Ch.31 – The Response to the Economic Collapse EQ: How did the Federal Government respond to the economic crisis that began in 1929?
31.1 – Coach Schroeder reads introduction
31. 2 – Print off the blank copy of the table below and fill in using this sheet.
Then Copy the Section radical, conservative and liberal ideologies below the table.
31.3-4 – Complete the T-chart as shown on your handout in your IAN using the website for the notes.
Section 2 – Fill in the sheet you printed off.
Description C
This political ideology supports the federal
government in planning all aspects of the
economy, including agricultural production, in
order to more closely match supply with
demand.
Quotation D
“We propose to limit the amount which any
Description B
This political ideology supports allowing the
markets to become stable all by themselves
without government interference.
Description A
This political ideology promotes
national regulation of banks, utilities,
and transportation as a way
of protecting consumers.
Quotation F
“I do not believe that the power and duty of
Quotation E
“I shall ask the Congress for . . .
one may earn to $1 million per year . . .
throwing all surpluses into the United States
Treasury. Then from the immense
money thus acquired we will guarantee to
every family a home
and . . . automobile and radio.”
—Huey Long, 1935
Policy I
Every family in America should at least own a
homestead . . . No family shall own more than
three
hundred times the average family
wealth . . . No family will have an earning of
less than around $2,000 to $2,500.
—Proposals of the Share Our
Wealth Program, 1935
the general government
ought to be extended to the relief of individual
suffering.”
—Herbert Hoover, 1931
broad executive power to wage a war
against the emergency . .. This nation
asks for action, and action now . . . We
must act and act quickly.”
—Franklin D. Roosevelt, 1933
Policy H
I, together with other officers of the
Government, initiated extensive cooperative
measures throughout the country. The first of
these measures was an agreement of leading
employers to maintain the standards of wages
and of labor leaders to use their influence
against strife.
—President’s Explanation of Policy
of Voluntary Cooperation, 1930
Policy G
Be it enacted . . .The Administrator
is authorized to make grants to the
several States to aid in meeting the
costs of furnishing . . . work relief and in
relieving the hardship and suffering
caused by unemployment.
—Federal Emergency Relief Act,
1933
Section 2 continued:
The radical ideology supports sweeping changes to society, including the economy.
During the Great Depression, communist radicals hoped to do away with capitalism and
give the federal government control of the economy.
The conservative ideology supports letting the economy stabilize by itself and opposes
large governmental efforts to effect change. During the Great Depression, conservatives
believed that the economy would recover on its own, without government interference.
The liberal ideology supports government involvement in the economy. During the Great
Depression, liberals believed that the federal government had a responsibility to relieve
Americans’ misery with public works projects and social welfare programs. They also
called on the government to use its power to help the economy recover.
Section 3 & 4
Hoover’s Actions (choose 3)
 Hoover tried voluntary cooperation and urged owners of successful banks to
loan money to failing banks. C
 Hoover supported the creation of the Reconstruction Finance Corporation. The
RFC issued loans to banks, railroads, and other big businesses in hopes that, in a
 trickle-down effect, prosperity would seep throughout the economy. L
 Hoover supported a bill that gave the RFC power to loan money to states that
needed to provide relief to the needy and allowed the RFC to finance public
works projects. L
Roosevelt’s Actions (choose 3)
 FDR designed the Civilian Conservation Corps, which gave young men jobs in
the nation’s parks and forests. L
 FDR set up the Agricultural Adjustment Act, which tried to help farmers by
reducing overproduction and raising crop prices. L
 The Truth-in-Securities Act required companies issuing stock to provide
accurate information to investors. L
 The Emergency Banking Act gave the government broad power to help reopen
banks. L
 The Federal Emergency Relief Act granted money to states to fund relief
projects. L
 The Tennessee Valley Authority funded construction of dams and power plants.
L


The Home Owners Refinancing Act gave aid to families who might lose their
homes. L
The Banking Act of 1933 established the FDIC to insure depositors from loss if
banks failed. L