Warren Gamaliel Harding (November 2, 1865 – August 2, 1923) was the 29th President of the United States (1921–1923), a Republican from Ohio who served in the Ohio Senate and then in the United States Senate, where he protected alcohol interests and moderately supported women's suffrage. He was the first incumbent U.S. senator and the first newspaper publisher to be elected U.S. president.[1][2]
Harding was the compromise candidate in the 1920 election, when he promised the nation a "return to normalcy", in the form of a strong economy, independent of foreign influence. This program was designed to rid Americans of the tragic memories and hardships they faced during World War I. Harding and the Republican Party wanted to move away from the progressivismthat dominated the early 20th century. He defeated Democrat and fellow Ohioan James M. Cox in the largest presidential popular vote landslide (60.32% to 34.15%) since popular-vote totals were first recorded.[3]
Harding not only put the "best minds" in his cabinet, including Herbert Hoover as Secretary of Commerce and Charles Evans Hughes as Secretary of State, but also rewarded his friends and contributors, known as the Ohio Gang, with powerful positions. Cases of corruption, including the notorious Teapot Dome scandal, resulted in prison terms for his appointees.[4] Harding was a keen poker player who once lost on a single hand an entire set of White House china dating back to Benjamin Harrison.[5] But he did manage to clean up corruption in the Veterans Bureau.[6]
Domestically, Harding signed the first federal child welfare program, dealt with striking mining and railroad workers in part by supporting an 8-hour work day, and oversaw a 50% unemployment rate drop.[7] He also set up the Bureau of the Budget to prepare the United States federal budget. Harding advocated an anti-lynching bill to curb violence against African Americans, but it failed to pass. In foreign affairs, Harding spurned the League of Nations and (Congress having rejected the Treaty of Versailles) signed a World War I peace treaty with Germany and Austria separate from the other Allies. His greatest foreign policy achievement came in the Washington Naval Conference of 1921-22, in which the world's major naval powers agreed on a naval limitations program that held sway for a decade.
In August 1923, Harding suddenly collapsed and died in California. His administration's many scandals have earned Harding a bottom-tier ranking from historians,[8] but in recent years there has been some recognition of his fiscal responsibility and endorsement of African-American civil rights.[9] Harding has been viewed as a more modern politician who embraced technology and was sensitive to the plights of minorities, women, and labor.[10]
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[show]Early life[edit]
Childhood and education[edit]
Warren Gamaliel Harding was born November 2, 1865, in Blooming Grove, Ohio.[11] His paternal ancestors, mostly ardent Baptists, hailed from Clifford, Pennsylvania and migrated to Ohio in 1820.[12] Nicknamed "Winnie", he was the eldest of eight children born to Dr. George Tryon Harding, Sr. (1843–1928) and Phoebe Elizabeth (Dickerson) Harding (1843–1910).[13] His mother, a devout Methodist, was a midwife who later obtained her medical license. His father, never quite content with his job or possessions, was forever swapping them for something better, and was usually in debt; he owned a farm, taught at a rural school north of Mount Gilead, Ohio, and also acquired a medical degree and started a small practice.[14] It was rumored in Blooming Grove that one of Harding's great-grandmothers might have been African American.[15] Harding's great-great grandfather Amos claimed that a thief, who had been caught in the act by the family, started the rumor in an attempt at extortion.[16] Harding's family eventually moved to Caledonia, Ohio, where his father acquired The Argus, a local weekly newspaper. It was at The Argus that Harding, from the age of 10, learned the basics of the journalism business. In 1878, his brother Charles and sister Persilla died, presumably from typhoid.[17]
Harding continued to study the printing and newspaper trade as a college student at Ohio Central College in Iberia. At the same time, he worked at theUnion Register in Mount Gilead.[18] Harding became an accomplished public speaker in college, and graduated in 1882 at the age of 17 with a Bachelor of Science degree.[19] As a youngster, he had become an accomplished cornet player and played in various bands, and in 1884 Harding gained popular recognition in Marion when his Citizens' Cornet Band won the third-place $200 prize at the highly competitive Ohio State Band Festival in Findlay. The money paid for the band's snappy dress uniforms Harding had bought on credit.[20]
Journalism career and marriage[edit]
