Did Hoover fail to bring the country out of the Depression because he had too much gov intervention or was it too little?
Too little.
Hoover's response to the Great Depression is a topic of debate among economists and historians. Some argue that Hoover's interventions were insufficient and too cautious, while others contend that he actually implemented significant government intervention that worsened the economic situation. To assess this issue, we can consider several factors.
1. Initial response: When the stock market crashed in 1929, Hoover initially took a hands-off approach, believing that the economy would naturally recover. This approach had limited impact in stabilizing the situation, as the banking system continued to fail and unemployment rates skyrocketed.
2. Voluntary cooperation: Hoover promoted voluntary cooperation among businesses and labor unions as a means of combating the economic downturn. However, this approach did not yield sufficient results, as industries and workers faced massive layoffs and economic hardships persisted.
3. Tariffs and trade: One notable intervention by Hoover was the signing of the Smoot-Hawley Tariff Act in 1930, which raised tariffs on imported goods. This decision, intended to protect American industries, led to retaliatory tariffs from other countries and further hindered international trade, exacerbating the global economic slowdown.
4. Public works projects: Hoover believed in the power of public works projects to stimulate the economy and launched initiatives such as the Hoover Dam. While these projects created some jobs, they were not sufficient to reverse the widespread unemployment and economic decline.
Overall, while Hoover did implement some interventions, they were often seen as insufficient and unable to address the deepening economic crisis. Many argue that Hoover's reluctance to engage in more aggressive government intervention, such as direct relief programs and extensive public spending, contributed to the prolongation of the Great Depression.
It is important to note that the Great Depression was a complex event affected by numerous factors beyond Hoover's control, such as the global economic downturn and structural issues within the U.S. economy. Therefore, attributing the entirety of the recovery's failure solely to Hoover's intervention policies would oversimplify the situation.