Depth Study- America 1920s Flashcards

1
Q

How far did the US economy boom in the 1920s?

A

• The USAs Gross National Product (i.e. the total wealth of the country in terms of the production of US firms at home and abroad) rose from 73.3 billion dollars in 1920 to 104.4 billion by 1929 (in 1929 prices).
• The average growth rate per year was 2%.
• The highest rate of unemployment between 1920 and 1929 was 3.7%,
compared with at least 25% in 1932.
• The inflation rate was never higher than 1%.
• Real wages rose by 13% between 1922 (when the post-War depression ended)
and 1929.
• The average working week in industry shortened from 47.4 hours to 44.2 hours.
The statistics for car sales and ownership are impressive, but so are the figures for the number of people travelling by air, even though the aviation industry was in its infancy and air travel was expensive: by 1929, half a million people flew annually in the USA.

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2
Q

The Significance of WWI on the economic boom?

A
  • The outbreak of WWI created a demand for American produce that lifted her out of an economic depression into a four and a quarter-year boom, not all the benefits of which were lost in the post-War depression. American industry developed during the War, particularly its arms industry. After the War, this sector of the industry, now much larger than before, adapted to peacetime demands.
  • The USA’s share of international trade increased considerably during WWI; this was important because the trend continued in the 1920s, rising to 15% (more than Britain’s).
  • Steel production in the USA rose by a quarter between 1913 and 1920; during the same period, it fell by a third in other major steel producing countries.
  • WWI transformed America into a major creditor: before the War, Americans owed foreigners $3.7 billion; after it, foreigners owed Americans $12.6 billion: This increased American economic leverage over other countries dramatically.
  • During World War I, Wall Street in New York replaced the London Stock Exchange as the world’s financial centre. This was important because it facilitated future investment and economic growth. By the War’s end, the dollar was well on the way to replacing the pound as the main currency for international transactions.
  • WWI was also important for the 1920s boom because techniques of mass persuasion developed by Wilson’s CPI (Committee on Public Information) to build patriotic support for the war effort were adapted post-War by American companies and used to create increased demand for consumer products.
  • The government scheme of selling Liberty Bonds to help pay for the war accustomed the US public to buying bonds that yielded dividends; this helped lead to mass participation in the stock market in the 1920s.
  • The ‘boom’ was not solely industrial: there was also a short-lived boom in demand for US agricultural produce in the immediate post-War period before the war-ravaged rural economies of Western Europe recovered.
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3
Q

Long-term factors which help to explain the ‘boom’ include:

A
  • The size of the USA itself, and also the size of its population (i.e. potential workforce), which had increased throughout the 19th and early 20th Centuries as a result of mass immigration.
  • Additionally, the US was rich in oil, coal, iron ore, lead, tin, copper and timber - the raw materials necessary to exploit to the full the ‘second industrial revolution’ that took place as mass production techniques pioneered by Henry Ford (hence the name ‘Fordism’) were adapted and applied to almost every other industry, even the film industry.
  • The building of the trans-continental railroad in the 19th Century, and the construction of a road network in the early 20th Century meant that industrial expansion benefited from an effective internal transport infra-structure which greatly aided the flow of goods and services
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4
Q

Non-physical factors were also important:

A

In particular, the concept of the ‘American Dream’ (i.e. the belief that talent and hard work would be richly rewarded irrespective of social background) was a powerful incentive which helped drive the entrepreneurial spirit of men like Thomas Edison, the inventor of the electric light bulb, and also his friend Henry Ford.
• Poor people from Europe brought their frustrated talents and capacity for hard work to the USA in search of a better life. A few of them became captains of industry; most became effective foot-soldiers.
• Also, among those who had survived death in WWI, there was a rush to embrace life and its pleasures. This helps to explain the side of the ‘Roaring’ Twenties that is characterised by consumer spending, the growth of the cosmetics industry, the popularity of the film industry and the dance bands. Proverbial ‘Yankee thrift’ (i.e. the belief that Americans were superior because they were careful with their money) was abandoned in many quarters and replaced by the belief that America, having become a consumer society, had achieved its highest form.

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5
Q

New mass-production techniques were important: ‘Fordism’; the assembly line; mass production.

A

• Originating with Henry Ford in the automobile industry in Detroit, new techniques of mass production made it possible for unskilled and semi-skilled workers to work on assembly lines. In a process Ford refined over years, mainly by developing machinery, it became possible for a mechanised conveyor belt to bring car frames to where workers were situated, so that each worker could make his contribution to the building of the car, before the conveyor belt moved the car frame on to the next worker. Ford was able to reduce the time it took to build a car to ninety minutes; this helped to bring the price down. There were disadvantages to this method, especially for the workers, as the job was very repetitive and monotonous. Assembly line work could lead to the kind of mental problems identified by Charlie Chaplin in the film Modern Times.
• Assembly line methods also made it possible for companies to benefit hugely from economies of scale. Cars became affordable (especially after the development of credit and hire purchase facilities) for millions of people.
• Production expanded to the point where the car industry was paying 9% of industrial wages by 1929.
• Economically, there were highly significant spin-offs too, as the demand for cars caused a boom in the glass, rubber, steel and paint industries.
• It also caused the oil industry to expand.
• Government involvement also contributed to this boom, as with the Federal
Highways Act of 1921 the US government took responsibility for road-building.
Surfaced roads grew from 350,000 miles in 1919 to 662,000 in 1929.
• The domestic tourist industry boomed, as people travelled round the country in their new Ford Model Ts. This resulted in the construction of nationwide chains of motels and roadside diners, creating further construction and service industry
jobs.
• Mass car ownership also meant that people did not need to live so close to their
place of work. The suburbs in American cities sprang up, creating a boom in house-building.

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6
Q

The role of government in the ‘economic boom’

A

• It is often said that an economic policy of Laissez-faire (from the French, meaning ‘to leave alone’) was followed by three successive Republican presidents (Harding, Coolidge and Hoover), and that this resulted in minimum government interference in the economy, which is what Republicans believed in.
• It would be more accurate to say that the Republican administrations of the 1920s actively intervened to reduce government’s role in the economy to the point where they could then leave it alone. Where the government did intervene, it intervened on the side of business, carrying out policies of de-
regulation so that the market could regulate itself.
• What really stimulated investment in business in this period was a series of tax
cuts for the rich between 1921 and 1926. Andrew Mellon, the fourth richest man in America, served as Secretary to the Treasury from 1921 to 1932, providing continuity of policy throughout three Republican presidencies. Congress abolished excess profits tax, cut estate tax, exempted capital gains from income and capped the top tax rate. By 1928, the top 1% of the USA’s families earned 24% of all American income.
• Businesses also benefited from anti-union legislation and court decisions, which outlawed strikes and encouraged workers to sign ‘yellow dog’ contracts which prevented them from striking. This was possible because the Supreme Court was Republican-dominated during this period: to ensure that it was, Harding appointed William Howard Taft – a former Republican president – as Chief Justice of the Supreme Court in 1921. Mellon’s policies and Taft’s decisions helped to keep wages down and profits high.
• Republican governments also passed legislation like the Fordney-McCumber Tariff Act of 1922, to protect domestic industries from foreign competition.
• These Republican administrations were highly corrupt (particularly Harding’s and there were major scandals such as the ‘Teapot Dome’ scandal, in which the Secretary of the Interior, Albert Fall, was found to have accepted bribes totalling $500,000 from businessmen to grant oil leases at Teapot Dome in Wyoming, at negligible rates and without competitive bidding that was standard practice. In the election of 1932, during the Great Depression, the electorate remembered scandals like this, and associated them with the Republican Party.

