Consumers' Purchasing Power and the Potential Market
Creation of the Electric Home and Farm Authority, Inc., by executive order of President Roosevelt on December 19, 1933, marked a new departure in the extension of governmental credit in the United States. Heretofore credit has been provided to financial institutions, to railroads, to producers, and to political subdivisions, with the ultimate consumer receiving direct, credit assistance only upon real estate. The Electric Home and Farm Authority, in contrast, has as its objective the financing of the consumer, to enable him to purchase electrical equipment.
Establishment of this new federal agency was preceded and has been followed by the proposal of a number of schemes for artificial enlargement of consumer purchasing power in the interests of economic recovery. Notable ...