SCSC 2014
Brain Trust of FDR
Security Council
Simulation at Churchill
SCSC 2014
BRAIN TRUST OF FRANKLIN D. ROOSEVELT
Brain Trust of FDR | SCSC 2014
Letter from the Chair:
The White House
Washington
March 5, 1933
Gentlemen:
You are receiving this letter because you are the brightest scientific and intellectual minds this
country has to offer. It is undeniable that the United States is currently facing the greatest
economic collapse since our nation’s founding. In response, as I stated in my inaugural address
last night, this nation asks for action, and that this action come now. Our greatest primary task
is to put people to work. I am prepared, via my constitutional duty, to recommend and support
the measures that a suffering state in the midst of a stricken world may require. These
measures are what we set out today to accomplish. This committee will not be remembered as
composed of members who stood by idly as the country deteriorated beyond irrecoverable
means. Rather, your swift action and bold proposals must what brings this country out of the
devastation she has seen throughout the past four years. There are several issues that must be
addressed if you are to succeed in bringing the country out of economic ruin. First and foremost
is the unemployment problem. The current national unemployment rate stands at nearly 25%,
with over 13 million people out of work. This rate has reached even greater heights in cities like
Chicago, where the unemployment rate is 40%, and Detroit, where it recently climbed to 50%.
To compound this, businesses’ inability or unwillingness to hire employees, the number of
banks in operation has dropped from 25,568 in 1929 to under 15,000, a 42% decrease. The
staggering number of bank closures has resulted in the loss of nearly 13 billion dollars in both
personal and corporate savings since the crash.1 The industrial sector of the economy has seen
similar declines. By the end of this past year, both industrial production and national income
have dropped to half of what it was before the Depression occurred. A selective breakdown by
industry is given in Figure i.
1
Figure i. Real Average Weekly or Daily Earnings for Selected Occupations, 1920 to 1930
Brain Trust of FDR | SCSC 2014
The most notable points from this data are the drastic decreases in manufacturing and
agricultural income. The mass surplus of agricultural goods and the lack of marketplace demand
have driven costs to the point where farmers have begun abandoning their homesteads, which
has resulted in a mass influx into larger cities. Similarly, like manufacturing, international
demand has greatly receded, as high tariffs, import quotas, and prohibitions were put into
effect during the earlier portion of this decade to promote economic self-sufficiency in the
United States. In turn, this caused international trade to drop by 66% by the end of 1932.2
2
Figure ii. Farm Population and Unemployment, 1920 to 1930
Historical Context
The Roaring 20’s
The Roaring 20s was the era of bootlegging, cubism, and Gatsby. For those in the middle and
top of society in the U.S. and Western Europe, the decade leading up to the economic crash of
1929 was one of decadence and high living. One of the most profound eras in the history of the
United States, the 1920’s were defined by a variety of cultural and social phenomena.
Brain Trust of FDR | SCSC 2014
This is just a brief overview of the major issues facing our proud and illustrious nation. The
dynamic of the country is constantly changing amidst the struggle. Therefore, it is important for
you to keep both short term and long-term solutions in mind when reacting to the
aforementioned problems in the days and years ahead. I trust that you will be knowledgeable
with regard to your respective fields. This includes the basic economic concepts behind the
current situation, but I should make it clear that debating the minute details is not what will
bring this nation into prosperity. Only through swift and resolute action can our goal be
accomplished. It is your progressive thinking in which this country’s future lies. You bear with
you the hope, the confidence, the gratitude, and the prayers of your family, your fellowcitizens, and your President.
Sincerely,
3
Feminism
Two constitutional amendments shaped the culture of the 1920s in the United States. First, in
1920, the 19th amendment gave women the right to vote, a landmark achievement for the
developing feminist movement. In addition to the vote, women saw much more opportunity to
work alongside men in factories and offices. Women began enrolling in certain institutions of
higher learning as well. The 1920s also saw some degree of sexual liberation. The booming
popularity of dance clubs accompanied sexually suggestive dances such as the Charleston
and Swing.3
Technology
Technology also saw a boom during the Roaring 20s. Following World War I, American factories
returned to full capacity, with new techniques such as the assembly line to improve efficiency.
The Ford Motor Company’s Model T (first assembled a decade earlier, but not affordable or
accessible during the war) changed the accessibility of the common citizen to the private
vehicle. It was during the 20’s that vehicle ownership went from an unattainable luxury to a
reality for middle class Americans. Radios increased in popularity during the Roaring 20’s as
well. Radio made cultural interchange across the country much more feasible. As a result, rural
residents could keep up with the musical trends of the city, news became nationalized, and
advertising was revolutionized. Even at the end of the decade, radios were not yet
commonplace within the household, so spaces that featured radios became community
gathering points.
Brain Trust of FDR | SCSC 2014
Prohibition
The 18th amendment, ratified in 1921, began prohibition. Perhaps the defining characteristic of
the decade in today’s popular culture was the total ban on the production and consumption of
alcohol. Brought about by Puritan temperance movements and women’s advocate groups,
prohibition has had a profound impact on American culture and law enforcement.
Prohibitionists were largely a rural sect, while those who still oppose the movement are
concentrated in the cities. In big urban areas, such as New York and Chicago, “Speakeasies”
boomed in the late 1920’s. These illegal clubs served liquor, and had a profound impact on
those trying to avoid the wrath of prohibition. Organized crime gangs ran the speakeasies,
smuggling or “bootlegging” the alcohol from hidden distilleries in rural areas or from other
countries. They developed sophisticated networks of transporting the alcohol around the
country, and a cozy relationship with many law enforcement officials charged with stopping
them.
Additionally, the gangs founded around bootlegging often expanded into other realms of
organized crime. Gangsters like Al Capone have become notorious nationwide for their
connections to bank robberies, racketeering, and murders.4
4
Figure iii. The radio
became widespread and
immensely popular in
the 1920s; this changed
the way that politicians
communicated to the
public and helped fuel a
growing culture of
consumerism and
materialism.
By the end of the 1920’s,
“talkies,” movies with
dialogue and prerecorded music, became
common throughout the
country. Thanks to these
new technological
developments, movies
completed their ascension to the primary form of entertainment for Americans. While
Hollywood rose from a desert outside of Los Angeles, Vaudeville and other travelling live acts
faded in popularity. Additionally, shows featuring African American performers emerged as part
of the Harlem Renaissance in New York in the 1920’s. The Apollo theatre and the Cotton Club
remain emblematic of the locations where fast paced, proto-jazz music and dance emerged.
Brain Trust of FDR | SCSC 2014
American Politics
Warren G. Harding won election in 1920 while campaigning to “return normalcy to the
country” following the devastation of World War I. He advocated isolationism as a reaction to
the U.S. being sucked into the recent European, and eventually global, conflict. Calvin Coolidge
became President following the death of Harding in 1923. A year later, Coolidge won reelection in the first radio-centric campaign in United States history. His speeches became the
first political dialogues to be regularly broadcast around the country via radio. Herbert Hoover
took office in March 1929, only months before the devastating depression that would come to
symbolize his tenure in office.
5
Figure iv: Dow Jones Industrial Average from 1922- 1932.
The Crash
The Roaring Twenties came to a harsh end when the American stock market crashed on
October 29, 1929. Much of the opulence enjoyed in the 1920s had come as a result of rampant
stock and bond speculation. As described by Nick Carraway in F. Scott Fitzgerald’s The Great
Gatsby, “Everybody I knew was in the bond business, so I supposed it could support one more
single man.” Many Americans borrowed money in order to buy stocks, which at the time,
seemed to be rising indefinitely. Other factors, including bad management of wheat crops and
swings in gold prices were also to blame.
Leading up to the Crash
In hindsight, the 1920’s represent an age of unprecedented wealth. America experienced
intense deregulation that moved away from the regulatory economic reforms of the previous
Progressive era. Though this spurred industrial growth and bolstered wealth while growing the
economy, it simultaneously increased instability. The general American public also bought into
Brain Trust of FDR | SCSC 2014
Outside the United States
The rise of fascism and the Third Reich began in the 1920s. Benito Mussolini took office in Italy
in 1922 and became an authoritarian dictator shortly thereafter. Germany experienced
hyperinflation starting in 1923 and the Weimar Republic crumbled. Socialists cemented their
power in the Soviet Union in 1922, following the bloody Russian Revolution of 1917.