Upon graduating, Harding had stints as a teacher and insurance man, and made a brief attempt at studying law. He then raised $300 in partnership with others to purchase the failing Marion Daily Star, the weakest of the growing city's three newspapers. By 1886, he completely owned the Star.[19][21] He revamped the paper's editorial platform to support the Republican Party and became an ardent supporter of Governor "Fire Alarm Joe" Foraker. This political stance put him at odds with those who controlled local politics in Marion.[22] When Harding moved to unseat the Marion Independent as the official daily paper, he met with strong resistance from local figures, such as Amos Hall Kling, one of Marion's wealthiest real estate speculators. The editorial battle with the Independent became so heated that, at the inevitable mention of Harding's questionable bloodline, father and son brought a shotgun and demanded a retraction at gunpoint. They were successful.[23]
While Harding won the war of words and made the Marion Daily Star one of the most popular newspapers in the county, the battle took a toll on his health. In 1889, at age 24, he suffered from exhaustion and nervous fatigue. He spent several weeks at the Battle Creek Sanitarium to regain his strength and ultimately made 5 visits over 14 years.[24] Harding later returned to Marion to continue operating the paper. He spent his days promoting the community on the editorial pages, and his evenings "bloviating" (a word Harding used frequently) with his friends over games of poker.[25] In 1893, the Star supplanted the Independent as the official paper for Marion's governmental notices, after Harding exposed the rival paper for overcharging the city.[26] In 1896, theIndependent ceased doing business and Amos Kling immediately financed and launched another rival paper, the Republican Transcript, in a failed attempt to derail his son-in-law.[27] Harding also made political speeches on the Chautauqua circuit and expressed admiration for his ideal American patron, Alexander Hamilton.[19] He also is said to have originated the phrase "Founding Fathers".[28]
In 1900, political opponent J.F. McNeal, with Amos Kling's help, secretly bought up $20,000 in loans owed by Harding, and immediately called them due in full. Harding just barely secured the funds to pay off the debt to save the Star.[29] In the last year of his Presidency, anticipating no resumption of his journalism career following his years in the White House, Harding sold theStar to Louis H. Brush and Roy D. Moore for $550,000.[30]
On July 8, 1891 Harding married Florence Kling DeWolfe, the daughter of his nemesis Amos Hall Kling—who was also her nemesis. Florence Kling DeWolfe was a divorcée, 5 years Harding's senior, and the mother of a young son, Marshall Eugene DeWolfe.[31] "Flossie's" father had soundly condemned her first—compulsory—marriage, to an alcoholic. He had disowned her, but her mother had remained loyal and supportive.[32] She pursued Harding persistently, until he reluctantly proposed. According to noted biographer Russsell, he was compelled to propose not so much because of true love, but of the prospect of social acceptance and standing.[33] Incensed by his daughter's decision to marry Harding, he prohibited his wife from attending the wedding (she sneaked in long enough to see the vows exchanged) and refused to speak to his daughter or son-in-law for 8 years. Her mother continued to provide support on the sly.[34]
The couple was complementary, with Harding's affable personality balancing his wife's no-nonsense approach to life. Florence Harding, exhibiting her father's determination and business sense, turned the Marion Daily Star into a profitable business in her management of the circulation.[35] She has been credited with helping Harding achieve more than he might have alone; some have speculated that she later pushed him all the way to the White House.[36] Early in their marriage, Harding bestowed on her the lasting nickname "Duchess" as a nod to the imperious (and often alienating) persona she shared with her father.[35]
Early political career[edit]
Ohio emergence[edit]
