HIST 10613 Lecture Notes - Lecture 10: Civilian Conservation Corps, Federal Farm Board, Agricultural Adjustment Act
2/19 Great Depression
Monday, February 19, 2018
11:08 AM
Market Crash of 1929
• October 29,1929 "Black Tuesday"
Explaining the Depression
• Financial consequences of WWI
Smoot-Hawley tariff (1930)
o Encouraged Americans to buy US products to increase revenue
o Didn’t work
Hoover (R ) Tries to fight the Depression
• Smoot-Hawley tariff - counteractive
• Federal Farm Board: $500 million subsidy for wheat and cotton
• Reconstruction Finance Corporation (RFC): $1.5 Billion in loans to failing banks and industries
• Public Works
• "The Bonus March" : a march on DC made up of WWI veterans because the US promised veterans
a bonus in the future years but they wanted their money now
o Bad PR because the current army was chasing out, using smoke bombs, and going against
the veterans
o Hurt his popularity
FDR (D)
• Suffered polio that caused paralysis in him
• Kept it quiet about the extent of his paralysis
At least a quarter of the country is out of work
New Deal or Raw Deal?
"The Roosevelt legend"
Claims:
• The 1920's were an economic disaster
• The New Deal was a necessary correction on 1920's policy
• FDR was a popular and beloved president
Fireside Chats
• Was a very effective communicator
• Radio shows that he FDR created
• Addressing the nation in order to make them feel like they were talking to him personally
FDR's New Deal
• Based on Keynesian Economics
o Sometimes the market cant fix itself and the government needs to get involved
o Gov spending to stimulate the economy
National Recovery Administration (NRA)
o Industries are encouraged to get together and collaborate on fixed minimum prices and
wages
o Intended to raise prices and wages, create "codes of fair competition," and reduce
"destructive competition"
o Ruled unconcstitutional by the supreme court
Agricultural Adjustment Administration (AAA)
o Farmers paid not to plant portions of their land and to destroy crops and livestock
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