When Abraham Lincoln refused to be nominated to a third term, he felt it became his duty, before he could retire from the Presidency, to choose a successor. The Republican Party had no shortage of names for the 16th President to consider; many of its finest members served in his own cabinet. To many in the party, their were really only two candidates, Lincoln's Secretary of State, William H. Seward, and his Secretary of the Treasury, Salmon P. Chase. While Lincoln avoided showing his support to either individual publicly, behind the scenes it was clear that, between the choices, he supported Seward. In private correspondence though, he lamented that there was a shortage in the Republican Party of like-minded moderates.
The 1868 Republican national convention nominated Seward over Chase due in large part to Lincoln's support, but Chase was also harmed by the depression the United States had entered into since the conclusion of the Civil War. Seward hailed from New York and was a leader of the Radical Reconstructionists. He was balanced on the Republican ticket by David Davis. Davis hailed from Indiana, balancing the ticket East and West, and was considered an invaluable moderate voice in the party and in the nation as a whole. He had served as Lincoln's campaign manager in 1860 and since 1862 had been an Associate Justice on the Supreme Court.
Republican Campaign poster from the election of 1868
The Democratic national convention nominated Thomas Hendricks of Indiana for President and Reverdy Johnson of Maryland for Vice President. Tarnished by the Civil War, the Democrats redeveloped their strategy, choosing to attack Republicans on economic policies and the reconstruction. Nevertheless, the campaign hardly focused on any political issues. Instead, the Republican and Democratic parties both resorted to attacking character. Hendricks, the Republicans asserted, was always disloyal and if elected, he would reverse everything accomplished by the Civil War. Johnson, who had been instrumental in keeping Maryland in the Union and was personally anti-slavery, was accused of having secretly aided the Confederacy and was attacked for having personally fought to keep his slaves at the end of the war. For the Democrats, "Seward's Icebox", Alaska, was routinely used as evidence that a Seward Presidency would waste away the nation's treasury on buying useless colonies around the support European powers. Popular cartoons were circulated throughout the campaign ridiculing Seward's Alaska purchase. In the South, Seward was caricaturized as "Lincoln Junior" - his administration would impose a much harsher Reconstruction and might even take away the white vote altogether. David Davis was alternately displayed as a baby alongside Lincoln Junior, showing a lack of any understanding of politics, or as an uncle-like enabling figure to Seward's ridiculous colonization.
As President, Seward inherited a recession which, by the time of his inauguration, was already in slow recovery. The first year of his administration was marked by improvements in the economy - an end to the Northern manufacturing slump, a revival of agriculture in the South, expansion westward, and a financial and banking boom beginning in 1870. Inflation had set in during the latter years of the Lincoln administration, spurred largely because of the greenbacks issued during and after the Civil War. In 1869, Seward signed the Public Credit Act, requiring the United States to pay debts in gold, halting much of the problem of inflation. A private bonds crisis also carried over from Lincoln's administration, a result of the poor economy that caused many to default on their debts. With the economic boom of the early 1870s, this crisis evaporated as well.
Seward's first term was one of massive popularity, largely driven by the booming economy and the accompanying political stability. The post-Civil War United States became popularly known as "the New Republic", based on the title of one of President Lincoln's books, which also introduced the term "the Second American Revolution". Popular conceptions of the United States, especially in the North, saw the nation as a beacon of republicanism in the world.
Seward capitalized on this feeling to expand the United States' influence across the Western Hemisphere. As Lincoln's Secretary of State, he had already negotiated the purchase of Alaska from Russia, as President his eyes turned immediately toward Santo Domingo. The eastern half of the island of Hispaniola, Santo Domingo had bounced between being a colony of Spain, annexation by Haiti, and instability as an independent state. In November of 1869, the Treaty to Annex Santo Domingo was signed, which would make Santo Domingo an American colony. Seward recalled the Monroe Doctrine, which said that the United States would not tolerate European colonization in the Americas and expanded upon it, saying that it was the role of the United States to ensure stability and promote republicanism in the region. The treaty was approved by the Senate the following summer, further expanding the US' local colonial empire.
In addition to the newly-acquired Santo Domingo, the United States had effective control over Haiti and Panama (and, across the Atlantic, Liberia), where immigrant businessmen owned and controlled huge swaths of land worked largely by emigrated American freedmen. These colonies were not formally owned by the US, but via corporations tied very closely with Congress.
Inspired by the Suez Canal which, by 1869, was nearly complete, bankers, businessmen, members of Congress, and even Seward himself (and Lincoln before him), all advocated a plan to build a canal in Panama with this freedmen labor. In 1870 however, the colonies and settlements in Panama were abandoned and freedmen, aided in their emigration by the Freedmen's Bureau were removed once again, this time to Santo Domingo. The region's inhospitality to life or to canal ensured that any real plan to build a canal in Panama would be delayed by decades.
