At first, what did President Hoover rely on to relieve the depression?

Learning Objectives

By the end of this section, you lot will be able to:

• Explain Herbert Hoover's responses to the Great Depression and how they reflected his political philosophy
• Identify the local, urban center, and land efforts to gainsay the Great Depression
• Analyze the frustration and acrimony that a bulk of Americans directed at Herbert Hoover

President Hoover was unprepared for the telescopic of the low crisis, and his limited response did non begin to help the millions of Americans in need. The steps he took were very much in keeping with his philosophy of limited government, a philosophy that many had shared with him until the upheavals of the Great Depression made it clear that a more direct government response was required. Just Hoover was stubborn in his refusal to give "handouts," as he saw straight government help. He chosen for a spirit of volunteerism amidst America's businesses, asking them to continue workers employed, and he exhorted the American people to tighten their belts and brand do in the spirit of "rugged individualism." While Hoover'southward philosophy and his appeal to the country were very much in keeping with his character, it was non enough to proceed the economy from plummeting further into economic anarchy.

The steps Hoover did ultimately take were too little, as well late. He created programs for putting people back to work and helping beleaguered local and country charities with aid. But the programs were small in scale and highly specific as to who could benefit, and they but touched a modest percentage of those in demand. As the state of affairs worsened, the public grew increasingly unhappy with Hoover. He left office with one of the everyman approval ratings of whatsoever president in history.

THE INITIAL REACTION

In the immediate backwash of Black Tuesday, Hoover sought to reassure Americans that all was well. Reading his words after the fact, it is piece of cake to find fault. In 1929 he said, "Whatsoever lack of conviction in the economic hereafter or the force of business organization in the United States is foolish." In 1930, he stated, "The worst is behind us." In 1931, he pledged federal aid should he ever witness starvation in the state; but equally of that date, he had yet to see such need in America, despite the very real evidence that children and the elderly were starving to death. Yet Hoover was neither intentionally bullheaded nor unsympathetic. He simply held fast to a belief system that did not alter as the realities of the Great Depression gear up in.

Hoover believed strongly in the ethos of American individualism: that difficult work brought its own rewards. His life story testified to that belief. Hoover was born into poverty, made his mode through higher at Stanford University, and eventually made his fortune every bit an engineer. This experience, as well every bit his extensive travels in Communist china and throughout Europe, shaped his fundamental conviction that the very beingness of American culture depended upon the moral fiber of its citizens, as evidenced by their ability to overcome all hardships through individual try and resolve. The thought of government handouts to Americans was repellant to him. Whereas Europeans might demand help, such equally his hunger relief work in Belgium during and after World State of war I, he believed the American character to be different. In a 1931 radio address, he said, "The spread of authorities destroys initiative and thus destroys graphic symbol."

As well, Hoover was non completely unaware of the potential impairment that wild stock speculation might create if left unchecked. As secretary of commerce, Hoover often warned President Coolidge of the dangers that such speculation engendered. In the weeks before his inauguration, he offered many interviews to newspapers and magazines, urging Americans to curtail their rampant stock investments, and even encouraged the Federal Reserve to raise the discount charge per unit to make information technology more than costly for local banks to lend money to potential speculators. Notwithstanding, fearful of creating a panic, Hoover never issued a stern warning to discourage Americans from such investments. Neither Hoover, nor any other politician of that twenty-four hours, ever gave serious thought to outright authorities regulation of the stock marketplace. This was even true in his personal choices, every bit Hoover often lamented poor stock advice he had one time offered to a friend. When the stock nose-dived, Hoover bought the shares from his friend to assuage his guilt, vowing never again to advise anyone on matters of investment.

In keeping with these principles, Hoover's response to the crash focused on two very common American traditions: He asked individuals to tighten their belts and work harder, and he asked the business community to voluntarily help sustain the economy by retaining workers and standing production. He immediately summoned a conference of leading industrialists to meet in Washington, DC, urging them to maintain their current wages while America rode out this brief economic panic. The crash, he assured business leaders, was not part of a greater downturn; they had zippo to worry about. Similar meetings with utility companies and railroad executives elicited promises for billions of dollars in new structure projects, while labor leaders agreed to withhold demands for wage increases and workers continued to labor. Hoover also persuaded Congress to pass a $160 million revenue enhancement cut to eternalize American incomes, leading many to conclude that the president was doing all he could to stalk the tide of the panic. In April 1930, the New York Times editorial board ended that "No 1 in his place could have done more."

