1917-33 Changing political environment

Why did the USA enter WW1?

• 1915 Sinking of Lusitania

• USA viewed as British ally to Germany from munition sales

• guarantee of payment of loans to Allies - financial

• public and naval blockade 1915 = trade and financial damage

• Zimmermann telegram

What was the Zimmermann telegram?

Feb 25, 1917

A high German official in German Gov. sent telegram to German Ambassador in Mexico.

Reveals Germany intended to resume unrestricted naval warfare and proposed German alliance to Mexico if US entered the war. 

1915 Sinking of Lusitania

• May 7 1915

• British passenger liner was torpedoed and sunk by German submarine

• killed 1200, 128 who were Americans 

• Pres. Wilson argued neutrality was best course of action

Negative impact of WWI: Income tax rates

Income tax rates doubled during the war to help raise funds.

Number of people expected to contribute grew.

Negative impacts of war: deaths

112 000 had died in the war, more than half died from disease such as typhus and, in 1918, influenza

Negative impact: National debt

National debt increased 658% between 1916-19

tax levels needed to maintain high at the end of the war to service debt

Negative impact of war: Germans

Those with German sounding names faced popular abuse.

Increasing federal control during war

• American industries brought under tight control of gov. e.g. War Industries board set up 1917 to oversee war production and allocation of raw material

• Railways placed under fed. control - Railroad Administration responsible for creating standardized system of timetables

Positive impacts of the war:

• unemployment virtually disappeared

• 19th Amendment passed 

• US faced no war damage 

• real wages were higher in 1918 than 1914, unskilled workers had 20% rise 

Impact of WW1 on domestic politics

• increasingly unpopular federal gov. intervention under Democratic Pres. Wilson

• WW1 endured introduction of prohibition 

• Generated demand for ‘normalcy’ - led to Harding’s election

• Demand for isolationism 

• Red Scare

• Rise of Republicanism 

Red Scare

• 3600 strikes- 1/5 of American workers

• 350,000 steel workers strike leading to propaganda - blamed communists

• bomber destroyed att. general’s house: 

• 6000 communists arrested, 556 deported

Isolationism

• Harding rejected L.O Nations membership

• he recognized Americans more concerned with post-war economic problems 

• “make sure our own house is in perfect order before we attempt the miracle of the old world stabilization