‘In search of the American dream’ USA Topic: Unit 4, The changing quality of life, 1917-80

Confidence

A strong belief or trust in the economy, loading businessess and Consumers to spend and invest more.

WWI

A global conflict from 1914-1918, in which the USA (from 1917) played a major role in, leading to an economic growth due to increased production and exports

Laissez-faire

A government policy of minimal interference in business and economic affairs, allowing industries to grow with fewer regulations

Production

The process of manufacturing goods, which increased significantly in the 1920s due to new technologies like assembly lines

Tariffs

Taxes imposed on imported goods to make soreign products more expensive, encouraging consumers to buy domestic goals

Immigration

The movement of people into a country; in the 1920’s, US policies restricted immigration, affecting the workforce and wages

Industry

The large Scale manufacturing of goods, which expanded rapidly in the 1920's, particularly in sectors like automobiles, steel and consumer goods

Electricity

A Source of power that transformed industries and homes, making production more efficient and led to the rise of new appliances

Why did an Economic Boom happen in the 1920’s

• One major reason was due to the confidence in the economy. After WW1, the USA emerged as a global economic leader, having provided loans for and supplies to European nations during the war.

• This gave American Spending and investment. businesses and consumers a sense of financial security, leading & increased.
  

• The government's Laissez-faire approach allowed industries to expand rapidly. Companies were free to innovate and grow without heart, regulations, which encouraged mass production techniques, such as Henry Ford's assembly line.

• This significantly lowered costs and increated the availability of consumer goods like automobiles, radios and household appliances

• The Introduction of electricity further revolutionised industry and daily life. Factories became more efficient and new electrical appliances created a surge in consumer demand.

• Meanwhile, high tarists were impoted on soveryn goods, making American-made products more attractive and boosting domestic sales.
  

• Additionally, restrictions on immigration, limited the influx of foreigh Workers, This led to higher wages for American-born workers, increasing their purchasing power and further stimulating economic growth
  

The Wall Street Crash

• Saturday 19th October:
  Shareholders begin to panic. Prices Started to fall. Nearly 3.5 million Shares were traded.

• Monday 21st October
  Heavy selling on the stock market. Over 6 million Shares traded. High Price fluctuations 

• Tuesday 22nd October:
  Stock market recovery. All seems well, prices start to recover
  

• Wednesday 23rd October:
  More Panic in Wall Street. Over 2.5 million Shares sold in last hour of trading. People are trying to get out.
  

• Thursday 24th October",
  "Black Thursday". Prices fell rapidly, people are rushing to sell their shares. Over 13 million shares traded.
  

• Friday 25th October:
  Bankers save the day. Bankers agreed to support the stock market. This stabilises prices
  

• Saturday 26th October:
  President Hoover speaks and assures Americans that the panic will soon be over,
  

• Monday 28th October:
  Heavy Selling. Nearly 3 million Shares traded in the last hour of business, Huge falls in prices.
  

• Tuesday 29th October:
  Worst ever day on the stock market. Nearly 16.5 Million Shares traded. Some Love everything, Some Suicides are reported

Causes of the Great Depression

As early as 1926, there were signs that the boom was under threat - this was seen in the collapse of land prices in Florida.

Eventually, there were too many goods being made and not enough people to buy

Farmers had produced too much food in the 1920s, so prices for their produce became steadily lower.

There were too many small banks - these banks did not have enough funds to cope with the sudden rush to take out savings, which happened in the autumn of 1929.

Too much speculation on the stock market - the middle class had a lot to lose and they had spent a lot on what amounted to pieces of paper.

The Wall Street Crash of October 1929 was a massive psychological blow. America had lent huge sums of money to European countries. When the stock market collapsed, they suddenly recalled those loans. This had a devastating impact on the European economy.

The collapse of European banks caused a general world financial crisis.

