Which steps did the hoover administration take to fight the early challenges of the great depression?

select the two correct answers

a.)winning passage of a tax cut to increase individuals' take-home incomes

b.)urging private agencies and state governments to organize relief efforts

c.)calling for immediate federal funding to support financial institutions troubled by bank runs

d.)creating a series of federal programs to provide employment on public works

e.)demanding debt payments from foreign governments to increase emergency funds

The correct answers are C, calling for immediate federal funding to support financial institutions troubled by bank runs and D, creating a series of federal programs to provide employment on public works.

Explanation:

Republican President Herbert Hoover (1874-1964) firmly believed the government should not intervene in the economic field. Because of this his administration only actively fought the economical crisis in early 1932, when unemployment was around 23%.

During that year Hoover's administration got Congress to approve the creation of the Reconstruction Finance Corporation (RFC), an institution to financially support states' governments and financial institutions. RFC saved a few banks but not enough to ease the crisis.

In mid-1932 Hoover signed the Emergency Relief and Construction Act that liberated public funds for public works to provide employment.

Options A, B and E are wrong:

When the government worked on the housing field for low-income individuals it was not through tax cuts; (A)

it did not urge private agencies to organize relief efforts, only to not cut wages during the beginning of the crisis; (B)

on the contrary, Hoover established a moratorium on foreign debts related to World War I (1914-1918) to stop the European crisis caused by the American crisis aiming to help both economies. (E)

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