However, these modest steps were non enough. By late 1931, when it became clear that the economic system would not improve on its own, Hoover recognized the need for some government intervention. He created the President'south Emergency Commission for Employment (PECE), later renamed the President'southward Organization of Unemployment Relief (Cascade). In keeping with Hoover'south distaste of what he viewed as handouts, this organization did not provide direct federal relief to people in need. Instead, it assisted country and private relief agencies, such as the Cherry Cross, Salvation Regular army, YMCA, and Community Breast. Hoover also strongly urged people of ways to donate funds to help the poor, and he himself gave significant private donations to worthy causes. But these private efforts could not alleviate the widespread furnishings of poverty.

Congress pushed for a more direct government response to the hardship. In 1930–1931, it attempted to laissez passer a $60 million beak to provide relief to drought victims by allowing them access to food, fertilizer, and beast feed. Hoover stood fast in his refusal to provide food, resisting whatsoever element of directly relief. The terminal bill of $47 1000000 provided for everything except food but did non come close to adequately addressing the crunch. Once again in 1931, Congress proposed the Federal Emergency Relief Bill, which would have provided $375 million to states to help provide food, article of clothing, and shelter to the homeless. But Hoover opposed the neb, stating that information technology ruined the balance of power between states and the federal regime, and in February 1932, information technology was defeated past fourteen votes.

However, the president'southward adamant opposition to straight-relief federal government programs should non be viewed as one of indifference or uncaring toward the suffering American people. His personal sympathy for those in demand was boundless. Hoover was one of simply ii presidents to turn down his salary for the office he held. Throughout the Smashing Depression, he donated an average of $25,000 annually to various relief organizations to assist in their efforts. Furthermore, he helped to raise $500,000 in private funds to support the White House Conference on Kid Health and Welfare in 1930. Rather than indifference or heartlessness, Hoover'south steadfast adherence to a philosophy of individualism every bit the path toward long-term American recovery explained many of his policy decisions. "A voluntary act," he repeatedly commented, "is infinitely more than precious to our national ideal and spirit than a one thousand-fold poured from the Treasury."

Every bit conditions worsened, nonetheless, Hoover eventually relaxed his opposition to federal relief and formed the Reconstruction Finance Corporation (RFC) in 1932, in part because it was an election year and Hoover hoped to go on his role. Although not a form of straight relief to the American people in greatest demand, the RFC was much larger in scope than any preceding endeavor, setting aside $2 billion in taxpayer coin to rescue banks, credit unions, and insurance companies. The goal was to boost confidence in the nation's financial institutions past ensuring that they were on solid basis. This model was flawed on a number of levels. Kickoff, the program but lent money to banks with sufficient collateral, which meant that nearly of the aid went to large banks. In fact, of the kickoff $61 meg loaned, $41 million went to just three banks. Small boondocks and rural banks got about goose egg. Furthermore, at this time, conviction in fiscal institutions was not the main concern of well-nigh Americans. They needed food and jobs. Many had no coin to put into the banks, no affair how confident they were that the banks were condom.

Hoover's other attempt at federal assistance as well occurred in 1932, when he endorsed a bill by Senator Robert Wagner of New York. This was the Emergency Relief and Construction Deed. This act authorized the RFC to expand across loans to financial institutions and allotted $1.five billion to states to fund local public works projects. This program failed to evangelize the kind of aid needed, however, every bit Hoover severely limited the types of projects it could fund to those that were ultimately self-paying (such as toll bridges and public housing) and those that required skilled workers. While well intended, these programs maintained the condition quo, and there was nonetheless no direct federal relief to the individuals who so badly needed it.

