Herbert Hoover and The Great Depression

1
Herbert Hoover and The Great Depression

• Mr. Blais
• America in the World

2
The Early Days

• In the early days of the crisis Hoover tried to
  instill confidence in the American public.
• He issued statements like, Prosperity is just
  around the corner.
• He told businesses to keep employment high and
  told bankers to keep lending, neither were
  effective.

3
Hoovers Economic Beliefs

• Hoover was a firm believer in private enterprise
  and believed government handouts would destroy
  personal initiative.
• Hoover therefore offer help to banks and
  businesses in hopes that it would trickle down
  and relieve unemployment at the bottom.
• He also felt that fear was a large part of the
  problem so he spent a lot of time reassuring
  people

4
Hoovers Beliefs in Action

• He feared that reliance on federal action would
  create state socialism.
• He also opposed direct relief for the unemployed
  and vetoed bills which would have done just that.
• In 1932, over Hoovers initial resistance, 2
  Billion dollars was given to railroads, insurance
  companies, and banks to help them begin to new
  projects which were self liquidating, or would
  pay for themselves in the future

5
Hoovers Public Opinion

• Most Americans wrongfully blamed Hoover for The
  Great Depression and he was replace by Franklin
  Roosevelt in 1932.
• There is no doubt that some of his ideas didnt
  help the situation but he didnt make it any
  worse.
• The over spending, over lending, and lack of
  financial security in the late 1920s set the
  stage of this gigantic economic collapse