Harding made his foray into politics running for the Marion County Auditor's office, primarily to gain political exposure—his inability to win the election was a foregone conclusion in the heavily Democratic county.[37] When his newspaper business attained sufficient economic stability, and even dominance, in Marion, Harding and his wife traveled widely throughout the country, which broadened Harding's exposure at political gatherings. Biographer Andrew Sinclair asserts that, like many contemporaries during the days of Ohio Republican Party boss Mark Hanna, Harding was involved with graft and excessive patronage.[38] Harding allegedly arranged free public-transit passes for his family in return for favorable coverage in his newspaper.[38] Harding, in 1897, was said to have facilitated his sister's appointment as a teacher for the blind over supposedly more qualified candidates.[38] Harding was also accused of collusion with other newspapers on the price-fixing of public printing bids and dividing the profits from low-straw biddings.[38] No formal charges were made against Harding based on these accusations. The accomplished publisher also gained a flair for public speaking, and in 1899 Harding was elected to fill the Ohio State Senate seat for the 13th Senatorial District, despite Amos Kling's financing of a primary opponent.[39] Shortly after this victory, there was a fortuitous meeting with Ohio Republican party leader and McKinley ally, Harry M. Daugherty, who commented about him, "Gee, what a great looking President he'd make."; Daugherty later assumed the primary role in Harding's political career.[40]
As a Republican state senator, Harding was a partisan regular and did favors for political bosses Mark Hanna and Harry M. Daugherty. Harding's only notable reform effort in his first term (Ohio state offices had 2-year terms) was a progressive bill to revamp the municipal code, which had passed the Senate but was halted by a single member's procedural call to "reconsider".[41] As asserted by Sinclair, Harding, against his own conscience, signed a municipal bill that protected Republican party patronage and graft.[38] In his second term, he was chosen Republican Floor Leader.[42] In early 1903 Harding announced his campaign for Governor of Ohio, which was soon thwarted by an intra-party alliance that assured the election of fellow Republican Myron T. Herrick; Harding was awarded the position of Lieutenant Governor of Ohio, a post he occupied from 1904 to 1906.[43] In short order, a number of ill-advised decisions by Gov. Herrick damaged his popularity. As the 1906 election approached, Harding saw an opening and announced his candidacy for Governor again. Nevertheless, the party bosses stuck by Herrick, and Harding took his name out of the running for any position on the ticket, which was defeated by the Democrats.[44]
While Harding was dwindling politically, there were developments on the personal and business front. In 1907, Amos Kling married his second wife and began an effort at rapprochement with daughter and son-in-law. As a result, the Klings and the Hardings took a cruise to Europe together.[45] Soon after their return, Harding reorganized his newspaper business into the Harding Publishing Co., issued stock in the company, took two-thirds for himself and allowed his employees to purchase the rest; this was the first profit-sharing arrangement of its kind in Ohio.[46]
Harding sought the 1909 gubernatorial nomination of the GOP, which was deeply divided between progressive and conservative wings of the party, but could not defeat the united Democrats; he lost the election to incumbent Judson Harmon.[47] Harding took his first election loss in stride, saying "...I have lost nothing which I ever had except a few dollars which I can make again, a few pounds of flesh which I can grow again, a few false friends of whom I am well rid, and an ambition which simply fettered my freedom and did not make for happiness."[48]
U.S. Senator[edit]
In 1912, Harding gave the nominating speech for incumbent President William Howard Taft, who would later serve as Chief Justice of the Supreme Court during Harding's administration, at the embattled Republican National Convention in Chicago—before he completed his introduction, a fist fight ensued between the Taft supporters and the more progressive Roosevelt faction, but the speech was quite a personal success.[49][50] By 1914 the Republican Party was beginning to show signs of reunification, with the result that support weakened for Ohio's U.S. Senator Theodore Burton, who then decided not to stand for re-election. When prompted, Harding agreed to run for Burton's seat against his mentor, "Fire Engine" Joe Foraker, in the Republican primary, and he emerged victorious.[51] Henry Daugherty at this point was on a first name basis with Harding and supported his campaign. Harding's general electionopponent, Timothy Hogan, fell victim to fervid anti-Catholic sentiment (which Harding did not voice) and Harding was elected to the U.S. Senate, becoming Ohio's first senator elected by popular vote. The election came on the heels of the outbreak of World War I—an issue Harding downplayed due to the significant German immigrant population in his district.[51] He served in the Senate from 1915 until his inauguration as President in 1921, making him the first sitting senator to be elected President of the United States; John F. Kennedy and Barack Obama followed in this pattern. (James A. Garfield was at the time of his presidential election a non-incumbent senator-elect.)
