- Prohibition passed in the 1920's and lasted until 1933. This prohibited the consumption and selling of alcoholic beverages. This was popular in the South and in the West, because they wanted to keep alcohol out of the hands of the negro community. The East, however, did not like Prohibition because it greatly reduced profits in clubs and bars, which were growing rapidly in popularity (hence the"Roaring Twenties"). This caused almost everyone in the East to, in one way or another, participate in bootlegging.
- The Immigration Law of 1924 was also passed due to the Red Scare. It reduced the amount of immigration to America by an extra 5%, making it an overall reduction of 7% (3% in 1921 and 2% in 1890)
- The Emergency Quota Act of 1921 passed due to the Red Scare. That reduced the amount of immigrants that were allowed to come to America by 3% of what the allowed amount in 1921 was.
- The Fordney-McCumber Tarrif passed, which raised taxes on all imported goods from 28% to 38.5%. This caused European stock investors to drop $16.4 million dollars worth of stocks in ONE DAY. In the end, European investors dropped $40 billion worth of stock overall. This directly lead to the Great Depression.