Presidency of Al Smith (No New Deal)

The Presidency of Al Smith began on March 4th, 1933, when he was inaugurated as President, and ended on January 20th, 1941, when his second term expired. The Presidency of Al Smith would be defined by pursuing laissez-faire economic policies in order to combat the Great Depression as well as keeping the United States neutral during the ongoing conflict of World War 2.

Presidency[]

Domestic Policy[]

Economic Policy + Combatting the Depression[]

Throughout his Presidency, Smith would broadly adopt a more laissez-faire approach to dealing with the depression than Hoover had done. On May 15th, 1933; Smith and the Democratic controlled Congress would end up repealing the Smooth-Hawley Tariff Act in order to reduce stress on the economy and with the goal of reconciling with nations targeted by the tariffs with the goal of removing retaliatory tariffs. The repeal of the tariffs and reconciling trade relationships would see some success in raising the nation's gross domestic product. From 1933 to 1935, gross domestic product would rise by 6.5% after having fell 8.5% throughout Hoover's term. Despite success in GDP re-growth, many Midwestern Democrats and Republicans alike had criticized Smith's repeal of the tariffs as deliberately harming farmers and making them more vulnerable. This criticism became more widespread during the outbreak of the Dust Bowl in 1934 which directly harmed farmers in the Midwest. This issue would serve as the central point in the 1936 Presidential Election as the Republican strategy shifted towards using tariffs as a wedge issue to win back the Midwest.

Smith, much like Hoover, also believed that providing economic relief and support to large businesses and industries would be crucial in reducing the economic harm caused by the Depression. In 1933, Al Smith and Congress would lower the top tax rate from 25% to 23%. Smith would also continue to fund Hoover-era projects such as the government funded Reconstruction Finance Corporation. The Reconstruction Finance Corporation would be successful in preventing the shutdown of many banks and stimulating bank lending. However, some believed that Smith's decision to increase funding to the RFC despite decrying government intervention in the depression during the 1932 campaign were hypocritical. Many vocal opponents of the RFC expansion included Republican representative James Wolcott Wadsworth Jr and members of the Senate such as Robert Taft of Ohio.

Hoover-dam-directions — A photo of Boulder Dam (1996)

Opening of Boulder Dam[]

After years in construction, the Boulder Dam would be finished in 1936. President Al Smith would be present at the opening ceremony of the Boulder Dam. Despite the project being referred to as the Hoover Dam by Congress, the Smith Administration would officially name the dam Boulder Dam. Congress would rename Boulder Dam to Hoover Dam in 1947.

21st Amendment + End of Prohibition[]

Since serving as Governor of New York in the 1920s, Smith had been one of the most vocal opponents of prohibition. During the 1932 campaign, one of Smith's promises was to end prohibition and repeal the 18th amendment. With support from Congress, Smith would sign into law the 21st amendment which repealed the 18th amendment and ended prohibition. The amendment had passed Congress by a large margin, gaining support from both Democrats and Republicans alike. The end of prohibition would be popular among the American people as prohibition had proven to be a failure.

Supreme Court Appointments[]

During his tenure Smith appointed five justices to the Supreme Court, Frederick E. Crane (1937-1946), John J. Bennett Jr. (1938-1953), Bennett Champ Clark (1938-1954), Felix Frankfurter (1939-1962), William O. Douglas (1939-1971). Frankfurter and Douglas were the only liberals to be appointed during the Smith administration, while Crane, Bennett and Clark would keep the courts conservative majority.

Nyc-a-man-was-lynched-yesterday-1936-science-source — "A man was Lynched yesterday" flag hangs outside the NAACP headquarters in New York City, 1936

Race Relations[]

Much like prior administrations, the Smith administration handled race relations by largely ignoring them. Smith's administration would not meet with members of the NAACP in order to avoid alienating the Southern Democrats. However, Smith would also not take an explicitly pro-segregation or anti-civil rights position either in order to avoid alienating Northern Democrats who represented urban constituencies. This balancing act to preserve the fragile Democratic coalition The Chicago Defender, a prominent African-American newspaper of the era, would attack Smith's position as "racial cowardice", especially given that Smith had decried lynching and racial violence while he served as governor of New York.

