Agricultural Adjustment Act:
1st:
When: May 12, 1933
What it was: The act paid farmers to not plant some of their land and kill off the extra livestock that they had
Created a new agency (the Agricultural Adjustment Administration)
Considered as the first US farm bill
In 1936 the act was declared unconstitutional
Effects of the act:
tenant farmers were replaced with wage laborers which left some tenant farmers without a home and a job
The program was overall successful
2nd:
When: 1938
What it was: It acted as a replacement to the act of 1933 which was found unconstitutional and it responded to the Soil Conservation and Domestic Allotment Act of 1935
http://www.u-s-history.com/pages/h1639.html
The intent of the act was to restore the purchasing power of American farmers like it was before WW1
The act balanced out supply and demand of products from farmers (parity)
controlled the supply of 7 basic crops: corn, wheat, cotton, rice, peanuts, tobacco, and milk
The act also helped farmers who were affected by the Dust Bowl in 1934.
They would get this money by setting a tax on companies that processed farm goods.
The act was declared unconstitutional because people thought it was unfair to tax the processors in order to pay the farmers.
http://www.livinghistoryfarm.org/farminginthe30s/water_11.html
the AAA remained the basis for all farm programs in the next 70 years in the 1900s.
It did not end the Great Depression though.
Deficit Spending:
What it is:
The amount by which the gov't, a private company, or a person's spending exceeds their income over a period of time.
TOO BE CONTINUED.... in my presentation :)
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