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7
Q

The development of credit and hire purchase

A

• Put simply, hire purchase (also called ‘instalment planning’ or, ironically, the ‘never-never’) means that consumers receive goods they cannot afford to pay for, on agreeing to make an initial down payment (40% became standard during the 1920s) with the balance to be paid later, in weekly or monthly instalments. Such schemes already existed in America but in the 1920s, they were
developed to the point where they became a dangerously integral feature of American economy and society. As mass consumerism became a phenomenon of 1920s life, credit facilities developed to help make that phenomenon possible and to help sustain consumer demand.
• Major companies within the automobile industry were directly responsible for the development of credit facilities, to allow consumers could buy their cars.
Henry Ford did not believe in such schemes, preferring to pay his workers conditionally higher wages so they could buy his Model Ts, but General Motors developed and offered credit facilities to potential customers and eclipsed Ford in sales by 1927.
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• The development of credit and hire purchase were therefore important in the economic ‘boom’ of the 1920s because they increased demand for consumer goods, which therefore sold in their millions. Most cars, radios, telephones, washing machines, pianos and furniture were bought on hire purchase. To a great extent, any assessment of the importance of credit and hire purchase in the economic boom of the 1920s has to reflect the fact that the car industry was itself responsible for much of this development.
The importance of advertising
Advertising may come up as a question carrying a tariff of four marks (e.g. “Describe the development of advertising during the 1920s?”) or six marks “Why was advertising important in the economic boom of the 1920s?”) or it may appear as the named factor in a ten-mark essay question on the relative importance of different factors in causing the ‘boom’ (e.g. “Advertising contributed to the economic ‘boom’ more than any other factor,” How far do you agree with this statement? Explain your answer.” or “Mass marketing was the main reason for the economic ‘boom’ of the 1920s.” How far do you agree with this statement? Explain your answer.”) The notes below will enable you to answer all of these questions.
• The increase in sophistication of techniques of advertising and marketing contributed significantly to the creation of increased demand for consumer goods during the 1920s.
• During US involvement in WWI, techniques of mass persuasion had been developed by Woodrow Wilson’s CPI (Committee on Public Information) to build patriotic support for the war effort. From 1918 onwards, these techniques were adapted by American companies and used to create increased demand for consumer products.
• Glossier, slicker adverts attracted buyers.
• In addition to its growing sophistication, advertising also grew in terms of its
reach. This was a direct result of technology and the demand for new products like the mass-produced radio: more people, especially in rural areas, could hear and see adverts than previously.
Focus point: Why did some industries prosper while others did not? Specified content: the fortunes of older industries
Questions on this sub-topic may be for four marks (e.g. “What problems faced many traditional industries in America in the 1920s?”) or six marks (e.g. “Why did some industries not prosper from the economic boom in the 1920s?”)
• The car industry prospered, as did related industries like glass, rubber, steel and paint, but as technology improved, the industries which served the older
• Because the credit industry was still in its infancy, there were no credit ratings, as there are today. This would have been dangerous enough had there been an economic downturn; after the Wall St Crash, there was an unprecedented
economic depression. Millions of Americans could not complete their payments, which meant they had to return the goods but which also meant that the companies lost money and either laid off workers or did not hire more or even went bust

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8
Q

The importance of advertising

A

• The increase in sophistication of techniques of advertising and marketing contributed significantly to the creation of increased demand for consumer goods during the 1920s.
• During US involvement in WWI, techniques of mass persuasion had been developed by Woodrow Wilson’s CPI (Committee on Public Information) to build patriotic support for the war effort. From 1918 onwards, these techniques were adapted by American companies and used to create increased demand for consumer products.
• Glossier, slicker adverts attracted buyers.
• In addition to its growing sophistication, advertising also grew in terms of its
reach. This was a direct result of technology and the demand for new products like the mass-produced radio: more people, especially in rural areas, could hear and see adverts than previously.

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9
Q

Focus point: Why did some industries prosper while others did not? Specified content: the fortunes of older industries

A

• The car industry prospered, as did related industries like glass, rubber, steel and paint, but as technology improved, the industries which served the older
• Because the credit industry was still in its infancy, there were no credit ratings, as there are today. This would have been dangerous enough had there been an economic downturn; after the Wall St Crash, there was an unprecedented
economic depression. Millions of Americans could not complete their payments, which meant they had to return the goods but which also meant that the companies lost money and either laid off workers or did not hire more or even went bust.
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methods of transport (i.e. the horse) were devastated. Demand for blacksmiths and farriers plummeted as people abandoned horses for cars, leading to unemployment, depression, alcoholism and (as in the case of golfer Ben Hogan’s father), suicide.
• The coal industry, previously so crucial to the US economy, began to suffer from competition from oil and electricity. Bad industrial relations worsened matters, with some disputes over wages and/or the right to organise a union ending in large-scale gunfights between armed strikers (most of whom were ex- servicemen) and gunmen hired by the mine owners. In some cases, as in the famous Matewan dispute in West Virginia, the state police was called in to restore order. Sometimes, the state police was not enough and the army was deployed.

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10
Q

Focus Point: Why did agriculture not share in the prosperity? Specified content: the decline of agriculture

A

• Farmers had benefited from high prices during WW1, but by 1920, European agriculture had recovered: foreign demand for US crops fell: this exacerbated a domestic crisis of over-production and under-consumption, partly caused by mechanisation of farming. Tractors, combine harvesters and other new machines increased production: prices fell further.
• American tariffs (e.g. the Fordney-McCumber Act of 1922) were counter- productive, as other countries retaliated by imposing tariffs on US farm produce.
• Region-specific factors worsened the crisis: in the South, for example, the boll weevil devastated the cotton crop, forcing many farmers out of business. In the South and Midwest, farmers could not pay their mortgages to the banks and fell
victim to foreclosure.
• Another reason farmers did not share in the prosperity of the 1920s was that
attempts to pass laws to help them were vetoed by the Republican president, Calvin Coolidge (Harding’s successor), who believed in ‘rugged individualism’. The McNary-Haugen Bill, which would have prevented farm incomes from falling because the government would have bought surplus produce, was vetoed in 1925 and 1927.
• Many large-scale ‘agribusiness’ farmers (and in particular the fruit-growers of California) did well, partly because they kept their costs to an absolute minimum by using cheap Hispanic-American, Chinese and Filipino labour.

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11
Q

The Canadian dimension When it came to the decline of agriculture

A
  • The recovery of European agriculture was not the only reason US farmers began to struggle. They also faced competition from Canadian farmers seeking to export their produce.
  • Canadian farming, especially in the wheat fields of Ontario and Saskatchewan (the latter is the equivalent of the US Mid-West), boomed as a result of WWI, leading to the cultivation of more land to meet the increased demand for wheat from European and US armies. This demand continued into the post-War period, for the same reasons it did in the US: the farming sector in both countries enjoyed a boom, because the demand for primary products from the war-ravaged economies of Europe was so great that farmers in both Canada and the US could profit.
  • But by 1925, Canadian farmers were experiencing exactly the same problems of over-production and under-consumption as their US counterparts. For the next seven years, there was a steadily worsening depression in the Canadian agricultural sector.
  • By 1925, as much as 65% of Canadian exports in this period was going to the US (not just in wheat, but also in pulp, paper and minerals). The remaining 35% went to countries in the British Empire. A figure as high as 65% amounted to what economists call ‘over-dependence’: if US demand fell, Canadian export revenue would collapse. Between 1925 and 1932, this is what happened.
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12
Q

Summing up the Canadian dimension of Agriculture

A

Competition from Canadian farmers was not a serious problem for US farmers in the immediate post-War period, because European demand was so high that both US and Canadian farmers could profit from supplying it.
• By 1922, the European farming sectors were starting to recover. This led to a fall in US and Canadian exports to Europe, but both farming economies suffered and the US farmers did not suffer in this respect because of competition from Canadian farmers..
• US farmers were potentially vulnerable to being undercut at home by lower- priced Canadian wheat exports, but in 1922, the US government passed the Fordney-McCumber tariff bill, which led to much higher prices on imported wheat and other goods, ensuring that US farmers would be protected from cheaper foreign imports. There is plenty of evidence that this tariff bill impacted on Canada more than on other countries. Several Canadian companies (e.g.
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the Robert Simpson Company of Toronto) closed their American offices because they were no longer doing enough business in the US to justify keeping those offices open.
• In fact, Canadian farmers experienced the same rise and fall in their fortunes as US ones in the 1920s, and for exactly the same reasons. In both cases, over-production was the most significant problem – not in isolation, but in the context of the recovery of European agriculture and also the changing eating pattern of European (and US consumers): during the 1920s, they began to demand a more varied diet, featuring fruit and vegetables as well as cereal- based products.
• The truth is that both US and Canadian farmers failed to adjust to these changing conditions. So the problem was not simply over-production, but over- production of the wrong kinds of crops.

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13
Q

Did all Americans benefit from the boom?

race and area

A
African-Americans, particularly in the South (a poorer region of the USA even for any race living there), did not experience a change in economic or social status. The vast majority remained ‘sharecroppers’ (i.e. working for a share of the crops they grew, rather than actual money).
• Segregation and limited educational opportunities made it very difficult for African-Americans from the South to escape their circumstances unless they migrated north.
• Even in the Northern cities like Chicago and New York, to which 850,000 African-Americans migrated during the 1920s, they tended to be concentrated in the lowest-paid jobs in industry and manufacturing. They were still treated as second class citizens.
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14
Q
Did all Americans benefit from the Boom? 
(class and politics )
A

• Workers did not benefit as much as they might have done from the 1920s boom because of the weakening of trade unions and the corresponding decline in membership and power.
• The ‘Red Scare’ of 1919 and the Palmer Raids (see below) discouraged many workers from joining unions for fear of persecution and possible deportation.
• Big business was anti-union and employers like Henry Ford had the resources to spend on propaganda (even on animated films) and also to hire strike- breaking thugs. Where its position was strong enough, it forced people
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desperate for work to sign ‘yellow dog’ contracts (i.e. contracts in which the
workers agreed not to go on strike).
• During the 1920s, workers could see for themselves that successive
Republican governments and also the judiciary were anti-union, and prepared to intervene directly to break strikes (for example the 1922 railroad strike was declared illegal by a judge). A series of Supreme Court judgements between 1922 and 1925 made it harder to strike and also prevented the introduction of a minimum wage.
• Finally, it is not all the fault of big business. Trade Unions concentrated their membership drives on skilled workers, instead of also trying to mobilise the potential power of semi-skilled and unskilled workers. The net result of this was that the poor worker’s position in relation to his employer remained weak or grew even weaker.

