Hoover & The Depression 1929-1933

Hoover’s Philosophy Government’s chief function Rugged individualism Foster cooperation between competing groups and interests in society Encourage / facilitate cooperation, not control it Rugged individualism People should succeed through their own efforts Opposed direct relief to the needy Would weaken people’s strength of character

Criticism of Hoover As the country’s economic difficulties increased, people turned against Hoover Farmers acted out “Hooverisms” “Hoovervilles” “Hoover Blankets” “Hoover Flags 1930 – Republicans lost control of the House of Representatives and lost their majority in the Senate

Taking Action Boulder Dam (Hoover Dam) $700 million public works program 726 ft high / 1,244 ft long World’s tallest dam / second largest (at the time) Provided Electricity Flood control Water supply Water rights are divided

To little, too late Taking Action Backing cooperatives Federal Farm Board Helped farmers to raise crop prices National Credit Corporation Loaned $ to smaller banks Direct Intervention (1932) Federal Home Loan Bank Act Lowered mortgage rates Farmers allowed to refinance loans Reconstruction Finance Corporation (RIC) Authorized up to $2 billion in emergency financing To little, too late