When Harding joined the U.S. Congress, both houses were controlled by the Democrats, and Woodrow Wilson, a progressive Democrat, was in the White House; therefore, the legislative agenda was dominated by the opposition. Harding was often considered a fence sitter on most issues, be that labor, big business, women's suffrage, or prohibition. He was "the harmonizer", declaring that a "righteous mean" could always be obtained on an issue. He did vote on legislation to protect the alcohol industry 30 times and was against Philippine independence.[52] He was staunchly opposed to government ownership of business.[53] In startling form, he once spoke in support of a strong executive, at least in wartime, saying about President Wilson, "He is already ... our partial dictator. Why not make him complete and supreme dictator?"[54] He joined with 39 other senators in opposition to Wilson's proposed League of Nations.[55] Harding took on a personal secretary in the Senate, George B. Christian, Jr., a former neighbor, who protected him from political patrons and intrusive inquiries, and served until the future president's death.[56] Harding introduced 134 bills, but substantively his six-year record as Senator was unremarkable; his attendance was inconsistent, he spoke minimally on the floor of the Senate and offered no major bill or debate. Harding was not even present for the vote on the women's suffrage amendment, though he "paired" his vote with another member, in effect supporting it.[57] He was nevertheless popular and acquired many very close friends in the chamber.[53][58] This popularity led to his serving as Chairman of the 1916 Republican Convention as well as Keynote Speaker.[59]
Presidential election of 1920[edit]
Main article: United States presidential election, 1920
Republican nomination[edit]
In 1918, when Theodore Roosevelt was entertaining plans (later abandoned) to reprise his presidency, he considered Harding had strong potential to run and serve as Vice President, and discussed with Harry Daugherty the desirability of having Harding on his ticket.[60] In 1919, the first candidate to declare for the GOP nomination was General Leonard Wood. The GOP bosses were nevertheless determined to have a dependable listener, and were lukewarm toward the General.[61] Some in the party began to scout for such an alternative, and Harding's name arose, despite his reluctance, due to his unique ability to draw vital Ohio votes.[62] Also at the forefront of a throng of candidates for the nomination were Hiram Johnson, Frank Lowden and Herbert Hoover.[63] Harry Daugherty, who became Harding's campaign manager, and who was sure none of these candidates could garner a majority, convinced Harding to run after a marathon discussion of six-plus hours.[64] Daugherty's campaign style was variously described as pugnacious, devious and no holds barred.[65] For example, shortly before the GOP convention, Daugherty struck a deal with millionaire and political opportunist Jake Hamon, whereby 18 Oklahoma delegates whose votes Hamon had bought for Lowden were committed to Harding as a second choice if Lowden's effort faltered.[66][67]
Harding's supporters thought of him as the next McKinley. By the time the convention began, a Senate sub-committee had tallied the monies spent by the various candidates, with totals as follows: Wood—$1.8 million; Lowden—$414,000; Johnson—$194,000; and Harding—$114,000; the committed delegate count at the opening gavel was: Wood—124; Johnson—112; Lowden—72; Harding—39.[68] Still, at the opening, less than one-half of the delegates were committed.[69] No candidate was able to corral a majority after nine ballots.[70] Republican Senators and other leaders, who were divided without a singular political boss, met in Room 404 of the Blackstone Hotel in Chicago and after a nightlong session, tentatively concluded Harding was the best possible compromise candidate. According to Francis Russell, though additional meetings took place, this particular meeting came to be known as the "smoke filled room".[71] Before Harding received the formal nod, George Harvey summoned him. Harvey told him he was considered the consensus nominee, and asked if he knew, "before God," whether anything in his life would be an impediment. After mulling the question over for some minutes, Harding replied no, despite his alleged adulterous affairs.[72] The next day, when Harding was nominated on the tenth ballot, Mrs. Harding was so startled, she inadvertently stabbed Harry Daugherty in the side with her hatpins.[73] The local Masons could not resist the opportunity to co-opt Harding's new notoriety, and promoted him to the Sublime Degree of a Master Mason.[74]
General election[edit]
In the 1920 election, Harding ran against Democratic Ohio Governor James M. Cox, whose running mate was Assistant Secretary of the Navy Franklin D. Roosevelt. The election was seen in part as a rejection of the "progressive" ideology of the Woodrow Wilson Administration in favor of the "laissez-faire" approach of the William McKinley era.[75]
Harding ran on a promise to "Return to Normalcy", a seldom-used term he popularized, and healing for the nation after World War I. The policy called for an end to the abnormal era of the Great War, along with a call to reflect three trends of the time: a renewed isolationism in reaction to the War, a resurgence of nativism, and a turning away from government activism.[76]
On July 28, 1920, Harding's general election campaign manager, Albert Lasker, unleashed a broad-based advertising campaign that implemented modern advertising techniques; the focus was more strategy oriented.[77] Lasker's approach included newsreels and sound recordings, all in an effort to enhance Harding's patriotism and affability. Farmers were sent brochures decrying the alleged abuses of Democratic agriculture policies. African Americans and women were also given literature in an attempt to take away votes from the Democrats. Professional advertisers including Chicagoan Albert Tucker were consulted. Billboard posters, newspapers and magazines were employed in addition to motion pictures. Five thousand speakers were trained by advertiser Harry New and sent abroad to speak for Harding; 2,000 of these speakers were women. Telemarketers were used to make phone conferences with perfected dialogues to promote Harding. Lasker had 8,000 photos distributed around the nation every two weeks of Harding and his wife.[78]
Harding's "front porch campaign" during the late summer and fall of 1920 captured the imagination of the country. Not only was it the first campaign to be heavily covered by the press and to receive widespread newsreel coverage, but it was also the first modern campaign to use the power of Hollywood and Broadway stars, who travelled to Marion for photo opportunities with Harding and his wife. Al Jolson, Lillian Russell,Douglas Fairbanks, and Mary Pickford were among the luminaries to make the pilgrimage to his house in central Ohio. Business icons Thomas Edison, Henry Ford, and Harvey Firestone also lent their cachet to the campaign. From the onset of the campaign until the November election, over 600,000 people travelled to Marion to participate.
