The twenties were times of great American prosperity and renaissance. The era seemed to be "roaring" due to the jollity and merry making the nation was embarked upon. However, the entire "roar" would soon come to a "whimper" in October 1929. Recession had been evident toward the end of the "20's; however, the economy took a nosedive on October 24 1929 when 13 million shares of stock were traded. Immediately following "Black Thursday", the nation entered into the great depression. The president, Herbert Hoover, felt "helpless" on what to do with the nation in ruin. Thus, Hoover proposed certain government agencies and specific bills to be enacted to pull the nation out of the crisis, but not all his good intentions had good results.
Hoover, before the inevitable turn for the worse, knew help was needed to boost the dying agricultural prices. In order to accomplish such a task, Hoover proposed The Agricultural Marketing Act. The law proposed to create the Federal Farm Board. The board would be given 500 million dollars to buy crops such as cotton and wheat. Next, the committee would hold off the crops for higher prices. Thus, in idea, the price drop in crops would be fixed and the farmers of America would be spared hardships. However, in 1931 the world prices fell and the board ran out of purchasing power. Hoover did for a short period of time help boost the prices of crops. Also, it is notable that he created an agency that did not just hand out money, instead the agency tried to let the farmers survive by making their crops worth something. However, the truly important aspect is that Hoover set the precedent for government agencies to set prices. Franklin Roosevelt will use similar ideas as the Federal Farm Board to pull the country out of depression. Thus, Hoover's Agricultural Marketing act proved to be valuable as a precedent of the New Deal's agencies.
When it came to international affairs, Hoover had the wrong ideas on what to get the country out of depression.