Recovery

• FDR's first action as president was closing the banks, have FED officials inspect them and then only reopen the “healthy ones"
  

• That, along with using federal agencies to create to employment and help those in trouble with loans, began to re-establish confidence
  

• Although FDR ran up huge government debts to fund the New Deal, but that led to it being severely successful and lead to recovery
  

• In 1937, the Wagner-Steagall National Housing Act set up the Federal Housing Administration to oversee slum clearance and the building of housing for low-income families,
  

• The Second Agricultural Adjustment Act provided Subsidies for farmers to produce less
  

• In 1939, WW2 broke out, FDR chose to move to war production to help the Allies, increasing employment & profits

• The US was primed to rapidly expand in 1945 due to the country being stancially Stable and out of the "Depression" and was able to grow econocally and Socially as a country, while also producing new machines and ideal to benefit the world.

Causes of the Post-War Boom

• A huge demand for the consumer good! people had done without during the war made the move from wartime industries to civillan ones easier. Production increased (from $2.84 billion-worth in 1950), which helped keep unemployment low,
  

• The business boom encouraged employers to expand their workforces and to raise wages, thus encourging more spending
  

• The government came down hard on Strikes for higher wages as prices rose.When coal miners went on Strike, Truman took control of the mines.

• The rail workers also went on Strike to Support Miners. Truman took over the railways. When rail workers walked out (marrooning 10,000 Passengers and stopping 25,000 goods trucks, many with perishable food) he asked Congress to draft strikers into the army. The strikers backed down and there were very few strikes after
  

• A post-war baby boom meant a growing demand for child-centred goods and foods (in 1947, nappy sales were $32 million and in 1957 were $50 million). Toy manufacturers made $1.6 billion in 1959 and by 1961 their profits rose to $2 billson. In 1940, there were 2,559,000 live births in the USA, in 1950 it was 3,632,000 and in 1955 it was 4,104,000 .

• It stayed at the 4 million mark until 1965, where it dropped to 3,760,000 and the fertily rate began to decline. More babies meant for child rear which the out a need for move schools and colleges and would become consumers themselves.

• Even some farmers managed to do well due to continued subsidies and the demand for farm produce at home (as consumers spent more on food) and abroad (especially in war-tor Europe)
  

• Government spending rose steadily throughout the period under Truman's Fair Deal policies. Immediately after the war, the government provided support for all those leaving military service. This included a leaving payments unemployment pay for a year, loans to buy a home or business and medical and healthcare. It also provided education or training through the GI bill with over 12 million doing it. The government also increased the amount of Social Security benefits and expanded them to cover more people. The 1947 National Housing Act introduced slum clearance and the building of 810,000 low-income housing units to replace the Slums. This provided work for the building industry and better conditions for some urban poor,

Inflation & Growing Culture

• Over the Post-war period, prices were rosing with it sometimes being faster than wages.
  

• The government's Office of Price Administration (OTA) had controlled prices during the war. When it shut down in 1946, farmers and businesses wanted to exploit the demand for goods and food. Prices jumped 25% in 2 weeks
  
  • However, after the initial jump, Prices settled to a steadier rose. Truman Passed the 1946 Employment Act which set up a Council of Economic Advisers (CEA) to advise the president on managing the economy. It also said that the president had to give a strategy report to a Joint Economic Committee of the House of Representatives and the Senate after each federal budget

• The government was careful to keep taxes low and the fact that butiny on credit was rising meant that inflation didn't damp down spending in the 1950's. The Fed put controls on the money supply to keep inflation low.
  

• Levittowns-Touns/Suburbs created (the majority of which) by a private compunt called Levet

Positives of Suburbs

-Near the city

- Near Schools and/or is a whole town

-A close community

Negatives of Suburbs

- Houses are the Same

- Usually no wildlife or plants except grass

- Made life even more mundane as everyone had similar lives

Continuing Economic Changes and Shifts:

• By the end of the 1950s, the USA was losing its place as the country of technological innovation and its hold on the world markets. This would have a growing impact on the economy
  

• For example, Americans designed the first transistor radio, but didn't improve and miniaturise it, Japan did. US Businesses had to buy Japanese parts to assemble in the USA. By 1958, there were 45 million transistor radios in the USA.
  

