The Right Man at the Wrong Time Herbert Hoover & The Great Depression

Herbert C. Hoover “Once upon a time my political opponents honored me as possessing the fabulous intellectual and economic power by which I created a worldwide depression all by myself.” “Once upon a time my political opponents honored me as possessing the fabulous intellectual and economic power by which I created a worldwide depression all by myself.”

Herbert C. Hoover “The Great Engineer” “The Great Engineer” Word War I Word War I Secretary of Commerce Secretary of Commerce Free market Free market “The Great Engineer” “The Great Engineer” Word War I Word War I Secretary of Commerce Secretary of Commerce Free market Free market

Crises of the Depression Stock market crash Stock market crash Bank failures Bank failures Unemployment Unemployment Deflation Deflation Farm crisis Farm crisis Stock market crash Stock market crash Bank failures Bank failures Unemployment Unemployment Deflation Deflation Farm crisis Farm crisis

Hoover’s Beliefs Depression beyond government control Depression beyond government control “Voluntarism” “Voluntarism” The Government should not give direct aid to people The Government should not give direct aid to people Depression beyond government control Depression beyond government control “Voluntarism” “Voluntarism” The Government should not give direct aid to people The Government should not give direct aid to people

Hoover’s Attempts Debt forgiveness for Germany Debt forgiveness for Germany BUT, most in congress give into to public demands for higher tariffs BUT, most in congress give into to public demands for higher tariffs Smoot-Hawley Tariff Act, 1930 Smoot-Hawley Tariff Act, 1930 Debt forgiveness for Germany Debt forgiveness for Germany BUT, most in congress give into to public demands for higher tariffs BUT, most in congress give into to public demands for higher tariffs Smoot-Hawley Tariff Act, 1930 Smoot-Hawley Tariff Act, 1930

Hoover’s Attempts Voluntarism Voluntarism Urges business to hold wages steady Urges business to hold wages steady Asks unions to forgo wage increases Asks unions to forgo wage increases Difficult to enforce/maintain Difficult to enforce/maintain Banking Banking National Credit Corporation, 1931 National Credit Corporation, 1931 Reconstruction Finance Corporation, 1932 Reconstruction Finance Corporation, 1932 Too little, too late Too little, too late Voluntarism Voluntarism Urges business to hold wages steady Urges business to hold wages steady Asks unions to forgo wage increases Asks unions to forgo wage increases Difficult to enforce/maintain Difficult to enforce/maintain Banking Banking National Credit Corporation, 1931 National Credit Corporation, 1931 Reconstruction Finance Corporation, 1932 Reconstruction Finance Corporation, 1932 Too little, too late Too little, too late

Despite Hoover’s beliefs, he Despite Hoover’s beliefs, he First unemployment benefit First unemployment benefit Emergency Relief and Construction Act Emergency Relief and Construction Act Increased farm subsidies Increased farm subsidies Subsidized home ownership Subsidized home ownership The problems was these were very small in terms of dollars compared to what was needed The problems was these were very small in terms of dollars compared to what was needed Despite Hoover’s beliefs, he Despite Hoover’s beliefs, he First unemployment benefit First unemployment benefit Emergency Relief and Construction Act Emergency Relief and Construction Act Increased farm subsidies Increased farm subsidies Subsidized home ownership Subsidized home ownership The problems was these were very small in terms of dollars compared to what was needed The problems was these were very small in terms of dollars compared to what was needed Hoover’s Attempts

Bonus Army, ,000 WWI veterans camp out in Washington demanding immediate payment of a bonus due in ,000 WWI veterans camp out in Washington demanding immediate payment of a bonus due in 1945 July 28, Police try to clear veterans, end up killing two July 28, Police try to clear veterans, end up killing two Riot ensues Riot ensues 20,000 WWI veterans camp out in Washington demanding immediate payment of a bonus due in ,000 WWI veterans camp out in Washington demanding immediate payment of a bonus due in 1945 July 28, Police try to clear veterans, end up killing two July 28, Police try to clear veterans, end up killing two Riot ensues Riot ensues

Bonus Army Hoover orders army to maintain order Hoover orders army to maintain order Gen. Douglas MacArthur exceeds his mandate Gen. Douglas MacArthur exceeds his mandate Uses teargas and burns veterans out Uses teargas and burns veterans out Public turns against Hoover Public turns against Hoover Hoover orders army to maintain order Hoover orders army to maintain order Gen. Douglas MacArthur exceeds his mandate Gen. Douglas MacArthur exceeds his mandate Uses teargas and burns veterans out Uses teargas and burns veterans out Public turns against Hoover Public turns against Hoover