reasons for 1920s prosperity

Question 1

what were the unemplyment figures like in the USA at this time?

Answer 1

unemployment never rose above 3.7%

Question 2

what happened to the wages of industral workers?

Answer 2

• were paid more. the real wages of industrial workers rose by 14% from 1914 - 1929.
• on average their wages were 2x or 3x higher than in Europe

Question 3

what happened to the production of industrial goods?

Answer 3

rose by 50% between 1922 and 1929

Question 4

what was the consumer boom during the 1920s?

Answer 4

• the amount of buying of consumer goods by the ordianry population hugely increased.
• between 1912 and 1929 the number of eletrical goods sold per year went from 1.4 million to 160 million

Question 5

what two developments in the early 20th century enabled mass production?

Answer 5

• the wider scaled introduction of electricity

- the assembly line factory method.

Question 6

what products began to be mass produced for thr first time?

Answer 6

• clothing after sized were standardised

- automobiles, pioneered by Henry Ford. bu 1925 Ford could make 1 car evers 10 seconds.

Question 7

compare the number of automobiles on the road in 1920 to 1929

Answer 7

• in 1920 there were 7.5 million
• in 1929 there were 27 milliion
• approx 1 for every 5 people.

Question 8

how did more effcient working methods affect working hours?

Answer 8

workerd worked on average 44 hours per week by 1929 rather than 47 in 1920

Question 9

by 1924 what % of the motor vehicle market did Ford contol?

Answer 9

50%

Question 10

what other industries did the boom in motor vehicle production and ownership also impact?

Answer 10

• road building
• petrol
• rubber
• plate glass
• services such as garages, motels, petrol stations and car salerooms
• the transportation of other industrial goods became easier

Question 11

how did management science help improve industry?

Answer 11

by applying technological and scientific ideas to running a business successfully - time and energy was moitored and enabled to operate more efficiently

Question 12

how did management science help improve industry?

Answer 12

by applying technological and scientific ideas to running a business successfully - time and energy was moitored and enabled to operate more efficiently

Question 13

what impact did technological advances have on leisure?

Answer 13

• more motor vehicles meant more travel to national parks and short holidays
• tourism developed as an industry
• the radio was a leisure item
• people had more time free due to labour saving devices
• more theatres and cinemas were built

Question 14

how did advertising change during the 1920s?

Answer 14

• some companies employed pyschologists to help them reach a target market e.g young women
• campagins began to include slogans, brands names, celebrity endorsements and consumer aspirations.
• consumers began to believe that they could not survive without a product.
• the amount spent on advertising increased 5x from 1914

Question 15

how did credit work?

Answer 15

consumers would pay a deposit, and then the rest in regular installments (hire purchase)

Question 16

why was this so unstable?

Answer 16

many consumers and businesses ended up with debts that they could not affod to pay back.

Question 17

what % of cars were bought on credit?

Answer 17

75%