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Acknowledgments
Notes
Selected Bibliography
Index
Acknowledgments
Some of the evidence for these bold claims about the centrality of
poverty-fighting to the postwar American project comes from a
rather quotidian historical observation: “poverty” as a social problem
occupied an outsized place in the imaginations of Americans in the
years between 1945 and 1980. Indeed, according to Google Ngram,
Americans—and fellow travelers from abroad like Myrdal—spilled
more ink on the topic of poverty during those years than at any time
before or since.20 What makes this especially strange is that all of
this “poverty talk” coincided not with a period of economic crisis and
social unrest but with an era of unprecedented American affluence
and social mobility. In his synthesis of anti-poverty efforts in
American history, historian James Patterson notes this odd fact,
writing that “it is much easier to observe that poverty became a
subject of debate than to explain why.”21
One explanation is surely that “poverty” as a concern had long
been the exclusive domain of liberalism and that liberalism reached
the zenith of its power in American politics during this era. While
“the poor” have been a target of moral uplift in the Anglo-American
tradition dating back to the 1600s, it was only in the middle of the
nineteenth century that “poverty” became what historian Alice
O’Connor calls “an objective, quantifiable condition.”22 Between the
1870s and the beginning of World War I, a newly emboldened
middle class of liberal reformers promoted the idea that “poverty”
was a problem that transcended the moral failings of the individual
poor and that empirical research guided by expert knowledge could
yield solutions to this socially destabilizing phenomenon. Part of a
transnational network, Progressives saw poverty as one aspect of a
much larger economic transformation in modern life, one that was
riven with periods of acute crisis as well as the potential for
previously unimaginable growth. Unwilling to trust Adam Smith’s
“invisible hand,” they sought to make poverty in the industrial city
visible and quantifiable, and from the map to the survey, they set
about creating a body of knowledge that could serve as a
springboard for intervention.23 Even during the Great Depression, a
staggering economic crisis that substantiated the warnings many of
their predecessors had been sounding about the dangers of laissez-
faire capitalism since the 1870s, liberal reformers remained attentive
to poverty as a distinct social and cultural problem and worked to
study and quantify it.24 Indeed, “helping the poor,” as the liberal
political commentator Kevin Drum observed in 2014, has always
been “one of the great causes of liberalism.”25
Yet, after 1945, “poverty” became more than a discrete domestic
social problem for liberals; it became a way to make sense of the
staggering reversal of global economic fortunes that had been
triggered by the war. By 1945, an American economy that had been
brought to its knees just a few years earlier had passed through the
crucible of industrial collapse to produce the greatest concentration
of national wealth that the world had ever known. As year zero of
this new age dawned, a country where one out of every four of men
had been unemployed just a few years earlier was the world’s
economic powerhouse. To be sure, the United States had attained
that status earlier in the century by financing and supplying World
War I, and the 1920s had been a period of glittering affluence at
home. But America in 1945 was more than just a powerful economy.
It was the world’s economic superpower. It possessed two-thirds of
the world’s gold reserves, three-quarters of its invested capital, half
of the world’s supply of shipping, and more than half of its
manufacturing capacity. One out of every three goods constructed
by man or machine on the planet Earth in 1945 was made on
American soil. Its home front relatively unscathed, the United States
possessed some half a million miles of surfaced roads and a quarter
of a million miles of railway track on which to transport people and
things. It had laboring men aplenty too. While 16 million able-bodied
Americans served in uniform, less than 0.4 percent of the US
population had lost their lives in war. Millions and millions more had
kept factories humming, tractors tilling, and cash registers ringing.
The “Arsenal of Democracy” was now the world’s storehouse.26
While the war filled the treasure chest of the United States to
brimming, it pilfered those of almost every other nation-state in the
world. Europe’s capital and labor had been utterly decimated. From
the Azores to the Urals, almost every city, town, and village bore the
deep scars of aerial bombardment. The once-mighty industrial hubs
of France, England, and Germany lay shattered, with their once-
enviable railway lines, roads, bridges, and canals mostly blown to
smithereens. Of course, transportation networks only mattered to
countries that possessed conveyances that could travel across them.
