Question

What was President Hoover's philosophy of government and how did it hinder the recovery?

Answer 1

Hint: Hoover expanded federal enforcement of Prohibition, amid increasing public opposition to Prohibition. In 1931 and 1932, as the depression intensified, Hoover reluctantly called for direct federal action, creating the Reconstruction Finance Corporation and signing a large public works bill.

Complete answer: Hoover believed that the federal government should not provide people with direct assistance. He believed in free-market capitalism and did not accept that the constitution gave the authority to set prices to the federal government. This delayed rehabilitation because it was up to the state and local governments to provide relief for the Great Depression, according to Hoover's government views, even though these smaller parts of the government were unable to cope with such a large-scale crisis. Hence, we can say that the strongly held ideology of American individualism upheld by President Hoover, which he maintained despite unprecedented economic circumstances, made him especially unfit to cope with the Great Depression crisis. He opposed government interference to a great degree, finding it a road to the collapse of American grandeur. He felt most Americans were not working hard enough which led to the Depression.

Note: The Smoot-Hawley tariff, which raised tariffs on over 20,000 goods, was Hoover's response to the Great Depression. The Democrats called Hoover "Do nothing" accusing him of sticking to Laissez-faire economics, but this charge was incorrect as he pressed for further state interference that ultimately failed.