W.L.M. King

William Lyon Mackenzie King (December 17, 1874 – July 22, 1950) was a Canadian statesman and politician who served as the tenth prime minister of Canada for three non-consecutive terms from 1921 to 1926, 1926 to 1930, and 1935 to 1948. A Liberal, he was the dominant politician in Canada from the early 1920s to the late 1940s. King is best known for his leadership of Canada throughout the Great Depression and the Second World War. He played a major role in laying the foundations of the Canadian welfare state and established Canada's international reputation as a middle power fully committed to world order. With a total of 21 years and 154 days in office, he remains the longest-serving prime minister in Canadian history.

Born in Berlin, Ontario (now Kitchener), King studied law and political economy in the 1890s and became concerned with issues of social welfare. He later obtained a PhD – the only Canadian prime minister to have done so. In 1900, he became deputy minister of the Canadian government's new Department of Labour. He entered the House of Commons in 1908 before becoming the federal minister of labour in 1909, serving under Prime Minister Wilfrid Laurier. After losing his seat in the 1911 federal election, King worked for the Rockefeller Foundation before briefly working as an industrial consultant. Following the death of Laurier in 1919, King acceded to the leadership of the Liberal Party and won a by-election to re-enter the Commons shortly after. Taking the helm of a party bitterly torn apart during the First World War due to the Conscription Crisis of 1917, he unified both the pro-conscription and anti-conscription factions of the party, leading it to victory in the 1921 federal election.

King established a post-war agenda that lowered wartime taxes, moderately reduced tariffs, and developed the national capital, Ottawa. He strengthened Canadian autonomy by refusing to support Britain in the Chanak Crisis without Parliament's consent and negotiating the Halibut Treaty (which managed depleting halibut stocks) with the United States without British interference. In the 1925 election, the Conservatives won a plurality of seats, but the Liberals negotiated support from the agrarian Progressive Party and stayed in office as a minority government. In 1926, facing a Commons vote that could force his government to resign, King asked Governor General Lord Byng to dissolve parliament and call an election. Byng refused and instead invited the Conservatives to form government, who briefly held office but lost a motion of no confidence. This sequence of events triggered a major constitutional crisis, the King–Byng affair. King and the Liberals decisively won the resulting election. After, King sought to make Canada's foreign policy more independent by expanding the Department of External Affairs while recruiting more Canadian diplomats. His government also introduced old-age pensions based on need and removed taxes on cables, telegrams, and railway and steamship tickets. King's slow reaction to the Great Depression led to a defeat at the polls in 1930 at the hands of the Conservatives.

The Conservative government's response to the depression was heavily unpopular, and thus, King returned to power in a landslide victory in the 1935 election. Soon after, the economy was on an upswing. King negotiated the 1935 Reciprocal Trade Agreement with the United States, passed the 1938 '' National Housing Act'' to improve housing affordability, introduced unemployment insurance in 1940, and in 1944, introduced family allowances – Canada's first universal welfare program. The government also established Trans-Canada Air Lines (the precursor to Air Canada) and the National Film Board. Days after the Second World War broke out, Canadian troops were deployed. The Liberals' overwhelming triumph in the 1940 election allowed King to continue leading Canada through the war. He mobilized Canadian money, supplies, and volunteers to support Britain while boosting the economy and maintaining morale on the home front. To satisfy French Canadians, King delayed introducing overseas conscription until late 1944. Even when the policy was introduced, he prevented an uprising in Quebec with the assistance of his cabinet ministers Ernest Lapointe and Louis St. Laurent. The Allies' victory in 1945 allowed King to call a post-war election, in which the Liberals lost their majority government. In his final years in office, King and his government partnered Canada with other Western nations to take part in the deepening Cold War, introduced Canadian citizenship, and successfully negotiated Newfoundland's entry into Confederation. A modernizing technocrat, he wanted his Liberal Party to represent liberal corporatism to create social harmony.

After leading his party for 29 years, and leading the country for years, King retired from politics in late 1948. He died of pneumonia in mid-1950. King's personality was complex; biographers agree on the personal characteristics that made him distinctive. He lacked the charisma of such contemporaries as Franklin D. Roosevelt, Winston Churchill, or Charles de Gaulle. Cold and tactless in human relations, he lacked oratorical skill and his personality did not resonate with the electorate. He had many political allies but very few close personal friends. He kept secret his beliefs in spiritualism and use of mediums to stay in contact with departed associates and particularly with his mother, and allowed his intense spirituality to distort his understanding of Adolf Hitler throughout the late 1930s. Historian Jack Granatstein notes, "the scholars expressed little admiration for King the man but offered unbounded admiration for his political skills and attention to Canadian unity." King is ranked among the top three of Canadian prime ministers.

