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Why was population growth a factor for cause of the economic boom?
Population growth led to increased demand in consumer goods, this meant that there were more profits for businesses
Why was America's access to raw materials within the country a factor for the cause of the economic boom?
America had large amounts of raw materials therefore money stayed in America
Why was tariffs a factor for the cause of the economic boom?
The Fordney McCumber Act 1922 was a tariff which taxed more for items in foreign countries - this made American buy from American businesses - therefore causing money and profits to stay in America
Why was Republican Policies a factor for the cause of the economic boom?
The Republican Policies charged low taxes meaning Americans had more money to spend, this led to more profit, more jobs and high wages. They also believed in Laissez Faire (meaning to leave alone) and Rugged Individualism (meaning to succeed on one's own with minimal help)
Why was new technology a factor for the cause of the economic boom?
New technology led to the boom in consumer goods - these wee cheaper to buy because of mass production (e.g. made by assembly line), thus led to cheaper prices and more profits
Why was the stock market a factor for the cause of the economic boom?
The stock market allowed Americans to buy shares from companies and sell for more money, this increased investment within many American companies which allowed them to expand
Who didn't benefit from the boom?
FLOP:
Farmers
Low wage earners
Old industries
Poor African Americans
Why did farmers not benefit from the boom?
Overproduction - during WW1, the government asked for increased demand in food, after the war the demand was not needed, since their food would not sell they had to lower prices which decreased profits.
Combine harvester - this could do the work of 100 men and only need 1 man to operate - this led to an increase in unemployment
Fridges and canned goods meant that food had a longer expiration date - meaning the demand for food decreased, causing prices to decrease, this led to decreased profits
Why did low wage earners not benefit from the boom?
Low wage earners were often unskilled or unemployed.
5% of wealthy Americans earn 33% of all American profits, whereas 42% of Americans lived in poverty
In the 1920s, 2 million Americans were unemployed.
Why did old industries not benefit from the boom?
Industries like coal did not benefit because of cheaper resources (oil and gas), this led to mine closures and lower wages for coal, as well as increased unemployment
Industries like textile and leather did not benefit because of the flapper fashion - Americans preferred to have synthetic materials, this led to lower profits and increased unemployment
Why did poor African Americans not benefit from the boom?
Poor African Americans did not benefit from the boom because 1 million lost their jobs in the farming industry because of the combine harvester
They could only, usually, work in low wage jobs and could only find work in old industries
Segregation led to low skilled jobs due to a lack of education
What is the cycle of prosperity?
More demand = more bought = higher profits = companies expand (increased employment) = increased (this increased demand)
This process loops around again and again
How did the lives of women change in the 1920s?
Flappers - women in Urban areas changed the traditional ways of behaviour and fashion, these were mainly women who had money and didn't have to work.
They received the vote
They were able to work in low-skilled industries (e.g. seamstress), work saw an increase of 25% of women beginning to work
How did the lives of women stay the same in the 1920s?
Women in Rural areas saw no change at all because:
People in Rural areas looked down on flappers because they considered it immoral and it wasn't traditional
Women in Rural areas didn't get involved in politics (no need for the vote)
Inequality at work - particularly in pay (women paid less than men)
How were the lives of African Americans during the 1920s, in regards to racism?
Jim Crow Laws - these were laws that encourage segregation (particularly in the South, so many African Americans moved to the North)
Ku Klux Klan - lynching (punishing African Americans who they didn't believe were equal to them)
Even though many African Americans moved to the North, they could only get work in low paid jobs and they still experienced discrimination
How did the lives of African Americans improve during the 1920s?
Role models: for example, Jesse Owens (sprinter)
The Harlem Renaissance (when jazz singers, artists, poets and writers took artistic action to prove they were well educated and worthy of being treated equally)
NAACP (National Association for Advancement of Coloured People), this was set up on 1909 for equal rights
One million African Americans moved to the North for a better life - this means they had the opportunity to go to university
What were the lives of immigrants like in the 1920s?
Immigrants had problems with the trade union - they believe that they'd work for cheap and take jobs from Americans.
The Red Scare (fear of communism) - e.g. Sacco & Vanzetti wrongly accused of murder, 107 witnesses (all Italian immigrants)
WASPS (White Anglo Saxon Protestants) - scared of other religions & their way of life coming to the USA
1921: Emergency Quota Act meant 3% of immigrant could be from Eastern Europe
1924: Reed Johnson Act - set immigrant limit to 154,000
Why did some people support prohibition?
A CRIME
Anti Saloon League: believed drinking damaged families
Communism: believed drinking could turn men into communists
Rural America: did not approve of the behaviour whilst under influence of alcohol
Isolationism: most alcohol was imported from Germany, therefore Americans were spending money in other countries which was frowned upon - it was believed that money should stay in America
Madness: believed drinking would lead to poverty and ill-health
Efficiency: drinking meant workers were less efficient
Why did prohibition fail?
DAMAGE:
Drinking continued
Available
Most people continued drinking
Adverse effects (killed many Americans)
Gangsters (e.g. Al Capone)
End (of the Volstead Act)
How does the stock market work?
Stock/shares are bought. Companies use this investment to expand and increase their profit - more profit = increase in share prices, these shares are then sold to another person and profit is made.
What were the causes of the Wall Street Crash?
