Jesse Holman Jones and the Great Depression
Before the great depression, America had witnessed a rapid expansion in its economy as industrialization thrived. However, the economic thrive ended most Americans poured their savings into the stock exchange. Soon after, the stock exchange underwent rapid expansion, leaving stock prices much higher than their actual value. Also, wages become low, unemployment was high, and the agriculture sector was struggling, which led to a food shortage. Jesse Holman Jones played a significant role in reviving American economy after the great depression.
The Great Depression hit America was the worst economic crisis because it came when America was experiencing a rapid economic expansion (2). However, entrepreneurs like Jesse Holman were determined to revive the American economy. Jones continued to expand his empire, completing a 35-story art deco building in 1929 that would be home to the Gulf Oil Company and his National Bank of Commerce (1). Hosting the economic giant companies attracted international investors to uplift the American economy.
Jones called upon city’s leading businessmen to his office to work out a plan that would allow the stable banks and several local companies to rescue the two faltering banks (3). The leadership by Jones ensured that the banks in Huston did not fail during the great depression.
Jones was also appointed to the Reconstruction Finance Corporation (4). The RFC was tasked with ensuring the banks in the country did not fail as the country was reviving its economy. When Jones became the chairman of RFC, he ensured that all needy banks and all enterprises such as agricultural sectors received financial aid. Although the money granted to struggling businesses through loans and grants, the loans revived the economy and gave the government a voice in how businesses run their enterprises.
References
- Nohria, Nitin, Anthony Mayo, and Bridget Gurtler. “Jesse Holman Jones and the Reconstruction Finance Corporation.” (2005).
- D’Apice, Vincenzo & Ferri, Giovanni. (2010). The Great Depression of the 1930s. 10.1057/9780230297111_7.
- Mayo, Anthony J., and Johnathan Cromwell. “Jesse Holman Jones and the Reconstruction Finance Corporation (TN).” (2011).
- Fenberg, Steven. Unprecedented Power: Jesse Jones, Capitalism, and the Common Good. Texas A&M University Press, 2013.