Additionally, in the first three years of the 1920s, Ireland fought for its independence against
England. In 1922 it became its own country, only to lapse into civil war a year later.
6
Brain Trust of FDR | SCSC 2014
the concept of Mass Culture. American insecurities in the 1920s led the nation to develop a
highly consumerist culture. This was also a result of heightened purchasing power, economic
growth, a popular mass media, and a nation with a new predilection for leisure and
entertainment. There existed a plethora of new products and industrial innovations introduced
in this period, and everything from cars to ovens became available. American consumers felt
the need to keep up with emerging trends, thus the concepts of the installment plan and
purchasing on margin came to be. This established a “buy now, pay later” mentality within the
minds of the American people. The emergence of new, efficient forms of mass media, including
the radio and film, united Americans in a common mass culture that only added to
consumerism.5
The years 1928 and 1929 introduced a new wave of speculation to the people of the United
States. America’s internal economic deregulation, extensive involvement in the global
economy, and growth of consumerism contributed to the ultimate economic collapse in late
1929. Economic deregulation allowed for oligopolies, corruption, and corporate bureaucracy,
all of which were particularly intense in the depression due to accelerated corporate decline.
Massive corporations headed by a single CEO replaced a multitude of small businesses, moved
that ended up warping the economy in the long run. Though these massive entities gave the
impression of economic growth, the misattribution of wealth increased just as quickly. With
these events occurring gradually as the 1920’s came to a close, the bubble surrounding
American economics continued to grow. However, many Americans believed that this rate of
growth was sustainable, and would continue to show the same levels of productivity for the
foreseeable future. People bought and speculated stocks, and prices continued to grow at an
unprecedented pace. Investors moved money around in a particularly nonchalant fashion,
emblazoned by anecdotal evidence and deregulation. Investors, banks, and corporations were
caught in a speculative frenzy. A particularly damaging practice of purchasing stocks on
“margin” developed during this time. This allowed average American citizens, from factory
workers to secretaries, to purchase shares of stock at a significantly lower percentage of the
purchasing price through a broker. The broker, in turn, would then sell the stock at what most
people believed to be a guaranteed, higher price. Workers, companies, and families began
investing their life savings in stocks that they could not originally afford. For a while, the payout
was undeniable. People experienced “paper profits,” through which many had gained in the
form of stock, but not in actual cash. Pure demand for securities increased dishonesty, and
people invested money that simply did not exist. In September 1929, the markets began to
show their first signs of weakness. Some of these markets were able to get out in time, but this
ended up causing avalanche of selling. By mid-November, prices of securities had cut in half.
Brokers who managed stocks on “margin” sold shares to protect themselves, while the original
speculators lost their entire investment. Investors lost a total of $830 billion. Additionally,
commercial banks that had also invested in stocks failed overnight while the middle class, by
and large, lost their life savings.6 After the Crash, investors sought to take their cash and run.
This not only further depreciated the markets, but also created an intense credit squeeze. The
national lack of credit had an ubiquitous effect on the American economy and morale, causing
the nation to change its economic outlook almost instantly from optimism to fear. At the same
time, banks had also invested in farm mortgages and American manufacturing, both of which
declined rapidly. Agriculture had been declining for years, and farmers no longer had the
7
purchasing power nor the credit to remain stable and keep up with markets. Factories suffered
from overproduction due to the practices of installment buying, and they were suddenly left
with immense inventory that the American public could not afford.
Figure v. Image of a
Bank Run after the stock
market collapse
Life after the Crash
With the excitement of the 1920s gone, and the horror of the stock market crash, the United
States entered an era of low morale, and looked to President Herbert Hoover for guidance.
However much to the dismay of the nation, Hoover’s various attempts to stimulate the
economy had little to no effect. By 1932, unemployment had hit a record low, the GDP of the
United States dropped drastically, and hundreds of thousands of people were soon stuck
without places to live. All over the United States, small communities of recently homeless
people were formed. These settlements were founded in numerous large cities, and were
referred to as “Hoovervilles” due to the blame that many Americans placed on President
Hoover.7 Initially hoping that the crisis was only a temporary setback for the nation, Hoover
Brain Trust of FDR | SCSC 2014
At this time, workers had
become more
dependent than ever on
their employers. While
wages had not risen
proportionally,
corporations had to
develop other ways to
keep their workers in
check. In an effort to
prevent the advent of
unions, corporations
offered their employees’
pension plans and
opportunities to buy
stock. Many citizens banked on these benefits for long-term financial stability and retirement
plans, but these benefits were invested and lost in the stock markets just the same. This only
further compounded the effects of the initial stock market instabilities, as the average
American worker also lost his savings and jobs. All in all, lower production led to less
employment, and in turn, less spending. Without that spending, there was not enough money
in circulation for the American people to prosper, and people saved less. When workers lost
their jobs and purchasing power as a result of a lack of savings, there was less market demand.
This resulted in lower prices, and ultimately, lower production. This became America’s selfdepreciating cycle, which resulted in a depression that the nation could not spend its way out
of.
8
Brain Trust of FDR | SCSC 2014
believed that boosting the confidence of American citizens and pretending that little had
changed was the first step to overcoming such a catastrophe. Hoover was under the notion that
businesses should continue paying the same wages to their employees. That way, these
employees could maintain their levels of consumption, thus keeping the market for goods and
services afloat. Unfortunately, businesses could not afford to continue paying their previous
wages and employments levels simultaneously, and they were forced to lay off workers and/or
cut back wages. While Hoover hoped that businesses could merely cut back on workers’ hours
as opposed to laying off employees, he soon realized that this was not a viable option, and that
these bouts of unemployment were inevitable.8 Hoover concluded that the situation was, in
fact, dire, and that his laissez-faire actions would not suffice to restart the economy. The
President thus began implementing new programs and various forms of legislation to try and
help the nation recover. These, however, simply came too late; they did not aid the United
States nearly as much as Hoover had hoped. Thus, the early 1930s have become a time of debt
and suffering for many Americans, with only a few small glimmers of hope. With the situation
worsening by the day, Hoover understood that as President, it was time to take action. One of
President Hoover’s first attempts to stimulate the economy was by implementing various public
works programs. Hoping that this would reduce the unemployment issue, Hoover siphoned
hundreds of millions of dollars into such programs. Nevertheless, this idea did little to boost
the economy. While it did provide employment opportunities to many who had lost their jobs
during the Depression, the demand for new work was too high for such a small program, and
the United States economy continued to plummet.9 In another attempt to create more jobs,
Hoover had nearly 500,000 Mexican migrant workers deported in the hope that this would
offer more jobless Americans the opportunity to seek employment. Yet, once again, the
situation was too dire for the action to have any legitimate impact on American citizens.10
While the American public had many of its own ideas for how to stimulate the economy,
Hoover did not concede. One such idea was to inflate currency by printing more paper money.
Others suggested abandoning the gold standard, but Hoover refused to acquiesce.
Furthermore, as thousands of people began losing their jobs, many looked to the government
for support in the form of welfare and other methods of relief. However, Hoover deferred this
task to local governments and programs that were not directly controlled by the government,
such as the Salvation Army. Hoover did not consider the fact that the problem was too big for
these smaller governments and corporations to handle, and soon many Americans were not
only unemployed, but also unable to receive their rights to unemployment benefits. A myriad of
agricultural issues existed throughout the United States during Hoover’s term as President.
