Hoover’s Plan• Suspend collection of international debts• Balance the budget• Let corporations help the needy• Providing welfare would Destroy the American Spirit

-He does create the Reconstruction Finance Corporation(business loans)

Tax PoliciesUnder Hoover• Raised the tariff to 42% under the Hawley-Smoot Tariff. A Tariff war ensued.

“We in America today are nearer to the final triumph over poverty than ever before in the history of any land.” Herbert Hoover

“. . . The average man won’t really do a day’s work unless he is caught and cannot get out of it.” Henry Ford

• Reduced the presidential salary by 25%• Encouraged business leaders to voluntarily maintain employment, wages, and capital investment levels.• Reconstruction Finance Corporation - provided federal loans to banks, life insurance companies, railroads and other business.• Federal Farm Board - provided $500 million to lend farm cooperatives to help them market their crops.• Agricultural Marketing Act - tried to raise crop prices by purchasing surplus food.

Hoover’s Depression Remedies

Bonus ArmyA group of World War I veterans marched to Washington in 1932 asking to receive their pension bonus early to help them get through the Great Depression.Four troops of cavalry, four companies of infantry, a machine gun squadron, and six tanks assembled near the White House. General Douglas MacArthur was in charge with his aide, General Eisenhower.

Bonus ArmyMarching down Pennsylvania Avenue, MacArthur used tear gas on the protestors and burned their buildings.Two veterans had been shot, to death, an eleven-week old baby had died, an eight year old boy was partially blinded

by the tear gas, two police had fractured skulls, and a thousand veterans were injured by gas.

• Herbert Hoover• Republican

Incumbent

• Franklin Delano Roosevelt

• Democrat• Governor of New York

Republican

Democrat

1928

1932

1929 1930 1931 1932 1933

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BIL

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of D

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Gross National Product

1933 Inauguration Day

1933 Inauguration Day

Can you detect the New Yorker magazine’s bias on the inauguration of F.D.R.?

“So first of all let me assert my firm belief that the only thing we have to fear is fear itself.”

Franklin Delano Roosevelt

ReliefTo assist distressed persons through direct money payments, jobs, and mortgage loans.

RecoveryTo lift the nation out of the depression through aid to farmers, businessmen, and workers

ReformTo eliminate abuses in the economy and to prevent future depressions through protection of bank depositors, investors, consumers, the aged, and the unemployed.

New DealGoals