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How far does the role of the Republican Government explain the economic boom of the 1920s?

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How far does the role of the Republican Government explain the economic boom of the 1920s?
How far does the role of the Republican Government explain the economic boom of the 1920s? In this essay I will explain the reasoning for why it’s obvious the Republic Government led to the economic booms of the 1920s due to such policies like lowered taxation, tariffs and Laissez Faire to name a few. However there is evidence to argue against this point due to factors like consumerism, World War one and America’s abundant natural resources also leading to the economic boom of the 1920s. In some ways the Republican Government led to the economic boom due to their policy of no interference otherwise known as “Laissez-Faire”. This was a policy in which both the Republican presidents favoured limiting government activity in terms of both taxation and foreign policy as they rejected the league of nations in order to return to isolationism. The fact that the Government chose not to interfere with businesses meant they could they flourish as the market determined how things progressed, an example of this being the fact production increased by 50% from 1913 to 1925. This shows how the “Laissez-Faire” approach led to economic boom as with the government not interfering, businesses were allowed to flourish. While the Republican Government also caused the economic boom by lowering taxes as Andrew Mellon, the Secretary of the Treasury at the time, wanted the maximum rate of income tax to be 25% and achieved the aim in the last cut of 1925. This meant the wealthy gained more money to invest in business and therefore businesses did extremely well while the government’s total income also increased because of the prosperity of the 1920s. This shows that the Republican Government caused the economic boom by lowering taxes as this allowed more money to be invested in business and therefore also led to the government receiving more money because of the prosperity. The introduction of tariffs by the Republican Government is another example of a policy that led to the
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