Changing quality of life- economy and living standards

Question 1

post ww1 depression on farming

Answer 1

• prices fell, overproduction
• some had to sack workers , others went bankrupt

Question 2

post ww1 depression on industry

Answer 2

-year of strikes 1919

-many older industries in decline e.g coal industry lost out to other fuels

-

Question 3

post ww1 depression on gov

Answer 3

• laissez faire prevented gov aid in reverting depression
• but republican tariffs pushed Americans to buy US goods

Question 4

mass production during roaring 20’s (boom)

Answer 4

• mass produced goods produced quickly and cheaply so could be sold at a lower price

Question 5

new management techniques during roaring 20s

Answer 5

• specialisation and division of labour
• each task broken down into a series of movements and the worker was trained in the most effective way to do the task

Question 6

federal polices during roaring 20’s (boom)

Answer 6

-laissez faire policies

-cut taxes for businesses encouraging ‘buy american’, and put tarrifs on imports e.g 1922 fordney mccumber act

Question 7

hire purchase, borrowing and loans during roaring 20’s (boom)

Answer 7

prosperity rose so more people bought homes etc on mortgages that banks were more willing to lend
- 1920 people borrowed roughly 5% of income, by 1929 this almost doubled

Question 8

changing industry during roaring 20’s (boom)

Answer 8

-new industries more efficient

-new industries ran on electricity

Question 9

stock market during roaring 20’s (boom)

Answer 9

-bull market (buying on the margin)

• banks began using customers investments to trade in shares (gov didn’t stop this)

Question 10

stock market during bust (1929)

Answer 10

-demand fell

• unemployment rising

bear market (stock exchange closed for a short period)

• banks who gambled with their customers money went bankrupt

Question 11

Great Depression key features

Answer 11

• prices dropped , businesses failed
• unemployment high (12 million)
• homelessness and poverty for many
• little to no gov intervention until 1933 (hoover tried to set up agricultural marketing act and federal farm board, and 2 million was given to his finance corporation but this failed)

Question 12

Roosevelts involvement in recovery

Answer 12

• Roosevelt closed all banks to inspect and only reopen the ‘healthy ones’
• natural disasters hampered recovery

Question 13

when and why was the Roosevelt recession
1938-39

Answer 13

• FDR ran up huge gov debts

-doubled gov debt

Question 14

factors fuelling boom post ww2

Answer 14

• increased demand for consumer goods

-ww2 had lifted country out of depression (women workers made 28 million profits in 1943)

• firms expanded
• baby boom increased demand for all goods related to kids
• farm subsidies meant farmers began to do well
• gov spending rose steadily throughout the period

Question 15

ww2 expenses

Answer 15

gov industrial production went up 39 percent

gov spending went up 24 percent

gov debt reached 25 billion

gave 2.3 million to france and britain in loans

lend lease products valued high

Question 16

950’s economy(positive)

Answer 16

• baby boom
• buoyant economy
• suburban living
• consumerism positively patriotic

Question 17

1950s negatives

Answer 17

• sometimes both inflation and unemployment rose sharply for a year or so

Question 18

economic changes and shifts

Answer 18

• shift in industry from north and east of the country to south and west : mainly due to wartime production
• population shifted to where there was work and better weather
• gov shifted by increasing money supply

Question 19

1960’s

Answer 19

• USA lost its place as world’s most important exporter (Vietnam draining gov finances and social welfare payments)
• 1966 downturn in economy and inflation still rising

Question 20

stagflation

Answer 20

a period of slow economic growth and high unemployment (stagnation) while prices rise (inflation)

70s

Question 21

government action in the 70’s

Answer 21

• high federal spending eg social security payments (deeper in debt)
• people cutting back on standard of living to cope with inflation

Question 22

energy problems in the 70’s ( 2 fuel crisis)

Answer 22

• 1973 Arab-Israeli war saw a steep increase in oil prices
• 1979 fuel shortage from May to July , no fuel rationing
• increased discontent for government

Question 23

Confidence Crisis

Answer 23

• unemployment rose from 5.8% in 1978 to 7.1% in 1979
• Carter announced the biggest crisis wasn’t fuel but confidence
• didn’t have the same connection w public that FDR did

