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In 1902, Texas voters approved of a poll tax that disenfranchised many poor whites and blacks and further limited the possible third-party challenges to Democratic hegemony. The Texas legislature passed many Jim Crow laws, mandating, for example, segregated railroad facilities. Soon Texas, like many southern states, had erected an elaborate legal code that racially segregated public and private facilities. p. 240.
Calvin Coolidge 1923-29 “The chief business of America is business” expressed his concept of the nation's destiny.
The Presidential Election of 1928. Herbert Hoover 1929-33 New York Governor Alfred E. Smith (1873 - 1944)
1929 1933 Banks in operation 25,568 14,771 Prime interest rate 5.03% 0.63% Volume of stocks sold (NYSE) 1.1 B 0.65 B Privately earned income $45.5B $23.9B Personal and corporate savings $15.3B $2.3B
Relief line waiting for commodities, San Antonio, Texas. March 1939. Photographer: Russell Lee.
Countless thousands of honest, hard-working people lost their homes and farms to the foreclosure’s hammer. Breadlines formed, soup kitchens dispensed food, and apple sellers stood shivering on street corners trying to peddle their wares for five cents. Families felt the stress, as jobless fathers nursed their guilt and shame at not being able to provide for their households. Breadless breadwinners often blamed themselves for their plight, despite abundant evidence that the economic system, not individual initiative, had broken down. Mothers meanwhile nursed fewer babies, as hard time reached even into the nation’s bedrooms, precipitating a decade-long dearth of births. (The American Pageant, 13th edition, pp. 761-762.)
Selling apples, Jacksonville, Texas. October, 1939. Photographer: Russell Lee. Many tried apple-selling to avoid the shame of panhandling. In New York City, there were over 5,000 apple sellers on the street.
Squatters in Mexican section in San Antonio, Texas. House was built of scrap material in vacant lot in Mexican section of San Antonio, Texas. March 1939. Photographer: Russell Lee.
Dust storm in the Panhandle, April 14, 1935. Prints and Photographs Collection, Panhandle--sandstorm file, The Center for American History, The University of Texas at Austin; CN 02655. In 1935 the Dust Bowl covered 100 million acres across the western United States. Visibility in Amarillo that year dropped to zero seven times during the first three months, with one blackout lasting eleven hours.
Dust storm approaching Stratford, Texas. Dust bowl surveying in Texas Image ID: theb1365, Historic C&GS Collection. Location: Stratford, Texas. Photo Date: April 18, 1935. Credit: NOAA George E. Marsh Album
Roosevelt consciously abandoned the term “progressive” and chose instead to employ “liberal” to define himself and his administration. In so doing, he transformed “liberalism” from a shorthand for weak government and laissez-faire economics into belief in an activist, socially conscious state, an alternative both to socialism and to unregulated capitalism. (Foner, The Story of American Freedom, pp. 201-204.) Redefining Liberalism Freedom, Hoover insisted, meant unfettered economic opportunity for the enterprising individual. Far from being an element of liberty, the quest for economic security was turning Americans into “lazy parasites” dependent on the state. For the remainder of his life, Hoover continued to call himself a “liberal,” even though, he charged, the word had been “polluted and raped of all its real meanings.” (Foner, The Story of American Freedom, p. 205.)
Governor Ross Sterling, (1931 – 1933) Former President of of Humble Oil and Refining.
Kilgore became the greatest boom town of all oil strikes. In 1931, the immense output drove the price of oil down from over $1 a barrel to 8¢.
When farmers planted their cotton crop in 1931, the market price of cotton averaged 9 to 10 cents per pound; by harvest time, it had fallen to 5.3 cents per pound, where it remained for the next year. p. 325.
A farmer needed at least three times the amount of production in 1931 that he needed in 1928 to pay off the same amount of loan. p. 326.