During the entire decade, farmers in the Midwest struggled to deal with low prices on their
products. Because there existed such a booming economy and high levels of production,
farmers were forced to endure low prices on their crops. Nevertheless, farmers persevered
throughout the decade, until the circumstances surrounding the Great Depression began to
take too great of a toll on America’s backbone. When the depression hit and the stock market
collapsed, the agricultural sector was just as affected as those in cities and businesses across
the United States. The prices for products and crops plummeted further, and the lack of
purchasing power haunted farmers throughout the Midwest. Because of a lack of sales, farmers
began to build up surpluses of materials and finished goods that could not be sold. Though the
farmers requested that the government help aid them by purchasing these grain and wheat
9
surpluses, the government refused. In turn, some farmers turned to burning their own crop
because of its lack of value. President Hoover implemented a new piece of legislation, the
Emergency Relief and Construction Act, which most significantly created the Reconstruction
Finance Corporation. This corporation was instituted to provide loans to large businesses in the
hopes of getting them back on their feet. Hoover hoped that, by essentially bailing out many
large companies, these companies could rehire Americans and thus enable these workers to
resume their old spending habits and keep the economy afloat. While Hoover’s intentions had
merit, businesses were looking to downsize at the time instead of rehiring workers who they
could not afford to pay. Hence, another one of Hoover’s ideas to stimulate the economy fell
flat, and the economic situation saw no improvement.11 When Hoover’s attempts did little to fix
the economy, Congress decided to take matters into its own hands and passed the Revenue Act
of 1932. Signed and approved by the President, this piece of legislation increased taxes
significantly, and did so at a rate higher than the nation had ever seen before. Millionaires who
were once taxed at a rate of 25% now had to pay 63% of their total income in taxes, and
anyone making over six figures was now taxed at a rate of 56%.12 In addition to these newly
increased taxes, Hoover raised the estate tax, the corporate tax, and even instituted a new
check tax. These new taxes were immediately preceded by the Smoot-Hawley Tariff, which
raised the prices of various foreign imports in an attempt to keep American industries thriving.
However, this tariff was not only unsuccessful, but it exacerbated the depression. Seeing
Hoover’s failure with the Smoot-Hawley Act did not lead to a morale boost among US citizens,
and they continued his ability to help the nation recover from the Great Depression.
Previous Economic Crises
The current economic downturn that the United States is facing is the most severe that the
country has dealt with in its history. To understand the current situation and the possible
solutions that can be used to resolve it, it is important to look at the previous economic
“panics” and downturns that have fallen upon the country in the past.
Panic of 1797
The first major economic crisis to occur within the United States as a nation was the Panic of
1797. Prior to the panic, a large amount of land speculation was occurring as the nation
expanded westward, but the bubble finally burst in 1797. The panic, however, was much more
severe due to the fact that it coincided with an incredible amount of deflation on the European
continent.14 As will be seen with other economic downturns in the 19th century, the American
government took minimal actions to address the state of the nation. In 1800, however,
Congress passed the Bankruptcy Act that served as the first federal legislation governing
Brain Trust of FDR | SCSC 2014
By the time election season came around in 1932, it was clear that Hoover would not serve
another term in office. While Hoover’s intentions were good, citizens understood that he could
not lead the country during this time of economic crisis. Thus Franklin Delano Roosevelt won
the 1932 presidential election with an overwhelming majority, leaving President Hoover to
finish his term and pass along the burden that was the Great Depression. President Roosevelt
was recently inaugurated, and gives Americans a strong hope for the future of the
United States economy.13
10
bankruptcy procedures. The act allowed a district court judge to appoint a commission to
decide the case of a failing institution at the request of a petition signed by two individuals.15
Panic of 1907
The Panic of 1907 demonstrated the sheer power that the financiers of the American
expansionist boom of the late 1800s could have, along with how crippling a run on banks could
be. Two high profile brokerage firms in our great country went bankrupt by November 1907,
largely due to the fact that they had engaged in costly speculative practices. As a result, along
with the San Francisco earthquake that caused a liquidity crunch from the drain of massive
stockpiles of gold in 1907, a run on the banks occurred and recession struck. Similar to many of
the other previous economic downturns, the American government stood on the sidelines and
allowed for the economic system to keep diminishing in strength. Restructuring the nation’s
banking system and injecting confidence back into America’s financial institutions ended up
being a task for the private sector. John Piermont Morgan, founder of the brokerage firm J.P.
Morgan, stepped in to personally oversee the recovery operation. The American government
had allocated $35 million to be used for the restricting of the system, though it did not know
the proper way to allocate it. Morgan decided to meet with the leaders of the major banks of
the United States. At that meeting, the representatives discussed what financial institutions
needed to be saved for the solvency of the American economy, and which could be allowed to
fail. After an intense few weeks of negotiations, Morgan was able to properly allocate the
American government’s money and bring about the end to the panic. Perhaps the most
influential effect of the crisis was the foundation of the Federal Reserve System in 1912.18
Why This Time Is Different
As we have seen in the aforementioned previous financial downturns, there were only one or
two factors that led to the financial crash. This time, however, it appears that a large number of
issues combined to cause the current situation. Not only have there been bank runs this time
around, as seen in the Panic of 1907, but the country has also felt the burden of an immense
Brain Trust of FDR | SCSC 2014
Panic of 1837
The next major financial panic occurred in 1837. Evidence heavily suggests that there were two
main reasons why the American economy crashed at this time. The first is an executive order
issued by President Andrew Jackson in 1836 known as “Specie Circular”, which stated that the
purchase of public lands could only be carried out through specie, or in actual gold payments.
The second piece that led to the panic was the Deposit Act of 1836, also under Jackson’s
presidency, that aided in dwindling the federal surplus by transferring the money of the U.S.
government into various state banks. These two measures heavily reduced American specie in
banks from $7.2 million on September 1, 1836 to a mere $1.5 million only eight months later.
As the global economy began to falter, distrust of American bank notes began to increase
exponentially.16 The panic was also caused by other measures taken under both the Jackson
and Van Buren administrations, including extremely speculative lending practices and a
collapsing land bubble in the West. In response to the crisis, the government took very few
actions to limit the damage done, leading to a seven-year recession that received only a slight
break in 1838.17
11
liquidity problem. Because J.P. Morgan died in 1913, there is no financier with enough cash
reserves to singlehandedly save the nation from this crisis. The Federal Reserve has also been
afraid to take action up to this point. Another fact that had led to the current situation is the
vast and unprecedented growth of the American stock market. With the collapse of the stock
market on Black Tuesday nearly four years ago, the American financial system has experienced
economic destruction that had not been seen before. Speculation, as experienced in many
other financial panics, occurred for the first time in shares of companies rather than property.
The reason Americans are struggling like never before is due to the growing complexity of the
stock market, paired with a liquidity problem. These alone could cause a severe economic
recession, but the increase in speculation and bank runs have only exacerbated the situation.
Never before has our nation seen all of these factors occur together at once.
Britain
When the Great Depression broke out in America, Great Britain was still recovering from the
aftereffects of World War I. Economic output actually fell between 1918 and 1921 by roughly
25%. As a result, the immediate impact from 1929 to 1930 was relatively mild compared to the
rest of the world.22 However, the economic downturn exacerbated the already delicate
situation in Great Britain. Combined with the global circumstances cascading down the world
trade and supply chains, Britain faces as tough a road as any nation in the present day.
Brain Trust of FDR | SCSC 2014
International Response/Circumstances
Unfortunately, the Great Depression is not only confined to the United States, and has
exploded into a global phenomenon that is affecting every country across the globe. As the
crisis began in 1929, and then deepened in the following years, the domino effect of trade and
tariffs continued to escalate with every nation seeking to protect itself at the expense of others.
This led to international trade falling by 30% and global unemployment skyrocketing to 30
million people by 1932.19 In response to the growing crisis, changing political dynamics has led
to the rise of more authoritarian modes of government. Military dictatorship, fascism, and
certain strands of communism are growing more popular by the month. Resistance to these
governments can be found in the industrialized and relatively liberal European countries. Many
of those in opposition have chosen to pursue a mode of welfare capitalism that produces a
relatively equitable distribution of resources backed by the government.20 On a socioeconomic
level, the effect of the Great Depression on non-U.S. nations is similar to what is happening in
America. Massive unemployment, widespread poverty, declines in productivity, and a
significant destabilization of national currencies have taken place all over the world. The
situation for the citizens of all nations is grim at this time, and while government intervention
seems to be more forthcoming than in America, the situation still is bleak.21
12
France
Like its effect on the British, World War I also devastated the French economy. Unlike Britain
however, the French possessed a much more independent and self-sufficient economic
structure. The French economy has historically been built on the back of small and medium
sized business rather than the conglomerates that have dominated so many other European
nations. Combined with a positive balance of payments, this suggested potential for recovery
throughout the 20’s, even without the much-needed German reparations.27 Unemployment in
France was significantly lower than the rest of the world’s rates simply due to the sheer number
of deaths during World War I. This had the combined effect of both lowering the directly
available manpower and significantly reducing the birth rate. The French also received massive
influxes of gold during the 1920’s. However, unlike what was standard practice, they did not
use these supplies to affect the money supply, instead keeping it relatively contracted
compared to the global markets.28 The combination of domestic industry, artificially enforced
Brain Trust of FDR | SCSC 2014
World War I was financed in Britain via the sale and
wielding of foreign assets. The war was not kind to this
reserve and the British became far more reliant on exports
than they otherwise would have liked. As the 1920’s wore
on, the British were able to slowly increase industrial
productivity to 80-100% of prewar levels. Nonetheless, this
meant that recovering back to their position as the
dominant overseas trade behemoth of the late 19th
century was nothing but a pipe dream.23 In turn, all of this
meant that the British lacked the bulwark against an
international downturn it might have possessed during the
prewar era. Domestic politics further compounded this
situation when parliament decided to return the pound to
the gold standard. This immediately raised the price of
vital exports and grinded the burgeoning recovery to a
screeching halt.24 When the stock market crashed in New
York in October of 1929, the ripple effect on global trade
Figure vi. Current British Prime
bore immediate consequences for British industry.