Ultimately, Smith's approach to race issues neither satisfied either side of the Democratic party but was successful in keeping the coalition in tact throughout the 1930s and early 1940s. Smith faced a crisis as his Secretary of War Malin Craig resigned due to America in order to lead the American volunteer corps to fight in World War 2. Smith with a year and a half left of his second term appointed Military Officer Benjamin O. Davis Sr. as Secretary and after a compromise with the legislative branch he became the first African American member of the Cabinet. However, this decision enraged Southern Democrats and is believed to have cost the party the 1940 election. However, Smith would attempt to balance out the outrage by appointing staunch segregationist Strom Thurmond as attorney general, signaling to the Southern Democrats that Smith would not investigate or push on the issue of race. This, however, angered many urban Democrats in northern cities who had large African-American constituencies.

Cabinet[]

Smith’s cabinet consisted of both controversial figures but also some members served full 2 terms. Connections to Hitler and his cause lead to fellow New England Catholic and Attorney General Joseph P. Kennedy Sr. to be impeached in September of 1939 and second September leaving came from the Department of War as Malin Craig resigned to take charge of the American volunteer corps to aid Britain and France in WWII. Malin’s replacement came with protests as Smith wanted to appoint WWI Veteran Benjamin O. Davis Sr. but southern senators objected eventually leading to them being allowed to appoint the Attorney General and South Carolina’s rising star Strom Thurmond was selected and both replacements were sworn in late October. The other member of the cabinet to leave due to WWII was Secretary of the Interior Theodore Roosevelt III who left office to serve in the European Concert and was replaced by Rhode Island Governor Robert E. Quinn. Earlier in the term Secretary of the Treasure William B. Bankhead retired due to health reasons and his brother John H. Bankhead II assumed office.


Position	Name	Term	State
Vice President	John Nance Garner (1868-1967)	January 20, 1933 - January 20, 1941	Texas
Secretary of State	Cordell Hull (1871-1955)	January 20, 1933 - January 20, 1941	Tennessee
Secretary of the Treasury	William B. Bankhead (1874-1940)	January 30, 1933 - July 17, 1938^R	Alabama
Secretary of the Treasury	John H. Bankhead II (1872-1946)	July 20, 1938 - January 20, 1941	Alabama
Secretary of War	Malin Craig (1875-1945)	February 3, 1933 - September 15, 1939 ^R	Missouri
Secretary of War	Benjamin O. Davis Sr. (1880-1970)	October 20, 1939 - January 20, 1941	Washington D.C.
Attorney General	Joseph P. Kennedy Sr. (1888-1969)	March 5, 1933 - September 20, 1939^I	Massachusetts
Attorney General	Strom Thurmond (1902-2003)	October 13, 1939 - January 20, 1941	South Carolina
Postmaster General	Samuel Ealy Johnson Jr. (1877-1948)	January 20, 1933 - January 20, 1941	Texas
Secretary of the Navy	Chester W. Nimitz (1885-1966)	January 27, 1933 - January 20, 1941	Texas
Secretary of the Interior	Theodore Roosevelt III (1887-1944)	February 3, 1933 - September 17, 1939 ^R	New York
Secretary of the Interior	Robert E. Quinn (1894-1975)	October 1, 1939 - January 20, 1941	Rhode Island
Secretary of Agriculture	Walter F. George (1878-1957)	February 5, 1933 - January 20, 1941	Georgia
Secretary of Commerce	Thomas McCabe (1893-1984)	January 28, 1933 - January 20, 1941	Maryland
Secretary of Labor	George Washington Olvany (1876-1952)	January 26, 1933 - January 20, 1941	New York

Notes:[]

^R: Resigned

^I: Impeached

Foreign Policy[]

Italian Invasion of Ethiopia[]

Upon the second Italian Invasion of Ethiopia in 1935, the Smith administration would offer a statement of condemnation over the Italian invasion of Ethiopia. However, no further actions would be taken against Italy until the outbreak of World War 2. This was to appease the large isolationist factions in Congress and to protect US trade interests in Europe.

