the changing quality of life 1917 - 80

why was there an increase in productivity in the 1920’s

population increased by 16% during the 1920’s + industrial production doubled. Synthetic textiles and plastics did well + electricity - which consumption doubled in the 1920’s

the automobile industry

Henry Ford, Model T brought cars to the masses. 1925 - produced a car every 10 seconds.

how many cars were there in 1929

27,000,000

how many people did the car industry employ in 1929

450,000 people, 7% of all manufacturing wage earners

impact of the wall street crash

US trade fell from $10,000,000,000 in 1929 to $3,000,000,000 in 1932. Also in 1932, unemployment was over 12,000,000 - 25% of the workforce.

how many people were unemployed in 1934

11,000,000

how many people were unemployed by 1939

10,000,000 Americans, 17% of the workforce

when did employment and the economy go back to normal

1941, because of armament for the war

how did the second world war help the economy recover

• business profits rose from $6 million in 1939 to $10.5 billion in 1945

• between 1940-5, American industry produced over 100,000 tanks, 300,000 aircraft and 93,000 ships. by 1944, the USA was producing twice as much as Germany, Japan and Italy combined

reasons for economic growth after the war

• US industry benefited from cheap oil

• ever increasing investment lead to scientific and technological advances that increased productivity

• there was a baby boom after 1945 which encouraged the sale of homes and childrens goods

growth areas in american economy

aviation/cars/chemicals/defence/electronics/food/pharmaceuticals/soft drinks/tobacco - America’s GNP rose from $355.3 billion in 1950 - $487.76 billion in 1960

how many homes were built between 1948 - 58

13,000,000

how many cars were manufactured in 1955

7,900,000

how many “blue collar workers” were there in 1960

25,600,000 - less needed due to increasing automation

the economy under kennedy

GNP expanded by 20%, industrial production by 22% + personal income 15%

the economy under Johnson

• 1967 - trade deficit of nearly $4 billion

• suffering from inflation

• no industrial production