Limits of the Boom Flashcards
What were the reasons farmers didn’t feel the boom of the 1920s?
- European recovery after WW1
- Overproduction
- Lack of Government Support
- Prohibition
- New technology
- Pests/ Boll weevil
How did European recovery affect farmers?
Europe previously relied on the US for agriculture but recovers after WW1= less demand for US food exports.
What was the issue with overproduction?
There was a surplus of crops= overproduction = reduces value of crops, agricultural prices dropped.
What was the issue with the 1923 McNary-Haugen Bill?
Attempted to stabilise agricultural prices by buying surplus produce, but was NOT passed due to laissez-faire ideals= no support for farmers.
What was the issue with the 1922 Fordney McCumber Tariff?
Raised tariffs on American imported goods= foreign countries did the same in retaliation, did nothing to deal with the problem of agricultural overproduction, American market remains saturated.
What was the effect of national Prohibition on agriculture?
Reduced demand for grain (wheat, barley) used in alcohol= agriculture suffers even more
What did crops suffer from?
Crops, esp cotton (main crop in south) destroyed by pests such as the boll weevil= huge losses
What was the effect of new technology?
Combine harvester increased productivity = more overproduction, reduced need for manual labour= unemployment amongst farmers, many go into debt to purchase them.
By how much had agricultural prices risen 1913-1917?
82% rise in agricultural prices
How much did farming income fall 1919-1929?
1919: $22 billion
1929: $13 billion
Why did agricultural workers move to cities? Why did they struggle?
Agricultural workers were unable to get their loans back from bankrupted banks, 6 million had to move to the city to find jobs, however most were unskilled= struggled to find jobs.
What percentage of African Americans lived in the south?
85% of AA lived in the South, poorest region in the US
How many black farmers were in the South in 1920? How many lost their jobs?
1920: over 920,000 black farmers in the South, hit hardest by fall of agriculture and boll weevil disaster, 750,000 lost their jobs, gov did not provide any aid.
What was sharecropping? What percentage of African American farmers were sharecroppers?
50% of AA farmers were sharecroppers- in exchange for labour, would earn a share of crops rather than wages, rented land and tools from landowners, bad harvest= no wages, can’t pay back= debts, tied to contract so cannot leave if they are indebted= exploited.
What was the Great Migration?
1920s: 850,000 Southern black Americans move North to cities in search for jobs/ education & to avoid poverty, racial discrimination and Jim Crow (legalised segregation, kept AA in inferior positions in society)