big win promised continued prosperity popular with both parties weakness---- timing!!!!! (crash...
TRANSCRIPT
HOOVER AND RUGGED INDIVIDUALISM
Presidency
Big WinPromised continued prosperity
Popular with both partiesWeakness---- Timing!!!!! (Crash of ‘29)
Rugged Individualism
Personal Attitude toward Depression and Individual self-Reliance Accepted traditional, conservative approach
Optimistic- “Recovery will occur naturally” Believed the economy is self-regulating Avoid Federal government interference in
the economy Industry knows best how to stimulate
recovery
Hoover & Individualism
Preached “Rugged Individualism”- people should not expect gov’t helpOpposed direct relief or “Public
Assistance”Make sacrifices; led the way
w/20% cut of his own salaryUrged state and local governments
to provide reliefDepressions are a local problem
Hoover & Individualism
Federal Gov’t must maintain a balanced budget; no deficit spending
Criticism mounted -- poor P.R., “ Hoover prefixes (ex. “Hoovervilles”)
Hoover & Individualism
Depression Actions/ Policies (aimed at “priming the economic pump”)1029- Federal Farm Board- Farm
cooperatives would voluntarily Coordinate crop production (region by region)
Withhold crops from market until prices rose
Hoover & Individualism
1929- Cut Federal income tax; however it made little difference because:Taxes were already so low (average family saved $3.75 per year)
The wealthy saved their tax cut; frightened of the future
Hoover & Individualism
1930- signed the Hawley – Smoot Tariff Act into law Raised protective tariffs to their highest level
ever Goal: to protect farmers & manufactures Result; A trade war; worldwide trade declined
by 40% (backfired)
Hoover & Individualism
1932- RFC (Reconstruction Finance Corporation) Granted $2 B in loans to save big business,
banks, & railroads Attempt at “trickle Down” theory of indirect
relief Summary: too little, too late Fact: unemployment in 29= 2 million,
1932=12 million
Hoover & Individualism
1932- Bonus Army ( WWI Vets) marched to Washington D.C. Hoover hid in the White House, destroyed his
chances of reelection
Hoover & Individualism
Lost election of 1932 by a landslide to FDR
FDR_1st_Inaugural_Edited_Version.mp3
Hoover and Individualism
Hoover is often blamed for the Depression (unfair)?
Fact : did more than any president before him had done during a depression.