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Cycles Of Regulation, De-Regulation And Government In 20th Century Us Capitalism

Referencing Styles : APA | Pages : 1

The cycles of regulation and deregulation of the US government were important in the context of the history of the US capitalism. It determined the value of growth that the US witnessed throughout the 20th century. Some of the important regulations that were passed initially included the sixteenth amendment to the constitution of the United States. The federal government was allowed to tax every income.

Within a short time the emergency quota act was established in 1921. A quota system was established on the immigrants. This was dependent on the country of origin. Moving ahead a laisseiz faire concept was adopted by the government to provide more freedom to the capitalist economy.

The great depression lasting from 1921 to 41 necessitated the enactment of laws to control the economy. The banking crisis was responsible for the enactment of emergency banking act. This made it possible for banks to be supported by government financial institutions during times of need. The deregulation and Reaganomics period was between 1976 and 1992. The deregulations of the banks was done by the depository institutions deregulation and monitory control act of the 1980. The 1980s were the recession period. The deregulation oriented laws were able to provide more than 1.1 million jobs.

The laws that were created in the later part of the 20th century was able to reduce the debt that the United States economy was under at the time. The laws at this time was focused on giving more power to the employees. Hence, it can be said that the cycle of regulation and deregulation in the US in the 20th century contributed to the evolution of US capitalism. It helped to make the US more effective and benevolent in its capitalistic approach.

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