The New Deal

Byron In Exile

Frederick Fucking Chopin
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by H.L. Mencken, from "A Mencken Chrestomathy"

From Wizards, Baltimore Evening Sun, May 27, 1935. I offer this as a specimen of my polemic against the New Deal, which started in the Spring of 1933 and went on until the approach of the American entrance into World War II adjourned free speech on public questions. I choose the following because it recalls facts about the New Deal personnel and modus operandi that tend to be forgotten.


I take the following from the celebrated New Republic:

In the Autumn of 1933, after General Johnson and his Blue Eagle had done their part, business began rapidly to decline. On a train coming back from a social workers' meeting, Harry Hopkins and his assistant, Aubrey Williams, discussed with apprehension the coming Winter. ... Hopkins said: "Let's take a real crack at this. Let's give everyone a job." The title, the Civil Works Administration, was contributed by Jacob Baker.​

And the following from the eminent Nation:

It is characteristic of Hopkins that he wasted no time meditating upon the stupendous problems and conflicts such a revolutionary scheme might engender. He talked it over with his aides -- Baker, Williams, and Corrington Gill -- and from their discussion there emerged an equally brief memorandum outlining the scheme. With this memorandum in hand he trotted off to the White House one Wednesday afternoon in November. He went merely to enlist Roosevelt's interest. He expected to be told to develop the idea and come back with a fuller outline. He still expected that when he left the White House that evening. But it so happened that he had caught the New Deal Messiah in one of his periods of infatuation with the spending art, and Hopkins literally woke up the next morning to discover that Roosevelt without furthur ado had proclaimed the CWA in effect.​

The money began to pour out on November 16, 1933, to the tune of a deafening hullabaloo. By December 1 more than 1,000,000 men were on the CWA pay roll; by January 18, 1934, the number reached 4,100,000. Press agents in eight-hour shifts worked day and night to tell a panting country what it was all about. The Depression, it was explained, was being given a series of adroit and fatal blows, above, below, and athwart the belt. In six months there would be no more unemployment, the wheels of industry would be spinning, and the More Abundant Life would be on us. Brains had at last conquered the fear of fear.

What actually happened belongs to history. By the opening of Spring, Hopkins had got rid of his billion, and the whole scheme had blown up with a bang. The wheels of industry resolutely refused to spin. The More Abundant Life continued to linger over the sky line. There ensued a pause for taking breath, and then another stupendous assault was launched upon the taxpayer. This time the amount demanded was $4,880,000,000. It is now in hand, and plans are under way to lay it out where it will do the most good in next year's campaign.

Go back to the two clippings and read them again. Consider well what they say. Four preposterous nonentities, all of them professional uplifters, returning from a junket at the taxpayers' expense, sit in a smoking car munching peanuts and talking shop. Their sole business in life is spending other people's money. In the past they have always had to put in four-fifths of their time cadging it, but now the New Deal has admitted them to the vast vaults of the public treasury, and just beyond the public treasury, shackled in a gigantic lemon-squeezer worked by steam, groans the taxpayer. They feel their oats, and are busting with ideas. For them, at least, the More Abundant Life has surely come in.

Suddenly one of them, biting down hard on a peanut, has an inspiration. He leaps to his feet exultant, palpitating like a crusader shinning up the walls of Antioch. How, now, comrade, have you bitten into a worm? Nay, gents, I have thought of a good one, a swell one, the damndest you ever heard tell of. Why not put everyone to work? Why not shovel it out in a really Large Way? Why higgle and temporize? We won't be here forever, and when we're gone, we'll be gone a long while.

But the Fuehrer? Wasn't he babbling again, only the other day, of balancing the budget? Isn't it a fact that he shows some sign of wobbling of late -- that the flop of the NRA has given him to think? Well, we can only try. We have fetched him before, and maybe we can fetch him again. So the train reaches Washington, the porter gets his tip from the taxpayer's pocket, and the next day the four brethren meet to figure out the details. But they never get further than a few scratches, for the Fuehrer is in one of his intuitive moods, and his Christian Science smile is in high gear. Say no more, Harry, it is done! The next morning the money begins to gush and billow out of the Treasury. Six months later a billion is gone, and plans are under way to collar five times as much more.