Minister, Ramsay MacDonald
International demand for British exports dried up and
nation states began to raise tariffs and trade barriers in desperation. The British attempted a
two-pronged strategy of lower tariffs within the empire combined with protectionism directed
against outside nations.25 Nonetheless, these moves had little hope of alleviating the inevitable
waves of factory firings and rising unemployment. By the end of 1930, unemployment had
skyrocketed from 1 million to 2.5 million citizens. The value of British exports also fell by more
than 50%.26 Domestic political chaos paralyzed any kind of national response for months, and
only when a new conservative led parliament emerged, did the new “national government”
begin taking action. On September 21, 1931, the government took the pound off the gold
standard. A universal tariff of 10% on all non-empire imports has also been imposed. The
effectiveness of these policies and moves in such a tumultuous time remains to be seen.
13
exchange rates, gold, and a low base workforce means that as the 30’s develop the French
economy has yet to experience the drastic downturn seen in its British and American
counterparts. Nonetheless, the grim specter of a contracting world economy looms over the
French and stirrings of political dissent grow louder by the day.
Germany
Forced to bear financial responsibility for World War I, the Weimar Republic of Germany faced
crisis from its very first years in existence. The devastation wrought on industry and manpower
by the war, combined with crushing reparations, meant that Germany through the early 1920s
was a nation in peril. Things came to a head in 1924 when the Dawes Plan was enacted by the
United States in an attempt to alleviate and solve the reparation problem. Germany faced many
difficulties in paying their reparations at the end of the war, which sparked a French and
Belgian occupation of the Ruhr River valley. This triggered and compounded the economic woes
of the Weimar Republic and hyperinflation swiftly set in.30 The Dawes Plan was an attempt to
put an end to tensions in Western Europe and maximize the German ability to pay its debts.
The crux of the plan relied on a consortium of private American banks’ lending vast amounts of
capital to the Republic.31 Further difficulties in the German economy led to the adoption of a
second plan backed by private American funds in 1929, the Young Plan. However, between
planning and implementation, the stock market crash occurred and the need for immediate
credit caused the key loans to Germany to vanish.32 As the dawn of 1933 breaks, like many of
its European counterparts, Germany sees itself in a domestic political storm. Factions on all
sides are at odds with one another, and the radical Nazi party seems to have a tenuous grip on
power at best.33
Asia
Japan throughout the 1920’s suffered a number of economic contractions due to a variety of
factors, including the Great Kanto earthquake. The immediate years after the crash in 1929
yielded negative growth rates nearing 10%. Nonetheless, Finance Minister Korekiyo Takahashi
has acted decisively since 1931 by implementing massive fiscal stimuli, leaving the gold
standard, and debt monetization of the Bank of Japan. All of these actions have had a profound
Brain Trust of FDR | SCSC 2014
Soviet Union
The Soviet Union has seen the opposite effect of the stock market crash and ensuing crisis. As
unemployment skyrocketed in America and Europe, professionals in search of work flocked to
the Soviet Union. Joseph Stalin also seized the opportunity towards the end of the 20’s to frame
the crisis in political terms, benefiting his current five-year plan. This combination of
international political chaos, desperately large numbers of qualified international workers, and
an iron grip on the Soviet industry has caused what actually seems to be an upturn in growth
and development. There are already reports that this is coming at an atrocious cost of human
life and dignity, but the fact remains that while the rest of the world is suffering under the curse
of falling global trade, rising unemployment, and economic contraction, the Soviet Union has
actually found a way to prosper and grow.29
14
effect, and it seems as if Japan is on the road to recovery. However, its position in Asia,
combined with the earlier onset begs the question of whether this is an applicable set of
lessons to any other nation currently under crisis.34
Committee Procedure
President Franklin D. Roosevelt’s Brain Trust will operate using a modified version of standard
parliamentary procedure. For a review of basic parliamentary procedure, please refer to your
Delegate Guide.
Debate and Parliamentary Procedure
Debate will be conducted through a perpetual moderated caucus. A speaking time will be set at
the start of session, though it may be modified through motions. Speakers will be called on in
succession by the chair and points or motions can be made at any time in between speakers.
Round robins will be utilized when motioned for and voted on by the committee, or when the
chair sees fit. Voting will occur similarly according to standard procedure. Delegates will not be
permitted to vote with rights, and the chair will often prohibit abstentions. There will be a
predetermined limit on the number of documents on the floor at any given time.
Committee Documents
Committee Directive
A committee directive must be introduced via a motion to introduce, formally debated, and
eventually called to vote via a motion to move into voting procedure. As per usual, multiple
committee directives can be voted on in a single voting procedure. The chair will decide upon
the number of signatories necessary for each directive as the process occurs. A simple majority
and a quorum of 12 delegates are required to pass all policy directives.
Committee Communiqué
A communiqué sent from the committee can be written by anyone in the committee and does
not require signatories. It must be formally introduced and formally brought to a vote, similar
to committee directives. These are typically sent to another committee or to an international
organization.
Private Communiqué
A private communiqué can be sent from any individual to any other individual, international
organization, or other committee. They are not restricted by portfolio powers. To communicate
with other delegates in the room, please use written notes rather than cellular or internetenabled devices.
Brain Trust of FDR | SCSC 2014
Portfolio Directive
A portfolio directive is written by a delegate and sent to crisis to act on without the approval of
the committee. These directives may not address the portfolio powers of non-sponsoring
delegates. For clarification on the portfolio powers of each delegate, please refer to the
character biographies. The crisis team is responsible for receiving and carrying out these
directives, so there is no guarantee on how quickly they can be implemented.
15
Press Release
A press release can be written by any delegate and does not require signatories. Similar to
communiqués and directives, it must be formally introduced and called to a vote. Press releases
can be presented through a news agency of the sponsor’s choice, or simply from the
committee.
Leak
A press leak can be written by any delegate and is typically sent through a news agency of the
delegate’s choosing. It cannot be sent from the committee. While leaks can be submitted
anonymously and are typically unknown to the committee at large, there is always a risk that
the author can be exposed.
Goals of the Brain Trust
The primary goal of this committee is to ensure that the United States of America returns to a
state of economic prosperity and sustainability. The American people have suffered for too long
throughout this Great Depression, and President Roosevelt will be counting on you to craft
comprehensive and thorough legislation that he may be able to pass through Congress within
his first 100 days in office. Moreover, this committee must construct legislation that not only
benefits the entire nation economically, but socially and culturally as well. The United States is
currently suffering more than it has at any other point in our nation’s history. It is essential that
each citizen of this great country recognize the great potential the United States has, and you
are responsible for helping President Roosevelt demonstrate this to our people. It is important
to utilize diplomacy and careful tact to achieve the committee’s goals. While it is the goal of the
committee to get the country back on track, you must ensure that it is done through proper
and honorable measures. You have a chance to go down in history as the men who helped save
the United States of America from total devastation. Tread lightly in this task, and do not
overstep your bounds. Take necessary action, and be prepared for anything and everything.
These are troubling times in America, but you cannot be afraid. Instead, you must rise up
against the storm, and face the challenges in America head on. Only then can the United States
of America become great once again.
