FDR and the Shadow of War: Isolationism, Good Neighbor Policy, and Storm-Cellar Isolationism (1933-1941)

1. MR. Long AP US HISTORY Chapter 34: FDR and the Shadow of War (1933-1941)

2. The London Conference • London Conference (1933) • Goal was to come up with an international fix to the Great Depression. • US was going to send Cordell Hull Sec of State • FDR decided against when Europe wanted to try to stabilize world currency (This would stop his inflationary measures to get out of Depression) • Solidified the US’s stance as isolationists!

3. Isolationists in Diplomacy • With the Depression still looming Americans began to want to shed US territories. • Business’s complained about trade • Farmers complained about lower prices • Congress passed the Tydings-McDuffie Act (1934) which said the Philippines would become independent after 12yrs (1946) • Costs of maintaing Philippines also played a part

4. Good Neighbor Policy • FDR took the “Good Neighbor” stance when it came to Latin America • He wanted to bolster relations to protect the Western Hemisphere (radical governments) • First Test: Mexico seized American oil properties • FDR refused to take military action and came to a settlement. • Good Neighbor Policy was very successful in improving America’s image to Latin America

5. Reciprocal Trade Agreement • Both Cordell Hull and FDR believe in low tariffs. • Low Tariffs = Higher Trade • Reciprocal Trade Agreements Act • Set up low tariff policies • Cut down most offensive parts of Hawley-Smoot Tariff (amended them) • Cut tariffs by up to 50% (if the other nation did the same) • Tariff is a two-way street and FDR knew this! • Started to reverse the trend of high-tariff and start trend of low-tariffs

6. Storm-Cellar Isolationalism • Post WWI chaos and the Great Depression helped spawn totalitarian regimes throughout the world. • Most notably Germany (Hitler), Italy (Mussolini), and the USSR (Stalin)

7. Storm-Cellar Isolationalism • Totalitarian Nation- The individual and his or her rights are nothing; the only thing that matters is the state. • Rome-Berlin Axis: In 1936 Germany and Italy become allies • Tripartite Pact: In 1940 Japan joined Germany and Italy

8. Storm-Cellar Isolationalism • Hitler was the most dangerous because he simply acted on reaction. (Very unstable) • Italy attacked and beat Ethiopia in 1935. • Fascist nations like to prep for war by beating up weaker nations and boasting of their triumph. • America simply stayed isolationist. • We have our own problems and these are an ocean away. • Johnson Debt Default Act: forbid countries that owed money to the US from getting any more loans.

9. Congress Legislates Neutrality • Nye Committee (1934) • Set up to study the idea that munitions producers (Business) only helped start wars and in turn earn a profit. • Neutrality Acts 1935,36,37: • When the president declared foreign war restrictions would start, • Americans could not… • Sail on a belligerent (Nation-at-war) ship • Sell or haul munitions • Or make loans to belligerents • These were to avoid the mistakes that had occurred during WWI. • WWII: no matter how bad one side was (Axis) the US would stay absolutely NEUTRAL.

10. America Dooms Loyalist Spain • The Spanish Civil War (1936-39) was a dress rehearsal for WWII. (mini-version) • Fascist government (Gen. Francisco Franco) fought a republican democratic government. • The US stayed neutral and did not assist the republican government. • Most Americans wanted the Republican gov to win • Said it was their war (Italy) • US did place an oil embargo on the fascist regime

11. America Dooms Loyalist Spain • Germany/Italy did help Franco • Hitler could test his war machines (tanks/planes) knowing he would soon use them. • Munitions build up… • Germany had been building up its military under Hitler a direct violation of the Treaty of Versailles • The US did not build up military for defense • The Navy got weaker. • Congress passed a law to build up the Navy in 1938 (very late), WWII started one year later.