Domestic Policy Under Kennedy 1961-63

Democratic control of Congress remained, 64-36 majority in Senate and 263-174 in the House. 

Kenndey's youth and energy popular with young voters. Nixon four years older but came from different political generation. TV debates of 1960, Nixon came across badly whereas Kennedy came across prepared and fresh. 

Kennedy campaign criticised Republicans for drift in foreign & domestic policy. U2 spy plane caught the Eisenhower administration lying. 

Kennedy made civil rights issue and criticised Republicans for not acting. Black votes vital in securing Kennedy's victory (70% to 30%) won black vote. 

Many within party not confident about Kennedy. He was a catholic, worried many voters- in southern states. 

Key issue was how to extend prosperity of 1950s to all groups, including minority groups. 

Kennedy excited many Americans, new era to politics. Buzz around his campaign and his administration. 

Kennedy spoke of new approach to politics, in his inaugural speech he outlined goals of his 'New Frontier' programme. 

Key areas:

• Uncharted areas of space and science 
• Unsolved problems of peace and war
• Unanswered questions of poverty and surplus 
• Unconquered pockets of ignorance and prejudice 

Require: 'Invention, innovation, imagination'

Eisenhower had left with inflation at 3.5%, unemployment at 6.5%. Economic growth his domestic priority as essential for America to strengthen its position in the world. 1963 $10 billion tax cut put before Congress- not passed until after his assassination. 

Prioritised unemployment and pursued several policies aimed at job creation. 1962 Trade Expansion Act cut tariffs to encourage trade. Able to cut taxes for business under the Revenue Act, gave $1 billion tax credits for investment and equipment. 

Foreign policy impact. Increased spending on defence (and space exploration) by 20%- ammounted to $25 billion, helped promote prosperity at home. 

Encouraged further growth through federal spending. States were encouraged to apply for, spend, federal grants for housing, schools, highways, create employment. Resulted in fall of employment to 5.3% by 1964. 

Economic policy brought him to conflict with US steel. Kennedy asked for price rises and higher wages in line with increased productivity. Lead to higher inflation, inflation stayed below 1.3%.

1950s was a period of great affluence, though many Americans lived in poverty. 

• average rural wage less than 50 cents an hour 
• Military found a third of recruits unfit, due to poor living conditions 
• Poverty not confined to one group or racial group 

Kennedy increased minimum wage to $1.25 an hour, extending it to retail professions.

1962 Manpower Developement Act: $435 million for school and job training.

Proposed $2 billion public works programme, rejected by Congress

1961 Area Redevelopment Act: grants and loans for training, development, facilities. Government spent $500 million on schemes and programmes. 

Criticised for not achieving in practial terms, Housing Act, helped developers more than poor

Found it difficult to make achievements in health & education. 1963 Higher Education Facilites Act: $145 million grants for graduate schools, science, language and engineering. 

1961 the National Indian Youth Council formed 

1962 Hispanic rights movement 

Feminist movement most significant:

• Women half the workforce 
• 95% managers were men 
• 4% lawyers women
• 7% doctors women 
• Women earned 55% of a man for same job 

Publication of 'The Feminine Mystique' Betty Friedan (1963). WW2 opportunities for women, returning soldiers, women removed from positions. 

New Frontier, Equal pay act 1963. 

Youth movements to be apolitical.