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Agricultural Adjustment Administration (view source)
Revision as of 22:20, January 29, 2019
, 22:20, January 29, 2019→Unconstitutional and 2nd AAA: Spelling, grammar, and general cleanup, typos fixed: AAA’s → AAA's
==Unconstitutional and 2nd AAA==
==Unconstitutional and 2nd AAA==
In the two years of the first AAA’s existence it distributed some $700 million to farmers to restrict production and keep farm prices high.
In the two years of the first AAA's existence it distributed some $700 million to farmers to restrict production and keep farm prices high.
The first AAA was declared unconstitutional by the Supreme Court in the case [[United States v. Butler]] because it gave too much power to the Executive branch. In 1937 Congress then rewrote the law, creating a '''second AAA''' that achieved part of the original Act's goals with the Soil Conservation and Domestic Allotment Act of 1936 until the enactment of a second AAA (P.L. 75-430) on February 16, 1938. This second AAA was funded from general taxation, and therefore acceptable to the Supreme Court. It represented a bipartisan approach, as did the addition of an "ever normal granary" program in 1938. By 1940 Republicans and Democrats were in general agreement on farm policy. During World War II, all restrictions were ended and farmers were encouraged to plant as much as possible. However, there was a price cap—100% parity—which angered farmers who saw a bonanza if their prices had been allowed to skyrocket.
The first AAA was declared unconstitutional by the Supreme Court in the case [[United States v. Butler]] because it gave too much power to the Executive branch. In 1937 Congress then rewrote the law, creating a '''second AAA''' that achieved part of the original Act's goals with the Soil Conservation and Domestic Allotment Act of 1936 until the enactment of a second AAA (P.L. 75-430) on February 16, 1938. This second AAA was funded from general taxation, and therefore acceptable to the Supreme Court. It represented a bipartisan approach, as did the addition of an "ever normal granary" program in 1938. By 1940 Republicans and Democrats were in general agreement on farm policy. During World War II, all restrictions were ended and farmers were encouraged to plant as much as possible. However, there was a price cap—100% parity—which angered farmers who saw a bonanza if their prices had been allowed to skyrocket.