Answer:
If what I think is being referred to is the Great depression, then the answer to the first part was the red scare of 1919. This if course happened after the end of the Russian civil war, leading to a communist power that not only scared the Unites States but the West entirely.
We see a fear of socialism in some during the great depression during FDR's new deal. This new deal had lots of benefits, and many of its policies like the TVA (Tennessee Valley Authority), and even Social Security make excellent examples of good government regulation.
However, this didn't come without it's fair share of problems. Now, it's important to note until the Great Depression, Americans say themselves as "rugged infividualists", meaning they saw themselves as self sufficient, not needing much government intervention. America and its government had been like this until now, and some people feared they would lose their American way of life in this time of government dependencies.
Overall, like anything there are two sides of the coin when it comes to this and subjects like it.
I hope this helps you, have a nice day!