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15
Q

What were the ‘Roaring Twenties’?

A

All these senses are contained in the term ‘Roaring Twenties’, which refers to the decade after WWI which ended in late 1929 with the Wall St Crash and the onset of the Great Depression. Other terms for the 1920s include the ‘Age of Excess’ and the ‘Jazz Age’:

• Much of the roaring noise was supplied by factories using mass production methods in a booming post-war economy: it seemed like Henry Ford’s ‘Model T’ roared down every street.
• There were roars on the floor of the Stock Exchange, as the pattern of share ownership became more democratic, and people traded wildly, believing the rising profits would never end.
• Both sexes roared their defiance of Prohibition, as drinking continued in the USA.
• Many women roared their defiance of traditional female stereotypes, experimenting with the ‘flapper lifestyle’, made possible by the jobs that gave them economic independence to dress and behave differently.
• Musicians and pleasure-seeking night-clubbers roared their defiance of traditional music, experimenting with free-flowing forms like Jazz (note: Jazz also meant sex, as ‘rock ‘n’ roll was later to do).
• The sports crowds roared their approval as baseball heroes like ‘Babe’ Ruth set a new record for home runs or the heavyweight boxer Jack Dempsey set a
new record for the amount of money taken at the gates for a single fight: one million dollars.

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16
Q
How widespread was intolerance in US society? 
Political intolerance (against communism)
A

The USA experienced a ‘Red Scare’ at the end of WW1. It was especially intense in 1919 (the so-called ‘Red Summer) because:
• 1919 was still close to the Russian Revolution in 1917, and to the attempted Communist uprisings in Italy and Germany at the end of WW1. People feared an attempted revolution in the USA, in imitation of what had happened in Europe.
• In March 1919, The Third Communist International was founded. This was an organisation run from Moscow which attempted to support communist revolutionaries throughout the world. It was feared that funds and money were pouring into the USA, to fund revolution there.
• The USA was and is a capitalist country, believing in free enterprise, private
property and private profits. Communist ideology opposed that, so many propertied American citizens and businessmen were scared that they would lose everything in a revolution.
• Also, the USA in the 1920s was a very religious country, as it still is today in many states. Communism is an atheist political philosophy, so many Americans were afraid of it (and thus intolerant towards it) on religious grounds.
• Another factor which fuelled fear of communism was the wave of strikes across the USA in 1919, including a General Strike in Seattle. Even the Police in Boston went on strike, which led to a wave of looting and lawlessness. The public, fearing for its property and savings, blamed these strikes on communist ‘agitators’.
• Finally, communism and the immigrants who supported it were seen as un- American in a country whose patriotism (always high) had been intensified by WWI.

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17
Q

Political intolerance towards anarchists

A
  • Anarchism is a political ideology which believes in having no organized central government. Anarchists had a reputation for political violence (the smoking anarchist bomb was proverbial).
  • In 1919, American anarchists launched a bombing campaign, mailing bombs to leading politicians, and to very rich businessmen like J.D. Rockefeller. Because anarchists were viewed as pretty much the same as communists, this bombing campaign helped to fuel the so-called ‘Red Scare’ of 1919-20.
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18
Q

What forms did political intolerance take?

A

The US Justice Department set up an ‘anti-radical division’ of the Bureau of Intelligence, under J. Edgar Hoover, later head of the FBI. Hoover’s first task was to carry out the so-called Palmer Raids (below)
• The ‘Palmer Raids’. In 1919, the US Attorney-General, A. Mitchell Palmer, was the victim of a bomb attack. He lived, but when a communist newspaper was found on the bomber, Palmer decided to crush the ‘Reds’ (this was the second attempt to kill him that year). In late 1919 and early 1920, he ordered a series of raids (they became known as the ‘Palmer Raids’) on the homes of suspects. 6,000 people in total were arrested and imprisoned. Almost all of them were released within a few weeks for lack of evidence. Only three pistols were ever found, in a country which has a high rate of gun ownership. The legality of what Palmer did was doubtful. He did not have warrants for the arrests. He justified his actions with reference to the Sedition Act of 1918, but the War had ended over a year before the raids took place. Over 500 communist and anarchist suspects were deported (i.e. they were expelled from the USA).
• The ‘Radical Division’ also spied on suspected radicals, hoping to amass enough evidence to deport them. The black activist Marcus Garvey was one of those targeted.
• At the height of the Red Scare in 1919-20, several states passed ‘criminal syndicalism’ laws, which restricted free speech and authorised the police to make evidence-gathering raids which led to deportation of real or suspected radicals.

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19
Q

Why did the ‘Red Scare’ end?

A

A significant section of public opinion reacted against the unconstitutional nature of much of what Palmer had done. Twelve very influential lawyers were brave enough to publish a report detailing and criticizing the Judicial Department’s conduct.
• The press began to worry about the implications of anti-sedition legislation for censorship of the press
• Big business began to realize that mass deportation of immigrant labour would actually cause labour shortages, which would be bad for business
• Leading legal figures (e.g. Supreme Court Justice and Civil War veteran, Oliver Wendell Holmes) made influential criticisms of the anti-sedition bills
• People became less willing to accept uncritical use of the umbrella term ‘Red’ (i.e. many people refused to accept that it related to Socialists as well as Communists)
• No nation can remain on an emotional knife-edge indefinitely. Eventually, paranoia and fears subsided. In time, the restricted immigration laws helped to calm the mood. But partly, people were just exhausted and they needed to move on.
• Palmer lost credibility when he predicted an attempted communist revolution in the USA on May Day 1920 and it failed to happen.

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20
Q

The Sacco and Vanzetti case

A

known as the ‘Sacco and Vanzetti case’, after the two working class Italian immigrant anarchists involved. Arrested for theft and murder in 1920, they were tried in 1921 and finally executed by electric chair in 1927:
• The case became notorious in left-wing and liberal circles because the politics of the two men prevented them from getting a fair trial. Sacco and Vanzetti were never likely to receive a fair trial in that political climate because they were immigrants, anarchists, atheists, draft-dodgers and dirt-poor (one was a shoemaker, the other a fish peddler).
• They were tried in an atmosphere of strong anti-communist and anti-anarchist feeling (caused by a combination of immigration, industrial unrest, and anarchists bombings and shootings).
• The judge, Webster Thayer, whose job it was to give them a fair trial, was
himself anti-communist and anti-anarchist (he referred to the defendants as ‘anarchist bastards’, which would be unthinkable today). Judge Thayer convicted Sacco and Vanzetti, but a series of appeals, supported by pleas from all over the world, delayed their execution until 1927.
• Modern ballistics analysis suggests that Sacco was guilty and Vanzetti innocent, but the real significance of the Sacco and Vanzetti case, particularly in the context of intolerance in 1920s America, is that – innocent or guilty – the temper of the times was such that it prevented justice from being done.
• Ultimately – in addition to the circumstantial evidence against them - Sacco and Vanzetti were executed because, as Italian immigrants whose anarchism justified the use of violence to achieve their political aims, they personified an alien racial and political threat to what native-born Americans of Anglo-Saxon origin saw as the authentically American way of life. There was also a religious dimension to the injustice: as Anarchists, Sacco and Vanzetti may have been lapsed Catholics, but in the eyes of Protestant, native-born Americans, they were still Catholics.

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21
Q

Why did membership of the Ku Klux Klan increase in the 1920s?

