How did voters in 1930 respond to this situation? The Republicans lost control of the House of Representatives and saw their majority in the Senate dwindle to one vote. What was the nation's economic situation in 1930? Continued to worsen More companies went out of business Unemployment continued to rise Soup kitchens, shantytowns, and hobos became common The misery to ordinary people continued to grow. He also created a special organization to help private charities For example, he askedĮmployers not to cut wages or lay off workers, and he asked labor leaders not to demand higher wages or go on strike. What was Hoover's initial reaction to the stock market crash of 1929? He urged them to work together to find solutions to the nation's economic woes and to act in ways that would not make a bad situation worse. He believed in free market capitalism and did not think the constitution gave the federal government the power to set prices. TERMS IN THIS SET (15) What was Hoover's philosophy of government? Hoover believed that the federal government could not give direct aid to individuals.
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