The stock market fell on Thursday, October 24, 1929, less than eight months after Herbert Hoover's presidency. Most experts, including Hoover, thought the accident was part of a passing recession. In July 1931, when the President wrote this letter to a friend, Governor Louis Emmerson of Illinois, it had become apparent that excessive speculation and a global economic slowdown had plunged America into the midst of a Great Depression. While Hoover wrote to Emmerson that "the considerable continuation of destitution during the winter" and perhaps more was inevitable, he was trying to "get the country's machinery in ... action." Since the accident, Hoover had worked steadily trying to fix the economy. He founded government agencies, encouraged
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Hoover saw that the country was already "souring in the New Deal". He believed that the revolution was inevitable "unless it stopped" the fundamental changes in government and deficit spending. Roosevelt's reforms had led Americans to "undo all the moorings," and Hoover predicted that the United States would dangerously divert "to the left," followed by a reaction that would lead to "some American interpretation of Hitler or Mussolini." In 1934, after two years out of the public eye, Hoover made these same thoughts public in an article titled "The Challenge to …show more content…
Roosevelt called for a "New Deal" for Americans, proposing sweeping economic reforms to address the Great Depression. The biggest crisis in US history since the Civil War, 13 million Americans were unemployed and hundreds of banks were closed. Roosevelt ordered the temporary closure of all banks to stop the execution of the deposits. He has formed the "Brain Trust" of economic advisers who designed the "alphabet agencies", such as the AAA (Agricultural Adjustment Administration), to support agricultural prices by reducing agricultural production through subsidies the CCC, to employ young men to work on the restoration of public lands and national parks; and the NRA (National Recovery Administration), which regulated wages and prices. Other agencies insured bank deposits, regulated the stock market, subsidized mortgages and provided relief to the
Hoover saw that the country was already "souring in the New Deal". He believed that the revolution was inevitable "unless it stopped" the fundamental changes in government and deficit spending. Roosevelt's reforms had led Americans to "undo all the moorings," and Hoover predicted that the United States would dangerously divert "to the left," followed by a reaction that would lead to "some American interpretation of Hitler or Mussolini." In 1934, after two years out of the public eye, Hoover made these same thoughts public in an article titled "The Challenge to …show more content…
Roosevelt called for a "New Deal" for Americans, proposing sweeping economic reforms to address the Great Depression. The biggest crisis in US history since the Civil War, 13 million Americans were unemployed and hundreds of banks were closed. Roosevelt ordered the temporary closure of all banks to stop the execution of the deposits. He has formed the "Brain Trust" of economic advisers who designed the "alphabet agencies", such as the AAA (Agricultural Adjustment Administration), to support agricultural prices by reducing agricultural production through subsidies the CCC, to employ young men to work on the restoration of public lands and national parks; and the NRA (National Recovery Administration), which regulated wages and prices. Other agencies insured bank deposits, regulated the stock market, subsidized mortgages and provided relief to the