Such is government by the Brain Trust. Such is the fate of the taxpayer under a Planned Economy. Such is the Utopia of damned fools. I have been careful to take the evidence from unimpeachable sources. If it had come from the Congressional Record I'd have been suspicious of it, for both Houses, as we heard lately from the Fuehrer himself, are full of liars. But the Nation and the New Republic always tell the precise truth, and in the precise sense that it is defined by all idealistic men. Both were howling for a Planned Economy long before the Fuehrer himself ever heard of it, and both hailed the setting up of the Brain Trust as a step forward in government comparable to the Northern Securities decision or the emancipation of the slaves.

Well, then, who is this Hopkins who had that facile inspiration on the train, and made off with that billion so swiftly and so light-heartedly, and is now preparing to get rid of $4,800,000,000 more? I turn to the Nation and the New Republic again: the former printed a monograph on him on May 22, and the latter on April 10. He is, it appears, the son of an honest harness-maker in Sioux City, Iowa. In 1910 or thereabout he was graduated from a fresh-water college in his native wilds, and made tracks for New York. In a little while he had a nice job with the Association for Improving the Condition of the Poor, and then, in 1918, he got a nicer one with the Board of Child Welfare. By 1922 he was beginning to be known as a promising uplifter, and in that year, the Red Cross made him its divisional manager and wikinski at New Orleans. In 1924 he was back in New York to take a better job with the Association for Improving the Condition of the Poor, and a few years later he fell into a still better one as director of the New York Tuberculosis and Health Association. Here he shined so effulgently that when, in 1932, the Fuehrer, then Governor of New York, set up a Temporary Emergency Relief Administration, good Harry was made its director at $12,500 a year. His translation to Washington followed naturally. When he arrived there, according to the New Republic's biographer, he was "received uproariously by the Administration's left wing, and within three months was a national figure." Of such sort are the wizards who now run the country. Here is the perfect pattern of a professional world-saver. His whole life has been devoted to the art and science of spending other people's money. He has saved millions of the down-trodden from starvation, pestilence, cannibalism, and worse -- always at someone else's expense, and usually at the taxpayer's. He has been going it over and over again at Washington. And now, with $4,800,000,000 of your money and mine in his hands, he is preparing to save fresh multitudes, that they may be fat and optimistic on the Tuesday following the first Monday in November, 1936, and so mark their ballots in the right box.

About his associates in this benign work for humanity I can tell you less, for the Nation and the New Republic have failed, so far, to print treatises on them, and "Who's Who in America" is silent about them. "Who's Who" is so hospitable that no less than 31,081 head of Americans, male and female, qualify for its present edition. They include all sorts of one-book authors, third-rate clergymen, superannuated Chautauqua lecturers, and neighborhood busybodies, but a diligent search fails to reveal the Hon. Messrs. Jacob Baker, Aubrey Willians, and Corrington Gill. There is an Ezra Baker who is chairman of the Bunker Hill Monument Association and was formerly chairman of the Boston Licensing Board, and a Rev. George Randolph Baker who is associate secretary of the Board of Education of the Northern Baptist Convention, but the ineffable Jacob is non est. Among the Williamses there is an Anita who is a professional uplifter down in sunny Tennessee and refuses coyly to give the date of her birth, and a Charles B. who is professor of Greek and ethics at Union "University" in the same great State, and an Edward L. F. who is a lecturer in Summer schools, a Rotarian and the editor of the Kadelphian Review of Tiffin, Ohio, but I can't find the genius, Aubrey. Finally, there are eight Gills, including one who wrote "Forest Facts for Schools" and another who is an Elk, a Knight of Pythias, and a Woodman of the World, but nowhere in the book is there any mention of that inspired young man, Corrington.

