Factors behind the boom: Republican policies Flashcards
Between 1921 and 1933, what party did all presidents belong to?
The Republican Party
Who was the Republican President between 1921 and 23?
Warren Harding
Who was the Republican President between 1923 and 1929?
Calvin Coolidge
Who was the Republican President between 1929 and 1933?
Herbert Hoover
Who were the 3 Republican presidents between 1921 and 1933?
HCH
Harding
Coolidge
Hoover
Why are dates around presidential terms sometimes confusing?
Elections are held in November e.g. Trump was elected in 2016.
However, the winner of the election does not become president until their inauguration in January e.g. Trump became president in 2017.
During the period from the election to the inauguration, the incoming president is called ‘the president-elect’
Republicans had a ‘laissez fair’ approach to government. What does this mean?
Literally, ‘let do’ - allow people to get on with things.
Republicans believed government should leave businesses to get on with their job as this created prosperity.
What idea is closely linked to the ‘laissez fair’ approach?
Rugged individualism
What is meant by ‘rugged individualism’?
The belief that Americans were strong and could succeed on their own without government help
What is a tariff?
A tax, usually on either exports or, more commonly, on imports
What is an import?
A good coming into a country
What’s the point of putting tariffs (taxes) on imports?
It helps protect US industries.
If the import taxes made buying imports more expensive, consumers would be more likely to buy American-made products. This would help grow American businesses.
What were ‘protective tariffs’?
Tariffs imposed to try and protect American businesses
What example is there of an import tariff?
In 1922 Harding introduced Fordney-McCumber tariff which made imported food expensive in the USA (thus encouraging Americans to buy food grown in America)
What did Republicans believe about taxation?
That taxation should be kept as low as possible
Why did Republicans believe in low taxation?
- If people kept more of their own money, they would buy American goods
- The wealthy industrialists would then reinvest this money
Who did low taxation bring benefits to: ordinary people or the wealthy?
Both - but far greater benefits to the wealthy.
What did Republicans believe about regulations?
That there should be few regulations so businesses could focus on making money
What is an example of a regulation?
Health and safety regulations on a building sight (e.g. must wear a hard hat).
Republicans might argue that a) helmets cost money that could be spent elsewhere b) builders are smart enough to avoid being hit by stuff falling from the building site (NB: this is an exaggerated example)
What were trusts?
Trusts were huge super-corporations which dominated industry
What two key examples are there of trusts?
Carnegie Steel - run by Andrew Carnegie
Rockefeller Oil - run by John D. Rockefeller
Why did Democrats dislike trusts?
They didn’t like having key industries (oil - Rockefeller, steel - Carnegie) being run by a few key individuals
What did Republicans believe about trusts?
They allowed trusts to do that they wanted, believing ‘captains of industry’ like Rockefeller and Carnegie knew better than politicians what was good for America