the cleveland administration responded to the panic of 1893 by
Panic of 1893 One of the first clear signs of trouble came on February 20, 1893,[4] thirteen days before the inauguration of U.S. president Grover Cleveland, with the appointment of receivers for the Philadelphia and Reading Railroad, which had greatly overextended itself.[5] Upon taking office, Cleveland dealt directly with the Treasury crisis,[6] and successfully convinced Congress to repeal the Sherman Silver Purchase Act, legislation Cleveland felt was mainly responsible for the economic crisis.[7]
First Red Scare The Scare had its origins in the hyper-nationalism of World War I as well as the Russian Revolution. At the war's end, following the October Revolution, American authorities saw the threat of Communist revolution in the actions of organized labor, including such disparate cases as the Seattle General Strike and the Boston Police Strike and then in the bombing campaign directed by anarchist groups at political and business leaders. Fueled by labor unrest and the anarchist bombings, and then spurred on by United States Attorney General A. Mitchell Palmer's attempt to suppress radical organizations, it was characterized by exaggerated rhetoric, illegal search and seizures, unwarranted arrests and detentions, and the deportation of several hundred suspected radicals and anarchists. In addition, the growing anti-immigration nativism movement among Americans viewed increasing immigration from Southern Europe and Eastern Europe as a threat to American political and social stability.