Of such sort are the young wizards who now sweat to save the plain people from the degradations of capitalism, which is to say, from the degradations of working hard, saving their money, and paying their way. This is what the New Deal and its Planned Economy come to in practise -- a series of furious and irrational raids upon the taxpayer, planned casually by professional do-gooders lolling in smoking cars, and executed by professional politicians bent only upon building up an irresistible machine. This is the Fuehrer's substitute for constitutional government and common sense.
 
thanks

it's a nice specimen of Mencken, illustrating how he lost his edge, using wildly inappropriate invective against "planned economy" and "the Fuehrer" (FDR). FDR planned to leave capitalism largely intact, just as Obama, at present, does. neither is a socialist or advocate of a largely "planned economy". neither acts(acted) like Hitler or Stalin.
gimme a break!

to write about the great depression in terms of working hard, saving, etc. is baloney. unemployment and bank failures are not mentioned.

the assault is like the current rightwing assault on the Bush and Obama bailouts.

however flawed [because of the speed of action) and sometimes ineffective, something had(has) to be done, and the "pure capitalism" crowd and the (right wing of the) Republican Party had (have) nothing to propose except *let the market take its course*.

this would have entailed, in the present case: letting AIG, the largest insurer, Goldman Sachs, and numerous banks amoung the countries largest, to fail; as well as General Motors, Chrysler and a number of related companies.

this, of course, is why Republicans voted for Bush's massive stimulus: to do otherwise was to commit political suicide.

PS: the attack on the "young wizards" is recurring at present. while there is some cronyism, i think both FDR and Obama picked the best brains available. IF there is something wrong with them [as is the case] it's that they are *too much of the capitalist and financial establishment*; it's that they propose TOO LITTLE regulation of banks; it is NOT that they are too left wing or socialist.



mencken Of such sort are the young wizards who now sweat to save the plain people from the degradations of capitalism, which is to say, from the degradations of working hard, saving their money, and paying their way. This is what the New Deal and its Planned Economy come to in practise -- a series of furious and irrational raids upon the taxpayer, planned casually by professional do-gooders lolling in smoking cars, and executed by professional politicians bent only upon building up an irresistible machine. This is the Fuehrer's substitute for constitutional government and common sense.
 
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does this sound like socialism?

is anyone is concerned that capitalism is being abolished by Obama
(as Mencken claimed for FDR):

Two Giants Emerge From Wall Street Ruins

By GRAHAM BOWLEY
Published: July 16, 2009

A new order is emerging on Wall Street after the worst crisis since the Great Depression — one in which just a couple of victors are starting to tower over the handful of financial titans that used to dominate the industry.

On Thursday, JPMorgan Chase became the latest big bank to announce stellar second-quarter earnings. Its $2.7 billion profit, after record gains for Goldman Sachs, underscores how the government’s effort to halt a collapse has also set the stage for a narrowing concentration of financial power.


“One theme here is that Goldman Sachs and JPMorgan really have emerged as the winners, as the last of the survivors,” said Robert Reich, a professor at the University of California, Berkeley, who was secretary of labor in the Clinton administration.


Both banks now stand astride post-bailout Wall Street, having benefited from billions of dollars in taxpayer support and cheap government financing to climb over banks that continue to struggle. They are capitalizing on the turmoil in financial markets and their rivals’ weakness to pull in billions in trading profits.
 
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Adolf Hitler came to power and had Germany out of the Depression with full employment by 1935. This was a while before he started persecuting the Jews and confiscating their property or acting aggressively with his neighbors. All of that was still 2 years in the future.

