During the california gold rush
the government controlled business
slavery became legal
there were no laws

The answer is there were no laws

Explanation: On August 19, 1848, the New York Herald newspaper published a story that led many people to move to California: the discovery of gold on the Sacramento River. In the months that followed, thousands of people from all over the world populated the arid western United States in the hope of becoming rich. But few have become rich with the gold rush. The discoverer of the first nuggets himself was poor.

i believe that the answer to the question provided above is that  establishing smaller ethnic communities within larger communities  gives more chance for people to know each other more but this might lead to the  conflict between groups.