Attempts to join the League of Nations[]

Initially, the Smith administration would remain aligned with the isolationist factions in the Democratic and Republican parties, favoring non-intervention on the world stage in order to not jeopardize trade relations and prevent foreign entanglement. However, the outbreak of World War 2 and the Sino-Japanese War would see the Smith administration shift towards a more global interventionist stance, as per the advice of Secretary of State Cordell Hull. This would culminate in a legislative push on September 14th, 1939 for the United States to join the league of nation. This push would end up failing in the House, with the motion being referred to the House committee on foreign affairs on October 2nd, 1939 where the motion died.

The USS Panay (pictured) was sunk by Japanese aircraft on 12 December 1937

Second Sino-Japanese War[]

At the outbreak of war in East Asia, Smith wanted to keep the United States out of the conflict in order to protect the country's pacific territories. As a result, the United States would trade with both Japan and China and took actions that did not explicitly benefit one side over the other. However, this approach would change following the sinking of the USS Panay on December 12th, 1937. The attack on the USS Panay would kill 2 people and result in the wounding of 43 US sailors and marines. The USS Panay incident also showed that US interests in the south Pacific were fundamentally at odds with the expansionist agenda of the Japanese Empire.

As the war in China intensified, relations between the United States and Japan would only continue to deteriorate. After the Japanese Invasion of French Indochina in 1940, Congress and the Smith administration would enact an oil embargo on the Japanese on October 28th, 1940.

Outbreak of War in Europe[]

Following the German Invasion of Poland on September 1st, 1939; the Smith administration would condemn German actions taken in Poland. Fear of Fascism had already taken hold in the United States following the expansion of Germany and Italy in Europe in the years prior. Books such as It Can't Happen Here by Sinclair Lewis had already fueled fear of fascism arising in the United States as well as the formation of American fascist movements such as the German American Bund in 1936 and the Silver Legion of America in 1933. Because of this fear, Congress would impeach attorney general Joseph P. Kennedy Sr. in late September 1939.

The Smith administration, while not directly involved in the conflict, would begin sending aid to the British and French governments, as well as encourage volunteers to fight in the war. Secretary of War Malin Craig would step down in 1940 to assist the volunteer corps in their war operations.

This fear and distaste of fascism and Hitler's negative views of American society would culminate with a German declaration of war on the United States in March of 1942.

US-Filipino Soldiers - 1933 — US-Philippine soldiers salute the US flag and flag of the Commonwealth of the Philippines (1936)

Tydings–McDuffie Act + Philippine Independence[]

Ever since the end of the Philippine-American War, the Philippines had been governed as an American territory. There had been discussion over the fate of the Philippines territory since the early 1900s, with some advocating for Philippine statehood. However, there had been a growing Independence movement within the Philippines since the late 1920s. In 1934, Manuel L. Quezon, the President of the Senate of the Philippines, headed a "Philippine Independence mission" to Washington, D.C. It successfully lobbied Congress and secured the act's passage.

The Tydings–McDuffie Act would reorganize the territory of the Philippines into the Commonwealth of the Philippines, an unincorporated and organized U.S. commonwealth. Following the end of World War 2, the Philippines would gain full independence from the United States in 1946.

Elections[]

1932 Presidential Election[]

1936 Presidential Election[]

Al Smith with white top hat — Al Smith at the inaguration of Robert Taft (January 20th, 1941)

Transition "Lame Duck" Period[]

After Robert A. Taft's victory in the 1940 election, Smith would send a letter congratulating Taft on his victory. The last major action that Smith would do as President would be placing an oil embargo on Japan on October 28th, 1940. Taft would spend much of the first year of his presidency attempting to lift this embargo and negotiate with the Japanese in order to ensure US Neutrality.