Brain Trust of FDR | SCSC 2014
Limits on Power
As Congress makes all laws of the United States, the actions decided upon by the Brain Trust
must then be passed by Congress. It must be remembered, however, that as Congress is
currently controlled by a large number of Democrats, it is likely that all actions will be passed.
Additionally, should President Roosevelt decide that any committee document is vastly against
the best interests of the United States and would exacerbate the economic situation of our
nation, the pertinent document will be thrown out at the chair’s discretion.
16
Character Biographies
Adolf Augustus Berle, Jr.
Date of Birth (Age): January 27, 1895 (38)
Occupation: Columbia Law School Professor, Corporate Lawyer, Writer
Personal History: Adolf Berle entered Harvard at the age of 14 and proceeded to graduate from
Harvard Law School in 1916 at the age of 21. At the time, he was the youngest graduate in the
law school’s history. He joined the military after college and was assigned to the Dominican
Republic as an intelligence officer. As an American delegate to the Paris Peace Conference in
1918, he strongly supported the ideas of national self-determination. In 1927, he became a part
of Columbia Law School’s faculty, specializing in corporate law and governance. With the help
of Gardiner Means, Berle wrote a ground-breaking book called The Modern Corporation and
Private Property, which focused on the role of the corporation in modern society and its
involvement with government entities.
Motives and Beliefs: Berle saw the emerging power of corporations as a strong competitor
against the power of modern government. With such great power, these corporations must
work for the interests of the common good along with the interests of their shareholders. To
make this a reality, Berle suggested more government regulation of corporations instead of
breaking them up into smaller companies. In Berle’s mind, government should utilize the power
of massive corporations instead of destroying them. He is deeply concerned with the wellbeing
of Central and South American countries and is an expert on relations between them and the
United States.
Relevant Connections: Berle has a friendly working relationship with the other Columbia
Professors that are serving on the Brain Trust. Although his pro-business sympathies sometimes
clash with the ideas of Rexford Tugwell and other Democratic elites, he has a large amount of
respect for his colleagues. He also has some old connections with friends from his alma mater,
Harvard University.35
Personal History: Born in Sinclairsville, New York, to two very progressive Democratic parents,
Rexford Tugwell has always known that he wanted to influence policy in the United States.
Tugwell studied economics and finance in the Wharton School at the University of
Pennsylvania. Afterwards, he taught economics at the University of Washington, American
University, and finally Columbia University. Tugwell has been a close friend with President
Franklin Roosevelt since before he was appointed to the Brain Trust. He served on a special
agricultural policy advisory board, where some of the first pieces of the New Deal were
formulated. In 1932, he was appointed to Roosevelt’s Brain Trust as one of the original
members, alongside his fellow Columbia colleagues, Adolf Berle and Raymond Moley.
Brain Trust of FDR | SCSC 2014
Rexford Tugwell
Figure ix. Rexford Tugwell
Date of Birth (Age): July 10, 1891 (41)
Occupation: Economics Professor specializing in Urban Planning and Agriculture
17
Motives and Beliefs: Tugwell has a passion for national planning. He strongly believes that
through government regulations and spending, the New Deal’s effects can be alleviated. He
claims that J. A. Hobson, John Maynard Keynes, Scott Nearing, and John Dewey have heavily
influenced him. Tugwell has been known to strongly advocate for, among other things, a
domestic allotment plan for agricultural goods.
Relevant Connections: Tugwell’s beliefs often clash with the more pro-Business beliefs of Adolf
Berle and Raymond Moley. However, having worked alongside those men as a Columbia
Professor, he has a cordial relationship with them founded upon a deep respect for their work.
Tugwell also has an old connection with the established Democratic Party in the state of New
York and is usually aligned with their views.36
Raymond Moley
Date of Birth (Age): September 27, 1886 (46)
Occupation: Columbia Law School Professor, specialist in criminal justice
Personal History: Raymond Moley began his college studies at Baldwin-Wallace College along
with Oberlin College. He later received his PhD from Columbia University in 1918, at the age of
31. After teaching in various other institutions, including in his home state of Ohio, Moley
became a professor at Barnard College in 1923. Later, he became professor at the Columbia
School of law specializing in criminal justice. Moley is credited with being one of the first
members of then-Governor Franklin D. Roosevelt’s Brain Trust. Because of his
recommendation, other Columbia professors, including Adolf Berle and Rexford Tugwell, were
added to the team of special advisors.
Relevant Connections: Moley deeply believes in the competency of the members of the Brain
Trust, seeing as he had a large role in appointing each and every man. He especially gets along
with the other Columbia professors in the Trust, notably Berle and Rexford, because of their
friendly partnership on the Columbia faculty. However, he does not always see eye to eye with
his colleagues when it comes to policy and politics.37
Brain Trust of FDR | SCSC 2014
Motives and Beliefs: As one of the organizers of the Brain Trust, Moley has high hopes for
Roosevelt’s presidency. However, Moley is known to be friendly towards business interests and
thinks that the government should work with large companies, not against them. Moley has
many reservations when it comes to actively fighting with business and may choose to voice
these concerns. Nevertheless, he believes that Roosevelt is a strong, charismatic man and
wants to help the poor Americans that are plagued by poverty and unemployment.
18
Hugh Samuel Johnson
Date of Birth (Age): August 5, 1881 (51)
Occupation: Army Officer, Businessman, Writer
Personal History: Hugh Johnson grew up in Fort Scot, Kansas, a very small farming town.
At the beginning of the Spanish-American War, he attempted to join Theodore Roosevelt’s
Rough Riders, but was stopped by his father. In 1899, Johnson entered West Point where he
was regarded as a mediocre student. He graduated from West Point as a second lieutenant in
the United State Army. After serving many different posts from the time of his graduation, and
through his demonstration of commendable skill as an officer and organizer, Johnson was
selected to study law at the University of California. In 1915, after receiving his law degree, he
served in the campaign against Pancho Villa in Mexico. Afterwards, he was promoted to
Captain, then Lieutenant Colonel, and then named Deputy Provost Marshal General in 1917. He
then joined the Department of War as a member of the committee on military training and
helped write the policies implementing the Selective Service Act of 1917. Finally, he served on
the War Industries Board under President Woodrow Wilson before resigning from the United
States Army in 1919. Johnson then had a small career with an agricultural firm through which
he supported government relief efforts for farmers. He was a strong advocate for the McNaryHaugen Farm Relief bill that was passed by Congress in 1924, but was immediately vetoed by
President Coolidge. In 1927, Johnson began a long business partnership with Bernard Baruch,
which culminated in many wise investments in various manufacturing companies. Johnson
became extremely wealthy due to his business ventures and his fortune was able to survive the
crash. In 1932, after a meeting with then presidential nominee Franklin Roosevelt, Johnson
was selected to join Roosevelt’s Brain Trust as a speechwriter and political advisor.
Relevant Connections: Johnson has a strong can-do attitude and natural intellect that allowed
him to rise quickly in the military. However, some regard him as hard to work with because of
his overbearing attitude and spurts of alcoholism. He is known to sometimes clash with
intellectuals, especially Rexford Tugwell who directly disagrees with him on agricultural policy.
He is a vehement advocate for relief programs for farmers and for executive control over all
industry. His views on industry are sometimes regarded as too extreme by the more
conservative Moley. His connections with the military, business, and Bernard Baruch give him
crucial influence in many sectors.38
Brain Trust of FDR | SCSC 2014
Motives and Beliefs: Growing up in a rural community, Johnson’s first concern was the
wellbeing of the farming communities in the Midwest. Still angry at the failure of the McNaryHaugen Farm Relief bill, Johnson is set on pitching similar ideas to Roosevelt and the committee
so that they may be implemented. Because of his years on the WIB and as a businessman,
Johnson is also interested in industrial reform. He believes that free markets are outdated and
result in over production because of advanced technologies. In his view, government regulation
must somehow be used to counteract the forces of extreme competition.
