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September 30, 2014

Homework Help: History

Posted by Ronda on Tuesday, May 13, 2008 at 3:45pm.

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Explain the pragmatic, political measures Eisenhower used to manage the economy. Explain the politics of consensus.

Eisenhower managed the economy by taking a stands that focused on the problem and how to solve it in the long term, not necessarily for short term purposes. Eisenhower chose to reduce federal spending and the government’s role in the economy rather than use deficit spending and tax cuts to stimulate it. Eisenhower was able to take a pragmatic stands with the Highway Act and the St. Lawrence Seaway Act because both these would add to this country’s economy by creating new jobs. The funding for each of these programs came from user tolls and taxes rather than from general revenues. Eisenhower was able to work with all parties to reach a consensus instead of taking a rigid approach to political ideas. One area he was able to come to a general agreement was with the New Deal programs. He chose not to dismantle New Deal program but to add to their effectiveness. He also increased Social Security, unemployment insurance, and the minimum wage. He also accepted a small federally supported medical insurance plan for the needy, and public housing programs. Eisenhower remained against big government so he rejected liberal proposals on housing and universal health care through the Social Security system.

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