1. The business of Government
Chapter 11 section 2
The business of Government

2. Section Focus
How did domestic and foreign policy change direction under Harding and Coolidge?

3. Harding Administration
“ Return to Normalcy”
Retreat from world affairs
Rejection of progressive reforms
More conservative, policies favor business
Andrew Mellon
Sec of Treasury
Pro business legislation
Cut Spending
$18 billion to $3 billion

4. Ohio Gang President Harding very likable Friends take advantage of him
Not the smartest
Friends take advantage of him
Steal from tax payers
Teapot Dome Scandal
Sec of Interior Albert Fall
Steals Navy oil reserves in Tea Pot Dome Wyoming
Transfers land to dept of Interior
Leases land to his buddies
Scandal
Fall goes to Prison

5. Harding Dies
Harding suffers Heart Attack returning from speaking tour in Alaska
Americans mourn
Scandals emerge
Change opinion of Harding

6. Coolidge Prosperity Vice pres. Calvin Coolidge takes over
“Silent Cal”
Quiet, honest, frugal
Believed in business, admin is no place for crooks or progressives
“ The business of America is business”
Economy soars under Coolidge
Farmers still in trouble
Jim Crow laws in South
Mexican Americans discriminated

7. America’s Role in the World
WWI is so deadly planet tries to make sure it doesn’t happen again
US involved in world trade
Forgien policy shaped by reaction to war
Try to end arms race before they begin
Washington Naval Disarmament Conference 1922
Limit construction of large warships
Japan in attendance
Kellogg-Briand Pact 1928
Outlaws war as means of diplomacy
unenforceable

8. War Debts Coolidge insists France/England pay back war debts
Some favor canceling debts
France/England demand Germany pay them reparations so they can pay back US
Very hard to pay back
Sets stage for WWII

9. Section Focus
How did domestic and foreign policy change direction under Harding and Coolidge?
Both men refused to use legislation to make social changes. Unlike the progressives, their economic policies favored big business. Both presidents also maintained isolationist stances in world affairs.