Capitalism in the USA in the 1920's (2)

Question 1

Capitalism developed in the 19th century as a result of_______.

Answer 1

Industrialization

Question 2

What did the economic boom in the 1920’s show?

Answer 2

The benefits and success of capitalism.

Question 3

Underlying problems led to an economic crisis in 1929 which many people interpreted as the final ____ of the capitalist system which was something the ______ had said would happen.

Answer 3

collapse Marxists

Question 4

What is a free market?

Answer 4

An economic system in which private businesses may compete and set their own prices, with little government interference.

Question 5

What is capitalism?

Answer 5

An economic system based on private ownership and individual wealth.

Question 6

Capitalism was given a boost by the development of the Industrial Revolution in Britain, how so?

Answer 6

People with money used it to build factories, buy machinery and start-up businesses. They used the profits that they made to invest in more businesses and to produce more goods and services. This resulted in an increase of wealth of the individuals at the top, and also led to the creation of more jobs. this led to economic growth and the development of new technology.

Question 7

What did critics of capitalism believe? (3)

Answer 7

-Exploited workers (because it was labor making profits for investors) -They believed the government should be involved in passing laws protecting laws (minimum wage) -Great inequality between those who had wealth and those who didn’t

Question 8

Capitalism also developed in other countries in Europe in the 19th century as they became _____. In the USA industrial capitalism grew rapidly in the late 19th century, especially in the large cities of the north, such as ____ ___ and _____.

Answer 8

Industrialized New York Chicago

Question 9

Key Features of Capitalism: (7)

Answer 9