Summary
World War I ended in 1918, and our country began to prosper for the next 10 years. It looked as if prosperity would go on forever. Congress thought it was a good time to raise taxes to pay World War I expenses.
About that time, our industries started complaining. They had a hard time competing with the older, established industries of Europe. So Congress put a tariff on goods from Europe. Earlier, in 1913, President Wilson had figured that if the government could control the money supply, there would be no more depressions - ever. So he established the Federal Reserve System. It would carefully monitor economic conditions in 12 selected areas of the United States and restrict the money supply by raising or lowering interest rates as necessary (government-controlled economy).See the full content of this document
Extract
Depression Recipe
These three actions together were the main cause of the economic crash of 1929, followed by the worldwide...
See the full content of this document
Sponsored links
