Joshua Greene’s Devil’s Bargain is ostensibly about Steve Bannon, arguably mainstream Democrats biggest boogeyman not named Vladimir Putin.
The book, of course, covers his evolution from the Navy to Goldman Sachs, to World of Warcraft, to Hollywood, and to (supposedly) anti-Goldman right-wing crusader. However, the book is really about how three well-financed forces coalesced and resulted in the election of Donald Trump to President of the United States.
In July 1944, a little over a year before the end of WW2, President Franklin Delano Roosevelt looked tired and sick. Publicly, he was taking month-long rests under the guise of war planning. Privately, he was diagnosed with severe hypertension, heart disease, cardiac failure and acute bronchitis.
The stress of leading a nation at war, rehabilitating a depressed economy and a two pack a day cigarette habit had turned his heart into a time bomb. It wasn’t a question of “if”, but “when” FDR would succumb to a major stroke. Most insiders knew in the upcoming election, a Democratic vote for President was really a vote for the Vice President. It was under these conditions that FDR made a decision that transformed the next fifty years of American history. He removed Vice President Henry Wallace from the Presidential ticket.
Prior to the rise of Bernie Sanders, Henry Wallace was the last true Progressive leader to wield national power. A scientist farmer, and capable administrator, Wallace revolutionized American farming as the Secretary of Agriculture. He spearheaded the New Deal’s most revolutionary and innovative programs, fought concentrations of power, and transformed the Federal Government into a leading incubator of scientific research. He spoke openly about the need to end racial segregation, the benefits of international cooperation, and the importance of economic development. When Norman Borlaug won the Nobel Peace Prize for developing disease-resistant wheat–it’s estimated that the hybrid grain saved over 1 billion lives—he credited Wallace as his inspiration. He was also popular. At the time of FDR’s decision, a Gallop poll showed Wallace was overwhelming backed by Democratic voters. “Nationwide,” wrote biographers, John Culver and John Hyde, “Wallace’s support equaled the next three (Vice-Presidential) candidates’ combined.” The man who ultimately replaced him, Harry Truman, a generic Democratic Party loyalist, earned 2 percent.
The question is, why? Why did FDR drop Henry Wallace from the 1944 Presidential ticket? Why did FDR want Henry Wallace, the consummate New Dealer, with vast popularity, and support among key voting-blocs removed? It’s one of the greatest “what-ifs” in American history. Critics argue that Wallace’s sympathetic view towards the Soviet Union would have weakened American interests. Supporters argue he would have ended the Cold War before it started. I don’t think there will ever be a clear answer to this question, but I wanted to illuminate 8 key drivers.
The New Deal, a seminal era in American history, saw government take an active role in promoting the welfare of the citizens. In The New Deal, journalist Michael Hiltzik, tells the story of the people, policies, and actions that shaped the nation.
When you throw away the books and the theory and look behind the curtain to see public and business strategy being implemented something becomes clear: most people have no idea what they are doing. They may speak the language and look the part, but deep down most decision makers do what they think a person in their situation should do. Why outsource production? Because that’s what the book says to do.
Last month Esther Kaplan published a phenomenal article in VQR titled Losing Sparta. In it, Kaplan reviews a recent decision by Philips to close an award winning light fixture manufacturing plant in Sparta, Tennessee. What’s fascinating and important about this story is that there was no business case to outsource the plant’s production. It had it all. It was a days ride from most U.S. markets. It had a brand new production line that could be switched and retooled in minutes. It was named one of the best factories in America by Industry Week. Yet by 2010 the plant was closed and all of the production was shipped to Monterrey, Mexico. Now manufacturing lead times at the plant have ballooned from ten days to eight weeks. Phillips lost nearly a third of their market share in the products previously produced in Sparta.
Why did Philips decide to outsource? The answer is quite simply a lack of critical thought at the executive level. Kaplan explains:
You don’t have to be a policy wonk to marvel at the political skill L.B.J. wielded to resuscitate a bill that seemed doomed to never get a vote on the floor of either chamber. Southern Democrats were masters at bottling up legislation they hated, particularly bills expanding civil rights for black Americans. Their skills at obstruction were so admired that the newly sworn-in Johnson was firmly counseled by an ally against using the political capital he’d inherited as a result of the assassination on such a hopeless cause.
According to Caro, Johnson responded, “Well, what the hell’s the presidency for?”
Read the full book review here