1. Moving Forward Truman and The Fair Deal

2. Economic Readjustment Converting from wartime to peacetime –Defense contracts cancelled $35 billion lost 3 million defense workers laid-off, veterans looking for work –During war, price freeze; after war, prices skyrocket (inflation) Supply needed to catch up with demand

3. Truman’s difficulties Labor strikes; 1946 4.5 million workers go on strike –Inflation + low wages = strikes –Truman threatens to draft strikers, ordering them as soldiers to work Unions give in before action taken Congress controlled by Rep. ignore Truman’s request (80 th Congress) – Over rule veto on Taft-Hartley Act (labor unions)

4. Civil Rights Issue Sets-up Committee on Civil Rights (Dec. 1946) –Designed to investigate reports of discrimination against African- Americans. –Urged Congress to pass anti-lynching laws and anti-poll-tax. –Desegregates the military, without the help of Congress

5. 1948 Election Truman stands strong on Civil Rights and splits the Democratic party. Southern Democrats walk out of the convention and form a new party. –“States Rights Party” or Dixiecrats Nominate their own candidate: J. Strom Thurman

6. Another Split Different views on anti-labor actions spark another split in the Democratic party. Led by former VP Henry Wallace the new Progressive Party calls for: –Extension of the New Deal –Friendly relations with Soviet Union. Communist party supports Progressives.

7. Progressive Liberal Party supported by Communist Party Dixiecrats Conservative Democrats mostly from the South; want to continue racial segregation. Republican Generally Conservative Party. Counting on win because of Democratic split. Democrats Truman Supports desegregation and against Taft-Hartley Act. Runs a whistle- stop campaign that gains him the support of many.

8. Republicans Confident of a victory because of Democratic break-up. Governor Thomas Dewey (NY) nominated for presidential candidate. Earl Warren is his running mate. Opinion polls predict Dewey the winner.

9. Truman’s campaign Whistle- stop campaign; denounces the “80 th do-nothing Congress” The Platform: –Repeal the Taft-Hartley Act –Increase federal aid for housing, education and agriculture. –Broaden Social Security benefits. Looking for support from: –Unionized workers –Big-city ethnic groups –African- Americans –New Deal farmers.

10. Political Upset Truman runs a great campaign –“give ‘em hell, Harry” Gets 49% popular vote; Dewey 45% African-American, workers, farmers and ethnic voters help carry Truman to victory Get control of Congress

11. Fair Deal Calls for: –Full employment –Higher minimum wages –National health insurance program –Affordable housing –Aid to farmers –Expansion of welfare benefits

12. What gets passed Between 1949 and 1952, Congress agrees to; –Extend social security benefits to 10 million more people –Raise minimum wage from 40 cents to 75 cents an hour. –Approve a program to clear slums –Expanded federal programs to promote flood control, hydroelectric power and irrigation.

13. Where he fails The Taft-Hartley act is not repealed and no Civil Rights bill is passed. Many New Dealers resign from Truman’s cabinet- leaving business leaders and military men. Domestic matters move to the back-burner in favor of a more pressing concern: The Soviet Union and Communism.

14. I like Ike Eisenhower & Nixon- 1952 election Nixon gets accused of profiting from campaign, accepting bribes –Uses TV to deliver “checkers speech” to defend himself & deny charges

15. Modern Republicanism Eisenhower cut thousands of govt. jobs and cut billions of dollars from the federal budget. He wants to reduce government influence over the economy. –Cut govt. farm subsides –Turns over federally owned coastal land for private development.

16. Keep old ideas Social security and unemployment benefits expand & minimum wage is increased. Est. Dept. of Health, Education and Welfare. Increases educational spending. –“Conservative when it comes to money, liberal when it comes to human beings.”

17. Ike on Civil Rights Doesn’t assume a position on Civil Rights, but can’t sidestep –Brown vs. Board of Education 1954 –Rosa Parks and Montgomery Bus Boycott Civil Rights entered a new era