Seward's successful and popular first term ensured an easy victory in 1872. The Democrats nominated New York Governor John Hoffman for President and William Evans Arthur, a Representative from Kentucky, for Vice President. At first expected to present significant opposition to Seward for the Presidency, Hoffman's campaign fell apart quickly and dramatically when his connections with New York City's Boss Tweed were revealed. Managing to not win even a half-dozen states, the feeble Democratic opposition to the weighty Republican hegemony permitted Seward to rush into a second term with national support not seen for decades. The President's second term would, ironically, mar the name of the Republican Party and reinvigorate that of the Democratic Party.
The first challenge to Seward's amendment to the Monroe Doctrine came within the first year of his second term. On October 31, a crew of 52 and 108 passengers of the
Virginius were captured by Spanish authorities. Accused of piracy for having smuggled supplies into Cuba aiding the revolutionaries there, Spain began executing the crew on November 4. The news spread like wildfire in the US - most newspapers screamed that war was imminent, some of the bolder papers posited that Cuba would be a state within a year. The President, who had declared that he would not tolerate challenges to republicanism in the region, hesitated to react aggressively. A cold realization came that the US was in no position to go to war with Spain. When news of the events reached New York, a Spanish ironclad happened to be anchored in the harbor. The US Navy had no ship capable of challenging it. Tensions remained high, but successful negotiations returned the American prisoners and Spain delivered $100,000 in indemnity for the executions. The next decade would see a complete overhaul and modernization of the US navy, and a return to the question of Spanish colonialism in Cuba.
1873 also brought the "Long Depression" to the United States. Sparked by a sudden deflation of the silver market, bank runs exacerbated the already building debt problems in the US. The 1870 economic boom had infused cash into construction projects across the country, especially railroads in the West and docks on the East coast. With the fall of the silver market, banks and businessmen found themselves suddenly short of capital and with excess bonds now unsellable. The New York stock market closed for ten days on September 20. As huge banks collapsed, railroad companies followed. By 1874, America's economic fortunes stagnated and would remain unstable for over a decade. By 1876, unemployment reached 14%, 18,000 businesses failed, a third of the nation's railroads went bankrupt.
Congress' 1874 Inflation Bill, which released $100,000,000 into the money supply helped to ease the financial panic on Wall Street, but the damage was already done to the nation's economy. As workers fought for a now small market of jobs, riots sparked around the nation. Immigrants were especially hard hit by competition from American workers and by a wave of nativist violence. African-Americans often experienced even greater stigma in finding jobs, especially in the North. Corporate colonies in Haiti, Santo Domingo, and Liberia were abandoned as the economy at home collapsed, driving entire classes of the populations into poverty.
Rail yards in Pittsburgh in flames during the Great Railroad Strike.
Labor strikes, which had long been a threat, suddenly sparked with especial vigor. The Great Railroad Strike of 1876 halted railroad traffic in Pennsylvania and the railroad hubs of Baltimore, Chicago, and Saint Louis. Local law enforcement largely refused to break the strikes and President Seward eventually dispatched federal troops to suppress the strikes and return normal order to the cities affected. Said Thomas Alexander Scott of the Pennsylvania Railroad, "let them eat a diet of rifles for a few days and see how they like that bread." The violent clashes resulted in the death of over 200 railroad workers, with many more injured.
The economic troubles that accompanied Seward's second term affected his administration deeply. In the face of massive debts and threatening bankruptcy, companies turned to bribes to secure special treatment from the government. Aware of the bubbling scandals from beneath, and within, his cabinet, Seward was quick to publicly criticize federal officials and forced many to resign. In addition to these contemporary scandals, the Republican Party was hit hard by the revelation of another, the Crédit Mobilier scandal, which had taken place largely during the Lincoln administration.
This map, The United States, from Alaska to Santo Domingo, illustrates the scale of the United States by the end of Seward's Presidency.
Seward's stay in the White House marked the beginning of a new era of American history. His attention to civil rights for African Americans and Native Americans was a dramatic departure from past attitudes and stood at the forefront of contemporary popular opinion. His dedication to expanding American influence defined the foreign policy of the "new republic" for the remainder of the century. Even the manner in which he entered the White House, all but hand chosen by his predecessor, redefined the role of the Presidency and the Republican Party's dominance over and restructuring of American politics during his administration changed the way political parties organized themselves forever.
Today, Seward is remembered mostly for carrying the banner of the Republican Party (and of Reconstruction) immediately after the far better-remembered Abraham Lincoln and for being responsible for the purchase of Alaska and the annexation of Santo Domingo. Despite this, the achievements and redirection of American political and popular culture at the hands of William H. Seward ensure that he is still ranked very favorably in modern lists of the greatest Presidents of the United States.