Factors Behind The 1920's Boom Flashcards
What were the factors behind the boom?
First world war Republican policies New industries Mass production Motor car Mass consumption and consumerism
How did the first world war contribute to the boom?
Lent moneys to allies br + fr
Sold weapons to br + fr
Farmers sold a huge amount of food to europe
American food exports rise hugely
Other countries weren’t trading
-gave us the chance to overtake europes trade around the globe
Overtook germany as leading producer of chemicals
Developed new industries
Wasnt in the war for long enough for it to damadge USA
How did republican policies contribute to the boom?
Believed in a non-intervention goverment(laissez-faire)
Believed in rugged individualism, (americans could solve their own problems)
Believed in low taxation ( if wealthy ppl keep their money they will use it to reinvest in the economy)
Believed in protectionism (to place tariffs in inports, so local is cheaper)
Put a lot of faith in trusts (huge super coorporations that dominates specific industries)
Democrats didnt like this because they felt it was unfair and it gave very wealthy buisnesses people far too much influence on economy.
How did new industries contribute to the boom
New methods of production developed in the usa
Country was able to export its vast resources of raw materials to prduce steel, chemicals glass and machines
Electricity was changing america(almost all homes had it.telefones radios, vacuum cleaners, washing machines…)
Mass production methods meant thet everything could be sold cheaper.
Invention of new matherials, like rayon, substitutes expensive materials like silk.
How did mass production contribute to the boom?
Meant that huge amounts of goods could be prodyced cheaper, made them more affordable
All stated when ford invented the production line
More cars produced= more chep= more people can afford them= buy
How did the motor car contribute to the boom?
Car production was revolutionised by henry ford
The most famous car was the model t
1 in 5 americans had one
By the end of the 1920’s the car industry was one of the biggest in USA
Contributed to massive growth of other industries (glass, leather,rubber, oil, petrol, steel)
Buildings of roads and suburbs
Cars revolutionised how americans live(people can now live outside the city center)
Owning a car was no longer a rich priviledge
How did consumerism and consumption contribute to the boom?
Mass production requires mass consumption
Due to boom americans had more mone to spend now.
Mass advertising was seen everywhere
Travel salesmen knock on doors and sell things
Growth in chain stores
Huge growth of mail order companies (people can now buy things from catalogues, eg sears or roebucks,means people in the countryside have acces to same things as people on the city)
Credit beacomes easyly available ( people can now buy thing wthought havin all the money.buy now pay later.)
Changes american state of mind.( americans now think the best quality of life is the one where you have the newest consumer goods. Buy buy buy. Good for economy)
When did american food exports rise hugely?
Between 1914- 1918
When did almost all homes have electricity in the USA
1929
How many pairs of silk stockings were sold in 1900
Only 12,000 pairs
How many pairs of rayon stocking were sold in the 1930’s
300 million
When was the production line invented?
1913
How often did a model t come out of the production line in 1927
1 every 10s
How many model t’s were built during 1908-1925
15 million
How much did a model t cost in 1925
Only $290 (3 months wages for an average worker)