Early life (1874–1891)

King was born in Berlin, Ontario (now known as Kitchener), to John King and Isabel Grace Mackenzie. His maternal grandfather was William Lyon Mackenzie, first mayor of Toronto and leader of the Upper Canada Rebellion in 1837. His father was a lawyer and later a lecturer at Osgoode Hall Law School. King had three siblings.They were his older sister Isabel "Bella" Christina Grace (1873–1915), younger sister Janet "Jennie" Lindsey (1876–1962) and younger brother Dougall Macdougall "Max" (1878–1922)
The King Family
courtesy of Parks Canada

King's father was a lawyer with a struggling practice in a small city, and never enjoyed financial security. His parents lived a life of shabby gentility, employing servants and tutors they could scarcely afford, although their financial situation improved somewhat following a move to Toronto around 1890, where King lived with them for several years in a duplex located on Beverley Street while studying at the University of Toronto.

King became a lifelong practising Presbyterian with a dedication to social reform based on his Christian duty. He never favoured socialism.

University (1891–1900)

King enrolled at the University of Toronto in 1891. He obtained a BA degree in 1895, an LLB degree in 1896, and an MA in 1897, all from the university. While studying in Toronto he met a wide circle of friends, many of whom became prominent. He was an early member and officer of the Kappa Alpha Society, which included a number of these individuals (two future Ontario Supreme Court Justices and the future chairman of the university itself). It encouraged debate on political ideas. He also met Arthur Meighen, a future political rival; the two men did not get on especially well from the start.

King was especially concerned with issues of social welfare and was influenced by the settlement house movement pioneered by Toynbee Hall in London, England. He played a central role in fomenting a students' strike at the university in 1895. He was in close touch, behind the scenes, with Vice-Chancellor William Mulock, for whom the strike provided a chance to embarrass his rivals Chancellor Edward Blake and President James Loudon. King failed to gain his immediate objective, a teaching position at the university but earned political credit with Mulock, the man who would invite him to Ottawa and make him a deputy minister only five years later. While studying at the University of Toronto, King also contributed to the campus newspaper, '' The Varsity''. King subsequently wrote for '' The Globe'', ''The Mail and Empire'', and the ''Toronto News''. Fellow journalist W. A. Hewitt recalled that, the city editor of the ''Toronto News'' left him in charge one afternoon with instructions to fire King if he showed up. When Hewitt sat at the editor's desk, King showed up a few minutes later and resigned before Hewitt could tell him he was fired.

After studying at the University of Chicago and working with Jane Addams at her settlement house, Hull House, King proceeded to Harvard University. He earned an MA in political economy from Harvard in 1898. In 1909, Harvard granted him a PhD degree for a dissertation titled "Publicity and Public Opinion as Factors in the Solution of Industrial Problems in Canada." He is the only Canadian Prime Minister to have earned a PhD.

Early career, civil servant (1900–1908)

In 1900, King became editor of the federal government-owned ''Labour Gazette'', a publication that explored complex labour issues. Later that year, he was appointed as deputy minister of the Canadian government's new Department of Labour, and became active in policy domains from Japanese immigration to railways, notably the ''Industrial Disputes Investigations Act'' (1907) which sought to avert labour strikes by prior conciliation.

In 1901, King's roommate and best friend, Henry Albert Harper, died heroically during a skating party when a young woman fell through the ice of the partly frozen Ottawa River. Harper dove into the water to try to save her, and perished in the attempt. King led the effort to raise a memorial to Harper, which resulted in the erection of the Sir Galahad statue on Parliament Hill in 1905. In 1906, King published a memoir of Harper, entitled ''The Secret of Heroism''.

While deputy minister of labour, King was appointed to investigate the causes of and claims for compensation resulting from the 1907 anti-Oriental riots in Vancouver's Chinatown and Japantown. One of the claims for damages came from Chinese opium dealers, which led King to investigate narcotics use in Vancouver, British Columbia. Following the investigation King reported that white women were also opium users, not just Chinese men, and the federal government used the report to justify the first legislation outlawing narcotics in Canada.

Early political career, minister of labour (1908–1911)

King was first elected to Parliament as a Liberal in the 1908 federal election, representing Waterloo North. In 1909, King was appointed as the first-ever minister of labour by Prime Minister Wilfrid Laurier.

