Southern Paternalism and the American Welfare State: Economics, Politics, and Institutions in the South, 1865-1965 (Political Economy of Institutions and Decisions)

Combining insights from economics, political science, and history, Professors Alston and Ferrie show how the timing and extent of the growth of the American welfare state from the Civil War until the mid-1960s was influenced by the Southern agricultural elite. Before the mechanization of Southern agriculture, the rural landed interests had an economic incentive to keep labor cheap and dependent. They accomplished this through their disproportionate political power at the local, state, and national level, which enabled them to maintain a discriminatory legal environment and prevent federal interference in labor relations. Using institutional economics, Professors Alston and Ferrie show how paternalism in Southern agriculture helped shape the growth of the American welfare state in the hundred years following the Civil War. It was an integral part of agricultural contracts prior to mechanization. Paternalism involved the exchange of 'good and faithful' labour services for a variety of in-kind services, most notably protection from physical violence. The Southern landed elite valued paternalism because it reduced monitoring costs and turnover. Workers valued paternalism because of the lack of civil rights. In order to maintain the value of paternalism to their workers, the agricultural interests needed to prevent meddling from the federal government, which they accomplished through their disproportionate political power. Only the advent of mechanization and complementary technology in the late 1950s and early 1960s finally reduced the desire of Southern agricultural interests to fight the expansion of federal welfare programmes Combining insights from economics, political science, and history, Professors Alston and Ferric show how the timing and extent of the growth of the American welfare state from the Civil War until the mid-1960s was influenced by the Southern agricultural elite. Before the mechanization of Southern agriculture, the rural landed interests had an economic incentive to keep labor cheap and dependent. They accomplished this through their disproportionate political power at the local, state, and national level, which enabled them to maintain a discriminatory legal environment and prevent federal interference in labor relations. Using the new institutional economics, Professors Alston and Ferrie show how paternalism in Southern agriculture helped shape the growth of the American welfare state in the hundred years following the Civil War. Paternalism was an integral part of agricultural contracts prior to mechanization. It involved the exchange of "good and faithful" labor services for a variety of in-kind services, most notably protection from physical violence. The Southern landed elite valued paternalism because it reduced monitoring costs and turnover. Workers valued paternalism because they lacked civil rights 1. The Economics Of Paternalism -- 2. The Politics Of Maintaining Paternalism -- 3. Southern Opposition To The Social Security Act -- 4. Southern Opposition To The Farm Security Administration -- 5. The Bracero Program And Wartime Farm Labor Legislation -- 6. Mechanization And The Disappearance Of Paternalism. Lee J. Alston, Joseph P. Ferrie. Includes Bibliographical References (p. 153-163) And Index.