19
Frances Perkins
Date of Birth (Age): April 10, 1880 (52)
Occupation: Professor, Worker Advocate, Government
Official, Lobbyist
Personal History: Frances Perkins attended
Mount Holyoke College for her undergraduate
education and proceeded to study further at Columbia
University, receiving her master’s degree in political
science, and the University of Pennsylvania, studying
economics and sociology in the Wharton School. During
her long years in study, she also taught at various
universities and worked at many settlement houses,
including the famous Hull House in Chicago. As the head
of the New York Consumers League, Perkins led the
charge for labor reforms, and demanded better working
hours and higher wages. She witnessed the horrors of the Triangle Shirtwaist fire in New York
City and later noted this as a transformative point in her life. Because of this event, she sought
to become the executive secretary for the Committee on Safety of NYC, and then was
promoted by then-Governor Franklin Roosevelt to Commissioner of the New York State
Department of Labor. There, she distinguished herself as a leader in progressive worker’s
reform and safety.
Motives and Beliefs: Frances Perkins is deeply concerned about the conditions of workers
across the country. She has seen first-hand the awful conditions present in the factories of New
York City. Because of her past work, she also has the experience and attitude necessary to get
things done and make real change. Her first priority is to see some of the reforms she has put in
place in New York expand into nation-wide initiatives, affecting workers from coast to coast.
Basil O’Connor
Date of Birth (Age): January 8, 1892 (41)
Occupation: Lawyer, Businessman
Personal History: Basil O’Connor was born in Taunton, Massachusetts and completed his
undergraduate studies at Dartmouth College. He continued his studies at Harvard Law School
and was admitted to the bar in 1915. After working at two law firms, he began his own in New
York in 1919. While working there, he met Franklin Roosevelt and became the future
President’s top legal advisor. O’Connor also served as the executive manager of many
companies while working in his law firm, most notably in the oil industry. O’Connor also
Brain Trust of FDR | SCSC 2014
Relevant Connections: Perkins shares the opinions of some of the more leftist, liberal members
of the Brain Trust. She was heavily influenced by the writings of Upton Sinclair and Stannard
Baker, just like her colleague Rexford Tugwell. As the only woman in a room full of men, Perkins
is at a disadvantage, and some of the other members might be skeptical of her opinions.39
20
successfully helped Roosevelt start rehabilitation and research programs for polio. Among the
most successful was the Georgia Warm Springs Foundation. As one of Roosevelt’s closest
associates, he serves as a key part of the Brain Trust.
Motives and Beliefs: O’Connor is mostly concerned with the medical well-being of the nation.
Although his educational and professional specialties lie in the business and legal spheres
through his partnerships with Roosevelt, he has developed a real expertise in healthcare policy
and fundraising. He is interested in increasing national health by government and private
means, as is Mr. Roosevelt.
Relevant Connections: O’Connor has a deep and long lasting friendship with Franklin Roosevelt,
and the two men have known each other for over a decade. He also has strong connections
with his Trust members that attended Harvard Law. Surely, O’Connor can see eye-to-eye with
men from his alma mater. However, no college connection is more important than his personal
beliefs.
George Peek
Date of Birth (Age): November 19, 1873 (59)
Occupation: Head of the Agricultural Adjustment Act
Motives and Beliefs: Peek is a strong advocate of price supports in the agricultural industry and
fought vehemently to put them on the table. He also firmly believes that the AAA should be an
independent agency with less governmental oversight. He was strongly opposed to price
quotas, which he believed to be an American form of socialism. Instead he worked to shift the
system to one that heavily favored informal cartels of large produces and large food processing
companies, which together would be able to collude and boost prices.
Relevant Connections: Bernard Baruch, an economic advisor to Roosevelt who knew Peek from
their time together at the War Industries Board, is the one who convinced Roosevelt to put
Peek in charge of the AAA and should thus be considered a friend. Roosevelt also at times
would side with the others over Peek when considering his ideas. The AAA’s general counsel,
Jerome Frank, was also someone who Peek loathed.40
Brain Trust of FDR | SCSC 2014
Personal History: George Peek was born in Polo, Illinois, into a farming family. He joined the
Deere and Webber Company of Minneapolis in 1893, and in 1901 was named Vice President of
the John Deere Plow manufacturing division. He eventually became a strong advocate of the
McNary-Haugen Farm Relief Bill that, if it had passed, would have established the first national
system of price supports in agriculture. When the Republican Party did not support the
legislation in question, Peek made the choice to switch over to the Democratic Party. It is said
that he sought the United States Secretary of Agriculture position, but since that went to Henry
A. Wallace, he instead was placed at the head of the Agricultural Adjustment Act around the
same time that the Brain Trust was formed.
21
Paul M. O’Leary
Date of Birth (Age): November 29, 1901 (31)
Occupation: Chief Economic Aide to the Consumer Advisory Board
Personal History: O’Leary completed his bachelors from the University of Kansas and then
went to Harvard to pursue a Masters in economics in 1924. Following this period, he continued
on to complete a Ph. D from Cornell in that same field. At the University of Kansas, he was
tapped by the Phi Kappa Psi Fraternity and managed to hold on to that affiliation at Cornell. On
a personal level he is described as someone who wanted to teach and work with younger
students. This was displayed with the vigor in which he volunteered to work with the Cornell
track and field team and later on the university’s committee on athletics.
Motives and Beliefs: O’Leary believes very strongly in rationing based upon the actions he
undertook throughout the First World War. This mentality is undoubtedly one which he held
earlier is life as well, and would have applied to the situations the Government was facing
throughout the Great Depression when the Brain Trust was originally formed.
Relevant Connections: n/a
Louis Howe
Date of Birth (Age): January 14, 1871 (62 Years)
Occupation: Secretary to the President
Motives and Beliefs: He very clearly has a strong attachment to the Roosevelt family. This
connection transcends a traditional work relationship. When Roosevelt was diagnosed with
poliomyelitis, Howe stayed next to Roosevelt’s bedside tending to his needs and even changing
his bedpans. Furthermore he actively worked to push Eleanor to do more politically. He was the
one who believed in what she had to offer. Howe very clearly wishes for this presidency to
succeed as is displayed through his unconventionally personally relationship with Roosevelt.
Relevant Connections: There was conflict between Howe and a previous employer of his,
Thomas Mott Osborne, which was created when Howe lost interest in Osborne and began
looking for another patron. Howe also very blatantly opposed the Tammany Hall political
machine in New York, as well as the gubernatorial candidacy of William Randolph Hearst.
Brain Trust of FDR | SCSC 2014
Personal History: Louis Howe was born into a wealthy family out of Indianapolis, Indiana. Sadly,
he faced a number of health issues growing up due to his birth as a small, sickly, and asthmatic
child. After dealing with a number of serious financial losses, his family moved to New York
where Howe became a journalist through a small paper that his father purchased. Around the
same time that he married Grace Hartley, he began freelancing for the New York Herald. For a
while, he worked for Thomas Mott Osborn, but when he was fired in 1909, he moved on to
rising Democratic star Franklin D. Roosevelt. He oversaw Roosevelt’s campaign for a Senate
position, worked with him in the Navy Department, and acted as advisor and campaign
manager during the 1920 vice presidential run. Needless to say, their relationship runs deep.
22
Hearst actually lost his election because of the actions of Howe and animosity persists between
the two.41
Robert F. Wagner
Date of Birth (Age): June 8, 1877 (55)
Occupation: United States Senator from New York
Personal History: Wagner was born in the Province Hesse-Nassau of the German Empire. He
immigrated with his parents to the United States in 1885 and then settled in the Yorkville
neighborhood of New York City. He attended public schools growing up and graduated from the
college of the City of New York. He graduated from New York Law School in 1900 and was
admitted to the bar in that same year. He served on New York’s State Senate. Later, he was
elected to the United States Senate in 1926 and was also re-elected in 1932. He is also a known
Tammany Hall politician.
Motives and Beliefs: Wagner was very heavily involved in labor issues as he fought for the legal
protection and right of workers. As a member of the Tammany Hall political machine, Wagner
actively works to promote the interests of that party.. He is described as a “typical anti-Nazi
German Democrat who has supported all the Administration measures, being usually well in
advance of them” and also as a “veteran Liberal Tammany statesman and author of the United
States labor code” by Isaiah Berlin of the Senate Foreign Relations Committee.
