Andrew Mellon

Lore & Background

Andrew Mellon began working at his father's Pittsburgh bank, T. Mellon & Sons, in the early 1870s, eventually becoming the leading figure. He renamed it Mellon National Bank and established the Union Trust Company in 1889. By 1913, Mellon National Bank held more deposits than any other Pittsburgh bank. His business interests included Alcoa, Gulf Oil, Westinghouse Electric, Koppers, and many others. He also helped fund and manage Kennywood Park in West Mifflin, Pennsylvania.

In 1921, President Warren G. Harding chose Mellon as secretary of the treasury. He served under Harding, Calvin Coolidge, and Herbert Hoover. Mellon sought to cut tax rates on top earners to generate more revenue, a plan fully realized in the Revenue Act of 1926. He presided over a reduction in the national debt. His influence peaked during Coolidge's presidency; journalist William Allen White noted that Mellon dominated the White House so completely that the administration could be called 'the reign of Coolidge and Mellon.'

After the Wall Street crash of 1929 and the onset of the Great Depression, Mellon's reputation collapsed. He opposed direct government intervention. After Congress began impeachment proceedings, President Hoover shifted Mellon to the position of ambassador to the United Kingdom. Mellon returned to private life after Hoover's 1932 defeat. A tax fraud investigation began in 1933, ending with Mellon's estate paying significant sums. Shortly before his death in 1937, he helped establish the National Gallery of Art.

Reader's Guide

Andrew Mellon's significance lies in his dual role as a dominant industrial financier and as U.S. Treasury secretary during a transformative period. His business career built a vast empire spanning aluminum, oil, steel, and banking, exemplified by Alcoa and Gulf Oil. As Treasury secretary from 1921 to 1932, he implemented the 'Mellon plan,' cutting top tax rates and reducing the national debt, though his policies faced criticism after the Great Depression began. His legacy includes major philanthropic contributions: he helped establish the National Gallery of Art, and his efforts later aided Carnegie Mellon University and the National Portrait Gallery. However, his later years were marred by a tax fraud investigation and settlement. Mellon's career illustrates the close ties between private wealth and public policy in early 20th-century America.

Did You Know?

• Andrew Mellon helped fund and manage Kennywood Park in West Mifflin, Pennsylvania.
• By the end of 1913, Mellon National Bank held more money in deposits than any other bank in Pittsburgh.
• Mellon served as U.S. Secretary of the Treasury under three Republican presidents: Harding, Coolidge, and Hoover.
• Shortly before his death in 1937, Mellon helped establish the National Gallery of Art.