• There was a shift in industry from the North and East of the Country towards the South and West (area now called the Sunbelt). Much of the Shift was due to wartime investment for the war production industry, including aircraft manufacturing and military bases.
  

• The move was made because land, goods and services were cheaper in the South and West. After the war, the military bases stayed and new factories began producing peacetime goods. This Sizeable population shift towards areas where there was work and better weather contributed to the emptying of the inner cities and to the  problems that developed in them.
  

• In the 1950's, the government shifted its economic strategy. Previous economic thinking, from the New Deal onwards, was that high government spending, even if it created a budget deficit, would keep the economy stable and prices down.
  

• After the war, this didn't work. The government wanted to keep interest down rates low so increased the money supply, thinking this would hold inflation
  

• In 1952, there was $161.7 billion in circulation (not counting Savings Shares etc), By the end of the 50’s, it was $215.8 billion

Post-war affluence

Supermarkets

Drive-in cinemas

Four-lane highways

Ballpoint pens

Polaroid cameras

Transistors

LP’s

Dishwashers

McDonald’s

Power-steering

Residential air-conditioning

Ranch-style homes

Detergents

The 60’s

• During the 1960's, USA had lost its place as the world's most important exporter. The Vietnam War was draining government finances, as were social welfare payments
  

• The government was still increasing the money Supply (with the consent of the FED), but Inflation was still rising. Increasing the money supply helped the government meet Increased welfare costs and other bills and, in the short term, helped the economy.
  

• But the amount of gold held by the government kept falling, so the balance between gold reserves and paper money was increasingly out of balance. This was a significant problem.
  

• The 1944 international Bretton Woods agreement had made the dollar the currency to be backed by a gold reserve. (other currencies were then valued against the dollar)
  

• The government saw that the falling gold reserve was a problem. In the 1966, it slowed (but didn't stop) increasing the money supply. There was an- almost immediate downturn in the economy and inflation kept rising.
  

• The government wanted to control prices, rather than letting businesses have it's head, so it increased the money supply more, slowing inflation but. creating problems for the future on terms of the gap and the US gold reserves

1970’s - Stagflation

The term "stagflation" means an economic condition of both continuing inflation and stagnant business activity (i.e. recession), together with an increasing unemployment rate. This occurred in the USA in the 1970’s.

This meant:

• High Unemployment

• Slow Economic Growth

Stagflation

- To help the economy, Nixon's government put in place the Tax Reform Act (raised the lowest tax, exempting about 9 million poorer families and increases Social Payments in line with Inflation) in December 1969

- The Economic Stabilization Act in August 1970 (gave Nixon the power to act on wages, prices, and rents and interest rates to Stabilise the economy, also suspended the link of the dollar to gold)

- The Emergency Employment Act in July 1974, which created Community service and therefore mainly tour-paid employment for 2 years and aimed at getting people into permanent work with an especial bias for returning Vietnam Veterans.

- The economic measures above weren't effective Since the government couldn't. cope with the economic problems of the 1970's.

- Which had 3 big economic cuties caused by rising food and fuel prices. Federal spending was very high as it was driven up by linking Social Secarity Ryments and some pensions to the Consumer price Index in 1972 and 1974. The end of the Vietnam war and Saved money that would have been spent on the wary but returning Soldiers added to the unemployment and the drain on social and medical benefits. When the government tried to control the vent economy, they were worried of the publies reaction as is they reacted bully to Sharp increases in inflation, or a Sharp rose in unemployment, the government didn't leave control of the money supply on place. Lonking wayes,
Pensions and benefits to inflation helped those people it affected, but put the government deeper in debt. Many more people were falling deeper into debt or cutting back on their Standards of living to cope with inflation. A reason for this was the Social Security Act in 1972, which was amended tube with the first being to raise
Payments by 20% in line with the inflection, and then to link benefit payments to the Consumer Price Index. Some people failed to cope with credit payments, their homes were repossessed and they became homeless and dependant on government welfare.