Question 24

how did the definition of living the american dream/standard of living change

Answer 24

• in 1917 it meant having a home, a job and a family
• as time went on it included a car and a no.of other consumer goods eg a radio

Question 25

1940 census data on owning loos, radios and heating

Answer 25

- only about 2.6% of homes had no loo - 82.8% of people owned a radio - 42% of homes had central heating , 11.3% of homes had no heating

Question 26

how did spending money (disposable income) change in the 20's

Answer 26

- as 20's went on, more shopped in chain stores rather than local - some chains eg J.C Penney spread to all states - by 1929 retail chains were selling 21.9 % of all goods sold in the USA

Question 27

food in the 1930's

Answer 27

- census showed 23.9% of income spent on food - by 1933, during the GD, 25.9% of income was spent on food, by 1940 it was 21.1%

Question 28

household appliances in detecting standard of living

Answer 28

- appliances run on electricity - FDR set up REA (1935) to get electricity to rural areas

Question 29

other standard of living indicators health

Answer 29

- nationals health improving as death rates decreasing - gov spent more to provide free healthcare for those who couldn't afford it Education - decrease of under 18's in the workforce -> 1940 census didn't include children under 14 in the labour force

Question 30

what was life like at the bottom of the heap for farmers

Answer 30

- farm workers earning less than $300 per year - (1/4 of white mans earnings)

Question 31

how did ww2 impact the consumer society

Answer 31

- industry shifted to war prod so consumer spending decreased - 'scrimp and save'

Question 32

post WW2 firms strategy led to an economic boom

Answer 32

- firms became more strategic when selling ( introducing new colours, styles)

Question 33

impact of TV post WW2

Answer 33

- 1950: 9% of homes had a TV , 1960: 85% - increase in those staying home to eat in and watch TV so families went out less

Question 34

how were consumers a target post WW2

Answer 34

- extending range of goods eg baby toys sold during baby boom - targeting kids for their 'pester power' - domestic equipment and shopping targeted at women

Question 35

health and nutrition post WW2

Answer 35

- craved foods that had been deprived eg fats, sugars and meat - people smoked more, ate more unhealthily

Question 36

Teenage consumption: Transport (38%)

Answer 36

1959 had 1.5 mil car owners , usually second hand

Question 37

teenage consumption: clothing and sports

Answer 37

24% - girls consumed more clothing and cosmetics than boys - boys spent more on sporting equipment and trips to sporting events

Question 38

teenage consumption: food and drink

Answer 38

22% - ate 20% more than adults - lots of ice cream and milk - ate in new drive ins (fast food)

Question 39

Teenage consumption: Entertainment 16%

Answer 39

- teens spent $75 mil on records - movie makers began targeting teens

Question 40

tandard of living improved by 1960

Answer 40

- 92% of homes had at least 1 radio - 1.7% of homes had no heating - 95% had a bath or shower

Question 41

what problems did non white Americans face 1961-80

Answer 41

- harder to get hired - paid significantly less - in 1966 about 12% of WA and 41% of non white Americans (NWA) were living below the gov defined poverty line - inner cities became poor areas -> deliberate fires became a method of protest of the poor conditions

Question 42

example of gov anti-poverty policies

Answer 42

- johnson's great society set up an independent agency to run policies but congress didn't pass all the welfare bills proposed - social welfare programmes extended to cover more people

Question 43

What was set up to help improve poverty levels

Answer 43

Community Action Programmes (CAP's) - collected data on local problems and presented projects to solve them

Question 44

why was there growing criticism for Johnson's Great Society

Answer 44

some believed that these programmes weren't helping people out of poverty - criticism high against non white single parents and young black men ( seen as responsible for inner city riots)

Question 45

how did Nixon shift focus when he came to power

Answer 45

- focus of federal aid shifted to the working poor - passed anti poverty legislation , enlarged the food stamp programme - Nixon emphasised 'workfare' not welfare - Nixon administration set up family planning advice & resources for the poor

Question 46

What did Carter do to help the poor

Answer 46

- made a reduced plan that didn't get through congress - 1978: National Consumer Cooperative Bank set up to give low-interest loans to small local groups - helped poor improve their position - introduced tax cuts

Question 47

number of children aged 4-17 attending school 1929, 1940

Answer 47

51.1% rose to 73%