As the progressive movement advanced, Roosevelt advanced with it. He never accepted all the ideas of what he called its “lunatic fringe,” but he took steadily more liberal positions. He always insisted that he was not hostile to business interests, but when those interests sought to exploit the national domain, they had no more implacable foe. Conservation of natural resources was dear to his heart and probably his most significant achievement as president. He placed some 150 million acres of forest lands in federal reserves, and he strictly enforced the laws governing grazing, mining, and lumbering.
As Roosevelt became more liberal, conservative Republicans began to balk at following his lead. The sudden panic that struck the financial world in October 1907 speeded the trend. Government policies had no direct bearing on the panic, which began with a run on several important New York trust companies and spread to the Stock Exchange when speculators found themselves unable to borrow money to meet their obligations. In the emergency Roosevelt authorized the deposit of large amounts of government cash in New York banks. He informally agreed to the acquisition of the Tennessee Coal and Iron Company by U. S. Steel when the bankers told him that the purchase was necessary to end the panic. In spite of his efforts, conservatives insisted on referring to the financial collapse as “Roosevelt’s panic,” and they blamed the president for the depression that followed on its heels.
Roosevelt, however, turned left rather than right. In 1908 he came out in favor of federal income and inheritance taxes, stricter regulation of interstate corporations, and reforms designed to help industrial workers. He denounced “the speculative folly and the flagrant dishonesty” of “malefactors of great wealth,” further alienating conservative, or Old Guard, Republicans, who resented the attacks on their integrity implicit in Roosevelt’s statements. When the president began criticizing the courts, the last bastion Of conservatism, he lost all chance of obtaining further reform legislation. As he said himself, during his last months in office “stagnation continued to rage with uninterrupted violence.”
World History
