Wilsonian Progressivism at Home & Abroad 1912 - 1916 The Emergence of Wilson Entered politics in 1910 NJ bosses needed a respectable “front” candidate for the governorship Waged a reform campaign in which he assailed the “predatory” trusts & promised to return state gov’t to the people Made NJ one of the more liberal states Democratic Platform Wilson’s “New Freedom” Called for stronger antitrust legislation Banking reform Tariff reductions The “Bull Moose” Campaign of 1912 TR ran on the third-party Progressive Republican ticket Divided the Republican vote TR’s “New Nationalism” The Candidates - 1912 TR’s “New Nationalism” or Wilson’s “New Freedom” Both favored a more active gov’t role in economic & social affairs Disagreed sharply over specific strategies TR preached the theories of Herbert Coley from his book The Promise of American Life (1910) TR v. Wilson TR’s “New Nationalism” Favored consolidation of trusts & labor unions & regulatory agencies Regulation of trust Favored women’s suffrage and children’s rights Social welfare Minimum-wage laws Social insurance Wilson’s “New Freedom” Favored small enterprise, entrepreneurship, & free functioning of unregulated & nonmonopolized markets Shunned social welfare; favored competition Wanted fragmentation of big industrial companies Split up trust Election of 1912 Offered voters a choice not merely of policies but of political & economic philosophies TR was shot in the chest by a fanatic Wilson won easily over Taft, TR, & Debs Progressive Party had no future Socialists elected more than a thousand Republicans – minority status in Congress Taft became chief justice of the Supreme Court in 1921 Wilson- The Idealist in Politics Second Democratic president since 1861 Ideal of self-determination for people of other countries Shared Jefferson’s faith in the masses If they were properly informed Very religious / morally righteous President was to provide leadership & be out in front of Congress Cold & standoffish in public Wilson Tackles the Tariff Assault on the “triple wall of privilege” Tariff, Banks, Trusts Tariff Called Congress into a special session – 1913 He appeared in person to address Congress Underwood Tariff Bill (1913) – substantial reduction of rates Reduced import fees & was a landmark in tax legislation 16th Amendment – graduated income tax Wilson Battles the Banks Problem: reserves were concentrated in NY & other large cities Could not be mobilized in times of financial stress Congress ordered an investigation Aldrich recommended a third Bank of the US Pujo – (D) traced the problems to the banks & business 1913 – Federal Reserve Act Federal Reserve Board oversaw a system of 12 regional district banks // owned by financial institutions Board could issue paper money Wilson Battles the Trusts Federal Trade Commission Act – 1914 Empowered a commission to investigate interstate commerce Expected to crush monopoly by rooting out unfair trade practices Clayton Anti-Trust Act – 1914 Listed business practices that were deemed objectionable including price discrimination & interlocking directories (same people serve as directors of supposedly competing firms) Exempted labor & agricultural organizations - legalized strikes & peaceful picketing Wilsonian Progressivism Federal Farm Loan Act of 1916 Made credit available to farmers at low rates of interest Warehouse Act of 1916 Authorized loans on the security of staple crops Highway construction & agricultural extension work La Follette Seamen’s Act of 1915 Required decent treatment & a living wage on American merchant ships Caused freight rates to increase Conti Workingmen’s Compensation Act of 1916 Granted assistance to federal civil-service employees during periods of disability Restricted child labor on products flowing into interstate commerce Later invalidated by Supreme Court Adamson Act of 1916 Established an 8 hour day for all employees on trains in interstate commerce, with extra pay for overtime Wilson as President 1916 – nominate reformer Louis D. Brandeis to Supreme Court 1st Jew Did nothing for better treatment of African Americans Appeased businesspeople by making conservative appointments Federal Reserve Board & the Federal Trade Commission Wilson & Foreign Policy Wilson – hated imperialism Repelled by TR’s big stickism Suspicious of Wall Street, he detested dollar diplomacy Declared war on dollar diplomacy after 1 week Gov’t would no longer offer special support to American investors in Latin America & China American bankers pull out the next day Wilson’s Anti-Imperialism 1914 – Panama Canal Tolls Act of 1912 repealed Had exempted American shipping from tolls & thereby provoked sharp protests from injured Britain 1916 – Jones Act Granted the Philippines territorial status & promised independence as soon as a “stable gov’t” could