Warren G. Harding Administration (1921–1923)

The Warren G. Harding administration (1921–1923), though brief due to Harding’s untimely death, was marked by a desire to return the country to normalcy following World War I and the progressive upheavals of the previous decades. As the 29th President, Harding sought to stabilize the economy, reduce government intervention, and restore public faith in the presidency. However, his administration became infamous for corruption scandals that tainted his legacy.

Key Themes of the Harding Administration

1. Return to Normalcy: Harding’s campaign slogan, emphasizing peace, stability, and a rejection of Progressive and Wilsonian activism.
2. Economic Focus: Advocated for pro-business policies, tax cuts, and tariff protections to foster post-war recovery.
3. Corruption and Scandals: Despite Harding’s personal popularity, his administration was plagued by scandals, most notably the Teapot Dome Scandal.
4. Isolationist Foreign Policy: Emphasized disengagement from European conflicts and limited international obligations.

Domestic Policies and Achievements

1. Economic Policy

Harding’s administration prioritized business interests and economic recovery:

• Revenue Act of 1921:
  • Reduced income tax rates, particularly for the wealthy, and repealed wartime excess profits taxes.
  • Marked the beginning of a series of tax cuts during the 1920s aimed at stimulating investment.
• Budget and Accounting Act (1921):
  • Created the Bureau of the Budget (now the Office of Management and Budget) to streamline federal spending.
  • Established the General Accounting Office (GAO) to audit government accounts and increase fiscal accountability.
• Tariff Policy:
  • Passed the Fordney-McCumber Tariff Act (1922), which raised tariffs to protect American industries but hindered international trade and contributed to global economic tensions.

2. Labor and Social Issues

• Labor Strikes:
  • Harding adopted a conciliatory approach to labor disputes, avoiding heavy-handed interventions.
  • Supported limiting strikes in critical industries, reflecting his pro-business stance.
• Racial Issues:
  • While Harding expressed support for civil rights in public speeches, including advocating for anti-lynching legislation, such efforts were blocked in Congress.
  • Appointed African Americans to some government positions but did not challenge systemic racism or segregation.
• Veterans’ Affairs:
  • Established the Veterans Bureau to support returning World War I veterans, though this agency later became embroiled in scandals.

3. Scandals and Corruption

The Harding administration is best remembered for corruption scandals involving cabinet members and other officials:

• Teapot Dome Scandal:
  • Secretary of the Interior Albert B. Fall secretly leased naval oil reserves at Teapot Dome, Wyoming, and Elk Hills, California, to private companies in exchange for bribes.
  • Fall became the first U.S. cabinet member to go to prison.
• Veterans Bureau Scandal:
  • Director Charles R. Forbes embezzled millions of dollars from the agency meant to support veterans, leading to his conviction.
• Attorney General Scandals:
  • Attorney General Harry Daugherty was accused of accepting bribes and misusing his office, though he was never convicted.

Harding himself was not implicated in these scandals but was criticized for appointing corrupt and incompetent officials.

Foreign Policy

Harding’s foreign policy reflected isolationist tendencies and a desire to limit U.S. involvement in international conflicts:

• Washington Naval Conference (1921–1922):
  • Hosted by Harding, this conference resulted in agreements to limit naval armaments among major powers, including the U.S., Britain, and Japan.
  • Marked a significant step toward arms control and reducing the risk of naval conflict.
• Isolationism:
  • Declined to join the League of Nations, consistent with Republican opposition to Wilson’s internationalist vision.
  • Advocated for limited international engagement, focusing on promoting peace through treaties and economic agreements.

Death and Succession

• Harding died suddenly of a heart attack or stroke on August 2, 1923, while on a cross-country speaking tour in San Francisco.
• His vice president, Calvin Coolidge, succeeded him and continued many of Harding’s policies while distancing himself from the scandals.

Legacy

1. Economic Growth: Harding’s pro-business policies contributed to the economic prosperity of the Roaring Twenties, though some argue they exacerbated income inequality and speculative bubbles.
2. Reputation for Scandal: The corruption in his administration overshadowed his achievements and tarnished his legacy.
3. Isolationist Influence: Harding’s foreign policy set the stage for continued isolationism during the interwar years.

Despite his popularity during his lifetime, historians often rank Harding among the least effective presidents due to his administration’s scandals and lack of substantive policy innovation. Would you like details on the Teapot Dome Scandal, the Washington Naval Conference, or his successor, Calvin Coolidge?