ECO BUST
Economic Weakness: industries did not react to the decrease in demand
Confidence: when companies began to lose money, people began to lose confidence and sell their shares out of panic
Overproduction: companies produced too much in comparison to the low demand, this meant the prices had to be lowered, this caused profits and wages to decrease, some Americans lost their jobs
Businesses Failed: shares were sold in panic due to business failing and losing money
Unequal Distribution of Wealth: the rich stayed rich, the poor stayed poor
Speculation: buying and selling shares for a short term profit
Tariffs: foreign countries put taxes on US goods
What was the cycle of depression?
Less money to spend -> companies become bankrupt -> people lose jobs (repeats back to less money to spend)
What were the consequences of the Wall Street Crash?
Farmers: could not afford their mortgages, dustbowl (dry weather, hard to grow crops) farms were repossessed)
Despair: soup kitchens, 23,000 suicides in 1932, homelessness (Hoovervilles) - caused outbreaks of violence (e.g. Bonus Army), protests/riots
1931: 237 Americans in hospital due to severe starvation
1929-32: 5000 banks failed (including Bank of America)
1932: 250,000 Americans lost their homes
Wages decreased by 60% between 1929-1932
Who won the 1932 election?
FDR
Why did many Americans believe that Hoover was a bad president?
He was blamed for making the depression worse because of his Laissez Faire attitude, instead he believed that charities should help, not the government. He also believed in rugged individualism so it would be up to themselves to get themselves out of poverty and depression
What were the bonus marchers?
Bonus Marchers were former army veterans who went to Washington to ask for the pension early because they were homeless after the Great Depression
Why did Roosevelt win the 1932 election?
Because he promised the 'New Deal', he believed in an active government (the opposite of rugged individualism), and he also promised to ask experts for their advice
What were the aims of the New Deal?
Relief, Recovery, Reform
1) Get USA back to work
2) Protect peoples' savings and property
3) Help the sick, old, and unemployed
4) Recovery of industry/farming
What did FDR do in his first 100 days?
Abolished prohibition, fireside chats (used the radio to tell American citizens what he was going to do), the Emergency Banking Act (closed all banks until they could prove they were trustworthy), alphabet agencies
What were the 5 main alphabet agencies?
CCC: this provided jobs for men ages between 16-25
WPA: built public buildings (e.g. schools, hospitals and roads) provided more work
TVA: built 1 dams in 10 years - this provided cheap power and work
AAA: payed farmers to produce less (increased prices)
NRA: campaigned for workers rights and higher wages
Why did some people oppose the New Deal?
Some thought it was doing too much, some thought it was doing too little
Who opposed the new Deal?
BRASS
Businessmen: believed government interfered too much (e.g. Henry Ford hired people to attack Trade Union workers)
Republicans: ideology opposite to democrats (FDR) - felt it was too much like communism
Activists: Huey Long - believed FDR was not doing enough - introduced 'Share the Wealth' where Americans with $3 million or over should share their wealth because the did not need it
State Governments: thought FDR was taking their powers
Supreme Court: deemed some of FDR's alphabet agencies to be illegal (e.g. NRA & AAA), also believed he acted a little like a dictator
In what ways was the New Deal a success?
Fascism was avoided, jobs, benefits, food and housing was provided
In what ways was the New Deal a failure?
It did not fully achieve its aims (did not end the depression). African-Americans and immigrants were still unemployed and experienced racism and inequality, a lot of opposition - some believed more could be done, too much was being done, and believed FDR was too much like dictator
What was the Second New Deal?
a wave of legislation including more social welfare benefits
What did the Second New Deal achieve?
Social Security Act - benefits for the old and unemployed
NRA replaced by the Wagner Act since the Supreme Court deemed the NRA to be illegal
How much of the world's goods did USA make after WW2?
over 1/2
Where did the idea of the 'American Dream' come from?
Returning soldiers who wanted a wife, dog, garden etc.
What were luxuries considered as? (e.g. fridges, cars, radios)
essential
What was the main focus in popular culture in the 1950s?
TV, radio and film
What became popular amongst teens in the 1950s?
Rebelling against their parents because they had role models like Elvis Presley (singer) and James Dean (actor)
What type of society was America during the 1950s?
A consumer society. For example, TV ownership grew from 0.4% to 83.2% between 1948-1958
What was McCarthyism?
the practice of making accusations of subversion or treason without proper regard for evidence. It was the second Red Scare (fear of communism)
What was the main consequence of McCarthyism?
Many people were unfairly sacked
What were the main peaceful protests during the Civil Rights Movement?
MLK - I have a dream speech, fought against problem faced from Jim Crow Laws
Brown v Board 1954: fought for equal education (desegregation) - Supreme Court ruled that it was unequal & unfair for black and white people to be educated in different schools
Little Rock High School 1957: 9 black students tried to enrol in this white-only school - guards were sent to protect these black students during their first 6 weeks
Montgomery Bus Boycott 1955-56: Rosa Parks refusing to stand and give her seat to a white man - bus company lost 65% of revenue because people began to walk.
Sit-in movement & freedom rights: would sit in white-only areas and refuse to move and never fought back, even when violence was used against them
March on Washington 1963: 250,000 attended
What were the main violent protests during the Civil Rights Movement?
Malcolm X: wanted to achieve civil rights by any means necessary, partook in the black power movement
Black Panther: believed black people should be armed and achieve civil rights by force
Riots (1965: LA, 1967: Detroit)
What were the main acts that improved civil rights?
Civil Rights Act 1964 - 1964: made segregation in jobs illegal
Voting Rights Act - 1965: made it illegal to test black people before voting
Civil Rights Act - 1968: made segregation in housing illegal