AP (Advanced Placement) US History: Questions 1 of 32

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Question MCQ▾

What are the steps taken under the Agriculture Adjustment Administration (AAA) created under New Deal by Roosevelt?

i. AAA temporarily reset prices for farm commodities.

ii. Subsidizing farmers to reduce production.

Choices

Choice (5)Response

a.

i only.

b.

ii only.

c.

Both a. and b. are correct

d.

Question does not provide sufficient data or is vague

e.

None of the above

Edit

Answer

c.

Explanation

  • Signed by Pres. Franklin Roosevelt, the AAA, commonly known as Agricultural Adjustment Act was signed on 12th May, 1933. Key features of Agricultural Adjustment Act were:
    • Limiting Crop Production
    • Reducing Stock numbers
    • Refinancing Mortgages
  • During 1920s, with large surpluses in America, the prices went down steadily. With the Great Depression, the prices reached to the bottom level.
  • Firstly, during short run, farmers were paid to destroy crops and livestock. Farmer burnt corn as fuels and piglets were slaughtered.
  • Secondly, during long run, programs were made where farmer were not to plant as much cotton, wheat, corn and other crops. Also, marketing boards were created to regulate output.
  • The AAA got ended in 1942.
Agricultural Adjustment Act