Herbert Hoover: the Vacuum!

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Presentation transcript:

Herbert Hoover: the Vacuum!

What could be the problem here?! Plan #1 for Hoover At first, Hands-off policy Depressions are like storms- strong business will survive No need for Gov’t interference Realizes this is not a real plan- calls upon volunteerism! Asks businesses to keep employment, wages, and prices same as before Gov’t: reduce taxes, lower interest rates, and create public work programs Wealthy- give your goods to the needy What could be the problem here?! Volunteerism failed because businesses and people during this time were not going to act in the best interest of the country as a whole, but in the best interest of the individual. Business cut wages and laid off workers Farmers continued to produce as much as they could because it was in the best interest of them and their families

Localism Local city and state gov’t are best to solve problems Hoover resists using Fed. Gov’t Resources- against the Constitution Favored “rugged Individualism” What does he mean by this?!

Reconstruction Finance Corporation (RFC) 1932 Believed economy lacked credit Billion+ in $$$ loans to railroads and businesses Theory of Trickle-Down Economics

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Based on these two cartoons, what do you think the problem was with the “trickle-down” theory?

Hoover Dam 1929 Public works job to get people back to work Located on the Colorado R. near Vegas Nevada, California, and Arizona all use this dam for power

The Bonus Army Read the document In your journal, identify the following: Who When What Where Significance 2 interesting facts We will have a quiz on the causes of the Great Depression, life during the great depression, and Herbert Hoover on Wednesday/Thursday