The campaign owed a great deal to Florence Harding, who played a more active role than the wives of previous candidates had. She cultivated the relationship between the campaign and the press. As the business manager of the Star, she understood reporters and their industry. She played to their needs by being available to answer questions, pose for pictures, or deliver food from her kitchen to the press office—a bungalow that she had constructed at the rear of their property in Marion. Mrs. Harding even coached her husband on the proper way to wave to newsreel cameras to make the most of coverage.
Campaign manager Lasker struck a deal with Harding's paramour, Carrie Phillips, and her husband Jim Phillips, whereby the couple agreed to leave the country until after the election. Ostensibly, Mr. Phillips was to investigate the silk trade.[77]
The campaign also drew on Harding's popularity with women. Considered handsome, Harding photographed well compared to Cox. However, it was mainly Harding's Senate support for women's suffrage legislation that made him popular in that demographic. Ratification of the 19th Amendment in August 1920 brought huge crowds of women to Marion, Ohio to hear Harding speak. Immigrant groups such such as ethnic Germans and Irish, who made up an important part of the Democratic coalition, also voted for Harding—in reaction to their perceived persecution by the Wilson administration during World War I.
The 1920 election was the first in which women could vote nationwide. It was also the first presidential election covered on the radio, thanks to both 8ZZ (later KDKA in Pittsburgh, Pennsylvania) and 8MK (later WWJ) in Detroit, which carried the election returns—as did the educational and amateur radio station 1XE (later WGI) at Medford Hillside MA. Harding received 60% of the national vote, the highest percentage ever recorded up to that time, and 404 electoral votes. Cox received 34% of the national vote and 127 electoral votes.[79] Campaigning from a federal prison,Socialist Eugene V. Debs received 3% of the national vote. The Presidential election results of 1920, for the first time in U.S. history, were announced live by radio.[80] Harding was the only Republican presidential candidate to ever defeatDemocrat Franklin D. Roosevelt on a presidential ticket. At the same time, the Republicans picked up an astounding 63 seats in the House of Representatives.[81] Harding immediately embarked on a vacation that included an inspection tour of facilities in the Panama Canal Zone.[82]
African-American lineage contention[edit]
During the campaign, Democratic opponents spread rumors that Harding's great-great-grandfather was a West Indian black person and that other blacks might be found in his family tree.[83] In an era when the "one-drop rule" would classify a person with any African ancestry as black, and black people in the South had been effectively disfranchised, Harding's campaign manager responded, "No family in the state (of Ohio) has a clearer, a more honorable record than the Hardings', a blue-eyed stock from New England and Pennsylvania, the finest pioneer blood."[75] Historian and opponent William Estabrook Chancellor publicized the rumors, based on supposed family research, but perhaps reflecting no more than local gossip.[84] The rumors may have been sustained by a statement Harding allegedly made to newspaperman James W. Faulkner on the subject, which he perhaps meant to be dismissive: "How do I know, Jim? One of my ancestors may have jumped the fence."[85] However, while there are gaps in the historical record, studies of his family tree have not found evidence of an African-American ancestor.[86]
Presidency: 1921–1923[edit]
Harding preferred a low-key inauguration, without the customary parade, leaving only the swearing-in ceremony and a brief reception at the White House.[87] In his inaugural speech he declared, "Our most dangerous tendency is to expect too much from the government and at the same time do too little for it."[88] The Hardings also brought a different style to the running of the White House. Though Mrs. Harding did keep a little red book of those who had offended her, the executive mansion was now once again open to the public, including the annual Easter egg roll.[89]
