Question

Which of the following strategies did Hoover initially follow in response to the Great Depression? Select the two correct answers.

A. Hoover gave federal aid to the hungry, including the elderly and children. B. Hoover told American workers to work harder and watch their budgets. C. Hoover allowed businesses to stop production and pay workers as needed.
D. Hoover told business leaders that the crash was not a cause for concern. E. Hoover invested in many public works and government housing projects.

Answer 1

Right choices are:

B. Hoover told American workers to work harder and watch their budgets.

D. Hoover told business leaders that the crash was not a cause for concern.

Step-by-step explanation:

President Hoover was a believer in laissez-faire economics. He had lived in poverty in his childhood and his young years. He was a self-made millionaire. He didn´t believe it was the role of the state to provide welfare and aid to people because they would stop working, and he did not see a role for the state to regulate prices or control business because it would lead to socialism, he feared. He called entrepreneurs to calm and not to panic.