Europe had few such vehicles in 1945. France lost two-thirds of its
merchant marine fleet and 9,200 of its 12,000 locomotives during
the German occupation and Allied liberation. Even in neutral
countries, war impoverished Europeans. The war robbed Europe of
much more than industrial plant and transportation networks—it
stole the lifeblood of its economic strength, its people. Some 36.5
million Europeans died as a result of the war—a number equal to the
entire population of prewar France. In Germany, two out of every
three men born in 1918 did not live to see V-E Day. For those who
managed to survive, hunger and sickness waited around the corner,
as did crippling uncertainty. Few Europeans could be certain of
finding shelter, let alone comfort. In metropolitan London , 3.5
million homes had been bombed into rubble; 75 percent of Berlin’s
buildings were unfit for human habitation. The war had even
deprived Europeans of their jewels of empire, as nationalist uprisings
challenged their rule around the globe. Homeless, malnourished,
depleted Europeans weren’t on the precipice of poverty, they were in
the deepest trough of physical and spiritual ruin. Thus, at a moment
in which affluence at home was more conspicuous than it had been
for an age, American liberals encountered a world marked by unmet
needs and visible deprivation—a world, in short, of poverty.27
While the material contrasts that greeted those American liberals
who traveled to Europe in the aftermath of the war were historically
unprecedented, this was not the first time in American political or
intellectual life that relative affluence provoked the discovery of
poverty. Beyond myths of plenty that dated back to the founding of
the Republic, it had become an undeniable fact that the combination
of industrial capitalism and abundant natural resources had the
capacity to create extraordinary wealth in mid-nineteenth-century
America. That an arcane land tax proposal by a struggling journalist
in San Francisco became a cause célèbre in the 1880s reveals the
extent to which affluence became a source of anxiety for liberals in
the Gilded Age. Henry George opened his Progress and Poverty (187
9) with a litany of the “hundred thousand improvements” that wealth
had made possible for Americans. Yet, that very progress, George
argued, caused poverty because it was not shared equally. George’s
line of critique was especially popular during the last decades of the
nineteenth century, as financial panics sparked mass unemployment
and social unrest against the backdrop of ostentatious wealth.28
While celebrating the conquest of scarcity, Progressive reformers
worried, alongside George, about the immense concentrations of
wealth that laissez-faire capitalism produced and argued for public
policy that might mitigate growing inequality. They began to argue
for a “new liberalism” in response, one that could use public policy to
tame capitalism and ensure a more egalitarian distribution of the
new resources that industrialization had unleashed.29 Progressive
economists, too, endeavored to incorporate abundance into their
analyses and proposals for reform.30
While there were antecedents—Adam Smith, after all, had been
concerned with the “wealth of nations”—it was the Great
Depression, and the advent of macroeconomics, that generated the
tools by which liberal poverty fighters took the measure of America’s
relative wealth and the world’s relative poverty.31 This capacity put
US affluence—and its collapse—in stark relief. Under the revolution
in economic thought that John Maynard Keynes led, collecting
national statistics on capital, labor, and productivity became essential
prerequisites for the formulation of public policy. As historian
Amanda Kay McVety explains, these new ways of measuring the
relative strength or weakness of national economies laid the
foundations for novel thinking about the “global economy.”32 Far
from draining affluence of its political potency, social science
provided new bases upon which liberals could make arguments for
expanding the welfare state during the Depression. Indeed, with his
New Deal, Franklin D. Roosevelt, who was himself an early skeptic
about Keynesianism, argued for America’s capacity to produce
enormous wealth even during the bleakest days of the Depression.
In a manner that would imprint itself upon his liberal acolytes,
Roosevelt used “affluence” as a persuasive tool for mediating class
interests between labor and capital and promoting immediate relief
for the unemployed as well as long-term reform of the economy. As
the midcentury historian David Potter trenchantly observed, “Franklin
Roosevelt… was an apostle of abundance… [who] unhesitatingly
assumed that the country could afford to pay capitalism’s ransom
and to buy reform, too.”33 This was the inheritance that liberals who
came of age during the Depression and New Deal received as they
looked out on the postwar world.
Poverty had long been a central concern for liberals and affluence
a source of anxiety for them, but this moment offered new ways to
understand both and new urgency to act. By 1945, Roosevelt’s
promise of revived abundance seemed to have come true. The
United States had not just survived the Depression; it had conquered
it. Armed with the conceptual tools of macroeconomics and the win-
win political ideology bequeathed to them by the giant of their faith,
a generation of young liberals rediscovered poverty as a global
phenomenon against the backdrop of their country’s own staggering
affluence. For the next three decades, they would argue that using
American affluence to overcome the challenge of “world poverty”
was both a test of the nation’s global leadership and proof of its
worthiness to lead.
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