A
  • The Ku Klux Klan was a white supremacist organisation originally formed after the American Civil War. In 1915, the Klan was revived in Georgia by William J Simmons, an ex-Methodist preacher: Its revival was further proof that WASP society was intolerant of perceived threats to its dominance in the 1920s.
  • Its revival was possible partly because D.W. Griffiths’ 1915 film Birth of a Nation depicted the Klan as heroic in its defence of traditional (i.e. WASP) America. Griffith’s film was based partly on the 1905 novel The Clansman by Thomas Dixon, also a successful play, which argued that only segregation could save the South from Blacks. Griffith’s film let Dixon’s ideas reach a larger audience, because the film, though controversial, was very successful (it was the first to be screened inside the White House, by Woodrow Wilson). The new Klan took much of its ideology from Dixon’s novel, and also some of its symbols (e.g. the fiery cross).
  • The old Klan had felt threatened by Blacks. The new ‘nativist’ Klan added Jews (note, more on racial than on religious grounds), Catholics, Communists, atheists and (after Prohibition) bootleggers, feminists and also divorcees, as they were felt to be threatening traditional family life and the “Pure American Values” for which the Klan claimed to stand.
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22
Q

Deeper reasons the Klu Klux Klan increased in membership

A
  • World War I had fuelled patriotism and also intensified WASP America’s sense of what was ‘alien’ to it (i.e. non-Anglo-Saxon immigrants, particularly from Eastern Europe after the Russian Revolution in 1917: communists are atheists).
  • WWI also scared White Southerners with the thought of what Black ex- servicemen with military training might do when they returned from France after the War.
  • Another reason the Klan rose rapidly was that techniques of advertising developed during WWI in the sale of Liberty Bonds were applied to ‘selling’ the Klan by its Imperial Wizard, Edgar Young Clark, and Elizabeth Tyler. White Anglo-Saxon Protestants who felt threatened by Blacks, Catholics, Atheists, Jews and Bootleggers could (for a $10 joining fee) dress up in white robes and participate in dramatic secret ceremonies. Klan members had the added incentive of receiving part of the joining fee of every new member they signed up.
  • By 1924, the Klan had an estimated 4 million members (it claimed 5 million) , and was especially strong in the South and the Mid-West, and above all in Indiana. But even a northern state like Pennsylvania had 200,000 members. Klan membership in northern industrial areas had much to do with white workers’ fear that Black and immigrant strike-breakers would take their jobs
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23
Q

In what ways did the Klan show intolerance in the 1920s?

A

The intimidation could be physical (i.e. death threats) or it could be political (i.e. threats not to vote for a candidate for office who was opposed to the Klan). During the 1920s, the Klan succeeded in impeaching a Governor in Oklahoma and in preventing a Catholic candidate, Al Smith, from winning the Democratic presidential nomination in 1924. When he finally did win it in 1928, the Klan lit ‘fiery crosses’ and refused to vote for him, even though he was a Democrat. This helped the Republican candidate, Herbert Hoover, to be elected.
• Klan members rose to political office in states in the South and were able to abuse their power as sheriffs and judges to target Blacks, Jews and Catholics. The Klan leadership liked to refer to this power as the ‘invisible empire’, but often there was no attempt to hide it.
• Where they did gain high office, as in Indiana and Oregon, they used their power to pass laws promoting white protestant supremacy. In Oregon, for example, where they succeeded in having private schools banned, the Klan motive was to close Catholic and Jewish schools in which non-Protestants controlled education and to prevent others from opening.
• Violence took the form of lynching (i.e. hanging or killing a Black man, without a trial), but also castration (if the Black man was accused of relations with a white woman), or rape of Black women.
• In addition, Black churches were burned down.

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24
Q

Why did the ‘second era’ Ku Klux Klan decline as rapidly as it rose?

A
  • Young and Tyler were caught in bed together in Atlanta (Young was married to someone else), and were found to be in possession of whisky, which showed their opposition to bootlegging to be hypocritical.
  • They were also pocketing 80% of the Klan joining fee (Tyler had built a neo- classical mansion in Georgia with the proceeds).
  • In 1925, the Indiana ‘Grand Dragon’, David Stephenson, was convicted of the abduction, rape and second degree murder of a 28 year old secretary.
  • In Pennsylvania, the Klan was further damaged by corruption and intimidation scandals. Stephenson’s conviction was only the most high profile of a series of convictions for corruption. The American public could see that the Klan’s claims to stand for traditional values were hollow.
  • Another important reason for the decline of the Klan was that many WASPs no longer felt as threatened by immigrants, as a result of the restrictions on immigration imposed by Congress in 1919, 1924 and 1929.
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25
Q

Intolerance against Blacks: Race Riots

A

Intolerance against Blacks manifested itself in many ways. One of these was the phenomenon of the race riot. There were several race riots in the USA after World War I, especially during the so-called ‘Red Summer’ of 1919. The Chicago race riot started when a Black boy swimming in Lake Michigan drifted across an imaginary boundary line in the water between ‘Black’ and ‘White’ bathing areas. 23 Blacks and 15 Whites were killed in the appalling violence which followed. The 1921 riot in Tulsa, Oklahoma was the worst race riot. It is also representative of the others in several key respects.

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26
Q

What were the common elements in race riots in the 1920s?

A
  • The riots almost always involved a majority of Whites in the community attacking a minority of Blacks.
  • The riots always took place in the context of economic hardship and competition for jobs.
  • Another factor was White fear of the possible consequences of the return of Black troops at the end of World War I. In the North, the fear tended to be employment-based; in the South, it was employment based but also concerned with Blacks wanting full civil rights because they felt their military service entitled them to these.
  • Another common element was (an unfounded) rumour circulating about the actions of a Black man or men against a white woman.
  • In Tulsa, Oklahoma, there was also a large element of economic envy, because the neighbourhood of Greenwood was so prosperous.
  • The neighbourhood had an artificially high concentration of Black businessmen and was known as the ‘Negro Wall Street’.
  • This made it a target in times of economic hardship for Whites, who called the Black residential area of the city ‘Little Africa’.
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27
Q

How and why did the ‘riot’ start?

A

The pretext for the riot was a false accusation of a sexual assault by a young Black man on a White girl in an elevator. This was sensationalised in the newspapers. The Black man was arrested and to ensure he was not lynched by a White mob (as was likely) a group of armed Blacks rushed to the Courthouse. There was a stand-off between the two armed groups, followed by an exchange of shots. The Blacks, outnumbered, retreated towards Greenwood and the White mob followed them.

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28
Q

What happened during the riot?

A
  • An armed White mob (numbered in hundreds, if not thousands) entered the Black residential and business area and attacked the citizens, killing at least 300.
  • The mob set fire to Greenwood, all 35 blocks of which were burned down.
  • The fires spread more quickly because planes were used to drop ‘turpentine bombs’ onto the roofs, setting them ablaze.
  • The police did nothing to protect the Blacks.
  • The fire brigade did not attempt to put out the fires until the next day.
29
Q

What were the consequences of the riot?

A
  • At least 300 Blacks were killed and many wounded.
  • An important centre of wealth-generation for the Black community was completely destroyed.
  • 10,000 Blacks were made homeless.
  • A ‘Public Safety Committee’ was set up, consisting of 250 White men who patrolled the streets to maintain ‘order’.
  • The governor ordered an ‘Inquiry’, at which an all-White jury blamed the riot on the Black community. No Whites were prosecuted for the deaths or damage to property.
  • The riot was ‘hushed up’ and omitted from the city and state records.
  • Ku Klux Klan membership rose in Oklahoma in the immediate aftermath.
30
Q

Racial discrimination; Lynching

A

In the South, there was a tradition of lynching Blacks (i.e. hanging them without a trial). Lynchings occasionally happened elsewhere – Chicago is in the Midwest – but most lynchings happened in the South and the figure was highest in the immediate post-War period. The Duluth, Minnesota lynchings took place in 1920, and were the result of a false accusation against Black men that they had raped a White girl. Some of the Black men lynched were ex-servicemen back from France who had fought for their country; some of these men were still in uniform when they were lynched.

31
Q

Racial discrimination; Job discrimination

A

Wartime labour shortages and immigration restrictions had led to many more jobs for Blacks, hence the ‘Great Migration’ to the cities of the North. But where they was no artificial labour shortage, Blacks struggled to find work, due to racial discrimination. Many Black men could not compete for skilled jobs because of the effects of discrimination in education at an earlier stage in life; in unskilled service jobs, racial discrimination within the labour market made it harder for men and women to find work.

32
Q

Racial discrimination; Segregation

A

Due to the ‘Jim Crow’ laws (Jim Crow was an abusive term for Black man), segregation in education, in the work place and in countless social situations (e.g. separate telephone booths) was rife in the USA. These laws were careful not to mention Blacks but they were phrased in such a way that they could be used against them. Literacy tests and politics tests were applied at State level before the vote was granted: illiterate and uneducated Blacks were given harder questions on political history than illiterate, uneducated Whites.

33
Q

How did Blacks respond to intolerance and discrimination?; Fighting back

A

(e.g. during race riots): many Blacks took advantage of their Second Amendment right to keep and bear arms; a great many had fought in WWI and therefore had military experience and discipline. During race riots they sometimes fought back and killed several Whites, but this was ineffective as a response for two reasons: (1) the Blacks were always greatly outnumbered and therefore could not win; (2) Killing Whites only made the Whites more determined to kill Blacks and to inflict harsher reprisals on them after the riot)

34
Q

What was the NAACP?