3. Carter's economic policies at the end of his presidency were different from Previous policies because in October 1979 Fed put restraints on the increase in the money Supply and in March 1980, announced anti-inflation measures. These measures balanced the budget, reduced defence Spending, created voluntary wage and Price Controls (resident no longer had powers to freeze as under Nixon) and there were also to be significant cuts in Social welfare programmes. These were different since in July 1974, he said the layfest crises. In the nation was faced Wasn't the energy crisis, but a crisis in confidence. He tried to do what Roosevelt did with the fireside chats but didn't have FDR's way with the public and had a history of failing to cope with the economy. As well as this, Americans had Very little confidence that the austerity matures Carter proposed would work, So they were unlikely to Support him when he asked them to cut a standard of loving that they felt had already dropped considerably.

4. Energy problems made economic matters much worse since the 2 fuel crises in the 70's (the 1973 OPEC oil crisis and the May-July 1979 fuel shortages), caused the OPEC to put up prices to 70% until the US and other counties wage Israell to stop the war, had to ration fuel and worries of winter heat Suvel shortages which caused people to stock ple. This all bed to economically disadvantaged people to be more economically worse due to the fricely, and not Like the government due to some believing that they made matters work.

5. Carter tried to address the nation on the situation, but that didn't work due to him saying the biggest crisis uale crisis of confidence, like with FDK, but didn't have the way FOR did with the public and was known not to cope with the economy, making American) have very little contodence that the austerity measures Carter proposed would work. So were unlikely to Support him when he asked them to cut a standard of living that they felt had already dropped Significantly

Consumerism

• Increasing confidence in the economy
  

• Spread of TV ownership
  

• Manufactures
  

• WW2

Effects of the 50’s, 60’s and 70’s for Americans & America

Consumer Society grew after WWII due to a post war economies been and society's need for peacetime goods. Making the American way back into people's mind.

2. TV was impactful since the introduction of electricity in homes led to an cacrease of tv's in homes with 9% of homes in 115% to 95% in 1860. Tv brought entertainment in the homes and meant that families went out less,

3. Businesses created new consumer markets by specificly targeting their customers and extending their range of goods, helped by the developments on the plastic industry, Products aimed at chidren were advertised around children programmes on tv and radio, targeting children for their fit felter-Power" with their parents. This made Dary-Crockett outfits make $loo millionsfer the Cary- any. Women were also targeted for their 'pester-power in major purchases (stom kitchen units to washing machine), although men were targets for car advertisements. Working Women were advertised labour saving devices, whic all women were targeted for everyday domestic Shopping, which made women be able to choose where to Shop, what brand to buy and buy preyrepared meat. and ready mix cakes to save time.

4. Health and Nutrition developed more after with due to people not rationis move and being table to east and drink more than before. They craved the to they had been deprived of during the war: fat, sugar and meat, However, the also ate much more Synthetic food (artificial sweeteners), which meant big bulli For Sweets and Havoured drinks; Coka-Cola made $55.7 million before tu 1950 and $79.1 million in 1959. This all led to the So's being the first here! buy studies into food, drink and smoking and their effects on the body. By early 1960's, there were reports about the health effects of Smoking too much cholesterol in the diet. Women were more likely to feed their hy formula milk, usually the ones with Vitamins added, allowing parents to easily the care of their babies and made it easier to measure their intake

5.Teenage consumption increased due to the consumerism and to evention of certain types of transport, clothing and sports, food and drink and entertainment. In 1959, teenagers spent about lo billion on these goods. For transport (33% of money), it was mainly car-related and in 1959 there were 1.5 million teenage car owners. This was helped by the growing numbers of families trading in the family car sora newer model every few years - there were more second-hand cars for the teanage market.

For Clothing and Sports (24% of money), teen girls meves consumed more clothing and cosmetics than the boys ($20 million on Lipsticks alone), but boys spent More on Sporting equipment and trips to sporting events.