be established 1913 – Japan & California Problem CA prohibited Japanese from owning land Wilson sent Sec of State Bryan to plead with CA to soften its stand Tensions were eased Problems in the Caribbean 1914-1915 – Haiti Outraged populace killed their president 1915 -Wilson sent Marines to protect American lives & property 1916 –treaty with Haiti that provided for US supervision of finances & the police 1916 – Dominican Republic Marines sent to stop riots // remained for 8 years 1917 – Virgin Islands Wilson purchased islands from Denmark Moralistic Diplomacy in Mexico 1913 – Mexican Revolution Clique murdered the popular new revolutionary president & installed General Victoriano Huerta Massive migration of Mexicans to US Settled in Texas, New Mexico, Arizona, & California Revolution was jeopardizing American live & property Wilson refused to intervene & refused to recognize Huerta 1914 – Wilson allowed American arms to flow to Huerta’s rivals Problems Get Worse in Mexico April 1914 – Atlantic seaport of Tampico American soldiers were arrested Mexicans quickly released the captives & apologized But refused to salute admiral with 21 guns Wilson wanted to eliminate Huerta Asked Congress for authority to use force against Mexico Wilson ordered navy to seize Vera Cruz Meditation from the ABC Powers: Argentina, Brazil, & Chile Huerta collapsed in July 1914 & Venustiano Carranza took over Mexican – American Relations “Pancho” Villa emerged as a rival to President Carranza Carranza was supported with arms & diplomatic recognition by Wilson Pancho Villa’s Attacks on Americans Jan 1916 - killed 16 Americans Feb 1916 – killed another 19 Americans in New Mexico General John J. “Black Jack” Pershing ordered to break up bandit gang Never captured Villa himself Jan 1917 – US withdrew as threat of war with Germany increased Thunder Across the Sea 1914 – Serb patriot killed Archduke Franz Ferdinand in Sarajevo, Bosnia Heir to the Austria-Hungry throne Almost overnight, most of Europe was locked in war Central Powers Germany, Austria-Hungry, Ottoman Empire, & Bulgaria Allies France, Britain, & Russia (later Japan & Italy) A Precarious Neutrality Wilson urged the US to remain neutral in thought and deed Both the Allies and the Central Powers wooed the US British – common language, economic ties, close culture Germans & Austro-Hungarians – counted on sympathies from their transplanted countrymen Blood ties to the Central Powers – 11 million in 1914 Most Americans were anti-German Kaiser Wilhelm II & ruthless strike at neutral Belgium Restored to violence in American factories & ports America Earns Blood Money British & French orders pulled the US out of recession & into war-born prosperity $2.3 billion during the period of American neutrality Central Powers protested against trade between US & Allies Traffic did not violate the international neutrality laws Germany was prevented from trading with the US because of geography & the British navy Mines & ships across the North Sea Trade between US & Germany virtually ceased Submarine Warfare Feb 1915 – Germany announced a submarine war area around the British Isles US was trading in this area Germany declared they would try not to sink neutral shipping, but warned that mistakes would probably be made Wilson warned Germany it would be held to “strict accountability” for any attacks on American vessels or citizens The German U-boats First months of 1915 – Germany sank 90 ships May 7, 1915 - Lusitania was torpedoed & sank off the coast of Ireland 1,198 died – 128 Americans died Was carrying 4200 cases of small-arms ammunition August 1915 – Arabic was sunk – 2 American lives lost Germany agreed not to sink unarmed & unresisting passenger ships without warning Sussex Pledge March 1916 – Germans torpedoed a French streamer, the Sussex Wilson informed Germany that unless they renounced the inhumane practice of sinking merchant ships without warning, he would break diplomatic relations Sussex Pledge Germany agreed not to sink passenger ships & merchant ships without warning US would have to persuade the Allies to modify the “Illegal blockade” Election of 1916 – The Candidates Progressives – re-nominated TR but he declined TR did not want to lead to Wilson’s reelection Party disappeared after this Republican – Charles Evans Hughes Supreme Court Justice Platform: Condemned Democratic tariff Assaults on the trusts Wilson’s wishy-washiness in dealing with Mexico & Germany Fence-straddling candidate Democrat – Woodrow Wilson Election Results Wilson Ignored Hughes - “one should not try to murder a man who is committing suicide” Slogan – “He Kept Us Out of War” Supporters: Wilson – Midwesterners & westerners, working class, & bull moosers Hughes – Eastern voters Result of election hinged on CA Wilson barely won / 277 to 254