President Jesse H. Jones?

When in the past we have discussed potential Democratic presidential candidates in 1940 in the event FDR decided not to seek a third term (whether because the Second World War did not break out in 1939 or for some other reason) the name of a rather conservative Texas Democrat often comes up--Vice President John Nance Garner. However, James Farley claimed that Garner did not really want the presidency in 1940, that his candidacy was just a protest against FDR getting a third term. Let's just assume that this is true, and that if FDR firmly ruled himself out for 1940, Garner would not run.

In that event, might one see another conservative Texas Democrat run for president--Jesse H. Jones, https://en.wikipedia.org/wiki/Jesse_H._Jones the fabulously rich Houston businessman, first appointed to the Reconstruction Finance Corporation by Herbert Hoover (on Garner's recommendation) and then in 1933 made head of the RFC by FDR--a position he occupied for six years?

"In this capacity, Jones became one of the most powerful men in America. He helped prevent the nationwide failure of farms, banks, railroads, and many other businesses. The RFC became the leading financial institution in America and the primary investor in the economy. The agency also facilitated a broadening of Texas industry from agriculture and oil into steel and chemicals. Jones's success in Washington was closely associated with Roosevelt and Garner. Roosevelt realized that his outstanding weakness was his lack of rapport with business. Jones provided a connection as businessmen respected him. Garner and Jones were conservatives, however, and did not always approve of the politics of the New Deal. During Roosevelt's regime, these two were undoubtedly the second and third most influential men in Washington. Jones's control extended to such RFC subsidiaries as the Commodity Credit Corporation, the Electric Home and Farm Authority, the RFC Mortgage Company, the Federal National Mortgage Association, and the Export-Import Bank. Moreover, the RFC helped to finance many public works programs. Jones's tough business acumen made the RFC the most powerful and successful agency in the Roosevelt administration. In 1939 Roosevelt appointed Jones to head the Federal Loan Agency. Jones resigned as head of the RFC, but as Federal Loan Administrator continued overall control of the RFC. He also had general supervision over the Federal Housing Authority and the Home Owners Loan Corporation." https://tshaonline.org/handbook/online/articles/fjo53

The RFC has sometimes been cited as an example of continuity between the Hoover and FDR administrations, but as Arthur M. Schlesinger, Jr. notes,

"Under Jones's leadership, the operation enviasged by Hoover and Mills, strictly limited to bailing out financial institutions, had grown into a powerful instrument of state capitalism. The New Deal RFC was virtually a new agency: it grew into essentially the plan Hoover had so indignantly vetoed in the summer of 1932. 'No one in February, 1932, at which time this Corporation was set up,' Jones said in 1935, 'had the faintest idea as to the extent that it would be called upon to assist business.' By January 1, 1934, it had disbursed two-thirds again as much money in its short twenty-three months of existence as the House of Morgan and its syndicates had disbursed in aggregate underwritings from 1919 to 1933. It was by far the largest single investor in the American economy as well as the biggest bank in the country. By 1938, at the end of its first seven years, it had disbursed $10 billion. Of this, nearly $4 bilion went to financial institutions, nearly $1.5 billion to agriculture, and nearly $1 billion each to railroads and self-liquidating public works - and nearly all was eventually paid back." *The Coming of the New Deal, 1933-1935,* pp. 431-432. https://books.google.com/books?id=mj3VmJ38tHIC&pg=PA432

Anyway, suppose FDR decides to retire, and Jones seeks the presidential nomination. (Again, I'm assuming Garner doesn't run.) Presumably, Jones would not be FDR's favorite candidate--FDR is said to have privately referred to his able but arrogant RFC Chairman (and Secretary of Commerce from late 1940 until early 1945) as "Jesus H. Jones"--but it is not clear to me how much power a lame-duck FDR would have in dictating the nominee in 1940. And of course one thing the Jones campaign will not have to worry about is lack of money. (True, his wealth and business support could count against as well as for him--rivals would be sure to note any contributions Jones got from businesses which had been loaned money by the RFC.)

Remember that the 1936 abolition of the two-thirds rule at Democratic national conventions was a double-edged sword: yes, it made it harder for the South to veto a northern liberal, but it also in theory could make it harder for labor or liberal northerners to veto a southern conservative if he got sufficient support from northern and western businessmen and politcal machines. So I wouldn't count Jones out, given that all his potential rivals had their own disadvantages: Wallace was an ex-Republican and was viewed as a "dreamer," Wheeler's isolationism and break with FDR made him controversial, Farley was a Catholic at a time when Al Smith's loss in 1928 was rightly or wrongly largely attributed to his Catholicism, Hull was not in the best of health, etc. Of course there is also the question of whether if nominated he will win in November, which depends on a number of things, including the world situation and who the Republicans nominate...
 
