Analysis: Truman's State of the Union Speech

Date: January 5, 1949

Author: Harry S. Truman

Genre: speech

Summary Overview

At the end of the 1940s, life in the United States was finally returning to normal after World War II. However, the country faced several issues as it entered this peaceful period. Millions of returning soldiers needed civilian jobs. Industrial and agricultural production was high, but still insufficient to meet consumer demand. Economic inflation raised the price of goods. Ongoing struggles between private businesses and labor unions threatened to result in strikes and walkouts. Additionally, social issues that had been obscured by the war returned to light, including unaffordable health care, underperforming schools, and discrimination in employment and educational opportunities.

In his 1949 State of the Union address, President Harry S. Truman offered specific recommendations for issues such as the ongoing labor disputes. For other concerns, such as the need to increase production and employment opportunities, he offered general encouragement for private businesses to cooperate with the federal government to implement effective solutions.

Defining Moment

As the 1940s ended, American life was settling back to normal after the disruptions of World War II. The United States did not suffer severe infrastructure damage, but faced its own postwar issues nonetheless. Millions of soldiers returned from war needing civilian jobs, but companies slowed production due to decreased need for wartime goods. Many feared a repeat of the recession of the early 1920s, when the large influx of returning soldiers from World War I combined with a similar decrease in demand to create widespread unemployment, poverty, starvation, and housing crises.

To avoid a similar economic catastrophe, the federal government created the Employment Act of 1946. The act stated that the federal government would use “all its resources to promote maximum employment, production, and purchasing power” in a manner consistent with the spirit of free and competitive enterprise and general welfare. It did not contain any specific provisions; instead, it left the implementation of its ideals to the administration.

An important part of maintaining purchasing power required combating postwar inflation. Inflation occurs when prices in a market show a marked upward trend over time, decreasing purchasing power as the consumer is able to purchase fewer goods with the same amount of money. After the war, Americans had money to spend, but fewer options for where to spend it. Many manufacturers of consumer goods, such as automobiles, had retooled to produce wartime goods, such as fighter planes. New goods were in short supply while these factories shifted back to normal production, which drove up the prices for the limited items that were available. Some inflation can indicate a healthy growing economy, but too much long-term inflation leads to consumers spending their savings trying to afford basic items, such as food and housing.

Struggles between business owners and labor unions also affected the US economy following the war. The pro-union Wagner Act, passed in 1935 as part of President Franklin D. Roosevelt's New Deal, gave employees the right to unionize and obligated employers to bargain collectively with the employees' unions. But by 1947, high-profile labor strikes had turned both public opinion and the federal legislature against labor unions. Passed over presidential veto in June 1947, the Taft-Hartley Act amended the Wagner Act to restrict unions' organizing and bargaining powers. The federal government and the National Labor Relations Board struggled to find a solution that protected workers from unfair labor practices while allowing for a free market.

The return to normalcy after World War II also revealed shortcomings elsewhere in the American social structure. Social security benefits were insufficient to support citizens in their retirement years, many Americans could not afford health care, public schools were underperforming, and discrimination in education and employment persisted. In his 1949 State of the Union speech, President Harry S. Truman addressed these issues and proposed several specific solutions and guiding principles to encourage Congress, private businesses, and the American people to work together toward a resolution.

Author Biography

Harry S. Truman was born in Lamar, Missouri, on May 8, 1884. He was a member of the Missouri National Guard from 1905 to 1911, and when the United States entered World War I in 1917, he helped to put together the 2nd Regiment of Missouri Field Artillery, which was called to duty and sent to fight in France. A few years after his return, Truman was elected a Jackson County Court judge in Missouri, becoming presiding judge in 1926. In 1934, Truman was elected to the US Senate and reelected in 1940. During his terms, he notably championed the Civil Aeronautics Act of 1938 and the Transportation Act of 1940. In 1945, Truman was sworn in as vice president under Roosevelt. When Roosevelt died unexpectedly less than three months later, Truman became the thirty-third president. After serving two terms, he retired from the presidency in 1953 and died on December 26, 1972.

Document Analysis

President Harry S. Truman begins his State of the Union address by enumerating the positive qualities of Americans. These include the desire to eradicate poverty and injustice, and the belief that prejudice should not bar a US citizen from obtaining an education or job for which he is qualified. He praises the strength of the US economy, adding that the federal government must cooperate with industry, labor, and farmers to keep it running smoothly.

Truman cites public investments in highways, hydroelectric power, soil conservation, and the Social Security system to illustrate how the federal government has been providing for the future needs of Americans. He emphasizes that these federal initiatives helped to improve productivity in the private sector, including a 45 percent increase in agricultural production and a 75 percent increase in industrial production.

However, Truman also calls attention to problems facing the United States. Prices for goods are high, and production of consumer goods is insufficient to meet demand. Minimum wages are low, and small businesses are suffering as large corporate monopolies grow. Poor families continue to live in unsafe environments, medical care is sometimes unaffordable even for those who are employed, and too many schools provide children with inadequate education.

Truman stresses that the federal government cannot solve these problems alone. An effective long-term solution requires the cooperation of private businesses, who must continue to create jobs and increase production. He observes that business should take the long view and work to avoid the cycles of boom and bust, planning for slow, steady expansion. The Employment Act of 1946 was passed to help curb inflation, and he outlines several recommendations to further this goal. In part, he recommends repealing the Taft-Hartley Act and reenacting the Wagner Act, increasing the federal minimum wage, establishing additional price supports for farmers, and expanding modern conveniences, such as electrical service in rural areas.

Truman also emphasizes the need to wisely manage land, water, forests, and other natural resources, proposing that conservation not “lock up” resources, but instead invest in future progress. He recommends developing rivers for power, irrigation, navigation, and flood control, as well as exploring undersea petroleum reserves.

In addition to economic concerns, Truman mentions matters related to Americans' standard of living. He highlights Social Security, health, education, housing, and civil rights and observes that there is much room for improvement in these areas. He believes that the Employment Act of 1946 will motivate private businesses to help solve these problems by, for example, providing financial incentives to construct affordable housing and encouraging further cooperation.

Truman concludes by noting that the “driving force behind our progress is our faith in our democratic institutions.” The world looks to the United States for leadership, he states, because of the way it has successfully enacted the principles of democratic government to the benefit of its people.

Bibliography and Additional Reading

Anslover, Nicole L. Harry S. Truman: The Coming of the Cold War. New York: Routledge, 2014. Print.

De Luna, Phyliss Komarek. Public versus Private Power during the Truman Administration: A Story of Fair Deal Liberalism. New York: Peter Lang, 1997. Print.

Donovan, Robert J. Tumultuous Years: The Presidency of Harry S. Truman, 1949–1953. New York: Norton, 1982. Print.

Steelman, Aaron. “Employment Act of 1946.” Federal Reserve System. Federal Reserve Bank of Richmond, 22 Nov. 2013. Web. 23 Feb. 2015.