Early efforts to reduce the production of cotton and raise the price failed. The 1931 cotton crop of 17 million bales was the second largest in history, which only added to the existing surplus of 4.5 million bales held over from 1930 production. (See pp. 326-327.) Huey Long’s proposal to “drop a crop” failed to due opposition from Texas and other states. Overproduction continued to be a problem. Texas Governor Ross S. Sterling Louisiana Governor Huey P. Long Huey Long, governor of Louisiana, proposed a “drop a crop” plan. Under this plan farmers would plant no cotton in 1932, thus solving the cotton-glut problem and raising cotton prices. The cotton-restriction failure and the issue of having sent troops to the oil field damaged Sterling’s reelection campaign. The Texas Cotton Association, an organization of shippers and buyers, and most of the big city dailies opposed Long’s “drop a crop” plan. Cotton Problem: Over Production & Low Prices
THE RETURN OF “FERGUSIONISM,” 1933-1935 Governor Sterling attributed “Ma” Ferguson’s victory in 1932 to voter fraud. In 132 counties, 40,000 more votes were cast than poll taxes paid. Many of these votes came from East Texas, where the Fergusons had strength and Sterling was disliked. Although there was fraud, Ferguson’s victory also lay in the continued support of her husband by poor folk and in the political despair generated by the widening depression. (See pp. 327-328) Miriam “Ma” Ferguson Miriam "Ma" Ferguson is elected governor of Texas for the second time. In protest over political patronage and corruption, 40 Rangers quit the force and the remainder are fired. Political appointees replace them. The governor issued “Special Ranger” commissions to 2,344 men, thus making the force a venue for political patronage.
A Brief Era Of Cooperation Between An Old Texan Democrat And A New Deal Democrat Vice President John Nance Garner (1933-1941) Vice President Garner offered President Franklin D. Roosevelt (FDR) advice on a wide range of matters. However, Garner and FDR gradually split over the New Deal’s swing to the left and the president’s decision to run for a third term. Nonetheless, the crusty West Texan remained a life-long Democrat, if not a supporter of Roosevelt. (p. 329) A prominent Texans becomes Vice President SHORT BIOGRAPHY: John Nance Garner was born in Red River County, Texas, on 22nd November, 1868. After studying law he was admitted to the bar in 1890 and became a lawyer in Texas. A member of the Democratic Party Garner served as a judge in Uvalde County (1893-1896) and in the Texas house of representatives (1898-1902). Garner was elected to Congress in 1903. He served as minority floor leader in the 71st Congress and as Speaker of the House of Representatives in the 72nd Congress. In 1932 Franklin D. Roosevelt selected Garner as his running mate and on 8th November was elected as Vice President of the United States. Roosevelt upset Garner when in 1940 he announced that he intended to stand for a third term. Garner resigned and Henry Wallace took his place. running mate.
FDR made the Houstonian Jesse H. Jones chairman of the Reconstruction Finance Corporation (1933-1939). He also expanded Jones responsibilities with assignments to the Export-Import Bank (1936-1943), the Federal Loan Agency (1939-1945), and as secretary of commerce (1940-1945). Jones was more conservative than were most of his New Deal colleagues, and his disagreement with Roosevelt’s policies led in 1945 to his break with the Democratic Party. (See p. 329.) JESSE H. JONES: AN INFLUENTIAL TEXAN IN THE FDR ADMINISTRATION. JESSE H. JONES Jesse Jones, businessman and New Deal official, with President Franklin D. Roosevelt at the opening of the Texas Centennial, Dallas, 1936. Jones helped save the nations' banking system as chairman of the Reconstruction Finance Corporation.
Texan Congressman Sam Rayburn Texan Congressman Sam Rayburn chaired the important Interstate and Foreign Commerce during the FDR Administration. Rayburn went on to become majority leader and Speaker of the House for most of the time from 1940 to 1961. His ability to manipulate legislation and to work out political compromises won him respect on both sides of the House aisle. (See p. 330.)
