Agricultural Adjustment Act (1933)

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  • The Agricultural Adjustment Act created the Agricultural Adjustment Administration (AAA), one of the many governmental agencies born during the Great Depression. The 1933 act, attacked by the courts but renewed in 1938, created the AAA as a tool to reduce the economic effects of the Depression, control markets, and provide a living for the farmer and farm families. Its focus was on supply and demand in the agricultural sector. The AAA's authority also allowed it to create additional organizations for specific purposes.

    In 1936, Congress revised the Agricultural Adjustment Act. Congress eased restrictions on planting most American crops, providing fertilizer to increase the yield. The Commodity Credit Corporation, established by the AAA, purchased surplus farm commodities to raise prices. It created an “ever-normal granary” to protect ...

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