The Great Depression and Herbert Hoover

What was the Great Depression?

the worst economic crisis in US history

people had to rely on soup kitchens and free food to survive

Who was Herbert Hoover? What did he do?

Secretary of State for Harding and Coolidge

organized food drives during WW1 (Great Engineer/Wpnder Boy)

opposed socialism and large-scale government intervention in the economy

believed the government should correct problems if someone is doing something wrong

What was the Platform Slogan in 1928?

"a chicken for every put a car in every garage"

Meaning: poverty will be banished from the nation everybody will be rich

What was the Agricultural Marketing Act in 1929?

first government agency stabilizing farm prices

$500 million help farmers create cooperative marketing

achieved more efficient production, max. prices set

What was the Trickle Down Theory in 1931?

gave loans to big corporations to keep stable

Hoover's control slipped, demanded villains of Wall Street made massive new investment

What was the Reconstruction Finance Corporation (RFC)

government banks help failing banks

gave loans" banks and railroads

supported public works program underfunded

invested 1.5 billion private enterprise never had enough money, never aggressively effective

What was the Smoot-Hawley Tariff and why was it so significant?

highest tariff in history

3/4 farm products protected by this bill, intensified world depression and cut international trade

unemployment: 12 million

local relief funds evaporated

farm board ran out of credit, prices continued to fall

farmers closed the courts, burned crops to decrease mortgages

Why was it all Hoover's fault?

Hoover's Blanket: old newspapers, new blanket

Hoover's flag: empty pockets

Hoover's leather: cardboard shoes

Hoover popularity declined, publicity declines "no one is actually starving

rugged individualism, people saw him as cold and uncaring

Hoovervilles: depression towns