What was the purpose of the Agricultural Adjustment Act (AAA) during the New Deal ?
One of the major problems for farmers during the Great Depression was overproduction. Farmers were able to produce much more than the depressed markets could buy. This led to crashes in prices for farm products. When farm prices crashed, farmers were, of course, badly hurt. The AAA was meant to address this issue.
The main tactic of the AAA was to reduce farm output. The AAA set up a scheme in which farmers would be paid not to produce. As farmers produced less in the way of crops, prices would go back up. This would end up helping farmers get out of their financial difficulties.
The AAA (Agriculture Adjustment Administration), established in 1933, a relief, Its purpose was to help farmers by reducing production of staple crops, thus raising farm prices and encouraging more diversified farming. It raised the value of crops. This system lessened the effects of the Great Depression on farmers, it slowed, the overproduction that was crippling many farmers. It highlighted the role of the federal government by establishing the idea that it was responsible for the welfare of its people.