Best Answer:<span> </span><span>prosperity was superficial in the 1920's mainly because america had the policy of isolation. prices and taxes were lowered, also giving americans the options of buying goods on the margin, paying companies back in small installments. banks freely gave big loans for little in return. unknowingly, americans were just creating huge debt for themselves. they were borrowing, unaware of how much their money was mounting up. this became apparent after the wall street crash of october 29th 1929 where all banks had to be closed for 4 days, and only the stable banks which had money left could reopen.