For Food and drink (22% of money), Teens ate and drank a significant outside the home, Teenagers ate about 20% more them adults and, when Rating out, they ate Luge amounts of ice cream and drank a lot of milk, givent a huge boost to the dairy industry. They also ate in the new drive-ins that Produced cheap, sast food,

For entertainment (16% of money), Teens Spent $75 million on records. From the 1950's, filmmakers began to target teen audiences with high school films and a range of cheap horror and Sci-fi movies.

6. From the 1960 census, people were better off in the 60's than the 40's. In 1966, about 62% of people owned their own house & homes compared to the 43.6% in 1940. In 1960, 93% of homes had running water in the house; 86% of all homes had an indoor slushing toilet for their own use, while 85% had a bath or shower. 36.8% of homes Looked with electricity. Only 1.7% of homes had no heating at all, Bredges Freezers were in 18.5% of homes in 1960. About 92% of homes, had at least one radio. Other items and goods in homes included washing Machines (40.3%), telephones (78.5%), TV's (85%) and air-conditioning (1.7%)

How did governments respond to the economic change?

(Eisenhower): In the 1950s the government’s economic strategy was to move from previous thinking (New Deal – spending despite deficit) to focusing on keeping low interest rates – they increased money supply hoping it would keep inflation down.

(Kennedy and Johnson): In the 1960s the government’s economic strategy was to maintain increasing money supply – helped meet welfare costs but gold reserves falling and Vietnam drained resources. Inflation kept rising. They continued to increase money supply. This is the heyday of ‘new economics’.

(Nixon, Ford and Carter): In the 1970s the government’s economic strategy was to control the economy with economic legislation. There was rising unemployment and nervous public reaction. The government was deeper in debt – proposal of massive cuts: anti-inflation measures e.g. social benefit cuts, wage and price controls.

Home Ownership & appliances:

- Running water

- Lighting

- Cooking

- Heating

- Refrigeration

- Radios

20’s:

• 6.7m owned homes, 12.9m rented.

40’s:

• 15.2m owned homes, 19.6m rented, 78.7% homes had electric light.

• 26.6% - no toilets, 59.7%-indoor flushing.

• Of these homes, 69.4% had running water and 56.2% had a TV & 56.2%
  had a bath or shower.
  

• 78.7% had electric light, 20.2% used oil lamps, Rest used gas candles

• 48.8% cooked by gas and 5.4% by electricity, 0.4% had no cooking

• 42% had central heating, 11.3% had none

• 44.1% had electric fridge, 27.4% had ice box 82.8% owned a radio

50’s:

• Women bought more food, drink and domestic supplies than ever before.

• By 1960, toy consumption & TV ownership increased

• 9% of homes had a TV in 1950

Spending Money:

• Income

• Food

• Entertainment

20’s:

• Shopping started to move towards chain stores (21.9% of all goods sold in USA by 1929)rather than local.

• 23.9% was spent on food (income) ,13.4% of their food spending was on eating out.
  

• By 1933, they were spending 25.9% of income on food but 12.9% on eating out.
  

• Doomed during this period, FDR set up the Rural Electrification Aministration in 1935 to get electricity (many appliances needed) elect to nyai areas.

• In 1939 alone, the REA ran over 100,000 miles of new power lines

40’s:

• More money spend on eating out (was 12.9% of 25.9% of money spent on food – now was 15.1% of 21.1% of spending of income on food.)

• WW2: patriotic to ‘scrimp and save’ – rationing.

• 21.1% of income was spent on food, 15.1% was spent eating out
  

• By 1940, newly electrified homes were buying almost as many electrical appliances as more long established ones and they were buying the same things
  

• In 1940, over 80% of homes with electricity had an iron and a radio and over 50% had a washing machine, a fridge and a toaster

50’s:

• ‘Consumer boom’. ‘New and improved’ products – not as sturdy as old:

• TV adverts. TV dinners.

• Advertising: pester-power – children (toys) women (kitchens)

Other:

• Health

• Education

20’s:

• Nations health was improving

• Death rates for diphtheria, smallpox, tuberculosis, whooping lough and polio all dropped steadily except a rise in the 1930's due to the bills.