A

Booker T Washington died in 1915, just before our period begins, but it is important to be aware of his ideas for improving the lives of Blacks, because the NAACP policies were in many ways a reaction against them. Washington believed that Blacks should tolerate their exclusion from political power and their social segregation if Whites allowed them economic and educational opportunities and equality in the courts. For alongwhile,WashingtonwasthemostprominentBlackleaderintheUSA. TheWhite establishment liked him because he was non-threatening. Two presidents (Teddy Roosevelt and Taft) made him their advisor on racial matters.
W.E.B. du Bois, the first Black man to be awarded a PhD in History from Harvard, disagreed strongly with Booker T Washington’s ideas. du Bois did not believe in violence as a response (except during race riots, in self-defence) but he believed that the frequency of lynchings and the negative effects of segregation and discrimination meant that Washington’s policy was utterly discredited. He wrote: “the time is come when one may speak in all sincerity and utter courtesy of the mistakes and shortcomings of Mr. Washington’s career as well as of his triumphs, without being captious or envious, and without forgetting that it is easier to do ill than well in the world”. In 1909, du Bois co-founded the NAACP (National Association for the Advancement of Coloured People).
The NAACP was not a Blacks-only movement. This was a tactical decision: it made sense to show the world that Whites as well as Blacks were active in the campaign for racial equality. But Blacks like W.E.B. du Bois were among its founders. Du Bois believed that it was acceptable for Blacks to fight back if they found themselves victims of a race riot, but otherwise he believed in peaceful political protest and campaigning, and in using the Constitution and the Federal Courts to improve the lives of Blacks in the USA.

35
Q

What was the NAACPs agenda?

A
  • The NAACP decided to concentrate on five areas where it believed it could achieve improvements in Black lives. These were:
  • Anti-lynching laws (to give Blacks legal protection, especially in the South)
  • Due process under the law (i.e. trying to ensure that proper legal procedures were followed in the treatment of Blacks)
  • Improved voter registration (to give Blacks more political leverage)
  • Employment (to reduce negative discrimination against Blacks)
  • Improved education (to improve Blacks’ employment prospects but also to educate Whites about segregation and discrimination)
36
Q

What did the NAACP do? How successful was it?

A
  • By committing itself to peaceful protest, the NAACP took the long, hard, slow route to progress. This allowed rivals like Marcus Garvey to claim that the NAACP had achieved nothing. But this was not true:
  • As part of its campaign against lynching, the NAACP succeeded in having a bill passed in the House of Representatives in 1922 making mob murder a Federal offence; Southern senators filibustered (i.e. talked out the time allowed for its discussion) so it never became law. Nevertheless, this marked a significant stage, as legislation had at least been successful in one part of Congress.
  • In 1923, the NAACP had a major success when their legal campaign succeeded in obtaining a Supreme Court ruling overturning 12 death sentences imposed by an all-White jury intimidated by an armed mob after Whites had been killed attacking Blacks for trying to form a trade union in Arkansas in 1919.
  • The NAACP’s magazine, Crisis, edited by du Bois, became a valuable outlet for Black writers, and it had a circulation of 100,000. But as it went out to members, it was preaching mostly to the converted. The NAACP’s education efforts had limited success.
  • In 1927, the NAACP won another Supreme Court decision, this time overturning the state law in Texas that prevented Blacks from taking part in the Democratic primary (i.e. the vote to choose the Democratic candidate). • When the NAACP celebrated its 20th anniversary in 1929, it could look back on genuine successes in its efforts to re-activate the 14th and 15th Amendments to the US Constitution to protect Black citizens.
37
Q

Who was Marcus Garvey?

A

• Marcus Garvey was a Jamaican who came to the USA in 1916. His separatist solution to the racism, negative discrimination, oppression and lynching he experienced and observed was to propose that Blacks go ‘back to Africa’, which, he argued, was their real home. Garvey saw no point in staying in America and trying to campaign for civil rights through peaceful protest. He argued that organisations like the NAACP had been trying those tactics for years and had failed to make any real progress. • Garvey had already founded the UNIA (Universal Negro Improvement Association)beforeleavingJamaica. Hewasacharismaticspeakerandan able self-publicist. His newspaper The Negro League spread his ideas and by 1920 he was claiming that the UNIA had 4 million members. The true figure was closer to half a million, but even this was enough to alarm the authorities. The FBI, now led by J. Edgar Hoover, watched him closely and – ironically, out of sheer necessity – hired the first Black FBI agent to infiltrate Garvey’s movement and spy on him.

38
Q

Why was Marcus Garvey important?

A

• To help fund the trip back to Africa, Garvey argued that Blacks should set up alternative and autonomous institutions, in the social, economic and militaryspheres. ThisideareflectsGarvey’sessentiallyseparatistapproach
20

to racism. But in creating the ‘Black Star’ Steamship Line to provide the transport, Garvey proved the architect of his own downfall: not only was the grandiose idea commercially unsound, Garvey deceived those Blacks whose investment he sought about the true worth of the stock.
• This was the opportunity the political establishment had been waiting for, because by 1923, Garvey’s claim that his movement had several million members was closer to the truth. He was sentenced to five years in prison for fraud (the maximum sentence) and in 1927 he was deported as an undesirable alien. ‘Garveyism’ lost momentum.
• It was not just the white establishment that was glad to see the back of Garvey: more conservative Black leaders had been worried by the appeal that his more radical solution to racism enjoyed among the younger generation. W.E.B du Bois opposed his separatist ideas, calling him “the most dangerous enemy of the Negro race in America”. Garvey’s idea of going back to Africa would not have worked, because his attempt to persuade the government of Liberia to give the Americans land was a failure.
• In the literary sphere, writers like Langston Hughes also opposed the view that he and other writers should regard themselves as being African rather than American and celebrate only their African heritage in their work. Hughes defined himself to himself and to the world as an “American Negro”,writing:“IwasnotAfrica. IwasChicagoandBroadwayandKansas City and Harlem”.

39
Q

What were the major political consequences of racial intolerance?

A

Intolerance and discrimination against Blacks in the 1920s had one major political consequence for the 1930s: because it took place under three successive Republican presidentswho pursuedlaissez-faireeconomic policies that did nothing to help Blacks, the majority of Blacks finally abandoned the Republican Party and in 1932 voted for the Democratic candidate, Roosevelt. This really was a significant step because Abraham Lincoln had been a Republican, and his efforts to end slavery had caused Blacks to be loyal to the Republicans from then on.

40
Q

What was the Harlem Renaissance?

A

The ‘Harlem Renaissance’ is the name given to the cultural phenomenon which had the neighbourhood of northern Manhattan known as Harlem as its centre. Cultural historians do not agree on the exact dates of the phenomenon, but this is not surprising: cultural phenomena are impossible to date precisely. What we can say with confidence is that the peak years were 1924-9. You should think of the Harlem Renaissance as a post-War phenomenon on which the Wall St Crash and the Great Depression impacted negatively. The final point of nomenclature of which you should be aware is that ‘Harlem Renaissance’ was a term applied after the fact (this often happens with cultural movements). At the time, the phenomenon was known as the ‘New Negro Movement’.

41
Q

Religious intolerance; the Scopes Trial and its significance

A

The ‘Scopes Trial’, also known as the ‘Monkey Trial’, took place in the small, rural town of Dayton, Tennessee, in 1925.
• The wider context of the trial was a rise in religious fundamentalism (i.e. in a belief in a literal interpretation of the Bible, without an attempt to reconcile it with the findings of modern science or Charles Darwin’s theory of evolution). If this movement had a leader, it was William Jennings Bryan, the former presidential candidate famous for his ‘cross of gold’ speech opposing the gold standard).
• The immediate context of the Scopes Trial was the decision of the state legislature to outlaw the teaching of evolution in public schools and colleges.
• John T. Scopes was a young high school Biology teacher charged with teaching the theories of Darwin (Scopes had been put up to it by the American Civil Liberties Union, which wanted to fight a test case).
• The resulting trial attracted nationwide coverage (court proceedings were transmitted live over the new mass medium, radio).
• William Jennings Bryan appeared as a star witness for the prosecution, and the famous left-wing lawyer Clarence Darrow aided the defence free of charge (both men calculated that the publicity they received would be priceless).
• Scopes was found guilty (this was inevitable, as he did not deny having taught evolutionary theory; indeed, the ACLU wanted him to be found guilty, so it could appeal the decision to a higher court). He was fined $100. On appealing, his conviction was overturned on a technicality (the jury, not the judge, was supposed to decide the size of any fine over $50), but the judge upheld the state’s right to decide what was taught in its schools.
• After the Scopes verdict, several other Southern and Midwestern states passed similar legislation, as they knew it would be successful. This shows how widespread and intense the climate of religious intolerance was in certain regions of the USA.

42
Q

How far did the roles of women change during the 1920s?

