1920s prosperity Flashcards
What were unemployment figures like in the USA at this time?
Unemployment never rose above 3.7%
What happened to the wages of industrial workers?
Employees were paid more. The real wages of industrial workers rose by 14% from 1914 - 1929.
On average their wages were two or three times higher than in Europe.
What happened to the production of industrial goods?
Production of industrial goods rose by 50% between 1922 and 1929
What was the consumer boom during the 1920s?
The amount of buying of consumer goods by the ordinary population hugely increased. Consumer goods include material possessions such as home appliances, cars and clothes.
Between 1912 and 1929 the number of electrical goods sold per year went from 1.4 million to 160 million.
What two developments in the early 20th century enabled mass production?
The wider scale introduction of electricity
The assembly line factory method
What products began to be mass produced for the first time?
Clothing after sizes were standardised
Automobiles, pioneered by Henry Ford.
By 1925 Ford motor cars produced one car every 10 seconds
Compare the number of automobiles on the road in 1920 to 1929.
In 1920 there were 7.5 million
In 1929 there were 27 million, approx. 1 for every 5 people
How did more efficient working methods affect working hours?
Workers worked on average 44 hours per week by 1929 rather than 47 in 1920
By 1924, what % of the motor vehicle market did Ford control?
50%
What other industries did the boom in motor vehicle production and ownership also impact?
Road building, Petrol, Rubber, Plate glass,
Services such as garages, motels, petrol stations and car salesrooms
The transportation of other industrial goods became easier
How did management science help improve industry?
By applying technological and scientific ideas to running a business successfully - time and energy was monitored and enabled to operate more efficiently.
What impact did technological advances have on leisure?
More motor vehicles meant more travel to National Parks and short holidays
Tourism developed as an industry
The radio was a leisure item
People had more time free due to labour saving devices
More theatres and cinemas were built
How did advertising change during the 1920s?
Some companies employed psychologists to help them reach a target market e.g. young women
Campaigns began to include slogans, brand names, celebrity endorsements and consumer aspirations
Consumers began to believe that they could not survive without a product
The amount spent on advertising increased fives times from 1914
How did credit work?
Consumers would pay a deposit, and then the rest in regular installments (hire purchase)
Why was the use of credit so unstable?
Many consumers and businesses ended up with debts that they could not afford to pay back
