What Was Hoover's Response To The Great Depression

Short Answer Response #1 The Great Depression was the most horrific economic depression ever in US history and lasted from 1929-1939. Many leading factors led to the Great Depression. The primary cause was when the stock market crashed in 1929. Known as “Black Tuesday,” the market lost 12% of its value and over $14 billion of investments. Two months later, things became drastically worse, with stockholders losing more than $40 billion. The stock market crash led to almost 700 bank failures in 1929, and in 1930 an additional 3,000 collapsed. With the rapid rate of banks closing down, a wave of fear throughout the nation caused Americans to withdraw their money, forcing more bank closure. By the end of the decade, over 9,000 banks had closed. Lack of funds led to a massive deficit in consumer and company spending. As a result, workers were laid off with the unemployment rate rising over 25%. Hoover refused to involve the federal government to solve issues because he believed that would move America towards socialism. As the Great Depression worsened
government programs to help relieve the economic problems caused by the Great Depression. These programs were known as the 3 R’s- Relief, Reform, and Recover. The Civil Works Administration and the Civilian Conservation Corps were both created in 1933 to create jobs for the unemployed. The Federal Housing Administration was a government funded program established in 1934 to help aid the housing crisis; in contrast, the Home Owners' Loan Corporation was established in 1933 to assist homes being refinanced. The Social Security Act of 1935 was created to help mass poverty among senior citizens and help disabled Americans. This government program is one of the only parts of the New Deal still in existence today. Although the New Deal did not end the nation’s economic crisis, it did help bring relief to millions of Americans and restore public