A
The enduring image in the popular mind of women during the 1920s is of the ‘flapper’, but it is vital to remember that ‘flappers’ were a minority of the female population, and their experiences in this decade do not represent those of women as a whole. Basically, flappers were northern, urban, single, young, middle-class women (both Black and White) with a job and therefore disposable income.
• They were known as flappers because the flaps on their galoshes (footwear) were not fastened but allowed to flap free. This was taken as symbolic of their supposedly carefree attitude to convention: armed with the vote, they challenged traditional double standards, smoking and drinking in the ‘speakeasies’ and jazz clubs, just like the men, and taking advantage of
contraception to experiment sexually.
• But flappers made up only a small part of the female population. The extent to which the lives of women changed depended was usually determined by factors of class, race, and geographic location. Overall, it is true to say that white, middle class women from the northern cities experienced the greatest changes in their lifestyle and roles during the 1920s.
43
Q

Political changes for women

A

• In 1920 itself, after long campaigns by the Suffragists, imitating the militant tactics of their British counterparts, women were guaranteed the vote by the 19th Amendment to the US Constitution. Many women continued to be politically active. They took their new political power seriously and considered it their duty to stand for public office. By 1929, though the overall numbers were small, some women had served in Congress. Jeanette Rankin (Montana) had been elected to the House of Representatives in 1916 (it was she who introduced the constitutional suffrage amendment that was eventually passed
in 1920. Rebecca Felton (Georgia) was elected to the Senate in 1922.
• In the Southern states and in the Midwest, women’s roles did not change to such a great extent, and in some communities they did not change at all. Many women, as well as men, believed that their traditional roles as loyal wife, housekeeper, and mother and principal churchgoer within the family were the correct ones. North Carolina male opponents of woman suffrage had claimed that “women are not the equal of men mentally” and being able to vote “would take them out of their proper sphere of life.” Southern and Midwestern women did not always want the vote, as they, too, believed that politics was an exclusively male preserve. The drive to maintain traditional roles in society was not supplied only by conservative males; conservative females were just as
critical of the ‘flapper’ lifestyle.

44
Q

Change in the work place for women? Positive side

A

• There were many more job opportunities for women (by the end of the decade, there 10 million women in jobs; 24% more than in 1920).
23

  • The technological revolution created new jobs for women: many worked as telephone operators.
  • Many women found work in the new department stores which sprang up as a result of the development of a consumer-oriented economy: as women were the customers at – for example – the cosmetics section of the store, other women were hired to work there as they could relate to them more effectively.
45
Q

Changes in the workplace for women? Negative side

A

Women doing the same job as men did not yet receive equal pay.
• Some women had already worked in war industries, giving them experience of
skilled factory work, but they lost their jobs when the men returned from the war.

46
Q

Changes in the house for women?

A
  • The technological revolution produced labour-saving devices such as vacuum cleaners which saved time and effort for women who could afford to buy them. In theory, this left more time for leisure, but it did not always work that way.
  • The divorce statistics doubled from 100,000 in 1914 to 200,000 by 1929. This suggests that a knock-on effect of women getting the vote and having more job opportunities was that more women were prepared to try to extricate themselves from unhappy and/or abusive marriages.
  • There is plenty of evidence to suggest that behind the attention given to ‘flappers’ traditional roles and expectations persisted for most women, who remained under immense family and societal pressure to ‘settle down’ and play the traditional role of the loyal housewife.
47
Q

What was prohibition?

A

Prohibition itself is a nickname, derived from the wording of the 18th Amendment to the US Constitution (1920) and the Volstead Act (1919) which clarified its meaning. These two pieces of legislation prohibited (i.e. banned) the manufacture and sale of alcohol. Strictly speaking, drinking alcohol never became illegal in the USA as a result of Prohibition, though this meant little in practical terms if the manufacture and sale of alcohol were banned.

48
Q

Why was prohibition introduced?

A

Prohibition was introduced as the result of long-term campaigns by well-organised and often well-funded pressure groups. These groups, whose strongholds were the small towns and farming communities of the Mid-West, were often connected to the church, like the Anti-Saloon League, or actually were churches. Protestant churches were particularly active in the campaign against alcohol, which was also known as the Temperance Movement. By 1919, the Temperance Movement had branches in almost every state in the USA.

Over time, these protest groups became powerful, because they threatened to elect only ‘dry’ politicians to Congress. An ambitious man had to listen to them, and to play the political game by their rules if he wanted to be elected. By 16th January, 1920, they were powerful enough to secure a vote in Congress banning the manufacture and sale of alcohol.
Ultimately, Prohibition was passed in Congress by politicians who did not believe in it and knew it would be a disaster, because those same politicians dared not vote against it for fear of losing their positions and status.

49
Q

Why did groups like the Anti Saloon group want Prohibition?

A

Members of groups like the Anti-Saloon League wanted a ‘dry’ America, because they believed they had plenty of evidence to prove that alcohol either caused the following problems or made them worse:
• It led to people being unemployed
• It made people too lazy to look for work
• It got people into debt
• It lost people their homes
• It caused alcohol-related illness
• It caused poverty
• It caused crime (and increased the murder rate)
• It increased sexual immorality
• It caused accidents in the workplace
• It broke up families

50
Q

Did Prohibition work?

A

President Hoover called Prohibition ‘a noble experiment’. In fact, it was a disaster. The 18th Amendment and the Volstead Act turned out to be counter-productive laws (i.e. they had completely the opposite effect to the one they were supposed to have):
• The law might have had a better chance had it been confined to spirits, but including beer and wine had the counter-productive effect of criminalising
25

ordinary citizens who did not feel like criminals: this reduced respect for the law
and increased the willingness to break it.
• Prohibition was supposed to reduce crime, but in fact it created a crime wave in the USA. Criminals became more organized to supply the public need for alcohol. Bootlegging (so-called from the practice of hiding alcohol in long boots) increased, as did the production of moonshine (home-made alcohol which was very dangerous to drink) from illegal breweries and stills.

  • Prohibition was supposed to reduce and even eliminate the consumption of alcohol, with all its related problems, but again, it had completely the opposite effect: the level of alcoholism actually rose.
  • A major problem for the 18th Amendment and the Volstead Act was that millions of ordinary, law-abiding Americans did not respect these laws. Because so many people in the cities like New York had never supported the law, they broke it as soon as it came into effect. In fact, because there was a delay between the Volstead Act (1919) and the 18th Amendment (1920), people were able to buy up millions of bottles of alcohol and store them in their homes for personal use once Prohibition came into effect (remember, the law did not actually ban drinking alcohol).
  • Loopholes were exploited: alcohol could be prescribed by a doctor; it was, by thousands of doctors who were bribed to provide it, or who didn’t need to be bribed because they did not respect the law and were drinkers themselves.
  • By 1933, there were 200,000 speakeasies in America. A speakeasy was a hidden saloon where customers had to ‘speak easy’ (i.e. quietly) so that they would not be discovered by the police. In New York alone, the counter- productive effect of Prohibition on alcohol-consumption can be shown from the fact that in 1933, there were 32,000 speakeasies, but there had been only 15,000 saloons before Prohibition.
  • Once ordinary Americans were inside ‘speakeasies’, and had broken the law in drinking, it was easier for them to fall prey to the other illegal activities which gravitated towards the speakeasies in search of customers: gambling, prostitution and drugs.
51
Q

The impact of gangsters like Al Capone on prohibition;

A

Murderous gangsters like Al Capone were glamourized (Capone had his face on the cover of Time magazine). They made so much money from the making and selling alcohol that they were able to bribe policemen and judges to turn a blind eye to what was going on. Corruption in public life increased massively,
• Violence and murder increased as rival gangs fought for control of the trade (Prohibition is the context for the notorious St. Valentine’s Day massacre in Chicago, but there were similar massacres in Philadelphia, too).
• We should not just focus on big-name gangsters like Al Capone when noting the damaging effects on society of Prohibition. Statistics show that the number of criminal acts committed while drunk also rose across the country, including drink-driving and drunk and disorderly behaviour.

52
Q

Why was Prohibition repealed?

A

In 1933, the newly-elected President Roosevelt, with a shrewd eye for a popular move, repealed Prohibition, arguing that it was “a good time for a beer”. But the disastrous effects listed above are the real reasons for the repeal. The “noble experiment” had failed, and crime in America was now organized to supply the American public with the next banned addictive substance: drugs.

53
Q

Describe how the motion picture industry was organised in the 1920s.

