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To what extent were the policies the Republican governments 1921-29 responsible for both the economic boom of the 1920s and the subsequent economic collapse 1929-33 The economic boom and bust of the 1920s would have occurred without the Republican economics policies that were introduced. The Republicans felt that it was necessary to allow the economy to 'grow' without state intervention unless it was urged upon by the industry. Such freedom did in fact allow for the likes of Henry Ford to innovate and take advantage of the beneficial circumstances brought about by the First World War. The significant increase in trade wasn't sustainable and for the reason that it wasn't stabilised the economic collapse took place in the absence of Republican policies to regulate growth. The Republicans built on the conditions that were provided by the First World War. After the War, Europe was dependant upon American industry to be...

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