Relevant Connections: Many of the connections he made in school serve him well. He has a
working relationship Franklin Delano Roosevelt from their time together at the New York
State Senate, and has more influence over him than some of the less known names who were
invited to partake in the Brain Trust. He works very well with fellow Tammany Hall politician Al
Smith, who served as his Vice Chairman following the Triangle Shirtwaist Factory fire. When
Governor William Sulzer was impeached, Wagner was a member of the new controlling group.
Naturally, there is some animosity between the two.42
Personal History: Born in Sioux City, Iowa, as the fourth of five children, Harry Lloyd Hopkins
spent his childhood between Nebraska and Chicago. Harry Hopkins attended Grinnell College,
and after his graduation in 1912 he began to work in a social settlement house in a New York
City ghetto. Eventually, he accepted a position working for the New York Association for
Improving the Condition of the Poor. His continued work for public service and social welfare
led to his appointment as executive secretary of the Bureau of Child Welfare. When World War
I broke out, although he initially opposed it, Hopkins became a very enthusiastic supporter. He
moved to New Orleans where he worked for the American Red Cross as director of Civilian
Relief, Gulf Division. In 1922 Hopkins returned to New York City where he continued working
with the AICP. In 1931, New York Governor Franklin D. Roosevelt named Jesse Straus as
Brain Trust of FDR | SCSC 2014
Harry Hopkins
Date of Birth (Age): August 17, 1890 (42)
Occupation: United States Secretary of Commerce
23
president of the Temporary Emergency Relief Administration, who in turn appointed Hopkins as
TERA’s executive director. Hopkins’ efficiency in this role gained Roosevelt’s attention and in
1932 was promoted to president. From this, Hopkins established a strong relationship with FDR.
Motives and Beliefs: His enthusiasm for social concerns continues, and he seeks to dedicate his
life to improving the lives of the urban poor. He believes that most people have the drive to
work; this led him to emphasize job creation over welfare increases. Hopkins feels this
approach will allow people to maintain their dignity and sense of personal pride. Hopkins has
become an invaluable asset for Roosevelt with his penchant for honesty and straight talk; they
share a close relationship.
Relevant Connections: n/a
Louis D. Brandeis
Date of Birth (Age): 1856 (76)
Occupation: Supreme Court Associate Justice
Personal History: Louis D. Brandeis began his life in Louisville, Kentucky. His family was Jewish
and had immigrated to America after 1848 from Europe. In 1875, when he was 18 years old,
Brandeis attended Harvard Law School even though he did not have an undergraduate degree.
In 1879, Brandeis worked with Harvard classmate Samuel D. Warren in writing one of the most
renowned law articles in history, entitled The Right to Privacy. He also had a law practice that
enabled him to work without pay for public causes he believed in. Brandeis opposes
monopolies and large corporations. In addition, Brandeis worked to bring legal protection to
industrial laborers, and in 1908, he introduced the “Brandeis Brief” which considered economic
and social factors beyond legal precedent. In 1913, he was offered a position in Woodrow
Wilson’s Cabinet but denied. In 1916, he was appointed to the Supreme Court.
Relevant Connections: Brandeis has a passionate dislike of big government and centralization.
Harold L. Ickes
Date of Birth (Age): March 15, 1874 (59)
Occupation: United States Secretary of the Interior
Personal History: Ickes was born in Frankstown, Pennsylvania, and after graduating from the
University of Chicago in 1897 he began working as a lawyer. The Pennsylvanian practiced
Brain Trust of FDR | SCSC 2014
Motives and Beliefs: Brandeis is a strong voice against monopolies and has defended civil
liberties during his tenure. He rejected incursions of the state upon a citizen’s liberty. He has
also demonstrated a strong sympathy for women’s rights and trade union movement in
working for anti-trust legislation. He argues that retailers should ensure that the goods sold to
the public were made under conditions that were fair to the workers in terms of wages, hours
of work, and sanitary conditions. His opinions as a Supreme Court justice are considered some
of the greatest defenses of freedom of speech and privacy rights in the history of the court.
24
in Chicago where he also served as a Republican committeeman. During this time, he
campaigned for Teddy Roosevelt’s Progressive Party in 1912. He also campaigned for
progressive Republicans Charles Evans Hughes and Hiram Johnson.
Motives and Beliefs: Ickes is a huge advocate for progressive political views, and often works
without pay for the causes he believes in. He is a strong supporter of the Civil Rights movement
as well. Additionally, his ardor for public works programs make him an invaluable part of
Roosevelt’s administration.
Relevant Connections: Ickes worked for Theodore Roosevelt in the 1912 presidential
election, and eventually became a follower of Franklin D. Roosevelt after being impressed by
his progressive political aptitude. Ickes played a major role in convincing progressive
Republicans to support Roosevelt in his bid for presidency. Earlier this year, Roosevelt
appointed him to the position of Secretary of the Interior.
Felix Frankfurter
Date of Birth (Age): 1882 (41)
Occupation: Supreme Court Associate Justice
Personal History: Frankfurter was born in Austria to a Jewish family. He grew up in poverty in
New York, but eventually attended Harvard Law School. Frankfurter graduated first in his class
in 1906, and initially worked for a Wall Street law firm before being appointed Assistant U.S.
Attorney for the Southern District. During World War I, Frankfurter served as major and judge
advocate, and in 1919 was the Zionist delegate to the Paris Peace Conference. In 1920, he
helped found the American Civil Liberties Union (ACLU). He became close personal friends with
Judge Louis Brandeis.
Relevant Connections: Frankfurter has always been interested in politics. Wilson had
Frankfurter investigate many labor disputes and controversies such as the Sacco and Vanzetti
case in the mid-1920’s. His progressive ideals led to his appointment by Franklin Delano
Roosevelt. Through this, he has become a trusted and loyal advisor to Roosevelt.43
Brain Trust of FDR | SCSC 2014
Motives and Beliefs: Frankfurter is a passionate supporter of students whose talents he
respected, such as Corcoran and Cohen. He believes wholeheartedly in democracy rather than
social privilege, something that is unsurprising given the relative poverty of his childhood. He
feels that a person’s position in the world has to be earned, and that those who become
successful ought to mentor those who have potential. Outgoing and energetic, he enjoys
intellectual debate.
25
Thomas Gardiner Corcoran
Date of Birth (Age): 1900 (32)
Occupation: Lawyer, Lobbyist
Personal History: Born on December 19, 1900 in Pawtucket R.I., Corcoran attended Brown
University, where he graduated as valedictorian. He enrolled at Harvard Law School and earned
repute as one of the most brilliant members of his class. Corcoran also served for one year in
Washington as secretary to Justice Oliver Wendell Holmes of the Supreme Court. He practiced
law on Wall Street for five years, and was appointed by Hoover to the Reconstruction Finance
Corporation.
Motives and Beliefs: Corcoran is very close to Roosevelt, who often follows his advice.
Relevant Connections: Corcoran is a protégé of Felix Frankfurter, and is a part of the group of
young lawyers who hope to help shape Roosevelt’s New Deal. Corcoran is considered a lobbyist
for big interests and a staunch Democratic. Corcoran and Cohen were known as the “Gold Dust
Twins” given the extensiveness of the work they completed together.44
James Warburg
Date of Birth (Age): 1896 (37)
Occupation: Lawyer
Personal History: Warburg was born in Hamburg in 1869, and attended Harvard University.
Before becoming a banker, he served in the Navy Flying Corps during WWI. In 1919, he joined
the First National Bank of Boston, and two years later was appointed Vice President at the
International Acceptance Bank. Later, he became president of the International Manhattan
Company and now serves as Vice Chairman of the Board at Bank of the Manhattan Company.
Benjamin Victor Cohen
Date of Birth (Age): 1894 (38)
Occupation: Lawyer
Personal History: Cohen was born in Muncie, Indiana in 1894. He received a Bachelor of
Philosophy and Doctorate degree from the University of Chicago in 1914 and 1915 respectively.
He also earned a Doctor of Juridical Science from Harvard Law School. He clerked for Judge
Learned Hand and also worked for the American Zionist movement from 1919-1921.
Motives and Beliefs: Cohen became a part of Roosevelt’s Brain Trust when Felix Frankfurter
Brain Trust of FDR | SCSC 2014
Motives and Beliefs: While working at the Bank of the Manhattan Company, Warburg
became Franklin D. Roosevelt’s financial advisor. He staunchly supports Roosevelt, and hopes
to help resolve the economic crisis as productively as possible.
