Letters to the Editor

Your views in 200 words or less

BUDGET: Herbert Hoover increased spending, deficits

Letter by Hans F. Bader, Arlington, Va. on Feb. 28, 2013 at 1:57 pm with No Comments »
February 28, 2013 1:57 pm

Re: “History is full of warnings about fiscal austerity” (TNT, 2-28).

Harold Meyerson falsely claimed that President Herbert Hoover “cut spending” to balance the budget during the Great Depression. In reality, Hoover actually increased federal spending from $3.1 billion in 1929, when he took office, to $4.6 billion in 1933, when he left office. Hoover also ran up big budget deficits.

While Hoover’s administration had inherited a $734 million budget surplus, it quickly turned that into a deficit, which reached $2.7 billion in 1932, and $2.6 billion in 1933. Government spending doubled as a percentage of the economy, which shrank rapidly.

For more on this, see The Atlantic article, “Hoover Was No Budget Cutter.”

(Bader, an attorney with a degree in economics, once worked for the Bureau of Labor Statistics.)

Leave a comment Comments
*
We welcome comments. Please keep them civil, short and to the point. ALL CAPS, spam, obscene, profane, abusive and off topic comments will be deleted. Repeat offenders will be blocked. Thanks for taking part and abiding by these simple rules.

JavaScript is required to post comments.

Follow the comments on this post with RSS 2.0