A
  • The ‘studio system’ was created in the 1920s. Its production methods, adapted from the automobile industry, involved controlling and systematising film making by appointing a producer to supervise writers, actors, directors, technicians and marketing experts, who all worked together in the one location.
  • A sub-system of the studio system was the ‘star system’, under which stars were tied to studios by long-term contracts. The studio’s chief of production decided which films the stars appeared in, and directors had little artistic control over their material. The major studios – the so-called ‘Big Five’ – also had their own cinemas, allowing them to make millions by charging high ticket prices. Even by 1920, there were 20,000 cinemas in the USA.
  • Minor studios did not have their own cinemas. The independent studios worked from a down-market part of Hollywood nicknamed ‘Poverty Row’ (Sunset Boulevard and Gower Street). They could not hope to compete with the majors or minors in production values and tended to churn out low-budget westerns and horror films re-using stock footage to keep costs to a minimum.
  • More films were made during the 1920s and 1930s than are made today (800 releases a year, on average)
  • Rather than costs coming down as a result of mass production, demand for greater spectacle and the lure of greater profits (and the new invention of sound) meant that film budgets actually rose
  • The boom in the film industry in the 1920s had lasting effects on: our language (terms like crept in like box office) and on public perceptions of film stars (e.g. the concept of Hollywood royalty)
  • Films offered excitement and glamour in lives that were often hard and dull. The film industry did not at first suffer greatly during the Wall St. Crash and the Great Depression because people wanted the escapism that the cinemas provided.
54
Q

Film and the Technological Revolution

A
  • Modern Times, a film made in 1936 by Charlie Chaplin, was very critical of the damage that assembly-line methods of production did to individual human beings.
  • The first ‘talkie’ was The Jazz Singer, starring Al Jolson. Some silent movie stars had their careers ruined by the development of sound, because although those stars looked beautiful, audiences found their voices unattractive. Clara Bow (from Brooklyn) and Greta Garbo (from Sweden) are classic examples of actors whose careers suffered.
55
Q

The development of Radio

A

Radio had been developed before the 1920s but its full impact had beendelayed by America’s involvement in WWI because of austerity measures.
Mass production of radio sets began at the very start of the decade, in 1920. Depending on size and quality, radio sets cost between $16 and $200, but because of the development of credit facilities, millions of Americans could buy a good one.
By the end of the decade, one hundred million had been sold and the price at the bottom end was down to $10, due to improved mass production techniques. The first event covered in a news broadcast by a licensed radio station was the election of President Harding in November, 1920.
• Radio created a truly national audience for major sports events. In 1927, an estimated 50 million people listened to the heavyweight title fight between Jack Dempsey and Gene Tunney.
• So-called ‘crazes’ became national rather than local (e.g. the craze for all things Egyptian following the discovery of Tutankhamun’s tomb in 1922.
• The radio also had major implications for the further spread of the culture of marketing on American life, and the practice of associating a programme or event with its sponsor (the fortunes of Coca-Cola were transformed by radio)
• To an extent, radio helped to make public opinion more ‘national’ but this development should not be overstated: regionalism remained important in such a vast country and there were issues on which a ‘national’ opinion was impossible to mould.
• One key illustration of the limitations of the power of radio is that while it did much to make the consumption of culture more homogenous in the USA, it did nothing to erode class distinctions – as always, these remained based on birth, wealth and education.

56
Q

Sport in the 1920s (part 1)

A
  • There was a huge growth in both spectator sport and participatory sport in the 1920s. There were two main reasons for this: (a) because of generally rising incomes, more people had more money to spend watching and/or playing sport (b) because of generally reduced working hours, more people had increased leisure time to watch or play sport. The growth and development of professional sport in this period should be viewed within the context of the wider development of the entertainment industry.
  • In addition to the growth in professional sports like Baseball and American football, there was a huge growth in college football. Stars like ‘Red’GrangeandcoacheslikeKnuteRocknewerehouseholdnames. The scale of the increase is reflected in the building of huge stadia in both professional and amateur areas of sport. In 1921, Stanford University opened a stadium with a capacity of over 86,000. In 1927, Michigan University opened a stadium with a capacity of over 100,000. In total, 20 major universities built huge stadia in the 1920s. In professional sport, the New York Yankees baseball team built the Bronx Stadium in 1923. This was known as ‘The House that Ruth Built’, after the star that people came to see, George Herman ‘Babe’ Ruth, and it seated over 60,000 fans. In boxing, Madison Square Garden opened in 1925, seating 18,000 fight fans. ForestHills,thegreattennisvenue,openedinNewYorkin1923,and seated 14,000.
  • Another reason for the increased interest in sport was the pulling power of major stars. These were the equivalent of movie stars like Rudolf Valentino,DouglasFairbanksandClaraBow. Theirliveswereglamourised and the public wanted to emulate them. Their star power was exploited to sell all sorts of products: all these stars made a lot of additional money through advertising deals. As with movie stars, where necessary – and possible - their lives were also sanitised (i.e. the less positive aspects were airbrushed out of their images). ‘Babe’ Ruth, for example, was a hard- drinking womaniser. His fellow baseball star, the ‘Georgia Peach’ Ty Cobb, was a violent racist. The golfer, Walter Hagen (known as ‘Sir Walter’ or ‘the Haig’), was another hard-drinking womaniser. So in this respect, the ‘Golden Age’ was tarnished at the time.

Finally, within Baseball, the 1920s is regarded as the ‘golden era’ partly because it is the decade which saw the sport recover after the so-called ‘Black Sox’ scandal of 1919, in which several members of the great Chicago White Sox team accepted bribes to ‘throw’ (i.e. lose on purpose) the World Series.

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Sport in the 1920s (part 2)

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  • Another aspect of the era’s supposedly ‘golden’ nature concerns the shining success of certain amateurs in sports where amateurs and professionals competed together. Walter Hagen was the most successful (and highest-earning) golfer of the 1920s, but he was a professional. The amateur Bobby Jones won ‘major’ tournaments in the decade without making any money out of it (the Harvard-educated Jones was a lawyer by profession). In the 1920s, people idealised sportsmen like Jones, because they felt that they set a high moral example to the younger generation, that it was important to compete for the sheer love of the sport (‘amateur’ comes from the Latin verb amare, to love).
  • Another important reason for the dramatic increase in the popularity of sport in this period was the quality of the product. Whatever their character failings, these sportsmen were undeniably brilliant, and their rivalries captivated the nation from the top to the bottom of society. This was true even of sports involving animals: the head-to-head between the racehorses War Admiral and Seabiscuit in 1938 was listened to on the radio by President Roosevelt. War Admiral was the son of Man o’ War, the leading racehorse of the 1920s. Sports stars did not always come from aristocratic backgrounds. In boxing, a poor man from the Midwest, Jack Dempsey, became heavyweight champion of the world: millions of Americans identified with him.
  • This raises an important link with expanding media in the period which also accounts for the increasing interests in sports: major events were coveredontheradioandinprintjournalism. Millionslistenedintobigfights, like those between Jack Dempsey and Gene Tunney.
  • In the 1920s, Blacks, who were excluded from major sports like Baseball, played in their own leagues (the Negro National Baseball League and the Eastern Colored League), producing their own stars like Cool Papa Bell and Satchel Paige, and holding their own ‘World Series’. These stars were idolised within the Black community. These leagues had been founded before the 1920s, but the decade is also known as their ‘Golden Age’, as this was the era in which they achieved their greatest popularity and support. This was because so many migrant workers had moved to the cities in the North, and had the income and leisure to attend Baseball.
58
Q

Describe the events of ‘Black Thursday’, 24 October 1929.

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  • ‘Black Thursday’ is so-called because the loss of confidence in the true value of shares was so extreme that in panicked investors sold $13 million worth of shares in a single day (the equivalent of over $150 million today).
  • The reaction of several prominent Wall Street bankers, after a hasty meeting, was to try to restore confidence by having one of their most prominent figures (Richard Whitney, the Vice-President of the Stock Exchange) buy thousands of shares in well-known companies at a price above their value. It would later emerge that these men were buying in public while selling in private, but initially the deception worked, and the market recovered a little by the end of the day’s trading.
  • ‘Black Thursday’ is significant because it set a precedent for later, even more serious collapses in share prices (e.g. ‘Black Tuesday’, five days later). Though share prices had been falling since September, ‘Black Thursday’ is often regarded as the start of the Wall Street Crash.
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Why did the Wall Street Crash take many Americans by surprise? (Part 1)

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  • It is in the nature of stock markets that (a) there is a strong herd mentality (b) everyone is always convinced that there is someone out there who knows more than they do. No matter how high the price of shares rises, confidence will always fall in the end. Once investors (particularly influential investors) start to sell, the herd follows, and, like a stampede of panicking steers, it is impossible to stop it.
  • This is what happened on Wall Street in 1929. Americans had come to believe that there were no losers playing the Stock Market: everyone was a winner. Too many people were buying shares “on the margin”) i.e. buying shares on credit. It only a ten or twenty per cent deposit to buy shares. The investor had three months to pay the balance. If the price of shares went up during this period, he could sell them, pay the balance, and pocket the profit. But success on the stock market depended on continued confidence – in a continued belief that the price of shares was going to rise.
  • Americans were over-confident during these years, partly due to rapid industrial growth and victory in WWI. While only about 1 per cent of Americans owned shares, share ownership was democratized, in the sense that even shoeshine boys were playing the stock market alongside wealthy investors. This, and the reasons above,, explain why so many Americans were surprised by the Wall St Crash when it came.
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Why did the Wall St Crash take Americans by surprise? (part 2)