King's term as minister of labour was marked by two significant achievements. He led the passage of the ''Industrial Disputes Investigation Act'' and the ''Combines Investigation Act'', which he had shaped during his civil and parliamentary service. The legislation significantly improved the financial situation for millions of Canadian workers. In 1910 Mackenzie King introduced a bill aimed at establishing an 8-hour day on public works but it was killed in the Senate. He lost his seat in the 1911 general election, which saw the Conservatives defeat the Liberals and form government.

Out of politics (1911–1919)

Industrial consultant

After his defeat, King went on the lecture circuit on behalf of the Liberal Party. In June 1914 John D. Rockefeller Jr. hired him at the Rockefeller Foundation in New York City, to head its new Department of Industrial Research. It paid $12,000 per year, compared to the meagre $2,500 per year the Liberal Party was paying. He worked for the Foundation until 1918, forming a close working association and friendship with Rockefeller, advising him through the turbulent period of the 1913–1914 Strike and Ludlow Massacre–in what is known as the Colorado Coalfield War–at a family-owned coal company in Colorado, which subsequently set the stage for a new era in labour management in America. King became one of the earliest expert practitioners in the emerging field of industrial relations.


King was not a pacifist, but he showed little enthusiasm for the Great War; he faced criticism for not serving in Canada's military and instead working for the Rockefellers. But he was nearly 40 years old when the war began, and was not in good physical condition. He never gave up his Ottawa home, and travelled to the United States on an as-needed basis, performing service to the war effort by helping to keep war-related industries running smoothly.

In 1918, King, assisted by his friend F. A. McGregor, published ''Industry and Humanity: A Study in the Principles Underlying Industrial Reconstruction'', a dense, abstract book he wrote in response to the Ludlow massacre. It went over the heads of most readers, but revealed the practical idealism behind King's political thinking. He argued that capital and labour were natural allies, not foes, and that the community at large (represented by the government) should be the third and decisive party in industrial disputes. He expressed derision for syndicates and trades unions, chastising them for aiming at the "destruction by force of existing organization, and the transfer of industrial capital from the present possessors" to themselves.

Quitting the Rockefeller Foundation in February 1918, King became an independent consultant on labour issues for the next two years, earning $1,000 per week from leading American corporations. Even so, he kept his official residence in Ottawa, hoping for a call to duty.

Wartime politics

In 1917, Canada was in crisis; King supported Liberal leader Wilfrid Laurier in his opposition to conscription, which was violently opposed in the province of Quebec. The Liberal party became deeply split, with several Anglophones joining the pro-conscription Union government, a coalition controlled by the Conservatives under Prime Minister Robert Borden. King returned to Canada to run in the 1917 election, which focused almost entirely on the conscription issue. Unable to overcome a landslide against Laurier, King lost in the constituency of York North, which his grandfather had once represented.

Opposition leader (1919–1921)

1919 leadership election

The Liberal Party was deeply divided by Quebec's opposition to conscription and the agrarian revolt in Ontario and the Prairies. Levin argues that when King returned to politics in 1919, he was a rusty outsider with a weak base facing a nation bitterly split by language, regionalism and class. He outmaneuvered more senior competitors by embracing Laurier's legacy, championing labour interests, calling for welfare reform, and offering solid opposition to the Conservative enemy. When Laurier died in 1919, King was elected leader in the first Liberal leadership convention, defeating his three rivals on the fourth ballot. He won thanks to the support of the Quebec bloc, organized by Ernest Lapointe (1876–1941), later King's long-time lieutenant in Quebec. King could not speak French, but in election after election for the next 20 years (save for 1930), Lapointe produced the critical seats to give the Liberals control of the Commons. When campaigning in Quebec, King portrayed Lapointe as co-prime minister.

Idealizes the Prairies

Once King became the Liberal leader in 1919 he paid closer attention to the Prairies, a fast-developing region. Viewing a sunrise in Alberta in 1920, he wrote in his diary, "I thought of the New Day, the New Social Order. It seems like Heaven's prophecy of the dawn of a new era, revealed to me." Pragmatism played a role as well, since his party depended for its survival on the votes of Progressive Party Members of Parliament, many of whom who represented farmers in Ontario and the Prairies. He convinced many Progressives to return to the Liberal fold.

