Final answer:
The late 1920s economy, characterized by visible prosperity and market confidence, helped Herbert Hoover win the 1928 election as voters associated him with financial success, despite warning signs of an upcoming downturn that led to the Great Depression.
Step-by-step explanation:
The economy of the late 1920s played a significant role in the election of 1928, largely influencing voter perception of the candidates. The incumbent Republican Party, with Herbert Hoover as their candidate, was associated with the prosperity of the post-World War I era. Hoover's background as Secretary of Commerce under Presidents Harding and Coolidge gave him a reputation for understanding and cautioning against stock market speculation. However, the visible prosperity and market confidence overshadowed worries of an economic downturn and contributed to Hoover's election victory against Al Smith, the Democratic candidate.
Although there were signs of an economic decline in major industries and real estate, American financial and industrial sectors had gained a strong global position and a favorable trade balance, which bolstered the public's optimism. This sense of economic success cast Hoover in a favorable light, despite underlying weaknesses in the economy that would later become apparent with the onset of the Great Depression following the stock market crash of 1929.