hoover and the depression
DESCRIPTION
Hoover's approach to the Great DepressionTRANSCRIPT
• Little vision when it
came to the
Depression.
• Thought it a minor
recession.
• Opposed direct relief
• Called for “rugged
individualism”
• What we will analyze today is the
• “Hoover Remedies”
• Three phases
•Phase One: 1929-1930
•Phase Two: 1930-1931
•Phase Three: 1931-1932
• Meetings with influential businessmen
•Maintain employment, wages, prices
• Asked Fed. Reserve to make it easier
to borrow $$
• Asked Congress to cut taxes
•People spend more
• Consequences:
• Little aid for lower & middle income groups
• HH’s popularity plummeted
• During war, name synonymous with patriotism; during Depression, distress
• Hoovervilles
• Bound to conservative
philosophy keep
government small;
shift blame to Europe.
• As economic
indicators rose in
1931, Austria’s larges
bank failed triggers
panic. Issues a one
year moratorium.
• Hawley-Smoot Tariff (1930): directly tied to the question of reparations and war debts
• Emergency Committee for Employment (Oct. 1930) under command of Arthur Woods to create jobs
Rep. Willis C. Hawley and Senator Reed Smoot
1929
• Hoover’s efforts
include what he called
the “Drip-o-lator”
Method: Trickle down
economics.
• This conservative
notion is much
maligned by liberals
as the following
images indicate.
• Hoover’s efforts
include what he called
the “Drip-o-lator”
Method: Trickle down
economics.
• Home Loan Banks
• Reconstruction
Finance Corporation
(RFC)
• Too little, too late.
• Rise in Communism
• The Bonus
Expeditionary Force
From Click Magazine,
1930
• Too little, too late.
• Rise in Communism
• The Bonus
Expeditionary Force
From Click Magazine,
1930
• In the end, the Bonus
March seals Hoover’s
fate.
• He will be defeated by
Franklin Delano
Roosevelt in 1932
marking the next
phase of the Great
Depression.