1921 federal election

In the 1921 election, King's Liberals defeated the Conservatives led by Prime Minister Arthur Meighen, winning a narrow majority of 118 out of 235 seats. The Conservatives won 50, the newly formed Progressive Party won 58 (but declined to form the official Opposition), and the remaining ten seats went to Labour MPs and Independents; most of these ten supported the Progressives. King became prime minister.

Prime Minister (1921–1926, 1926–1930)

As prime minister of Canada, King was appointed to the Privy Council of the United Kingdom on 20 June 1922 and was sworn at Buckingham Palace on October 11, 1923, during the 1923 Imperial Conference.

Balancing act

During his first term of office, from 1921 to 1926, King sought to lower wartime taxes and, especially, wartime ethnic and labour tensions. "The War is over", he argued, "and for a long time to come it is going to take all that the energies of man can do to bridge the chasm and heal the wounds which the War has made in our social life."

Despite prolonged negotiations, King was unable to attract the Progressives into his government, but once Parliament opened, he relied on their support to defeat non-confidence motions from the Conservatives. King was opposed in some policies by the Progressives, who opposed the high tariffs of the National Policy. King faced a delicate balancing act of reducing tariffs enough to please the Prairie-based Progressives, but not so much as to alienate his vital supporters in industrial Ontario and Quebec, who perceived tariffs were necessary to compete with American imports. Hutchison (1952)

Over time, the Progressives gradually weakened. Their effective and passionate leader, Thomas Crerar, resigned to return to his grain business, and was replaced by the more placid Robert Forke, who joined King's cabinet in 1926 as Minister of Immigration and Colonization after becoming a Liberal-Progressive. Socialist reformer J. S. Woodsworth gradually gained influence and power, and King was able to reach an accommodation with him on policy matters. In any event, the Progressive caucus lacked the party discipline that was traditionally enforced by the Liberals and Conservatives. The Progressives had campaigned on a promise that their MP's would represent their constituents first. King used this to his advantage, as he could always count on at least a handful of Progressive MP's to shore up his near-majority position for any crucial vote.

Immigration

In 1923, King's government passed the ''Chinese Immigration Act, 1923'' banning most forms of Chinese immigration to Canada. Immigration from most countries was controlled or restricted in some way, but only the Chinese were completely prohibited from immigrating. This was after various members of the federal and some provincial governments (especially British Columbia) put pressure on the federal government to discourage Chinese immigration.

Also in 1923, the government modified the ''Immigration Act'' to allow former subjects of Austria-Hungary to once again enter Canada. Ukrainian immigration resumed after restrictions were put in place during World War I.

City planning

King had a long-standing concern with city planning and the development of the national capital, since he had been trained in the settlement house movement and envisioned town planning and garden cities as a component of his broader program of social reform. He drew on four broad traditions in early North American planning: social planning, the Parks Movement, the City Scientific, and the City Beautiful. King's greatest impact was as the political champion for the planning and development of Ottawa, Canada's national capital. His plans, much of which were completed in the two decades after his death, were part of a century of federal planning that repositioned Ottawa as a national space in the City Beautiful style. Confederation Square, for example, was initially planned to be a civic plaza to balance the nearby federal presence of Parliament Hill. The Great War monument was not installed until the 1939 royal visit, and King intended that the replanning of the capital would be the World War I memorial. However, the symbolic meaning of the World War I monument gradually expanded to become the place of remembrance for all Canadian war sacrifices.

Corruption scandals

King called an election in 1925, in which the Conservatives won the most seats, but not a majority in the House of Commons. King held onto power with the support of the Progressives. A corruption scandal discovered late in his first term involved misdeeds around the expansion of the Beauharnois Canal in Quebec; this led to extensive inquiries and eventually a Royal Commission, which exposed the Beauharnois Scandal. The resulting press coverage damaged King's party in the election. Early in his second term, another corruption scandal, this time in the Department of Customs, was revealed, which led to more support for the Conservatives and Progressives, and the possibility that King would be forced to resign, if he lost sufficient support in the Commons. King had no personal connection to this scandal, although one of his own appointees was at the heart of it. Opposition leader Meighen unleashed his fierce invective towards King, stating he was hanging onto power "like a lobster with lockjaw".`

King–Byng Affair

In June 1926, King, facing a House of Commons vote connected to the customs scandal that could force his government to resign, advised the Governor General, Lord Byng, to dissolve Parliament and call another election. Byng, however, declined the Prime Minister's request – the first time in Canadian history that a request for dissolution was refused; and, to date, the only time the governor general of Canada has done so. Byng instead asked Leader of the Opposition, Arthur Meighen, to form government. Although the Conservatives held more seats in the House than any other party, they did not control a majority. They were soon themselves defeated on a motion of non-confidence on July 2. Meighen himself then requested a dissolution of Parliament, which Byng now granted.

