Hoover Responds to the Depression Pgs. 412 – 415

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Hoover’s response to the depression

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Presentation transcript:

Hoover Responds to the Depression Pgs. 412 – 415 Chapter 11.3 Hoover Responds to the Depression Pgs. 412 – 415

Promoting Recovery “the fundamental business of the country… is on a sound basis.” “the worst effects of the crash… will have passed.” After WWI European governments became involved This is socialism Hoover felt this was why they didn’t grow economically Rugged Individualism Businesses promise… And who is surprised? Public Works – Hoover Dam anyone? Who’s gonna pay for that thing? Public responds – voter retribution

Cont. Trying to Rescue the Banks We need more Money National Credit Corporation (NCC) Money for troubled banks Loans equal growth Let me explain Reconstruction Finance Corporation (RFC) Make loans to businesses Loaned out $238 million by 1932 Still not enough

Cont. Direct Help for Citizens Hoover opposed relief State, local & private charities This is okay until… Emergency Relief & Construction Act $1.5 billion in public works $300 million in loans for direct aid 1st time ever the Federal government provides direct aid Too little, too late

I An Angry Mood Hunger Marches & Protests by Farmers People looted grocery stores Protests in D.C. People wanted help Farmers have been losing land Crop prices are too low Some farmers destroy crops Less crops = higher prices

Cont. The Bonus Marchers $1000 offered to WWI Veterans In 1945 Why not now? Bonus Army reaches 15,000 Congress says no Some leave, others… Hoover wants marchers sent home MacArthur (Remember me?) Tanks & Machine guns vs. our war heroes? And Hoovers chances for re-election?