PUBLIC REACTION TO HOOVER

Hoover'southward steadfast resistance to government help cost him the reelection and has placed him squarely at the forefront of the virtually unpopular presidents, according to public stance, in modern American history. His name became synonymous with the poverty of the era: "Hoovervilles" became the common name for homeless shantytowns and "Hoover blankets" for the newspapers that the homeless used to keep warm. A "Hoover flag" was a pants pocket—empty of all coin—turned inside out. Past the 1932 election, hitchhikers held up signs reading: "If you lot don't give me a ride, I'll vote for Hoover." Americans did not necessarily believe that Hoover caused the Great Low. Their anger stemmed instead from what appeared to be a willful refusal to help regular citizens with direct help that might let them to recover from the crisis.

Hoover became one of the least popular presidents in history. "Hoovervilles," or shantytowns, were a negative reminder of his role in the nation's financial crisis. This family (a) lived in a "Hooverville" in Elm Grove, Oklahoma. This shanty (b) was one of many making up a "Hooverville" in the Portland, Oregon area. (credit: modification of work past United States Farm Security Assistants)

FRUSTRATION AND Protest: A BAD State of affairs GROWS WORSE FOR HOOVER

Agony and frustration oftentimes create emotional responses, and the Great Low was no exception. Throughout 1931–1932, companies trying to stay afloat sharply cutting worker wages, and, in response, workers protested in increasingly biting strikes. As the Depression unfolded, over 80 percent of automotive workers lost their jobs. Even the typically prosperous Ford Motor Company laid off two-thirds of its workforce.

In 1932, a major strike at the Ford Motor Visitor factory about Detroit resulted in over threescore injuries and four deaths. Often referred to every bit the Ford Hunger March, the event unfolded every bit a planned demonstration among unemployed Ford workers who, to protest their desperate state of affairs, marched ix miles from Detroit to the visitor'south River Rouge plant in Dearborn. At the Dearborn city limits, local police launched tear gas at the roughly three thousand protestors, who responded past throwing stones and clods of dirt. When they finally reached the gates of the constitute, protestors faced more police force and firemen, as well as private security guards. As the firemen turned hoses onto the protestors, the police and security guards opened fire. In addition to those killed and injured, police arrested fifty protestors. One week later, sixty thousand mourners attended the public funerals of the four victims of what many protesters labeled law brutality. The event ready the tone for worsening labor relations in the U.South.

Farmers also organized and protested, often violently. The nigh notable example was the Farm Holiday Association. Led past Milo Reno, this organisation held significant sway among farmers in Iowa, Nebraska, Wisconsin, Minnesota, and the Dakotas. Although they never comprised a majority of farmers in whatever of these states, their public actions drew printing attention nationwide. Among their demands, the association sought a federal government plan to ready agronomical prices artificially high enough to embrace the farmers' costs, besides as a authorities commitment to sell any farm surpluses on the world market place. To accomplish their goals, the group called for farm holidays, during which farmers would neither sell their produce nor purchase any other appurtenances until the government met their demands. However, the greatest strength of the association came from the unexpected and seldom-planned actions of its members, which included barricading roads into markets, attacking nonmember farmers, and destroying their produce. Some members even raided small town stores, destroying produce on the shelves. Members also engaged in "penny auctions," behest pennies on foreclosed farm state and threatening any potential buyers with bodily harm if they competed in the sale. In one case they won the auction, the association returned the land to the original owner. In Iowa, farmers threatened to hang a local judge if he signed any more farm foreclosures. At least one decease occurred as a directly result of these protests before they waned following the election of Franklin Roosevelt.

I of the about notable protest movements occurred toward the end of Hoover's presidency and centered on the Bonus Expeditionary Strength, or Bonus Army, in the spring of 1932. In this protest, approximately fifteen thousand World War I veterans marched on Washington to need early payment of their veteran bonuses, which were not due to be paid until 1945. The grouping camped out in vacant federal buildings and fix up camps in Anacostia Flats near the Capitol building.

