Prime Minister: Fourth Parliament
In 1935 the Liberals used the slogan "King or Chaos" to win a landslide in the 1935 election. Promising a much-desired trade treaty with the U.S., the King government passed the 1935 Reciprocal Trade Agreement. It marked the turning point in Canadian-American economic relations, reversing the disastrous trade war of 1930-31, lowering tariffs, and yielding a dramatic increase in trade. More subtly, it revealed to the prime minister and President Roosevelt that they could work together well.
The worst of the Depression had passed by 1935, and King implemented relief programs such as the National Housing Act and National Employment Commission. His government also made the Canadian Broadcasting Corporation a crown corporation in 1936, created Trans-Canada Airlines (the precursor to Air Canada) in 1937, and formed the National Film Board of Canada in 1939. In 1938, he transformed the Bank of Canada from a private entity to a crown corporation.
After 1936 the prime minister lost patience when western Canadians preferred radical alternatives such as the CCF (Co-operative Commonwealth Federation) and Social Credit to his middle-of-the-road liberalism. Indeed, he came close to writing off the region with his comment that the prairie dust bowl was "part of the U.S. desert area. I doubt if it will be of any real use again." Instead he paid more attention to the industrial regions and the needs of Ontario and Quebec, particularly with respect to the proposed St. Lawrence Seaway project with the United States. As for the unemployed, he was hostile to federal relief, and only reluctantly accepted a Keynesian solution that involved federal deficit spending, tax cuts and subsidies to the housing market.
Read more about this topic: William Lyon Mackenzie King
Famous quotes containing the words prime, fourth and/or parliament:
“And this must be the prime of life . . . I blink,
As if at pain; for it is pain, to think
This pantomime
Of compensating act and counter-act,
Defeat and counterfeit, makes up, in fact,
My ablest time.”
—Philip Larkin (1922–1986)
“The fourth day of Christmas,
My true love sent to me
Four colly birds,”
—Unknown. The Twelve Days of Christmas (l. 13–15)
“The war shook down the Tsardom, an unspeakable abomination, and made an end of the new German Empire and the old Apostolic Austrian one. It ... gave votes and seats in Parliament to women.... But if society can be reformed only by the accidental results of horrible catastrophes ... what hope is there for mankind in them? The war was a horror and everybody is the worse for it.”
—George Bernard Shaw (1856–1950)