How did governments respond to the tremendous economic changes of theIndustrial Evolution?

Tremendous changes in the economy, such as the recession of the 1870's, caused the government to step in. Governments main purpose of action was to boost consumption and control markets and prices. New laws were put in place to protect innovation with more secure patents and started the development of limited liability corporations. 1870's to 1880's: governments started interfering with free trade, unlike the past. They imposed tariffs on any imported agricultural or manufactured goods. The tariffs boosted the sell of domestic product. Yet, in some places like Latin America, tariffs were five times as much as those in Europe.




High Tariff Cartoon

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