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How Did President Hoover Affect The Economy In The 1920's

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Black Tuesday will forever be remembered in the history of the American economy. It marked the beginning of the depression with the weakening of the economy, first in the stock market crashing (Goldfield, The American Journey,716). The same economic policies that increased the economy in the 1920’s led to economic disaster with the government failure to produce laws regulating oligopolies, banks, and the stock market (Goldfield,717). President Herbert Hoover’s response to providing federal aid to the United States was seen in the beginning of the depression, when the depression worsened, and towards the end of his presidency.
President Hoover’s ideology in the beginning of the depression was that direct federal intervention wasn’t going to help as much as private relief from industries and companies (Goldfield, 722). The federal government was to only advise the actions of the local communities, industries and private organizations with economic policies. The president had vetoed congress’ attempt to aid unemployment (Goldfield, 722). Company business leaders pledged to maintain employment and wages for their …show more content…

President Hoover responded with treating the army poorly and violently dispersing them (Goldfield, 723). His treatment of the veterans led citizen to increase his unpopularity. With his popularity decreasing, the election of 1932 had hurt his image. The democratic candidate that was running against Hoover was Franklin D. Roosevelt. His proposition of the New deal and warming personality gave hope to the nation with Roosevelt (Goldfield, 724). Roosevelt had produced a state system of unemployment relief in New York that influenced citizens on his plans in the new deal. In the end of Hoover’s presidency, the depression worsened with banks failing and being closed down in respect to Hoover and his administration failing to provide aid (Goldfield,

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