The Impact of WWI

Economy in Turmoil Although the soldiers of WWI returned as heroes to their homes, they also returned to large unemployment Government ended controls over the economy, so businesses raised the prices of goods that they had been forced to keep down during the war Result: Rapid inflation Cost of living was greatly increased

Inflation Leads to Strikes Workers wanted wages raised to keep up with inflation, but companies hesitated because their costs of operation were also increasing Seattle General Strike  35,000 shipyard workers walked off the job demanding higher pay and shorter hours General strike  involves all workers in a community, not just workers in the particular industry 60,000 workers stopped working, which paralyzed the city for five days

Inflation Leads to Strikes Boston Police Strike  75% of the police forced walked off the job Rioting and looting began and the governor, Calvin Coolidge, called in the National Guard When the striking workers tried to return to work, they were fired and replaced by a new police force Coolidge: “There is no right to strike against the public safety by anyone, anywhere, anytime”  Gained widespread support from the American public

Inflation Leads to Strikes Steel Strike  350,000 steel workers went on strike for higher wages, shorter hours, and recognition of their union Elbert H. Gary, head of U.S. Steel refused to acknowledge the strikers Used anti-immigrant feelings to divide the workers as many were immigrants Companies hired Mexicans and African Americans to replace the workers Strike collapsed in 1920, and the steel industry remained unorganized until 1941

Racial Unrest Many African Americans moved north to take factory jobs Returning soldiers blamed African Americans for their inability to find work and affordable housing Summer of 1919  25 race riots broke out across the nation Angry whites burned shops and homes in an African American neighborhood in Longview, Texas Gangs of African Americans and whites fought for four days in Washington DC In Chicago, a group of young African American boys went to a whites-only beach and one was killed by a rock Full-scale riot broke out in the city, lasted for almost two weeks 38 people were killed, 500 injured

Red Scare Americans became fearful that communists were trying to take over the nation Since 1800s, Americans had accused immigrants of importing radical socialist and communist ideas Red Scare  nationwide panic of the spread of communism in America April 1919, the US postal service intercepted 30 homemade bombs June 1919, eight bombs in eight cities exploded within minutes of each other One of the bombs destroyed the home of Attorney General A. Mitchell Palmer

The Palmer Raids Palmer established a special division with the Justice Department  The General Intelligence Division This division was headed by J. Edgar Hoover and eventually became the Federal Bureau of Investigation, or FBI November 7, 1919  Palmer ordered a series of raids on the offices of the Union of Russian Workers in 12 cities January, 1920  another set of raids on radical headquarters; resulted in 6,000 arrests Nearly 600 people were deported as a result of the Palmer Raids

J. Edgar Hoover

The Palmer Raids Palmer’s agents ignored the civil liberties of the suspects However, Palmer was regarded as a national hero Red Scare prompted people to link radical thoughts and ideas with immigrants; eventually led to Congress limiting immigration

The Election of 1920 A great sense of disillusionment resulted from economic problems, labor unrest, racial tension, and memories of World War I Campaign of 1920: James M. Cox  Progressive ideals Wilson tried to convince Democrats to make about the Treaty of Versailles Warren G. Harding  Republican candidate, called for a return to “normalcy” Harding won by a landslide of over 7 million votes