(3 of 4)
The Visionary. Next day it was Henry Wallace's turn. Having walked the three miles from his Wardman Park apartment hatless in a raw wind, he arrived pink-cheeked and just nine minutes late. He, too, got a cheer from the crowd—his friends, this time. He, too, got quickly to what he believed to be the point:
"There are some who have suggested that this separation of the lending functions from the Commerce Department is desirable because of my alleged 'lack of experience.' . . . This talk does not fool me or the American public. I know that it is not a question of my lack of experience. Rather it is a case of not liking the experience I have. . . ."
Wallace then pointed out that, as Secretary of Agriculture (1933-40) he had supervised more than 12,000,000 individual loans, totaling $6 billion. Said he: "I am proud of our financial record." He added: "But the real issue [at stake] is whether or not the powers of the RFC are to be used only to help big business or whether these powers are also to be used to help little business and to help carry out the President's commitment of 60,000,000 jobs. . . ."
Thereupon, Henry Wallace launched into as clear, bristling and forthright a political speech as he has ever made. (Even Senator Vandenberg complimented him on his " able presentation.") Henry Wallace talked of implementing the President's "Economic Bill of Rights": of more jobs and more foreign trade, of increased post war production and a continued high national income, of high wages and a guaranteed annual wage, of safeguarding free enterprise for private industry and blasting monopolies and cartels, of more houses and better roads, of public works and more TVAs, of health insurance and expended social security and more education. All this he promised — and reduced taxes, too. Also a reduction in the national debt.
The Politician. It was a breathtaking vision, and the clear implication was that the huge lending powers of RFC could help to bring it all about.
Two hours of inquisition failed to shake Henry Wallace, except that Chairman Bailey forced him into a shadowy corner on the question of equity financing.
Then it came Senator Brewster's turn: "Is it correct that the chief emphasis on rewarding you with this job is for your political activities?"
Wallace: "I have never felt I was primarily a political figure, but I am glad to be recognized as having some competence in that field."
Brewster: "You will agree that the President is a pretty good judge of politicians?"
Wallace: "It looks like I have passed the first grade."
The Conflict. But at week's end there was some doubt that Henry Wallace would make the grade at all. He seemed certain to be shorn of the powers of Federal Loan Administrator. And the Commerce Committee, by a 14-to-5 vote, had also adopted an unfavorable report on his nomination for Commerce Secretary. There was a bare chance he might win confirmation in the full Senate, but his foes stoutly believed they had him licked.