Herbert Hoover and The Great Depression 1929-1933

Early Days of the Depression The Early Days Early Days of the Depression Attempt to instill confidence in the American public. “Prosperity is just around the corner”. He told businesses to keep employment high and told bankers to keep lending money = Volunteerism Encourage, reassured, and attempted many different relief plans, but just couldn’t find the right one. He believed “prosperity is just around the corner”. Hoover compared the upswing and downswing of the business cycle to a storm. They could not be avoided, although strong business could weather the storm without the government.

Hoover’s Economic Beliefs Hoover’s Response to the Crash Believed in private enterprise and didn’t believe in government handouts. Focus efforts on business and banks in hopes that those efforts would trickle down to citizens. $2 Billion dollars was given to railroads, insurance companies, and banks to help them begin to new projects which were self liquidating, or would pay for themselves in the future Vetoed unemployment relief Fear was the problem reassurance is the answer.

Hoover’s Public Opinion Public View Most Americans wrongfully blamed Hoover for The Great Depression and he was replace by Franklin Roosevelt in 1932. Hoover’s name became associated with everything negative of the depression. His reliance on volunteerism and trickle-down economics inadequately addressed the problems of the Great Depression. Why did Herbert Hoover’s policies fail to solve the country’s economic crisis?