King ran the 1926 Liberal election campaign largely on the issue of the right of Canadians to govern themselves and against the interference of the Crown. The Liberal Party was returned to power with a minority government, which bolstered King's position on the issue and the position of the Prime Minister generally. King later pushed for greater Canadian autonomy at the 1926 Imperial Conference which elicited the Balfour Declaration stating that upon the granting of dominion status, Canada, Australia, New Zealand, Newfoundland, South Africa, and the Irish Free State, while still autonomous communities within the British Empire, ceased to be subordinate to the United Kingdom. Thus, the governor general ceased to represent the British government and was solely the personal representative of the sovereign while becoming a representative of The Crown. This ultimately was formalized in the Statute of Westminster 1931. On September 14, King and his party won the election with a plurality of seats in the Commons: 116 seats to the Conservatives' 91 in a 245-member House.

Extending Canadian autonomy

During the Chanak Crisis of 1922, King refused to support the British without first consulting Parliament, while the Conservative leader, Arthur Meighen, supported Britain. King sought a Canadian voice independent of London in foreign affairs. In September 1922 the British Prime Minister, David Lloyd George, appealed repeatedly to King for Canadian support in the crisis. King coldly replied that the Canadian Parliament would decide what policy to follow, making clear it would not be bound by London's suggestions. King wrote in his diary of the British appeal: "I confess it annoyed me. It is drafted designedly to play the imperial game, to test out centralization versus autonomy as regards European wars...No anadiancontingent will go without parliament being summoned in the first instance". The British were disappointed with King's response but the crisis was soon resolved, as King had anticipated. After Chanak, King was concerned about the possibility that Canada might go to war because of its connections with Britain, writing to Violet Markham:

Anything like centralization in London, to say nothing of a direct or indirect attempt on the part of those in office in Downing Street to tell the people of the Dominions what they should or should not do, and to dictate their duty in matters of foreign policy, is certain to prove just as injurious to the so-called 'imperial solidarity' as any attempt at interference in questions of purely domestic concern. If membership within the British Commonwealth means participation by the Dominions in any and every war in which Great Britain becomes involved, without consultation, conference, or agreement of any kind in advance, I can see no hope for an enduring relationship.

For years, halibut stocks were depleting in Canadian and American fishing areas in the North Pacific ocean. In 1923, King's government negotiated the Halibut Treaty with the United States. The treaty annually prohibited commercial fishing from November 16 to February 15; violation would result in seizure. The agreement was notable in which Canada negotiated it without a British delegate at the table and without ratification from the British Parliament; though not official, convention stated that the United Kingdom would have a seat at the table or be a signatory to any agreement Canada was part of. King argued the situation only concerned Canada and the United States. After, the British accepted King's intentions to send a separate Canadian diplomat to Washington D.C. (to represent Canada's interests) rather than a British one. At the 1923 Imperial Conference, Britain accepted the Halibut Treaty, arguing it set a new precedent for the role of British Dominions.

King expanded the Department of External Affairs, founded in 1909, to further promote Canadian autonomy from Britain. The new department took some time to develop, but over time it significantly increased the reach and projection of Canadian diplomacy. Prior to this, Canada had relied on British diplomats who owed their first loyalty to London. After the King–Byng episode, King recruited many high-calibre people for the new venture, including future prime minister Lester Pearson and influential career administrators Norman Robertson and Hume Wrong. This project was a key element of his overall strategy, setting Canada on a course independent of Britain, of former colonizer France, as well as of the neighbouring powerful United States.

Throughout his tenure, King led Canada from a dominion with responsible government to an autonomous nation within the British Commonwealth. King asserted Canadian autonomy against the British government's attempts to turn the Commonwealth into an alliance. His biographer asserts that "in this struggle Mackenzie King was the constant aggressor". The Canadian High Commissioner to Britain, Vincent Massey, claimed that an "anti-British bias" was "one of the most powerful factors in his make-up".

Other reforms

In domestic affairs, King strengthened the Liberal policy of increasing the powers of the provincial governments by transferring to the governments of Manitoba, Alberta, and Saskatchewan the ownership of the crown lands within those provinces, as well as the subsoil rights; these in particular would become increasingly important, as petroleum and other natural resources proved very abundant. In collaboration with the provincial governments, he inaugurated a system of old-age pensions based on need. In February 1930, he appointed Cairine Wilson as the first female senator in Canadian history.

