may 12, 1933 - Agricultural
Adjustment Act
Description:
The AAA was created by the Emergency Congress to aid farm recovery. It essentially paid farmers to produce fewer crops and set up "panty prices" for harvested crops. This gave farmers the same value of money that they were getting at the end of WWI, before the drop in prices. However, the AAA was not greeted happily as crops and animals were destroyed that could have been used to feed the thousands starving on account of unemployment. The AAA was declared unconstitutional by the Supreme Court in 1936. In 1938 a second version of the AAA, approved by the Supreme Court, was put in place and faired much better. It gave farmers fairer prices and more substantial pieces of the National Income along with continuing panty payments for farmers who complied with acreage restrictions on cotton and wheat.
Added to timeline:
APUSH
Date:
