Industrial cities see huge unemployment rates In 1932: Cleveland=50%, Akron=60%, Toledo=80%

Farm income declined 60% 1/3 of farmers sold their land between ‘29 & ‘32

Unemployment was seen as a personal failure

Local and state relief efforts were overwhelmed Red Cross, Salvation Army

Hoboes

Scavenging for scraps of food

Homelessness

Malnutrition, even death from starvation

Shacks, shanties=“Hoovervilles”

Wanderers Freight trains, parks,

under bridges

Drought hits the Plains in 1930

Accompanied by heat & high winds

Led to “black blizzards” Killed livestock & humans; respiratory problems

Black clouds reached the east coast

Drought lingered until 1937 in most of the region, 1940 in others

As many as 2.5 million people left the Plains Traveled west, esp. CA

“Okies”

Popularized by Steinbeck’s Grapes of Wrath

1st concern=restoring confidence in the economy

Asked business leaders & labor leaders for voluntary cooperation No laying off workers & no asking for higher wages

Increased government spending; but not enough

Increased taxes in 1932 (Revenue Act)

Hawley-Smoot Tariff of 1930 worsened economy globally

Popularity had sunk by 1931

Est. Reconstruction Finance Corporation in 1932 Provided federal loans

to troubled banks, RRs, & other businesses

Funded public works projects

But most of the $$ went to big banks & corporations

Had a large budget; but didn’t use it

Avoided providing direct relief to homeless & unemployed Thought it would destroy

desire to work & undermine self-worth

Some thought him hypocritical

In 1930 refused $25 million to feed Arkansas farmers

But approved $45 million to feed their livestock

In 1932 refused to help pay Chicago teachers & city workers

But approved a $90 million loan to Chicago’s Central Republic Bank

1924, Congress passed a $1K bonus for WWI vets

Wouldn’t mature until 1945

But vets demanded that gov’t pay immediately

Movement initiated in Portland, OR

By the time they reached Washington, DC they had 20K followers

HOR agreed to immediate payment, but Senate shot them down

Hoover refused to meet w/ the veterans

W/ conflict seeming inevitable, Hoover ordered the Sec. of War to “surround the affected area & clear it w/o delay.”

In July of ‘32 the US Army (led by Patton & MacArthur) attacked the veterans’ camp

Set the tents & shacks ablaze & dispersed the Bonus Army

100+ veterans were injured, 1 infant was killed

Hardened the nation’s anti-Hoover opinion

Hoover, once a symbol of optimism, was now a failure

He was doomed in the election of 1932

Only received 39% of popular vote