The administration of Warren G. Harding followed the Republican platform approved at the 1920 Republican National Convention, which was held in Chicago. Harding, who had been elected by a landslide, felt the "pulse" of the nation and for the 28 months in office he remained popular both nationally and internationally. Harding's administration has been critically viewed due to multiple scandals, while his successes in office were often given credit to his capable cabinet appointments that included future President Herbert Hoover. Author Wayne Lutton asked, "Was Harding really a failure?" Historian and former White House Counsel John Dean's reassessment of Harding stated his accomplishments included income tax and federal spending reductions, economic policies that reduced "stagflation", a reduction of unemployment by 10%, and a bold foreign policy that created peace with Germany, Japan, and Central America.[90] Herbert Hoover, while serving in Harding's cabinet, was confident the President would serve two terms and return the world to normality. Later, in his own memoirs, he stated that Harding had "neither the experience nor the intellect that the position needed."[91]
One of Harding's earlier decisions as President was the appointment of former President William Howard Taft as Chief Justice of the Supreme Court, a position Taft had always coveted, more so than the Presidency.[92]
Harding pushed for the establishment of the Bureau of Veterans Affairs (later organized as the Department of Veterans Affairs), the first permanent attempt at answering the needs of those who had served the nation in time of war.[93] In April 1921, Harding spoke before a special joint session of Congress that he had called. He argued for peacemaking with Germany and Austria, emergency tariffs, new immigration laws, regulation of radio and trans-cable communications, retrenchment in government, tax reduction, repeal of wartime excess profits tax, reduction of railroad rates, promotion of agricultural interests, a national budget system, an enlarged merchant marine, and a department of public welfare.[94] He also called for measures to end lynching, but not wanting to make enemies in his own party and with the Democrats, he did not fight for his program.[95] Generally, there was a lack of strong leadership in the Congress and, unlike his predecessors Roosevelt and Wilson, Harding was not inclined to fill that void.[96]
According to biographers, Harding got along better with the press than any other previous President, being a former newspaperman. Reporters admired his frankness, candor, and his confessed limitations. He took the press behind the scenes and showed them the inner circle of the presidency. Harding, in November 1921, also implemented a policy of taking written questions from reporters during a press conference.[97] Harding's relationship with Congress, however, was strained and he did not receive the traditional honeymoon given to new Presidents. Before Harding's election, the nation had been adrift; President Woodrow Wilson had been ill by a debilitating stroke for 18 months and before that Wilson had been in Europe for several months attempting to negotiate a peace settlement after World War I. By contrast, at the March 4, 1921 Inaugural, Harding looked strong, with grey hair and a commanding physical presence.[97] Wilson's successor stressed the importance of the ceremonial aspects of the office of President. This emphasis fulfilled his desire to travel the breadth of the country to officiate at formal functions.[98]
Although Harding was committed to putting the "best minds" on his cabinet, he often rewarded those persons who were active and contributed to his campaign by appointing them to high federal department positions. For instance, Wayne Wheeler, leader of the Anti-Saloon League was literally allowed by Harding to dictate who would serve on the Prohibition Commission.[99]Graft and corruption charges permeated Harding's Department of Justice; bootleggers confiscated tens of thousands cases of whiskey through bribery and kickbacks.[100] Harding, out of loyalty, appointed Harry M. Daugherty to U.S. Attorney General because he felt he owed Daugherty for running his 1920 campaign. After the election, many people from the Ohio area moved toWashington, D.C., made their headquarters in a green house on K Street, and would be eventually known as the "Ohio Gang".[101] The financial and political scandals caused by these men, in addition to Harding's own personal controversies, severely damaged Harding's personal reputation and eclipsed his presidential accomplishments. In his most open challenge to Congress, Harding forced a deferral of a budget-busting World War I soldier's bonus in an effort to reduce costs.[102]
A 2008 study of presidential rankings for The Times placed Harding at number 34[103] and a 2009 C-SPAN survey ranked Harding at 38.[104] In 2010, a Siena College poll of Presidential scholars placed Harding at 41. The same poll ranked Harding 26 in the Ability to Compromise category.[105]
Harding presided over the nation's initial consecration of the Tomb of the Unknown Soldier. This followed similar commemorations established by Britain, France and Italy. The fallen hero was chosen from a group previously interred at Romagne Military Cemetery in France, and was re-interred at Arlington National Cemetery.
