Civil rights stance and recognition of new state of Israel was definitely from Clifford’s influence though Truman was taking a stance he believed to be right

Truman’s platform

Said he was on the side of the people against vested interests eg corporations
Being a Missouri farm boy he found the role easy
Wanted action on housing, health care, education and minimum wage
Accused the Republican Congress of blocking progress
Dubbed them the ‘do nothing Congress’
This was successful – the Republican manifesto contained many measures Truman wanted but which Congress blocked
July 1948 he challenged them to a special session
He said if they were serious about social reform they’d get a chance to pass the measures
The bluff worked – Republican promises of social reform seemed hollow
The democrats won against all predictions
Also regained Congress 54-42 and 263-171

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