Hardship and Suffering During the Depression

1. What were some of Hoover's key convictions about government?        

     During the Great Depression, President Herbert Hoover tried to reassure Americans that the economy was a sound footing. He wanted Americans to remain optimistic. Many believed they should do nothing and let the economy fix itself, while Hoover believed the government could play a limited role in fixing the nation's problems. Hoover believed that one of government's chief functions was to foster cooperation between competing groups and interests in society. He believed if business and labor were in a conflict, government should step in to settle the dispute. Hoover believed the government's role was to encourage cooperation without controlling it. Hoover opposed any form of human welfare or direct relief to the needy  because of the popular American belief that people should take care of themselves without relying on the government. Instead, Hoover believed charities and organizations should help care for the less fortunate.  


2. What did President Herbert Hoover say and do in response to the Great Depression?       

     In response to the Great Depression, President Hoover asked employers not to cut wages or lay off workers while asking labor leaders not to demand higher wages or go on strike. Hoover also created special organizations to help charities generate contributions to the poor. None of Hoover's changes made much of a difference to the economy. More companies went out of business and unemployment rates continued to increase. One of Hoover's projects did make a difference however. In the fall of 1929, Hoover approved the construction of one of the worlds largest dams, the Boulder Dam. The dam later called the Hoover Dam, provided electricity, flood control, and enabled the growth of California's massive agriculture economy. 

3. Why do you think people blamed Hoover for the nation's difficulties?       

     Hoover became a scapegoat to the general public. Many Americans especially farmers were becoming more depressed and angry with the dwindling economy and blamed Hoover for the nation's difficulties. By 1930, people started calling shantytowns "Hoovervilles" as a direct insult to the president's policies. Homeless people called the newspapers they used to stay warm "Hoover blankets." Many Americans who had hailed Hoover as a great humanitarian now saw him as a heartless leader. Despite the constant criticism, Hoover refused to change his policies and stood his ground.  

4. How did Hoover's belief in "rugged individualism" shape his policies during the Great Depression.

Think About:

• what his belief implies about his view of people

• how that translates into the role of government

• Hoover’s policies (How effective were they?)       

     President Hoover believed in little government intervention. He believed the government should encourage cooperation and looked to the construction of Boulder Dam as a model of how the federal government can do just so. He attempted negotiating among private entities to promote his belief in smaller government. For example, he backed the creation of the Federal Farm Board. The Farm Board was intended to raise crop prices by helping members to buy crops. Hoover also tried persuading the nation's largest banks to establish the National Credit Corporation, loaning money to smaller banks. By late 1931, many people could see Hoover's policies weren't improving the economy. Hoover then signed into law the Federal Home Loan Bank which lowered mortgage rates for homeowners. Hoover's biggest economic measure was the Reconstruction Finance Corporation, passed by Congress in 1932. This bill authorized about 2 billion dollars for emergency financing for banks, life insurance companies, railroads, and other large businesses. Many argued that this would only benefit businesses and the poor still needed direct relief. the RFC was unprecedented example of federal involvement, however, in the end it was too little, too late. 



5. What did the Bonus Army want and how did Hoover respond?      

     The Bonus Army was made up of World War 1 veterans who came to Washington D.C to support a bill under debate in Congress. The Patman Bill authorized the government to pay a bonus to World War 1 veterans who had not been compensated adequately for their wartime services. Hoover opposed the bill believed the Bonus Army to be more like communists and criminals than veterans. Although he opposed the legislation, he respected their right to peacefully assemble and provided them with food and supplies. Hoover then ordered for the Bonus Army to leave but many stayed in hopes they would be able to meet with the president. 

6. When Franklin Delano Roosevelt heard about the attack on the Bonus Army, why was he so certain that he would defeat Hoover?

Think About:

• the American public’s impression of Hoover (See your answer to No. 3)

• Hoover’s actions to alleviate the Great Depression (see your answer to No. 4)

• how people judged Hoover after the attack.       



     When Franklin Delano Roosevelt heard about the attack on the Bonus Army, he was certain he would defeat Hoover in the upcoming election. The violent attack by the government on the veterans left Hoover's political image suffering. Many people were stunned to see such aggressiveness towards veterans. Hoover was already seen by the public in a negative way since they blamed him for the depression and not doing enough to save the economic state of the country. Hoover's inability to deal  effectively with the depression left people turning towards Franklin Roosevelt.