Relevant Connections: n/a
26
brought him in. He firmly supports the Brain Trust, and looks forward to resolving the issues
confronting America today.
Endnotes
1. Eggertsson, Gauti B. “Great Expectations and the End of the Depression,” American Economic
Review 98, No. 4 (Sep 2008): 1476–1516
2. Friedman, Milton and Schwartz, A.J, A monetary history of the United States, 1867-1960,
Princeton U.P, 1963. p 342
3. de Haan, Amy, “Arizona Women Argue for the Vote,” Journal of Arizona History, Winter 2004,
Vol. 45 Issue 4, pp 375–394
4. Okrent, Daniel. Last Call: The Rise and Fall of Prohibition. New York: Scribner. 2010
5. The Formation of Modern American Mass Cutlure. Digital Library. October 2012. Web.
September 2013.
6. The Great Depression in Global Perspective. Digital Library. October 2012. Web. September
2013.
7. Bryant, Joyce. 98.04.04: The Great Depression and New Deal. 98.04.04: The Great Depression
and New Deal. Yale-New Haven Teachers Institute, 1998. Web. 23 Aug. 2013.
8. Hughes, L. Patrick. Herbert Hoover’s Tragic Presidency. Austin Community College, 1999.
Web. 23 Aug. 2013.
9. The Depression Begins: President Hoover Takes Command. Ludwig Von Mises Institute, n.d.
Web. 23 Aug. 2013.
10. Keko, Don. Herbert Hoover and the Great Depression. Examiner.com. n.p., 5 Aug. 2010.
Web. 23 Aug. 2013.
11. Hughes, L. Patrick. Herbert Hoover’s Tragic Presidency.
12. “Revenue Act of 1932” (PL 102-25, 23 July 1932), 209 United States Statues at Large, p. 169.
America’s Best History - U.S. History Timeline 1930-1939.
13. America’s Best History, n.d. Web. 23 Aug. 2013.
14. 10 Worst Financial Panics in US History. 2012. Investor.com Web. September 2013.
15. Federal Court Records: Bankruptcy Records. Pacer.gov. January 2010. Web. September
2013.
16. Rousseau, Peter L. “Jacksonian Monetary Policy, Specie Flows, And The Panic Of 1837,”
Journal of Economic History, 2002, v62 (2 Jun), p. 457-488.
17. Balleisen, Edward J. Navigating Failure: Bankruptcy and Commercial Society in Antebellum
America. University of North Carolina Press. 2001. p. 1–49.
18. Tucker, Abigail. The Financial Panic of 1907: Running from History. 10 October 2008. Web.
September 2013. The Great Depression in Global Perspective. Digital Library. October 2012.
Web. September 2013.
19. Ibid.
20. Ibid.
21. Cole, Harold L. and Lee E. Ohanian, “The Great U.K. Depression: a Puzzle and a Possible
Resolution” in Kehoe, Prescott. 2007.
Brain Trust of FDR | SCSC 2014
Relevant Connections: n/a
27
This background guide was used at ILMUNC XXX at the University of Pennsylvania. It has
modified from its original appearance.
Brain Trust of FDR | SCSC 2014
22. Constantine, Stephen. Unemployment in Britain Between the Wars, Longman. 1980.
23. Articles: Free the Planet: Gold Standard Act 1925. Free the Planet. 10 Jun. 2012. Web.
September 2013.
24. Douglas A. Irwin. Peddling Protectionism: Smoot-Hawley and the Great Depression.
Princeton U.P. 2011. p. 178
25. Taylor, A.J.P, English History, Oxford U.P. 1965 p.288
26. Eichengreen, Barry, “The Origins and Nature of the Great Slump Revisited”, The Economic
History Review (2002) 45, 2. p 213-239
27. Smiley, Gene. Great Depression. 12 April 2013. Web. Sept 2013.
28. Noakes, Jeremy. Documents on Nazism, 1919-1945, London: Viking, 1975. p. 53
29. Schwarz, Jordan. Liberal: Adolf A. Berle and the Vision of an American Era. New York: Free
Press. 1987.
30. Marks, Sally, The Illusion of Peace: International Relations in Europe, 1918–1933, New York:
St. Martin’s, 1976, p.96–105.
31. Ibid.
32. Evans, Richard J. The Coming of the Third Reich. New York: The Penguin Press. 2004. p. 446
33. How Japan Recovered From the Great Depression. 26 August 2010. Web. September 2013.
34. The Great Depression in Global Perspective. October 2012. Web. September 2013.
35. Sternsher, Bernard. Rexford Tugwell and the New Deal. Rutgers U.P, 1964. 183-193
36. Shlaes, Amity, The Forgotten Man: A New History of the Great Depression, New York: Harper
Collins, 2007.
37. Ohl, John Kennedy. Hugh S. Johnson and the New Deal. DeKalb, Ill.: Northern Illinois Univ
Press, 2009.
38. Severn, Bill. Frances Perkins: A Member of the Cabinet. New York: Hawthorn Books, Inc.,
1976
39. Fite, Gilbert C. George N. Peek and the Fight for Farm Parity. Paperback ed. Norman, Okla.:
University of Oklahoma Press, 1991
40. Smith, Jean Edward. FDR. New York: Random House, 2007.
41. Ibid.
42. Abraham, Henry J. Justices and Presidents: A Political History of Appointments to the
Supreme Court (3rd ed.). New York: Oxford University Press, 1992.
43. Smith, Jean Edward. FDR.
28
Crisis Committee Rules and Procedures
The same parliamentary procedures used for GA or ECOSOC committees apply to Crisis
Committees. However, Crisis Committees tend to be more informal than GA or ECOSOC
committees, meaning the use of parliamentary procedure is more limited. They are often times
less structured and the flow of the committee is heavily dependent on the discretion of the
chair. The Chair will make his/her procedural preferences clear in the background guide or at
the start of the first committee session. There is often no official setting of the agenda, as
debate tends to flow between topics and is determined by the pertinent crisis at hand.
In general, discussion occurs through moderated caucuses in which the Chair calls upon
delegates to speak. Delegates motion for a moderated caucus with specified length, speaking
time, and topic. Many issues may be discussed concurrently, and crises introduced by the crisis
staff may interrupt discussion. Occasionally, unmoderated caucuses are held, in which formal
debate is suspended and delegates speak at will in groups of their choosing. Often, motions are
simply passed without voting if there are no competing motions.
In crisis committees, action is taken through directives and, unless the chair so desires, there
are generally no working papers or resolutions. Notes are used to communicate between
delegates while the committee proceeds. They may also be sent to delegates on another
committee if it is a JCC. They are often used to work with delegates of similar viewpoints to
coordinate actions. Questions can also be sent to the Chair (or crisis staff) in a note.
CRISIS COMMITTEES
Note that for any caucus, the longer the caucus is, the more disruptive it is considered.
Brain Trust of FDR | SCSC 2014
Motions
Motions in crisis committees are voted upon in order from most disruptive to least disruptive.
The main crisis motions that will come up in debate from most disruptive to least disruptive are
as follows:
Motion to Adjourn
Motion to Suspend Debate
Motion to Suspend the Rules
Enter Voting Procedure
Unmoderated Caucus
Moderated Caucus
Introduction of a Directive
Introduction of an Amendment
29
FLOW OF DEBATE: CRISIS COMMITTEES
A delegate motions for a
moderated caucus with a
specified length on a
specified topic with a
speaking length
Delegates discuss
actions to take
regarding that topic
through speeches and
notes
Amendments may be
proposed and voted
on
Discussion on
directives will proceed
through the current
moderated caucus
Delegates submit
directives to the chair
to take an action and
motion to introduce
their directive
A delegate will motion
to vote on a directive,
which will either be
passed or rejected
A crisis will occur. The
crisis staff will introduce
new information or
developments through
news articles, videos,
intelligence reports, etc.
Discussion will shift
informally or through
a new moderated
caucus to discuss this
development
This background guide was used at ILMUNC XXX, hosted by the University of Pennsylvania. It
has been modified from its original form.
Brain Trust of FDR | SCSC 2014
Moderated caucus
takes place where
delegates outline their
positions
30