First New Deal

• AAA: Agriculture Adjustment Act

  Aim - Raise price of goods (offered subsides to farmers)

  • Limited production - less cotton + wheat harvested, but demand remained the same, which raised the price of goods.

  However, this did not go far enough.
• CCC: Commodity Credit Corporation


  (commodity means an article of trade or commerce)

  • Paid farmers to keep goods - reduced amount of sale/further increased prices
  • If prices rose above government price, it could be bought back and sold for a higher price (government intervention)
• FCA: Farm Credit Administration 


  Helped to improve mortgage arrangements for around 20% of farmers who needed it

  • Helped farmers to save land.