On December 23, 1921 Harding calmed the 1919–1920 Bolshevik scare, and released an election opponent, socialist leader Eugene Debs, from prison. This was part of an effort to return the United States to "normalcy" after the Great War. Debs, a forceful World War I antiwar activist, had been convicted under sedition charges brought by the Wilson administration for his opposition to the draft during World War I.[106] Despite many political differences between the two candidates Harding commuted Debs' sentence to time served; however, he was not granted an official Presidential pardon. Debs' failing health was a contributing factor for the release. Harding granted a general amnesty to 23 prisoners, alleged anarchists and socialists, active in the Red Scare.[107][108]
Harding's party suffered the loss of 79 seats in the House in the 1922 mid-term elections, leaving them with a razor thin majority.[109] The President determined to fill the void of leadership in the party and attempted to take a more aggressive role in setting the legislative agenda.[110]
The Hardings visited their home community of Marion, Ohio, once during the term, when the city celebrated its centennial during the first week of July. Harding arrived on July 3, gave a speech to the community at the Marion County Fairgrounds on July 4, and left the following morning for other speaking commitments.
Joint Session of Congress 1921[edit]
On April 12, Harding called a joint session of Congress to address matters that he deemed of national and urgent importance. That speech, considered his best, contained few political platitudes and was enthusiastically received by Congress. On the economic front, Harding urged Congress to create a Bureau of the Budget, cut expenditures, and revise federal tax laws. Harding urged increased protectionist tariffs, lower taxes, and agriculture legislation to help farmers. In the speech, Harding advocated aviation technology for civil and military purposes, development and regulation of radio technology, and passage of a federal anti-lynching law to protect African Americans. Harding advocated, in terms of foreign affairs, a "conference and cooperation" of nations to prevent war—yet flatly stated that the U.S. should not enter the League of Nations. Harding endorsed peace between all former enemy nations from World War I and the funding and liquidation of war debts.[111]
Domestic policies and economy[edit]
Bureau of the Budget and Veterans Bureau[edit]
Harding signed the Budget and Accounting Act of 1921, considered one of his greatest domestic and enduring achievements.[112] Harding got authorization from Congress for the country's first formal budgeting process—establishing of the Bureau of the Budget.[113] The law created the presidential budget director, who was directly responsible to the President rather than to the Secretary of Treasury. The law also stipulated that the President must submit a budget annually to the U.S. Congress. All presidents since have had to submit an annual budget to Congress.[114] The General Accounting Officewas created to assure oversight in the federal budget expenditures. Harding appointed Charles Dawes, known for being an effective financier, as the first director of the Bureau of the Budget. Dawes reduced government spending by $1.5 billion his first year as director, a 25% reduction, along with another 25% reduction the following year. In effect, the Government budget was nearly cut in half in just two years.[115]
Harding believed the federal government should be fiscally managed in a way similar to private sector businesses. He had campaigned on the slogan, "Less government in business and more business in government."[116] "Harding was true to his word, carrying on budget cuts that had begun under a debilitated Woodrow Wilson. Federal spending declined from $6.3 billion in 1920 to $5 billion in 1921 and $3.3 billion in 1922. Tax rates, meanwhile, were slashed—for every income group. And over the course of the 1920s, the national debt was reduced by one third."[117]
On August 9, 1921, Harding signed legislation known as the Sweet Bill, which established the Veterans Bureau as a new agency. After World War I, 300,000 wounded veterans were in need ofhospitalization, medical care, and job training. To handle the needs of these veterans, the new Veterans Bureau incorporated the War Risk Insurance Bureau, the Brig. Gen. Charles E. Sawyer's Federal Hospitalization Bureau, along with three other bureaus that dealt with veteran affairs.[118] Harding regrettably appointed Colonel Charles R. Forbes, albeit a decorated war veteran, as the Veteran Bureau's first director (see scandal below), a position that reported directly to the President. The Veterans Bureau later was incorporated into the Veterans Administration and ultimately the Department of Veterans Affairs.[119]
Postwar recession and recovery[edit]
Main article: Depression of 1920–21
On March 4, Harding assumed office while the nation was in the midst of a postwar economic decline, known as the Depression of 1920–21. By summer of his first year in office, an economic recovery began.
Harding convened the Conference of Unemployment in 1921, headed by Secretary of Commerce Herbert Hoover, that proactively advocated stimulating the economy with local public work projects and encouraged businesses to apply shared work programs.[120]
Harding's Treasury Secretary, Andrew Mellon, ordered a study that claimed to demonstrate that as income tax rates were increased, money was driven underground or abroad. Mellon concluded that lower rates would increase tax revenues. Based on this advice, Harding cut taxes, starting in 1922. The top marginal rate was reduced annually in four stages from 73% in 1921 to 25% in 1925. Taxes were cut for lower incomes starting in 1923.[121]
Revenues to the treasury increased substantially. Unemployment also continued to fall. Libertarian historian Thomas Woods contends that the tax cuts ended the Depression of 1920–1921 and were responsible for creating a decade-long expansion.[117] Historians Schweikart and Allen attribute these changes to the tax cuts.[122] Schweikart and Allen also argue that Harding's tax and economic policies in part "... produced the most vibrant eight year burst of manufacturing and innovation in the nation's history."[123] The combined declines in unemployment and inflation (later known as the Misery Index) were among the sharpest in U.S. history. Wages, profits, and productivity all made substantial gains during the 1920s.
Daniel Kuehn attributes the improvement to the earlier monetary policy of the Federal Reserve, and notes that the changes in marginal tax rates were accompanied by an expansion in the tax base that could account for the increase in revenue.[124] However:
Robert Gordon, a Keynesian, admits, "government policy to moderate the depression and speed recovery was minimal. The Federal Reserve authorities were largely passive. ... Despite the absence of a stimulative government policy, however, recovery was not long delayed." Kenneth Weiher, an economic historian, notes, "despite the severity of the contraction, the Fed did not move to use its powers to turn the money supply around and fight the contraction." He then briskly concedes that "the economy rebounded quickly from the 1920–1921 depression and entered a period of quite vigorous growth."[117]
However, Paul Krugman demonstrates that the monetary base expanded significantly from 1922 to 1925, and that this expansion was accompanied by a reduction in commercial paper rates.[125] Allan Meltzer agrees that the rising real money stock motivated wealth owners to invest.[126]
Recovery did not last long. Another economic contraction began near the end of Harding's presidency in 1923, while tax cuts were still underway. A third contraction followed in 1927 during the next presidential term.[127]
Farm acts and Radio Conferences[edit]
In 1921 and 1922, Harding signed a series of bills regulating agriculture. The legislation emanated from President Woodrow Wilson's 1919 Federal Trade Commission report, which investigated and discovered "manipulations, controls, trusts, combinations, or restraints out of harmony with the law or the public interest" in the meat packing industry. The first law was the Packers and Stockyards Act, prohibiting packers from engaging in unfair and deceptive practices. Two amendments were made to the Farm Loan Act of 1916 that President Wilson had signed into law, which had expanded the maximum size of rural farm loans. The Emergency Agriculture Credit Act authorized new loans to farmers to help them sell and market livestock. The Capper–Volstead Act, signed by Harding on February 18, 1922, protected farm cooperatives from anti-trust legislation. The Future Trading Act was also enacted, regulating puts and calls, bids, and offers on futures contracting. Later, on May 15, 1922, the Supreme Court ruled this legislation unconstitutional.[107]
On February 27, 1922, Harding implemented the first of a series of Radio Conferences headed by Secretary of Commerce Herbert Hoover. The last Radio Act of 1912 was considered "inadequate" and "chaotic"; change was necessary to help the fledgling radio industry. At the first meeting, 30 representatives—including amateurs, governmental agencies, and the radio industry made "cooperative efforts" to ensure the public interest in broadcasting, who would broadcast, and for what purpose, and to curb direct advertising. Also discussed was how wattage power used by broadcasters would be distributed depending on the radio station's conditional use and location.[128]
A second radio conference was called in 1923, and this time Secretary Hoover successful obtained radio regulation power without legislation. Hoover himself, in January 1923, told the press there was an, "...urgent need for radio regulation." Large radio stations such as Westinghouse advocated that only 25 larger radio stations in large metropolitan areas be allowed to broadcast, while smaller stations would be given limited power. At the end of the meeting, the industrialists agreed to give Hoover the power to, "...regulate hours and wave lengths of operation of stations when such action is necessary to prevent interference detrimental to the public good."[128]
Harding became the first president to have a radio in his office, when on February 8, 1922, he had a radio set installed in the White House so he could listen to news and music as his schedule permitted.[129] On June 14, Harding was also the first president that the American public heard on the new mass medium. He spoke on radio at a dedication site in honor of Francis Scott Key, who wrote the words to the Star Spangled Banner.[80]
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