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Document 5
5a. Why did President Herbert Hoover follow a trickle-down theory in order to combat
the Great Depression? [2]
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5b. Why did President Franklin Roosevelt follow a theory of pump-priming to combat the
Great Depression? [2]
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© 2001 RegentsPrep.org, Created by Thomas C. Caswell
Adapted from materials provided by the New York State Department of Education
Permission to use this resource is granted only for educational, non-profit use.
“… Republicans followed a trickle-down theory… They reasoned that, if government
legislation protected the wealth of big corporations and the well-to-do, their continued
investments would expand the economy and a better life would ‘trickle down’ to
workers and consumers in general.
FDR and his advisors viewed things differently. They felt that government would use
pump-priming
that government should take actions that would make the consuming
public secure and optimistic… By increasing government programs, business activity
would increase, thereby fostering consumer confidence and investment
keeping the
economy growing…”
-United States History & Government: Constitutional & Geopolitical Patterns, 2001