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When in the past we have discussed potential Democratic presidential candidates in 1940 in the event FDR decided not to seek a third term (whether because the Second World War did not break out in 1939 or for some other reason) the name of a rather conservative Texas Democrat often comes up--Vice President John Nance Garner. However, James Farley claimed that Garner did not really want the presidency in 1940, that his candidacy was just a protest against FDR getting a third term. Let's just assume that this is true, and that if FDR firmly ruled himself out for 1940, Garner would not run.

In that event, might one see another conservative Texas Democrat run for president--Jesse H. Jones...
But did Jones want the nomination? Is there any evidence he ever considered it? Remember, FDR didn't rule himself in, either. Until the convention, no one knew what FDR wanted.


So I wouldn't count Jones out, given that all his potential rivals had their own disadvantages:

Wallace was an ex-Republican and was viewed as a "dreamer"...

Again, was there any evidence that Wallace would seek the nomination? He was controversial enough as VP nominee, even with FDR's backing. I can't see him thinking he could be Presidential nominee, nor anyone else thinking so.

Wheeler's isolationism and break with FDR made him controversial...

He broke with FDR on the "court-packing plan" in 1937, and later over Lend-Lease, but in 1940, I don't think there was any great breach between them, unless maybe it was Wheeler's isolationism. But in 1940, FDR was still soft-pedaling intervention.
Farley was a Catholic at a time when Al Smith's loss in 1928 was rightly or wrongly largely attributed to his Catholicism...

And... he'd never been a candidate for anything. He was notorious as a political manager, fixer, and hatchetman. It would be like nominating Karl Rove for President.

Hull was not in the best of health, etc.

He was 69, which would be stretching it, and a Southerner.

Of course there is also the question of whether if nominated he will win in November, which depends on a number of things, including the world situation and who the Republicans nominate...

If it's Jones vs Willkie, it would be the first time in U.S. history that both parties nominated candidates with no previous political office or candidacy.

Willkie's anti-New Deal stance would still be an appropriate campaign theme - Jones' work at the RFC was a huge part of the New Deal.

One question is whether Jones would have the same first-time candidate problem as Willkie. (In his politics book, Robert Heinlein wrote that the press all agreed Willkie made serious "unforced errors" during his big campaign tour.)
 
Was Jones interested in the presidency? He constantly denied it. When his friend, former Governor Hobby of Texas, urged him to run, he replied, "I would say to you, Governor Hobby, and to others. that I have no political ambitions, no expectations, no hopes. I am part of the present administration. I am in favor of the purposes of this administration. While I realize everything that has been attempted has not worked as it might, I am convinced that, given time, the many laws put on the statute books at Washington during the last six years will function--and will function for the welfare of all the people."

"Despite his repeated demurrals, talk of Jones for president in 1940 was widespread. Harold Ickes and President Roosevelt had mentioned the possibility back in 1936. [Drew] Pearson and [Robert] Allen mentioned it all the time. At the start of the year, Elliott Roosevelt, the president's son, promoted Jones and predicted, 'The time will soon come for a Texan to be elected to the presidency of the Unites Stattes. Postmaster [General] Jim Farley...favored the idea. He did not think the president should stand for a third term and neither did Vice President Garner..." Steven Fenberg, *Unprecedented Power: Jesse Jones, Capitalism, and the Common Good* (College Station: Texas A & M University Press, 2011), pp. 330-331. https://books.google.com/books?id=4ekeAgAAQBAJ&pg=PA330

In fact, support for Jones was bipartisan. Congressman Hamilton Fish said in 1937, "I have the greatest respect and admiration for the Honorable Jesse Jones, and if you Democrats decide to make him your candidate for the presidency in 1940, it would suit me." Fenberg, p. 276. https://books.google.com/books?id=4ekeAgAAQBAJ&pg=PA276 In 1937 the Senate renewed the RFC for three years by a 74-1 vote, largely because of its confidence on Jones. The RFC was easily the most popular New Deal agency--it not only saved businesses but managed to make a profit doing so, since almost all of its loans were repaid.

(Incidentally, this was not the first time Jones had been talked about as a presidential candidate. When the 1928 Democratic national convention was--largely through the efforts of Jones, who was finance chairman of the Democratic National Committee--held in Houston, the Texas delegates voted for him as president, though it was obviously a symbolic gesture, since everyone knew Al Smith had the nomination wrapped up.)

In all likelihood, Jones was sincere about not intending to run, but I don't think it inconceivable he could have changed his mind if FDR had definitely decided not to run and Garner had urged that Jones, rather than himself, be the Texan in the race...
 
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