The Smoot-Hawley Tariff Act, signed on 17 June 1930, raised US duties on thousands of goods. Canada and others responded, and US exports to retaliating countri…
The US raised duties in 1921 and again in 1922 as European farm output recovered. Smoot-Hawley escalated a policy already in place.
Farm prices had been falling. Hoover promised relief, but the bill grew as industries lobbied for their own duties.
No. Share prices collapsed while the bill was still in the Senate. The Depression had begun before the law.
More than 1,000 economists urged a veto. Canada put duties on 16 US products the same month.
It raised duties on thousands of goods. Hoover signed despite the petition.
US exports fell 15-22% to countries that protested and 28-33% to those that retaliated.
No. Deflation, bank failures and falling demand did most of the damage. Tariffs added to it.
Smoot lost his Senate seat. Hawley had lost his primary. Hoover lost to Roosevelt.
The US moved to negotiate tariff cuts with partners instead of raising duties alone.
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