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B.) 1920- 1941 Power without obligation: The U.S. preserves its interests Video: American Isolationism in the 30’s 0-1’35
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Dawes Plan 1924 an attempt for the Triple Entente to collect war reparations debt from Germany. Allied occupation of the Ruhr industrial area contributed to the hyperinflation crisis in Germany - disabling effect on the German economy. provided for an end to the Allied occupation + staggered payment plan for Germany's payment of war reparations Dawes won the Nobel Peace prize for ending an intl crisis interim measure - proved unworkable. The Young Plan was adopted in 1929 to replace it.
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Young Plan (1930) For three generations, you’ll have to slave away! $26,350,000,000 to be paid over a period of 58½ years. By 1931, Hoover declared a debt moratorium
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Dollar Diplomacy
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Kellogg-Briand Pact 1928 Sponsored by France and the U.S. (and signed by most nations), the Pact renounced the use of war and called for the peaceful settlement of disputes. Similar provisions were incorporated into the UN Charter and other treaties and it became a stepping stone to a more activist American policy. Problems no means of actual enforcement and gave Americans a false sense of security.
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Smoot-Hawley Tariff 1930 Raised U.S. tariffs on over 20,000 imported goods to record levels (including 75 farm products) Hoover’s attempt, against the advice of all economists, to protect American farmers from international competition by raising agricultural tariffs. Record high rates of this tariff probably had little impact on domestic prices or on overseas exporters US exports cut in half between 1930 and 1932 Some view the Act, and the ensuing retaliatory tariffs by U.S. trading partners, as responsible for reducing American exports and imports by more than half. According to Ben Bernanke, "Economists still agree that Smoot-Hawley and the ensuing tariff wars were highly counterproductive and contributed to the depth and length of the global Depression."
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Japanese Attack Manchuria (1931) League of Nations condemned the action. League of Nations condemned the action. Japan leaves the League. Japan leaves the League. Hoover wanted no part in an American military action in the Far East. Hoover wanted no part in an American military action in the Far East.
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Hoover-Stimson Doctrine (1932) US would not recognize any territorial acquisitions that were achieved by force. Japan was infuriated because the US had conquered new territories a few decades earlier. Japan bombed Shanghai in 1932 massive casualties.
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Stimson Doctrine 1932 also invoked by U.S. in 1940: non-recognition of the Soviet annexation and incorporation of the three Baltic states — Estonia, Latvia, and Lithuania —and remained the official U.S. position until the Baltic states regained independence in 1991. Not the first time the U.S. had used non-recognition as a political tool or symbolic statement. President Wilson had refused to recognize the Mexican Revolutionary governments in 1913 and Japan's 21 demands upon China in 1915
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FDR’s “Good Neighbor” Policy Important to have all nations in the Western Hemisphere united in case of foreign aggressions. FDR The good neighbor respects himself and the rights of others. Policy of non-intervention and cooperation.
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US-Soviet Relations 1917-1933 Relations characterized by mutual hostilities since the Bolshevik Revolution in 1917 U.S. extended its embargo of Germany to include Russia, and orchestrated a series of covert actions against Soviet Russia, including secretly funding its enemies. The United States sent troops to Siberia in 1918 to protect its interests November 16, 1933 The United States and the Soviet Union established formal diplomatic relations
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FDR Recognizes the Soviet Union (late 1933) FDR felt that recognizing Moscow might bolster the US against Japan. Maybe trade with the USSR would help the US economy during the Depression.
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Nye Committee Hearings (1934-1936) The Nye Committee investigated the charge that WW I was needless and the US entered so munitions owners could make big profits [“merchants of death.”] The Committee did charge that bankers wanted war to protect their loans & arms manufacturers to make money. Claimed that Wilson had provoked Germany by sailing in to warring nations’ waters. Resulted in Congress passing several Neutrality Acts. Senator Gerald P. Nye [R-ND]
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“America First” Committee Charles Lindbergh
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FDR’s “I hate war” Speech (1936) Video: 1’26
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Neutrality Acts 1935-1937 Aim: limit U.S. involvement in future wars. They were based on the widespread disillusionment with World War I in the early 1930s and the belief that the United States had been drawn into the war through loans and trade with the Allies. 1935 Act banned munitions exports to belligerents and restricted American travel on belligerent ships. 1936 Act banned loans to belligerents. 1937 Act extended these provisions to civil wars and gave the president discretionary authority to restrict non-military sales to a “cash ‐ and ‐ carry” basis Banned involvement in the Spanish Civil War Limited the options of the president in a crisis
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Spanish Civil War (1936-1939) The American “Lincoln Brigade”
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1939 Neutrality Act In response to Germany’s invasion of Poland. FDR persuades Congress in special session to allow the US to aid European democracies in a limited way: The US could sell weapons to the European democracies on a “cash-and-carry” basis. FDR was authorized to proclaim danger zones which US ships and citizens could not enter. Results of the 1939 Neutrality Act: Aggressors could not send ships to buy US munitions. The US economy improved as European demands for war goods helped bring the country out of the 1937-38 recession. America becomes the “Arsenal of Democracy.”
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US Neutrality
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Cash and Carry 1939 policy requested by FDR at a special session of Congress on September 21, 1939. replaced the Neutrality Acts of 1939. The revision allowed the sale of material to belligerents, as long as the recipients arranged for the transport using their own ships and paid immediately in cash, assuming all risk in transportation. Though "cash and carry" concepts had been introduced in the Neutrality Act of 1936, it only pertained to materials that could not be used in war efforts.
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Lend-Lease 1941 The “cash and carry” not an effective measure after Germany began invading its neighbors. After the fall of the Low Countries (Belgium and the Netherlands) and the invasion and capitulation of France, Roosevelt lobbied for the introduction of Lend-Lease a plan in which the European allies didn't have to pay cash or arrange transportation any longer. Instead, the U.S. would demand payment at a later time. program under which the U.S. supplied Great Britain, the USSR, Republic of China, Free France and other Allied nations with material between 1941 and August 1945. Ended the US pretense of neutrality in the war
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“Lend-Lease” Act (1941) Great Britain.........................$31 billion Soviet Union...........................$11 billion France......................................$ 3 billion China.......................................$1.5 billion Other European.................$500 million South America...................$400 million The amount totaled: $48,601,365,000 Video: Lend-Lease Act 1’35
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Total U.S. Commitment to the War Effort Industrial and economic mobilization Victory Program (chain production of weapons and naval ships) Military mobilization Fight on 2 fronts (Pacific and European) 3 invasions to liberate Europe North Africa 1942, Italy 1943, Normandy 1944 Fighting Japan East from the Pacific and south from the Philippines Massive bombing of Tokyo Dropping atom bombs on Hiroshima & Nagasaki Video: Remembering Hiroshima 1945-2011 9’38
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Reading Homework Mastering Modern World History by Norman Lowe (2 pages) Part IV The United States of America 22.4 The impact of war and the Russian revolutions, pp. 465-466
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