• Government invested more in providing free healthcare for those who couldn't afford of

• By 1930, Spending had reached $11 mill

• 1929-51.5%% went School, 8.5 %% were working labour in 1920

40’s:

• By 1940, $32, 700,000 was spent on healthcare.

• In 1940, 70% of students went School

50’s:

More synthetic foods – Coca Cola. Ate less healthy food.

Economic divisions:

• During the 1960s, the gap between rich and poor became more marked
  

• In 1949, the richest 1% of population controlled 20.8% of wealth, by 1956 it was 26%
  

• In 1978, the CEO of a company earned $373,000, the average production worker would earn $12,962
  

• This was even more pronounced in the non-white community.

Kennedy's 'New Frontier

Problems JFK identifies in his “New Frontier":

• Unknown opportunities and perils

• Unfilled hopes and unfilled threats.

Aims:

• Free medical care for the old

• More federal money for education and housing

• Increased unemployment and social security benefits

• A Peace Corps where young Americans went abroad to help the poorer countries of the world.

Successes:

• Social security was extended to each child whose father was unemployed

• The minimum wage was raised from $1 to $1.25 an hour

• Federal loans were given to low income families

Failures:

• Medicare (free medical treatment) was thrown out by Congress.

• Unemployment, at 4.5 million in 1963 was only 1 million lower than when he became President.

Lyndon B. Johnson

• LBJ started his career as a school teacher in Texas in the 1930s

• He taught mostly Mexican-Americans

• Similar status to blacks in the South

• Segregation: schools, facilities, neighbourhoods

• Worked for whites in low-paying jobs

• LBJ remembered his first-hand experience of poverty and racism

• Saw his role in uplifting the poor as the real goal of his presidency

• Upon taking office, Johnson, launched an ambitious slate of progressive reforms aimed at alleviating poverty and creating what he called a “Great Society” for all Americans.

• Many of the programs he introduced–including Medicare and Head Start–made a lasting impact in the areas of health, education, urban renewal, conservation and civil rights.

• Despite his impressive domestic achievements, however, Johnson’s legacy was equally defined by his failure to lead the nation out of the quagmire of the Vietnam War (1954-75).

LBJ and his “Great Society"

The Great Society was infpired by FDR and the New Deal-Johnson had worked on the NYA (National Youth Administration)

LBJ was able to do so much because:

1. “Landslide Lyndon": 1964 election Swept Democrats into majority in both houses, enormous mandate for LBJ (61% pop. Vote)

2. JFK's Legacy and assassination.

Economic Divisions in the 60’s/70’s:

• In 1978, the CEO of a company earned $373,000, the average production worker would earn $12,962.

This was even more pronounced in the non-white community since

- It was harder for non-White Americans to get hired and, if they were, they were automatically paid less than a white colleague for doing the same job

- In 1960, the average income for a white family was $5,835, while the average income for a black family was $3,250

- They were often seen as chosen by their race, rather than skills.

The 3 Keys

CIVIL RIGHTS

• Civil Rights Act was established in 1964, allowing people of all races to have equality and the same rights as everyone else.
  

• Voting Rights Act, stopped all discrimination against races and it allowed anyone the right to vote and to have a fair vote system. 1965

Anti-Poverty Measures

• Voting Rights Act in 1965

• Medicare
  

• Put the less Wealthy into the spotlight in media - making people be able to connect and fish for more funds in the lower class
  

• Provided Scholarships, apprenticeships and other programs to allow anyone into college, no matter how wealthy the family is
  

• Job core; offered work for young men and women in the inner cities and other impoverished areas
  

• Before LBJ presidency, Poverty was at 20% and left with it being 13%. He announced a war on Poverty
  

• Headstart School program-allowed children to have a year experience at School (Kindergarten) and learn

STIMULATION

• The First Lady created schemes and programs in 1964-1965 to allow the protection of nature, the air quality and created themes to promote wildlife

• Jobcore and other work principles,

Other Anti-Poverty Measures, 1961-1970

21st January 1961 - Kennedy issues an executive order that the food made available to people in areas of chronic unemployment (usually agricultural surplus in the area) should be of a more varied type (to satisfy nutritional needs) and greater quantity

30th June 1961 Housing Act - Extended funding (over $3 billion) for urban renewal, low-income housing and low-interest loans for housing

15th March 1962, Manpower Development and Training Act - Sets up work things
Programmes for the unemployed.