Reductions in taxation were carried out such as exemptions under the sales tax on commodities and enlarged exemptions of income tax, while in 1929 taxes on cables, telegrams, and railway and steamship tickets were removed.

Measures were also carried out to support farmers. In 1922, for instance, a measure was introduced and passed “restoring the Crow's Nest Pass railways rates on grain and flour moving eastwards from the prairie provinces.” A Farm Loan Board was set up to provide rural credit; advancing funds to farmers “at rates of interest and under terms not obtainable from the usual sources,” while other measures were carried out such as preventative measures against foot and mouth disease and the establishment of grading standards “to assist in the marketing of agricultural products” both at home and overseas. In addition, the ''Combines Investigation Act of 1923'' was aimed at safeguarding consumers and producers from exploitation.

Defeat in 1930

King's government was in power at the beginning of the Great Depression, but was slow to respond to the mounting crisis. He felt that the crisis was a temporary swing of the business cycle and that the economy would soon recover without government intervention. Critics said he was out of touch. Just prior to the election, King carelessly remarked that he "would not give a five-cent piece" to Tory provincial governments for unemployment relief. The opposition made this remark a catch-phrase; the main issue was the deterioration in the economy and whether the prime minister was out of touch with the hardships of ordinary people. The Liberals lost the election of 1930 to the Conservative Party, led by Richard Bedford Bennett. The popular vote was very close between the two parties, with the Liberals actually earning more votes than in 1926, but the Conservatives had a geographical advantage that turned into enough seats to give a majority.

Opposition leader (1930–1935)

After his loss, King stayed on as leader of the Liberals, becoming the leader of the Opposition for the second time. King began his years as Opposition leader convinced that his government did not deserve defeat and that his government's financial caution helped the economy prosper. He blamed the financial crisis on the speculative excesses of businessmen and on the weather cycle. King argued that the worst mistake Canada could react to the Depression was to raise tariffs and restrict international trade. He believed that over time, voters would learn that they had been deceived by Bennett and would come to appreciate the King government's policy of frugality and free trade.

King's policy was to refrain from offering advice or alternative policies. Indeed, his policy preferences were not much different from Bennett's, and he let the Conservative government have its way. Though he gave the impression of sympathy with progressive and liberal causes, he had no enthusiasm for the New Deal of American President Franklin D. Roosevelt (which Bennett eventually tried to emulate, after floundering without solutions for several years), and he never advocated massive government action to alleviate the Depression in Canada.

As Opposition leader, King denounced the Bennett government's budget deficits as irresponsible, though didn't suggest his own idea of how budgets could be balanced. King also denounced the "blank cheques" parliament was asked to approve for relief and delayed the passage of these bills despite the objections of some Liberals who feared the public might conclude that the Liberals had no sympathy for those struggling. Each year, after the throne speech and the budget, King introduced amendments that blamed the depression on Bennett's policy of high tariffs.

By the time the 1935 election arrived, the Bennett government was heavily unpopular due to their handling of the depression. Using the slogan "King or Chaos", the Liberals won a landslide victory, winning 173 out of the Commons' 245 seats and reducing the Conservatives to a rump of 40; this was the largest majority government at the time.

Prime Minister (1935–1948)

For the first time in his political career, King led an undisputed Liberal majority government. Upon his return to office in October 1935, he seemed to demonstrate a commitment (like Franklin Roosevelt) to the underprivileged, speaking of a new era where "poverty and adversity, want and misery are the enemies which liberalism will seek to banish from the land". Once again, King appointed himself as secretary of state for external affairs; he held that post until 1946.

Economic reforms

Free trade

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.

Social programs

King's government introduced the National Employment Commission in 1936. As for the unemployed, King was hostile to federal relief. However, the first compulsory national unemployment insurance program was instituted in August 1940 under the King government after a constitutional amendment was agreed to by all of the Canadian provinces, to concede to the federal government legislative power over unemployment insurance. New Brunswick, Alberta and Quebec had held out against the federal government's desire to amend the constitution but ultimately acceded to its request, Alberta being the last to do so. The ''British North America Act'' Section 91 was amended by adding in a heading designated Number 2A simply in the words "Unemployment Insurance".

