Roosevelt, Taft, and Wilson Believed that an efficient government could protect public interest & restore order to society Middle class reformers addressed many social problems, including • • • • • Working conditions Rights for women & children Economic reforms Environmental issues Social welfare 1st president to use the government to directly help the public interest Saw the presidency as a "bully pulpit" to preach his ideas Often bypassed congressional opposition (like Jackson) Offered Americans a Square Deal Was enormously popular with many Americans Anthracite Coal Strike (1902) o United Mine Workers union in Pennsylvania went on strike o The president of the company demanded that Roosevelt prosecute the union leader for violation of the Sherman Antitrust Act o Roosevelt threatened to seize the mines & operate them with federal troops if the owners refused compromise o The owners consented to arbitration Elkins Act (1903) o Allowed heavy fines for railroads & shippers that abused rebates Hepburn Act (1906) o Restricted the railroad’s use of free passes o Allowed the government to stipulate maximum rates o Concluded that there were “good trusts” & “bad trusts” European markets threatened to ban American meat since some was found to be tainted The public was sickened by Upton Sinclair’s description of unsanitary food products o He had detailed accounts of filth, disease, & putrefaction in Chicago’s damp and ill-ventilated slaughterhouses Roosevelt appointed a special investigating commission whose report almost out-did Sinclair’s novel Meat Inspection Act (1906) o Made meat shipped across state lines subject to federal inspection throughout the meatmaking process Pure Food & Drug Act (1906) o Prevented the mislabeling of food & drugs Newlands Reclamation Act (1902) o Authorized the government to collect money from the sale of public lands in western states & use the funds for the development of irrigation projects o Settlers repaid the cost of reclamation by building successful farms o Money was put into a revolving account in order to finance additional projects o Allowed for the construction of dams on virtually every major western river Won the election of 1908 Lacked Roosevelt’s fire & guts o Content to keep the status quo rather than rock the boat o Adopted a passive attitude towards Congress Brought 90 suits against trusts during his 4 years in office – twice as many as Roosevelt o United States v. American Tobacco Company (1911) • The Supreme Court ordered the company to reorganize based on the “rule of reason” which allowed only “reasonable” restraints on trade • Worked to impair the government’s anti-trust activities o Also in 1911, the Court ordered the dissolution of the Standard Oil Company • Determined that it violated the Sherman Anti-Trust Act of 1890 Taft’s contributions to conservation rivaled those of Roosevelt o Established the Bureau of Mines to control mineral resources o Protected water-power sites from private development Postal Savings Bank System (1910) o Authorized the Post Office Department to receive savings deposits from individuals & pay interest of 2% per year Mann Elkins Act (1911) o Put telegraph, telephone, & cable corporations under federal jurisdiction Payne-Aldrich Tariff (1909) o Taft had made a campaign promise to address the tariff o The House passed a moderately reductive bill, but the Senate made revisions that raised the tariff to 37% o Taft signed the Payne-Aldrich Tariff, thus betraying his campaign promises o The Progressive wing of the party was outraged National Progressive Republican League (1911) o Robert La Follette of Wisconsin emerged as the party’s leading candidate only to be pushed aside by Roosevelt Republican Convention (1912) o Although Roosevelt clearly had a majority of Republican votes, Taft was given the nomination o Prompted the Progressives to leave the party & create their own – Roosevelt “Bull Moose” Party o Gave the Republican Old Guard control of the GOP Republican – William Howard Taft o Supported by “Old Guard” Republicans o Did little campaigning Progressive – Theodore Roosevelt o Supported by cultured, middle-class people o Called for a “New Nationalism” • Believed that only a powerful federal government could regulate the economy & guarantee social justice • Thought that concentration in industry was a natural part of the economy that should be paralleled by the growth of powerful regulatory agencies • Wanted a broad program of social welfare Democrat – Woodrow Wilson o Supported by young Southern progressives o Called for a “New Freedom” • Attacked the Triple Wall of Privilege: The tariff, the banks, & the trusts • Favored small businesses & a return to a free competitive economy without monopolies • Believed that all trusts were bad • Rejected a stronger role for the government in human affairs Socialist – Eugene V. Debs o Found support in industrial cities & ethnic communities o Divided into conservative & radical wings • Conservatives called for government ownership of the railroads & utilities, factory inspections, & the abolition of the Senate & the presidential veto • Radicals – supported by the International Workers of the World (IWW) – advocated strikes & sabotage over politics Born in Virginia Former president of Princeton University Governor of New Jersey Believed the president should play a dynamic role in government Lacked Roosevelt’s common touch Moral righteousness often made him uncompromising Wilson called for a special session of Congress to address the tariff issue The Underwood Tariff Bill was passed by the House o Reduced the tariff to 25% o Enacted a graduated income tax under authority granted by the 16th Amendment • 1% on incomes over $4000 • 7% on incomes over $500,000 The Senate then allowed numerous increases in rates to be added o Wilson appealed to the people to demand that their Senators pass the bill Created the Federal Reserve System & granted it the authority to issue paper money Established a Federal Reserve Board – appointed by the president – to oversee a nationwide system of privately owned regional banks Current functions of the Fed include: o Addressing the problem of banking panics o Managing the nation’s money supply o Maintaining the stability of the financial system o Strengthening the US’s standing in the world economy Empowered a commission – appointed by the president – to monitor industries engaged in interstate commerce Allowed commissioners to issue cease & desist orders, ending unfair trade practices such as false advertising, mislabeling, & bribery Supplemented the Sherman Antitrust Act (1890) by: o Outlawing price discrimination o Regulating mergers & acquisitions Enforced by the Federal Trade Commission Exempted labor & agricultural organizations from antitrust prosecution while explicitly legalizing strike & peaceful picketing o Union leader Samuel Gompers hailed the act as the “Magna Carta of labor” Federal Farm Loan Act (1916) – Low interest loans for farmers Federal Highway Act (1916) – Highway construction in rural areas Workingmen’s Disability Act (1916) – Assistance to federal civil-service employees during periods of disability Keating-Owen Act (1916) – Child labor restrictions on products sold through interstate commerce o Ruled unconstitutional in 1918 on the grounds that it interfered with states’ powers Adamson Act (1916) – 8-hour workday, with extra pay for overtime, for interstate rail workers Minimum wages Prisons & “reform” schools forced to shift from punishment to rehabilitation