Changes

==Background==

==Background==

Tugwell came from a New York State farm, went from high school to the Wharton School of Business and then began as a teacher at the University of Pennsylvania, the University of Washington and finally Columbia. [[Raymond Moley]], who knew him at Columbia, drafted him for Roosevelt's [[Brain Trust]] in 1932 and when Roosevelt was inaugurated Tugwell was made Assistant Secretary of Agriculture under [[Henry Wallace]].  

Tugwell came from a New York State farm, went from high school to the Wharton School of Business and then began as a teacher at the University of Pennsylvania, the University of Washington and finally Columbia. [[Raymond Moley]], who knew him at Columbia, drafted him for Roosevelt's [[Brain Trust]] in 1932 and when Roosevelt was inaugurated Tugwell was made Assistant Secretary of Agriculture under [[Henry Wallace]].  

Tugwell wrote:  

Tugwell wrote:  

{{Cquote| Planning will become a function of the federal government; either that or the planning agency will supersede the government, which is why, of course, such a scheme will be assimilated to the State.}}

{{Cquote| Planning will become a function of the federal government; either that or the planning agency will supersede the government, which is why, of course, such a scheme will be assimilated to the State.}}

While at the Wharton School, Tugwell was a student of radical professors such as Simon Patten and [[Scott Nearing]].<ref name=patten>[https://books.google.com/books?id=XfX72hARkpsC&pg=PA235 The Institutionalist Movement in American Economics, 1918–1947: Science and Social Control]</ref><ref>[https://books.google.com/books?id=4AIHjFfIQd4C&pg=RA1-PA1842 Managing the Mountains: Land Use Planning, the New Deal, and the Creation of a Federal Landscape in Appalachia]</ref>  There, he drew much inspiration from the writings of [[Thorstein Veblen]].<ref name=sternsher>[https://books.google.com/books?id=qKt2AAAAMAAJ&dq=thorstein+veblen&focus=searchwithinvolume&q=+thorstein+veblen Rexford Tugwell and the New Deal]</ref><ref>[https://books.google.com/books?id=yzsWS6DJ-IAC&pg=PA111 The Clash of Economic Ideas: The Great Policy Debates and Experiments of the Last Hundred Years]</ref>

While at the Wharton School, Tugwell was a student of radical professors such as Simon Patten and [[Scott Nearing]].<ref name=patten>[https://books.google.com/books?id=XfX72hARkpsC&pg=PA235 The Institutionalist Movement in American Economics, 1918–1947: Science and Social Control]</ref><ref>[https://books.google.com/books?id=4AIHjFfIQd4C&pg=RA1-PA1842 Managing the Mountains: Land Use Planning, the New Deal, and the Creation of a Federal Landscape in Appalachia]</ref>  There, he drew much inspiration from the writings of [[Thorstein Veblen]].<ref name=sternsher>[https://books.google.com/books?id=qKt2AAAAMAAJ&dq=thorstein+veblen&focus=searchwithinvolume&q=+thorstein+veblen Rexford Tugwell and the New Deal]</ref><ref>[https://books.google.com/books?id=yzsWS6DJ-IAC&pg=PA111 The Clash of Economic Ideas: The Great Policy Debates and Experiments of the Last Hundred Years]</ref>  Once he went to Columbia University, he attended lectures by [[John Dewey]].<ref name=patten/>

   

   

==Banking crisis of 1933==

==Banking crisis of 1933==

   

   

==Economic planning and the New Deal==

==Economic planning and the New Deal==

The theory of economic planning envisions government bureaus and planning boards mandating what goods will be produced, in what quantities, who the producers shall be,  prices of pre-finished and finished goods, wage levels and compensation of workers, regulations, conditions, etc  Cartels, such as were established in Germany under the [[Third Reich]], would unite with foreign counterparts that would regulate the international flow of goods. The central planning agency would control the banks and the flow of all investment, deciding who will benefit and at what price.  It is essentially a centralized command and control economy, or [[totalitarian]] regime, such as was common throughout the world in the 1930s.  [[James Burnham]] referred to this as the ''Managerial Society'', or rule by the 'experts' and technicians.

The theory of economic planning envisions government bureaus and planning boards mandating what goods will be produced, in what quantities, who the producers shall be,  prices of pre-finished and finished goods, wage levels and compensation of workers, regulations, conditions, etc  Cartels, such as were established in Germany under the [[Third Reich]], would unite with foreign counterparts that would regulate the international flow of goods. The central planning agency would control the banks and the flow of all investment, deciding who will benefit and at what price.  It is essentially a centralized command and control economy, or [[totalitarian]] regime, such as was common throughout the world in the 1930s.  [[James Burnham]] referred to this as the ''Managerial Society'', or rule by the 'experts' and technicians.

[[File:TugwellandRoosevelt.jpg|left|150px|thumb|Secretary Tugwell and FDR]]

[[File:TugwellandRoosevelt.jpg|left|150px|thumb|Secretary Tugwell and FDR]]

==Crash of 1937==

==Crash of 1937==

As hopes for the Second New Deal faded with the onset of the [[Recession of 1937]], a book appeared in early 1938 entitled, ''An Economic Program for American Democracy'' which postulated, "The government must assume full responsibility for maintaining national income at a sufficiently high level to assure full utilization of our human and material resource...The notion that public spending can be safely resorted to as a temporary emergency device must be abandoned."  

As hopes for the Second New Deal faded with the onset of the [[Recession of 1937]], a book appeared in early 1938 entitled, ''An Economic Program for American Democracy'' which postulated, "The government must assume full responsibility for maintaining national income at a sufficiently high level to assure full utilization of our human and material resource...The notion that public spending can be safely resorted to as a temporary emergency device must be abandoned."