Over the next thirteen years, a wide range of reforms similar to those association with the New Deal were realized during Mackenzie King's last period in office as prime minister. In 1937, the age for blind persons to qualify for old-age pensions was reduced to 40 in 1937, and later to 21 in 1947. In 1939, compulsory contributions for pensions for low-income widows and orphans were introduced (although these only covered the regularly employed) while depressed farmers were subsidized from that same year onwards. In 1944, family allowances were introduced, and from 1948 the federal government subsidized medical services in the provinces.

Spending management

The provincial governments faced declining revenues and higher welfare costs. They needed federal grants and loans to reduce their deficits. In a December 1935 conference with the premiers, King announced that the federal grants would be increased until the spring of 1936. At this stage, King's main goal was to have a federal system in which each level of government would pay for its programs out of its own tax sources.

King only reluctantly accepted a Keynesian solution that involved federal deficit spending, tax cuts, and subsidies to the housing market. King and his finance minister, Charles Avery Dunning, had planned to balance the budget for 1938. However, some colleagues, to King's surprise, opposed that idea and instead favoured job creation to stimulate the economy, citing British economist John Maynard Keynes's theory that governments could increase employment by spending during times of low private investment. In a politically motivated move, King accepted their arguments and hence ran deficits in both 1938 and 1939.

Workers

The various provinces were assisted by the ''Federal Unemployment and Agricultural Assistance Act of 1938'' and the ''Youth Training Act of 1939'' to create training programs for young persons, while an amendment to the Criminal Code (which received Royal assent in May 1939) provided against refusal to hire, or dismissal, "solely because of a person's membership in a lawful trade-union or association".

The ''Vocational Training Co-ordination Act of 1942'' provided an impetus to the provinces to set up facilities for postsecondary vocational training, and in 1948 the ''Industrial Relations and Disputes Investigation Act'' was passed, which safeguarded the rights of workers to join unions while requiring employers to recognize unions chosen by their employees.

Housing

The Federal Home Improvement Plan of 1937 provided subsidized rates of interest on rehabilitation loans to 66,900 homes, while the '' National Housing Act of 1938'' made provision for the building of low-rent housing. Another Housing Act was later passed in 1944 with the intention of providing federally guaranteed loans or mortgages to individuals who wished to repair or construct dwellings through their own initiative.

Agriculture

While King opposed Bennett's Canadian Wheat Board in 1935, he accepted its operation. However, by 1938, the board had sold its holdings and King proposed returning to the open market. This angered Western Canadian farmers, who favoured a board that would give them a guaranteed minimum price, with the federal government covering any losses. Facing a public campaign to keep the board, King and his minister of agriculture, James Garfield Gardiner, reluctantly extended the board's life and offered a minimum price that would protect the farmers from further declines.

Crown corporations

In 1937, King's government established the Trans-Canada Air Lines (the precursor to Air Canada), as a subsidiary of the crown corporation, Canadian National Railways. It was created to provide air service to all regions of Canada.

In 1938, King's government nationalized the Bank of Canada into a crown corporation.

Media reforms

In 1936, the Canadian Radio Broadcasting Commission (CRBC) became the Canadian Broadcasting Corporation (CBC), which was a crown corporation. The CBC had a better organizational structure, more secure funding through the use of a licence fee on receiving sets (initially set at $2.50), and less vulnerability to political pressure. When Bennett's Conservatives were governing and the Liberals were in Opposition, the Liberals accused the network of being biased towards the Conservatives. During the 1935 election campaign, the CRBC broadcast a series of 15 minutes soap operas called ''Mr. Sage'' which were critical of King and the Liberal Party. Decried as political propaganda, the incident was one factor in King's decision to replace the CRBC.

In 1938, King's government invited British documentary maker John Grierson to study the situation of the government's film production (which at that time was the responsibility of the Canadian Government Motion Picture Bureau). King believed that Canadian cinema deserved an increased presence in Canadian theatres. This report prompted the ''National Film Act'', which created the National Film Board of Canada in 1939. It was created to produce and distribute films serving the national interest and was intended specifically to make Canada better known both domestically and internationally. Gierson was appointed the first film commissioner in October 1939.

Relationship with provinces

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.

In 1937, Maurice Duplessis, the conservative Union Nationale premier of Quebec, passed the Padlock Law (the ''Act to Protect the Province Against Communistic Propaganda''), which intimidated labour leaders by threatening to lock up their offices for any alleged communist activities. King's government, which had already repealed the section of the Criminal Code banning unlawful associations, considered disallowing this bill. However, King's cabinet minister, Ernest Lapointe, believed this would harm the Liberal Party's electoral chances in Quebec. King and his English-Canadian ministers accepted Lapointe's view; as King wrote in his diary in July 1938, "we were prepared to accept what really should not, in the name of liberalism, be tolerated for one moment."

