Problems Revealed pre-New Deal

Protecting freedom of information

Bankers - embezzling

Banks – failure + result that people feared to deposit money in banks

Banks – Speculating in stock market

Gold Standard

Stock Market

- Insider trading

- Margin buying

- Fraud

- Public offering but no required truth ( had private stock market regulations)

Business Not Producing

– they are hurting

- workers hurting

- market saturated

Mortgage

– home

– farm

People on the edge

– varied

– old

– Okies

Farmers

– market saturation

– they are hurting

– farm labor is hurting (25% of work force)

^{Comparison of Events}

The problems in the left column are revealed in the Hoover administration, but they were caused by economic events and decisions before his administration and beyond his administration.

^{* + (date)} = Alteration

Problems Revealed in Hoover’s Administration	Solutions Attempted in FDR’s New Deal
Protecting freedom of information	FCC*^(1980s)^(1990s)
Bankers - embezzling	Combination solution: National Bank Holiday Inspections License/Treasury Fireside chat – radio device used frequently Later FDIC *^(1980s)
Banks – failure + result that people feared to deposit money in banks
Banks – Speculating in stock market	“Chinese Wall” (sometimes called a firewall) between banks and their using your money for speculation Glass Steagall ^* (1990s)
Gold Standard	US off gold standard
Stock Market - Insider trading - Margin buying - Fraud - Public offering but no required truth ( had private stock market regulations)	SEC^* (1990s)
Business Not Producing – they are hurting - workers hurting - market saturated	NRA Later declared unconstitutional – gave workers right to organize – set up standards & codes for business – used symbol blue eagle in store windows PWA – public works, such as Boulder Dam – used steel, concrete
Mortgage – home – farm	Refinancing of both home and farms FHA
People on the edge – varied – old – Okies	Varied: – CCC – Boys/conservation projects – FERA – “made work” Later WPA – labor & build libraries and schools – Social Security – for aged, orphans, disabled
Farmers – market saturation – they are hurting – farm labor is hurting (25% of work force)	AAA – parity to restore price of prior times – paying not to grow/plus plow under initially – Helps Big Farmers most, with tenants and sharecroppers being the ones whose land the big farmers took out of production – 60% income up TVA – conservation and electric power – Results in factory jobs and displacement of some people