Wednesday, August 17, 2011
How did hoovers depressionera programs reflect his belief in rugged individualism and self reliance?
Hoover did not believe in direct support to the needy from the federal government. He did believe that helping the needy was the job of private charities and the state and local governments. But Hoover did believe in economic aid for businesses, either in the form of government regulations or federal loans. He also had regressive consumer taxes cut in order to encourage purchasing and, therefor, production increase. He also had Congress authorize $5 million a year on public works projects and programs to build and improve government buildings. The most famous of these projects became known as the Hoover Dam. Congress also created the Reconstruction Finance Corporation with Hoover's support. It lent money to banks, railroads, and other economic institutions so they could stay in business. FDR continued the RFC when he became President. But Hoover also held to the view that "rugged individualism" and "self reliance" were traits Americans would have to depend upon to weather the depression. Hoover was not blind to the economic suffering, he just did not do more when the times dictated that the government get more involved in the economy of the nation.
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