Mass Production And Mass Consumption Flashcards
What is mass production
manufacturing of goods in large quantities using standardized designs, machinery, and assembly line techniques, aiming to lower production costs and make goods more affordable.
What is mass consumption
widespread purchasing and consumption of goods and services by a large population.
What was products were Mass Produced/Consumed?
Automobiles:
The Ford Model T, made possible by mass production, became a symbol of the era, making car ownership a possibility for many.
Appliances:
Radios, electric ice boxes, irons, fans, vacuum cleaners, and other labor-saving household appliances were mass-produced and became common in homes.
Other Goods:
Clothing, shoes, household goods, and tools were also mass-produced, making them more accessible and affordable
What is Buying on Margin?
Buying on margin involves borrowing money from a broker to purchase stocks, allowing investors to control a larger amount of stock with a smaller initial investment.
For example, an investor might put down 20% of the cost of stock and borrow the remaining 80% from a broker.
Why was mass production/consumption so important?
Economic Growth:
Mass production and consumption fueled economic growth by creating new industries, jobs, and markets.
Increased Standard of Living:
The affordability of goods and services led to a rise in the standard of living for many people.
Social Change:
Mass production and consumption contributed to social changes, such as the rise of consumer culture and the increased mobility and freedom that came with car ownership.
Stock Market Boom:
The combination of mass production and the belief in the continued growth of the economy led to a stock market boom in the 1920s, with many people investing in stocks, including through buying on margin.
Underlying Risk:
The risky practice of buying on margin, while contributing to the stock market boom, also played a significant role in the stock market crash of 1929 and the subsequent Great Depression.
What were the new inventions
Automobiles (Ford Model T)
→ Assembly line provides mass production
Washing Machine
→ Advertised to women because it will make her housewife duties easier
Electric iron
→ Advertised to women because it will make her housewife duties easier
Radios
→ listen to shows (podcasts) or sport games
Electric and Non-electric vacuums
Electric Refrigerators
Telephones
Cameras
Who were the new inventions advertised for first
All inventions were advertised to the rich first
