Did New Deal grant programs stimulate local economies? A study of federal grants and retail sales during the great depression

• 成果类型: Article
• 署名作者: University of Arizona; National Bureau of Economic Research; Syracuse University; University of California System; University of California Merced; National Bureau of Economic Research
• 刊物名称: JOURNAL OF ECONOMIC HISTORY
• ISSN/ISSBN: 0022-0507
• DOI: 10.1017/S0022050705050023
• 发表日期: 2005
• 页码: 36-71
• 关键词: POLITICAL-ECONOMY; infrastructure investment; distributive policy; unemployment; EMPLOYMENT; 1930s; GROWTH; relief; again; MODEL

摘要

Using data on New Deal grants to each U.S. county from 1933 to 1939, we estimate how relief and public works spending and payments to farmers through the Agricultural Adjustment Administration influenced retail consumption. On a per capita basis, we find that an additional dollar of public works and relief spending was associated with a 44 cent increase in 1939 retail sales. In contrast, the AAA seems to have had a negative effect on retail sales, suggesting that nonlandowners in the farm sector suffered disproportionate declines in income as a result of the AAA.