Lack pants Flashcards
L
Laissez-Faire
A
Assembly line
C
Credit
K
Knowledge
P
Position of the USA
A
Advertisements
N
New customer goods
T
Tariffs
S
Share confidence
Laissez-faire
Republican Party was in control throughout the period 1920-1932 and its polices helped the boom continue
Assembly line
American business people (e.g Henry Ford) were very quick to see the advantages of using the latest tech.
He made huge numbers of cars built himself and pulled along the assembly line.
Credit
Department stores sold the goods on every high street and those for who didn’t live near a large enough town there was a latest catalogue full of goods to choose from that could be delivered to your door.
Position of the USA
America didn’t join in WWI when it started. Instead it sold foods weapons and other goods to Britain and allies. This created many jobs in America and made lots of business people very rich. Then they joined the world war in 1917
Advertisement
Big industries used sophisticated sales and marketing techniques to get people to buy their goods. Mass nationwide advertising had been used for the first time to get people to support America in the war.
New customer goods
In 1916 only 15% of American homes had electricity but nearly 70% of homes had it by 1927.
Tariffs
The republicans also believed in low taxation for American business but high taxation for imports. They cut the taxes paid by rich people and companies- they wanted rich people to have as much money as possible so they could start new companies and create more jobs.
Share confidence
Confidence the prosperity would continue to grow encouraged the stock market boom. Many people bought shares in companies and gained a percentage of the profits in return.
