Economy Act of 1932

The Economy Act of 1932 is an Act of Congress that established the purchasing authority of the federal government. Title VI of this earlier act authorized heads of executive departments, establishments, bureaus, and offices to place orders with any other such Federal agency unless the requisitioned goods or services could be acquired as conveniently or more cheaply from the private sector. It was signed in the final days of the Herbert Hoover administration in February 1933.