Answer:
Answer explained below.Step-by-step explanation:
Causes of the Great Depression:
• Stock market speculation and overproduction: During the 1920s, there was a rapid increase in the stock market, and many people invested in stocks, even if they didn't have the means to pay for them. Additionally, there was overproduction in many industries, leading to a surplus of goods and a decline in prices.
• Banking crisis: In the years leading up to the Great Depression, many banks engaged in risky practices, such as loaning out more money than they had in reserves. When the stock market crashed in 1929, many banks were left with large amounts of unpaid loans, leading to a wave of bank failures.
• Global economic factors: The Great Depression was not just limited to the United States, but was a global phenomenon. Many countries experienced economic downturns due to a decrease in international trade and investment, as well as war reparations and other financial obligations.
Ways President Hoover responded to the crisis:
• Hoover called on businesses to keep wages stable and avoid layoffs, and he encouraged public works projects to create jobs. He also signed the Smoot-Hawley Tariff Act, which increased tariffs on imported goods, in an attempt to protect American industries from foreign competition.
• Hoover created the Reconstruction Finance Corporation (RFC), which provided loans to struggling businesses and financial institutions. He also supported the creation of the National Credit Corporation (NCC), which aimed to provide liquidity to the banking system.
One response Hoover could have proposed or implemented better to help Americans:
• Hoover could have implemented a more comprehensive relief program for individuals and families who were struggling during the Great Depression. While he did support public works projects and urged businesses to maintain stable wages, he was reluctant to provide direct aid to the unemployed and homeless. A more effective response may have been to create a federal program that provided direct assistance to those in need, such as food aid and housing subsidies. This could have helped alleviate the suffering of millions of Americans who were struggling to survive during this difficult time.