President Hoover and the Republican Party initially responded as the federal government had during past economic crises. Hoover insisted on maintaining a balanced budget, a reflection of traditional economic thinking that budget deficits were to be avoided at all costs. Hoover approved indirect aid to banks and local public works projects but refused to use federal money for direct aid to citizens, believing such handouts would weaken public morale. Instead, he focused on volunteerism to raise money.

Even though there were signs of economic improvement by the summer of 1932, the damage was done. Hoover was painted as uncaring toward the common citizen, and many Americans blamed him for the Great Depression. They turned to FDR and his promise of a “New Deal.”

In November 1932, Franklin D. Roosevelt, a Democrat, won in a landslide. He promised Americans a “New Deal” and began implementing it during his first “Hundred Days.” Roosevelt’s New Deal attempted to end the Great Depression by using government power to provide relief to the poor, stimulate recovery, and reform the American economy.

Watch the video and pay attention to why the 1932 election is described as an important, or critical, election.