Hoover Responds

Ch.17 Sec.3

Promoting Recovery

• Govt Response– Hoover pledged that the worst had passed for the

U.S. economy– Promoted Public works projects by states– Refused to increase federal govt spending– Opposed federal govt spending on relief

• Reconstruction Finance Corporation– One of Hoover’s only attempt at federal govt

intervention– Gave govt loans to banks, railroads, & agricultural

businesses– The amount of money handed out was too little to

make a difference• Emergency Relief & Construction Act– Provided $300 million in loans to states for relief– Too little too late

In an Angry Mood

• Public Response to Hoover– Open acts of revolt increased as Depression

worsened– Hunger marches were organized, farmers burned

their crops to raise crop prices, “Hoovervilles” set up across the country

• Bonus Army– World War I vets who marched across the country

to petition for their bonus wages

In An Angry Mood

• Reaction to Hoover– Public support for Hoover declined steadily as

1932 election approached– Failure to create support programs, press coverage

of the Bonus Army violence, and public anger at govt guaranteed no reelection for Hoover