Texan Congressman Maury Maverick Congressman Maury Maverick received national acclaim as a New Deal Democrat. After his defeat in the congressional race of 1938, he became mayor San Antonio, and then served as an able administrator of wartime mobilization agencies. (See p. 330.) Congressman Maury Maverick The Maverick political family - Congressman Maury Maverick, Sr., a liberal New Dealer, is sworn in by his father as San Antonio mayor, as Maverick, Jr. looks on.
Texarkana congressman Wright Patman Texarkana congressman Wright Patman won acclaim as a progressive, particularly concerning bank legislation and benefits for veterans. Patman, Johnson (who went to congress in 1937), and Rayburn were the most consistent supporters of Roosevelt throughout his administration. (See p. 330.)
ESTABLISHMENT OF THE FDIC & THE FEDERAL RESERVE SYSTEM RESTORES CONFIDENCE IN BANKING "Let us unite in banishing fear. We have provided the machinery to restore our financial system; it is up to you to support and make it work.“ --FDR RUN ON BANKS President Roosevelt used executive emergency powers granted in World War I to close the nation’s banks for a “bank holiday,” a hiatus that stopped runs on banks. When the bank reopened, they fell under government regulations. The Federal Deposit Insurance Corporation (FDIC) guaranteed deposits up to $5,000 and periodically audited the insured banks. By 1935, the Federal Reserve System controlled interest rates, thereby limiting competition from new (and possibly shaky) banks that might offer more attractive deals to prospective customers. The government also mandated the periodic auditing of banks by various state and federal agencies. These measures restored public confidence in banking. (See p. 330.)
Wagner Act In 1935, Congress passed the Wagner Act, which guaranteed the right of unions to organize peacefully. The New Deal legislation spurred the growth of unions in Texas.
Civil Works Administration (CWA) Work Progress Administration (WPA) Civilian Conservation Corps (CCC) National Youth Administration (NYA) The CWA, WPA, CCC, and NYA all were New Deal agencies that provided employment to the unemployed. The CCC at work The 26-year-old Lyndon Johnson served the Roosevelt administration for two years as state director of the National Youth Administration.
The Agricultural Adjustment Act (AAA) The Agricultural Adjustment Act (AAA), passed in 1933, applied restrictions to cotton, wheat, corn, rice, tobacco, dairy products, and hogs; cattle products were soon added t the list. In Texas, more farmers than in any other state took advantage of crop-reduction contracts. The most significant result for the Texan economy was a dramatic reduction in the amount of cotton produced. Texans sold over 4 million head of cattle, sheep, and goats to the AAA, which spent $27 million to buy these surplus animals, making Texas stockmen by far the largest recipients of this type of aid. Approximately 1,750,000 of the animals were destroyed, with the remainder going to the Federal Surplus Relief Corporation for distribution to the needy. (See pp. 334-335.)
The Rural Electrification Administration (REA) The Rural Electrification Administration (REA) provided low-interest loans and WPA labor to electric cooperatives to lay power lines to rural dwellings. Through these efforts, 17,712 miles of power lines reached 54,000 new customers in Texas at a cost of $16 million. The work of the REA moved Texas farmers into the era of modern amenities and communications and helped break down the isolation of rural dwellings. (See p. 335.)
The New Deal helped induce most African Americans to switch their political allegiance to the Democrats.
LULAC's principal purpose was to fight discrimination against Texas Mexicans.
James V. Allred As attorney general, James V. Allred earned a reputation as an opponent of monopolies and political lobbies. His image as a trust-buster made him popular in Texas. As governor, Allred strongly supported the New Deal and cooperated closely with federal programs for combating the Depression.
In 1937, Hatton Sumners in the House and John Nance Garner in the Senate combined to defeat the President Roosevelt’s plan to increase the number of Supreme Court justices.
Texan Representative Hatton Sumners and Texan Senator Tom Connally help to defeat an anti-lynching bill in Congress in 1937.
John Nance Garner led the new southern Democrat-Republican coalition that opposed further expansion of New Deal programs in the late 1930s.
Martin Dies assumed the chairmanship of the House Un-American Activities Committee, and used his committee to attempt to link FDR and his program to Communist subversion in government and labor unions.
