The New Deal and Economic Recovery

The government takes action President Hoover said that the economic crisis will pass

eventually and that the government shouldn’t involve themselves with the economy. He said that it

would regrow again later. In 1932, Hoover and his Party lost the elections

cause the economy didn’t recover. Franklin Delano Roosevelt of the Democratic Party

was elected president. His approach towards the crisis was called the New Deal. The government would

interfere more with the economy and spend more money for this than it received.

E.g. people got jobs, Farmers who limited their production received a subsidy

and the government bought grain, cotton and dairy higher than market price.