Our fundamental problem is our hipocracy. We firmly hold Americans to a high standard of living and ship the jobs and factories to nations that use slave-convict labor and the people live in squalor. We then buy their produce for pennies, re-sell it to ourselves in tax sheltered islands, then sell the produce to Wally World shoppers. Something China makes for 25 cents, we buy for $19.95, and Wally World pays tax on 25 cents of 'profit.' Not to mention the 5 million dollar gift the city gave them to build the fucking store.
 
note

Now there's a better paradigm, for sure!


jbj
Adolf Hitler came to power and had Germany out of the Depression with full employment by 1935.


war preparation can do it every time!

one might note, jbj, that for Mencken, at least in this article, there IS NO 'great depression.' everyone just needs to tighten his belt and work hard and let the market sort out issues like bank failures and plant closings.
 
agreed!

walmartization of the economy is one of the biggest issues. walmart is the largest commercial/business entity in the world. exploiting various shelters and subsidies, and just plain using the iron fist of cost undercutting, it's on top of the heap. ordinary americans DO BENEFIT from the goods, the power drills for $20; but they undercut their employment and jobs situation. both Clinton and Bush went out of their way to help walmart, hillary for a time being on its board of directors.


jbj Our fundamental problem is our hipocracy. We firmly hold Americans to a high standard of living and ship the jobs and factories to nations that use slave-convict labor and the people live in squalor. We then buy their produce for pennies, re-sell it to ourselves in tax sheltered islands, then sell the produce to Wally World shoppers. Something China makes for 25 cents, we buy for $19.95, and Wally World pays tax on 25 cents of 'profit.' Not to mention the 5 million dollar gift the city gave them to build the fucking store.
 
Now there's a better paradigm, for sure!


jbj
Adolf Hitler came to power and had Germany out of the Depression with full employment by 1935.


war preparation can do it every time!

one might note, jbj, that for Mencken, at least in this article, there IS NO 'great depression.' everyone just needs to tighten his belt and work hard and let the market sort out issues like bank failures and plant closings.

I'm serious as a toothache. I read his biography. Hitlers attitude was FUCK THE BANKERS PUT PEOPLE TO WORK. You need to understand that until 1932 American bankers confiscated all of German gold, the French confiscated the coal and pork and grain, and the Brits confiscated everything that wasnt on fire in Germany. Hitler stopped it immediately. Germans suddenly had meat and flour and coal and horses and cows. Then Hitler modernized everything, especially everything related to transportation....roads, aircraft, trains, ships, automobiles.

Hoover intended to do the same and had the plans prepared for massive public works projects in the West. Roosevelt used his plans and took credit for them.
 
note to jbj

Hoover intended to do the same and had the plans prepared for massive public works projects in the West.

so you agree that public works projects are part of a solution to the problem. improving infrastructure, ec?

as to this,
Hitlers attitude was FUCK THE BANKERS PUT PEOPLE TO WORK. You need to understand that until 1932 American bankers confiscated all of German gold, the French confiscated the coal and pork and grain, and the Brits confiscated everything that wasnt on fire in Germany. Hitler stopped it immediately. Germans suddenly had meat and flour and coal and horses and cows. Then Hitler modernized everything, especially everything related to transportation....roads, aircraft, trains, ships, automobiles.

it sounds about right, but i don't have much info an H's economic improvements. i'd suspect however, that whatever good there was, e.g. in improved roads, was counterbalanced by war industry (lop sided)_....and ultimately getting Germany bombed.

PS, it's an old argument whether fascism is inherently tending to manifest in militarism and aggression (I'm not sure).... but i will say this, and it applies to the US: if you build a war machine, it's going to get used. hence afghanistan, et.
 
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PURE

I think that anything society needs is a worthwhile endeavor for government endorsement.

Hitler didnt go to war with anyone until late 1939, he was Chancellor for almost 7 years before that. The Allies fucked Germany in the ass for many years and a virile Wehrmach was a good way to stop it. The allies created Hitler.

If Hitler had invaded Russia and left the Jews in peace, he'd have won a Nobel Prize. Even the loss of the Frogs wasnt all that bad.
 
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