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  • Confidence peaked on 3rd September, when the price of shares reached its highest level. Then some European investors (noting that steel and automobile production were now in decline) lost confidence and decided to get out when they could, before the price collapsed and they lost everything. Fear of losing everything was crucial in causing the herd to stampede. The famous actor Charlie Chaplin was one of those who received a tip-off to sell. Joseph Kennedy (father of JFK) also sold just before the price of shares began to fall, keeping his money in cash from that point on. Brokers called investors to demand the balance owed. Investors could only hope to pay it by selling their shares. The sudden increase in sales turned fear into panic, causing more sales and a further plummet in share prices.
  • Momentum gathered until, on ‘Black Thursday’ (24th October), almost thirteen million shares were sold. To try to halt the panic-selling, and to persuade people to buy again, the Chairman of the National Bank and five leading bankers stated publicly that many shares were now under-priced and worth buying. The proverbially-wealthy banker J.P. Morgan fronted a group of bankers who were persuaded to spend millions publicly to prop up share prices and convince people to buy. But it leaked that some of these men had sold their existing shares on the quiet, and prices continued to fall. Millionaires became bankrupts overnight, as their shares were sometimes worthless. Famously, Fred Bell, a once-rich businessman, had to sell apples after the ‘Crash’. But though some millionaires were ruined, most survived their losses. John D Rockefeller, for example, lost 80% of his wealth, but was still worth over a billion dollars when he died. This is partly because he could pay the balance owed and partly because his wealth was diversified: he did not have all his eggs in one basket. None of the poor people survived their losses, because they had never had enough money to pay the full price for their shares in the first place.
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Q

How far was speculation responsible for the Wall Street Crash? (part 1)

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  • Speculation should be considered a long-term cause of the Wall St Crash, because it happened throughout the ‘20s, but the reasons speculation was so damaging were the particular forms it took and the widening socio-economic base of share ownership.
  • Share ownership became democratised: even shoeshine boys were buying shares ‘on the margin’ (i.e. with a ten per cent deposit, paying the balance paid three months later). If the share price rose, they could pay the balance and pocket the profit. If it fell, they would be ruined. Only the multi-millionaires like J.P. Morgan and Vanderbilt were immune, because they could pay the balance if share prices fell and because their wealth, made over decades if not centuries, was diversified.
  • Until October 1929, the price did not fall, because misplaced confidence in the permanence of American prosperity (another long-term cause of the Crash) persisted throughout the decade. This factor, traceable partly to victory in WWI, partly to American belief in the primacy of their economic system, contributed to the size of the Crash because it inflated share prices over a long period of time.
  • Too many Americans lost touch with economic reality. Those who did not, and who warned as early as 1927 that the supply of automobiles was catching up with demand, were not listened to; their voices were drowned out by the roar of optimism. Also, they tended to be commentators on the system, not participants.
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How far was speculation responsible for the Wall Street Crash? (part 2)

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  • But the European speculators who withdrew their money in 1929, were participants in the system, not commentators: it was their actions, and the protective response of American brokers who began to demand that the balances be paid, which stampeded the herd into an uncontrollable frenzy of panic selling: at this stage in the process, fear of losing everything was key.
  • So the question then becomes: why did European speculators withdraw their money? The simple answer is that they had no confidence that share prices would continue to rise. Not being American, they had no patriotic susceptibility to the notion that American prosperity would never end. They looked at the real indicators of the health of the American economy (steel and automobiles) and noted that demand for both was now falling. It was time to sell.
  • In other words, the Wall St Crash happened because by 1929, the American economy was being driven by its Stock Market rather than by its industries. Had the system worked as it should, the health of the industries (and therefore the health of the economy) would have been reflected in accurate share prices on the Stock Exchange. But the system was dysfunctional because the Stock Market was performing a function it was not designed to do. Long-term weaknesses were being concealed and the system was running on nothing more substantial than faith.
  • When ‘Black Thursday’ came, the financial community tried desperately to restore confidence. J.P. Morgan and several other high profile rich men were persuaded to spend a few million dollars (relative loose change to them) to create the illusion that investors were buying again. But it leaked out that they were secretly selling the shares they had bought before 1929. When the deception was exposed, the game was up: investors knew they were being had, and so they sold as quickly and completely as they could. Share prices continued to fall for the next three years.
  • In conclusion: speculation, in the forms it took and for the time it lasted, was a necessary cause of the Wall St Crash, but not a sufficient cause: the falling demand for steel and automobiles, caused partly by wage caps and anti-union legislation, and masked for years only by hire purchase and credit facilities, caused European speculators to withdraw their money in 1929 (a short-term cause based on a long-term assessment of the distorted US economy), triggering a panic that could not be stopped or reversed. The confidence on which the system ran collapsed; rightly so, since it was misplaced to start with.
63
Q

How did Unequal distribution of income in the USA contribute to the great depression?

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throughout the decade, American wealth had been more of an illusion than a reality, at least for the vast majority of the population. Most blacks and whites were actually living in poverty. Even if relatively few of them actually owned shares, they were still ruined by the collapse because demand – already falling – collapsed even further, leading to mass unemployment. Since there was no unemployment benefit, people had no money to spend on goods and services, leading to a further collapse in demand and yet more unemployment. This downward spiral continued until 25% of the American work force was unemployed (the same number as in Germany, where Hitler soon came to power).

64
Q

How did the The unsound banking structure of the USA contribute to the Great Depression?

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there were too many small banks and some were ‘casino’ banks rather than ‘vanilla’ banks, investing depositors’ money. Even before the crash, this unsound system was vulnerable to panic among depositors: if one small bank failed, depositors would withdraw their money at once from neighbouring banks, causing others to fail as they could not give the customers their money. The following statistic is telling: in the first six months of 1929 (i.e. before the Wall St Crash, 346 banks failed in the USA). After the Crash, the desire to withdraw savings reached, in the words of economist J.K. Galbraith, ‘epidemic’ levels. So the Wall St Crash played a role in exacerbating the worst effects of an existing structural problem.

65
Q

How did the unsound corporate structure of the USA contribute to the great depression?

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as the 20s went on, the companies, experiencing reduced profits, cut investment to continue providing shareholders with the big annual dividend they had come to expect: the long- term consequence of investment cuts was that the companies ceased to be profitable, leading to unemployment.

66
Q

How did The change in the nature of the foreign balance contribute to the Great Depression?

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During WWI, America became a major creditor nation in relation to foreign powers. To repay loans, debtor nations needed to pay in ‘gold’ (i.e. cash) or increase their exports to the US over time, or reduce their imports. The latter became increasingly hard to do during the 1920s, as a result of protectionist policies. The result of this was that debts were not paid, money was not recovered, American exports to these countries fell, with the result that unemployment increased: the negative consequences of this hit hardest in the farming sector.

67
Q

How did The ‘hidden’ depression in the agricultural sector contribute to the great depression?

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in a vital sector of the American economy, there already was a depression, and there had been since the mid-1920s, when the farming economies of Europe recovered from WWI, causing a collapse in demand for primary products from the USA. This created a vicious downward spiral of over-production, under-consumption, price falls, foreclosures, unemployment and the collapse of demand.

68
Q

How did Government policy between 1919 and 1929 and the mentality which helps to explain it contribute to the great Depression?

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during the ‘Roaring Twenties’, there were three Republican presidents in the White House – Harding, Coolidge and Hoover. This means that there was unbroken continuity in policy with regard to the degree of government intervention in the economy: all three presidents adopted a largely laissez-faire approach and did not try to regulate an irresponsible market; indeed, in the early ‘20s, there was some significant de-regulation legislation. Privately, the presidents knew that it was foolish to speculate in the way that speculation was being carried on, but none dared say so in public.

69
Q

How did The role of the individual, 1929-32: Herbert Hoover contribute to the Great Depression?

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Hoover was a self- made millionaire and a firm believer in ‘rugged individualism’. This was because his own life experience seemed to him to prove that if could become rich by hard work and persistence, anyone could. A Republican in his politics, his policies during the critical years between 1929 and 1932 reflected the way he looked at the world: above all, he refused to spend government money on the scale needed to increase demand and reverse the spiral of decline). This helped to turn the recession into a full-blown depression. It was not that Hoover did not care about the suffering of the American people or that he was lazy: historians now know that he was working 14-hour days in the White House. But he was working in the wrong way: the economy needed a large injection of government money and Hoover was ideologically opposed to providing it.