Corporate Influence and World War II: Resolving the New Deal Political Stalemate

Abstract

Since many scholars focus on the New Deal as the foundation for modern U.S. governance, it is widely assumed that the United States is characterized by a weak state as compared to the welfare states of Western Europe. Yet, in the wake of World War II, the United States established a national security “warfare state” that rivaled the welfare states of Western Europe in scope of authority and operations and in its isolation from popular forces. The wartime redirection of U.S. state power also resolved the political stalemate stemming from the executive-congressional and business-government tensions roused during the New Deal. In fact, the course of wartime statebuilding was in many ways a response to the political tensions of the New Deal and to the expectation that the organization of wartime mobilization would indelibly define the postwar organization of U.S. state power. As this article argues, wartime mobilization resolved the New Deal political stalemate in large part by granting various segments of the corporate community the opportunity to influence the shape of U.S. national state power.