In the leap of 1932, World State of war I veterans marched on Washington and set up camps in Anacostia Flats, remaining there for weeks. (credit: Library of Congress)

Many veterans remained in the urban center in protest for almost two months, although the U.S. Senate officially rejected their request in July. By the middle of that month, Hoover wanted them gone. He ordered the police to empty the buildings and clear out the camps, and in the exchange that followed, police fired into the crowd, killing two veterans. Fearing an armed uprising, Hoover so ordered Full general Douglas MacArthur, along with his aides, Dwight Eisenhower and George Patton, to forcibly remove the veterans from Anacostia Flats. The ensuing raid proved catastrophic, every bit the war machine burned downwardly the shantytown and injured dozens of people, including a twelve-calendar week-one-time infant who was killed when accidentally struck past a tear gas canister.

When the U.S. Senate denied early on payment of their veteran bonuses, and Hoover ordered their makeshift camps cleared, the Bonus Ground forces protestation turned vehement, cementing Hoover's demise as a president. (credit: U.S. Department of Defense)

As Americans bore witness to photographs and newsreels of the U.Southward. Army forcibly removing veterans, Hoover'southward popularity plummeted even further. By the summertime of 1932, he was largely a defeated man. His cynicism and failure mirrored that of the nation's citizens. America was a state in desperate need: in need of a charismatic leader to restore public conviction as well equally provide physical solutions to pull the economic system out of the Bang-up Depression.

Whether he truly believed it or simply thought the American people wanted to hear it, Hoover connected to state publicly that the land was getting back on track. Listen as he speaks most the "Success of Recovery" at a campaign stop in Detroit, Michigan on October 22, 1932.

Section Summary

President Hoover's deeply held philosophy of American individualism, which he maintained despite extraordinary economic circumstances, fabricated him particularly unsuited to deal with the crisis of the Great Depression. He profoundly resisted government intervention, considering information technology a path to the downfall of American greatness. His initial response of asking Americans to discover their own paths to recovery and seeking voluntary business measures to stimulate the economy could non stem the tide of the Depression. Ultimately, Hoover did create some federal relief programs, such equally the Reconstruction Finance Corporation (RFC), which sought to boost public confidence in financial institutions by ensuring that they were on solid basis. When this measure did lilliputian to help impoverished individuals, he signed the Emergency Relief Act, which immune the RFC to invest in local public works projects. Only even this was as well little, too tardily. The severe limits on the types of projects funded and blazon of workers used meant that most Americans saw no do good.

The American public ultimately responded with acrimony and protestation to Hoover's apparent inability to create solutions. Protests ranged from factory strikes to farm riots, culminating in the notorious Bonus Army protest in the jump of 1932. Veterans from World War I lobbied to receive their bonuses immediately, rather than waiting until 1945. The government denied them, and in the ensuing chaos, Hoover called in the military machine to disrupt the protestation. The violence of this act was the final accident for Hoover, whose popularity was already at an all-time low.

Review Question

1. What attempts did Hoover make to offering federal relief? How would you evaluate the success or failure of these programs?

Answer to Review Question

1. Hoover formed the Reconstruction Finance Corporation (RFC) in 1932. This represented a pregnant endeavour, although it did not provide whatsoever directly aid to needy Americans. The RFC fix aside $ii billion in taxpayer money to rescue banks, credit unions, and insurance companies, hoping to promote Americans' confidence in financial institutions. However, by lending money simply to banks with sufficient collateral, he ensured that most of the recipients of the assist were big banks. Additionally, most Americans at this time did non take assets to place into banks, all the same confident they may have felt. In 1932, Hoover as well endorsed the Emergency Relief and Structure Act, which allotted $1.five billion to states to fund local public works projects. Hoover's limitations upon the types of projects that could receive funding and the types of workers who could participate, all the same, express the program'south utility.

Glossary

American individualismthe belief, strongly held past Herbert Hoover and others, that hard piece of work and private try, absent government interference, comprised the formula for success in the U.Southward.

Bonus Armya group of World War I veterans and affiliated groups who marched to Washington in 1932 to need their war bonuses early, merely to be refused and forcibly removed past the U.S. Ground forces

maezbunged.blogspot.com

Source: https://courses.lumenlearning.com/suny-ushistory2os2xmaster/chapter/president-hoovers-response/

Share this post