Germany and Hitler

In March 1936, in response to the German remilitarization of the Rhineland, King had the High Commission of Canada in the United Kingdom inform the British government that if Britain went to war with Germany over the Rhineland issue, Canada would remain neutral. In June 1937, during an Imperial Conference in London of the prime ministers of every dominion, King informed British Prime Minister Neville Chamberlain that Canada would only go to war if Britain were directly attacked, and that if Britain were to become involved in a continental war then Chamberlain was not to expect Canadian support.

In 1937, King visited Nazi Germany and met with Adolf Hitler. Possessing a religious yearning for direct insight into the hidden mysteries of life and the universe, and strongly influenced by the operas of Richard Wagner (who was also Hitler's favourite composer), King decided Hitler was akin to mythical Wagnerian heroes within whom good and evil were struggling. He thought that good would eventually triumph and Hitler would redeem his people and lead them to a harmonious, uplifting future. These spiritual attitudes not only guided Canada's relations with Hitler but gave the prime minister the comforting sense of a higher mission, that of helping to lead Hitler to peace. King commented in his journal that "he is really one who truly loves his fellow-men, and his country, and would make any sacrifice for their good". King forecast that:

In late 1938, during the great crisis in Europe over Czechoslovakia that culminated in the Munich Agreement, Canadians were divided. Francophones insisted on neutrality, as did some top advisers like Oscar D. Skelton. Imperialists stood behind Britain and were willing to fight Germany. King, who served as his own secretary of state for external affairs (foreign minister), said privately that if he had to choose he would not be neutral, but he made no public statement. All of Canada was relieved that the British appeasement at Munich, while sacrificing the rights of Czechoslovakia, seemed to bring peace.

Under King's administration, the Canadian government, responding to strong public opinion and lobbying from the catholic church in Quebec, refused to expand immigration opportunities for Jewish refugees from Europe. In June 1939 Canada, along with Cuba and the United States, refused to allow entry for the 900 Jewish refugees aboard the passenger ship .

Second World War

King accompanied the Royal Couple—King George VI and Queen Elizabeth—throughout their 1939 cross-Canada tour, as well as on their American visit, a few months before the start of World War II.

Parliamentary declaration of war

According to historian Norman Hillmer, as British Prime Minister Neville Chamberlain "negotiated in Munich with Adolf Hitler in September 1938, Mackenzie King, Canada's Prime Minister, grew agitated." King realized the likelihood of World War II and began mobilizing on August 25, 1939, with full mobilization on September 1, 1939, the day Germany invaded Poland. In 1914, Canada was at war by virtue of King George V's declaration. In 1939, King asserted Canada's autonomy and convened the House of Commons on September 7, nearly a month ahead of schedule, to discuss the government's intention to enter the war. King affirmed Canadian autonomy by saying that the Canadian Parliament would make the final decision on the issue of going to war. He reassured the pro-British Canadians that Parliament would surely decide that Canada would be at Britain's side if Great Britain was drawn into a major war. At the same time, he reassured those who were suspicious of British influence in Canada by promising that Canada would not participate in British colonial wars. His Quebec lieutenant, Ernest Lapointe, promised French Canadians that the government would not introduce conscription for overseas service; individual participation would be voluntary. These promises made it possible for Parliament to agree almost unanimously to declare war on September 9. On September 10, King, through his high commissioner in London, issued a request to King George VI, asking him, in his capacity as King of Canada, to declare Canada at war against Germany.

Foreign policy

To re-arm Canada, King built the Royal Canadian Air Force as a viable military power, while at the same time keeping it separate from Britain's Royal Air Force. He was instrumental in obtaining the British Commonwealth Air Training Plan Agreement, which was signed in Ottawa in December 1939, binding Canada, Britain, New Zealand and Australia to a program that eventually trained half the airmen from those four nations in the Second World War.

King linked Canada more and more closely to the United States, signing an agreement with Roosevelt at Ogdensburg, New York, in August 1940 that provided for the close cooperation of Canadian and American forces, despite the fact that the U.S. remained officially neutral until the bombing of Pearl Harbor on December 7, 1941. During the war the Americans took virtual control of the Yukon in building the Alaska Highway

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