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Hoover’s Public Relief and Economic Reform

Explore Hoover's opposition to direct relief, focus on voluntarism, economic reforms, White House Conference, Public Works Programs, Federal Farm Board, RFC, and the impact of his failed policies during the Great Depression. Learn about the shift in government intervention and its effects.

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Hoover’s Public Relief and Economic Reform

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  1. Hoover’s Public Relief and Economic Reform 15.3

  2. Hoover’s Philosophy • “ I do not believe that the power and duty of the Government ought to be extended to the relief of individual suffering. The lesson should be constantly enforced that though the people support the Government the Government should not support the people.”–Herbert Hoover

  3. Hoover’s Public Relief

  4. Opposition of Direct Relief • Hoover rejected direct relief from the federal government for the needy • = no food, shelter, clothing, or money for needy • Instead – Hoover believed private charities best suited for relief • Hoover – hard work was the answer, not handouts

  5. Encouraging Voluntarism • Hoover and many others believed voluntary efforts were preferable to government aid • Private charities would not be enough aid

  6. Hoover’s Economic Reform

  7. Hoover’s Reform • Supports – gov. intervention for business • To stimulate economy • Rejects – laissez-Faire approach of hands off proposed by Sec. Of Treasury Andrew Mellon

  8. Hoover’s Programs to End Depression

  9. White House Conference • = meeting of top business, labor, and political leaders following the market crash • Hoover urged them to maintain pre-depression levels of production, employment, and wages

  10. Public Works Programs • Construction programs funded by the government to stimulate business and reduce unemployment • Largest project was the Boulder Dam (Later called the Hoover Dam) • Also built over 800 public buildings and 37,000 miles of roads

  11. Federal Farm Board (FFB) • Established to help farmers help themselves • Offered loans and bought crop surpluses when prices were low

  12. Reconstruction Finance Corporation (RFC) • Authorized to lend up to $2 bill to stabilize banks & large companies • Purpose = strengthen businesses to prevent more failures and job losses • = no relief to businesses or people • Benefits did not trickle down fast enough to slow depression

  13. Hoover’s Failed Policies • Did not work • They were not drastic enough to halt the depression and Hoover continued to take the blame • BUT…The government accepted the idea that it can and should do something to boost the economy in times of crisis

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