29th August 1966, Economic opportunity Act - Creates the Office of Economic Opportunity and gives it $947.7 million to fund projects in "pockets of poverty” these set up: training and work schemes for the unemployed young, basic adult education; over 1,000 Community Action Programs (CAPS), based in deprived areas working with local volunteers to improve them; it also provides help from rural areas.

31st August 1964, Food Stamp Act - Sets up a pilot food Stamp System: People could exchange the Stamps for food; this was expanded in 1974 to reach 15 million people.

30th July 1965, Medicare Act - Takes a small contribution from people's Social security payments and guarantees them free medical care in old age, it also sets up Medicaid which provides free medical care to those on welfare.

11th October 1966, Child Nutrition Act - Funds Schools that can't provide Lunches because of lack of cooking and eating equipment, extends lunc pProvision to preschools; starts a breakfast programmes for schools in deprived areas; extends the provision of free School milk

Effects On The Actions That Took Place In The 60’s

• By the end of the 60's, growing criticism was around the “Great Society" programmes since they weren't helping people out of poverty but encouraged them to stay on welfare

• Criticism was mainly vindictive against non-white single parents, as having babies for welfare, and young black men since they were seen as the driveway force behind the Inner-city riots in the late 60's

• Critics also pointed out that all the CAP's were set up by and for non-whites

Nixon

• When Nixon came to power in 1961, he shifted the focus of federal aid to the working poor, the old, children and people with disabilities, all of them recieved extra aid.
  

• In his first year, he set about dismantling the Office of Economic Opportunity which was a long process due to many programmes being funded for several years.

• When their funding expired, it wasn't replaced and many local groups couldn't find enough local support to keep going
  

• While not in favour of OEO policies, Nixon Passed anti-Poverty legislation, enlarging the food stamp programme and making federal government administer it
  

• It became more efficient and was a real benefit for those relying on Stamps.
  

• Nixon Linked Social Security Payments to inflation, this meant that the buying power of benefit payments stayed at the same level, rather than falling with inflation

• To encourage the fear to find work, Nixon emphasised "Workfare" not "welfare"

• His Earned Income Tax Credit gave working poor with children up to $400 a year, linked to their earning in the year.
  

• However, this only helped those who could find work, and finding work was a problem for many.
  

• The Nixon administration set up family planning advice and resources for the poor. However, this relied on people wanting smaller families and using the contraception provided

• Nixon also cut Welfare benefits while seeming not to. For example, in the Family Assisstance Plan of 1970, he rationalised welfare benefits box combining them. However, the sum of the benefits he combined was often greater than the revised benefit
  

• This meant those claiming benefits lost out-losing the advantage that linking benefits to inflation had given them.
  

• There was growing public support for reducing welfare payments, Nixon had tried to replace the Great Society with a work-focused welfare programme.

Carter

• When Carter was elected in 1976, he told his administration to work out a plan to help both W=working and non-working poor, without raising budget costs.

• This wasn't possible and even a much reduced plan didn't get through Congress, Yet Some reforms were passed.
  

• In 1978, the National Consumer Cooperative Bank was set up, to give low- interest ;oans to cooperative organisations, largely on urban areas.

• It lent money to small local groups who would otherwise have trouble putting the money to start businesses or buy homes.
  

• As such, it helped the working poor to improve their position, but it didn't help the very poorest. This bank began work in 1980 with a $184 million budget
  

• The Rural Development Loan Fund was set up just before Carter's defeat in the 1981 election. It extended Various forms of help available to sarmers by goveny low-interest beans to rural communities to provide electrification, clinic), Sarm equipment for communal use-whatever was needed
  only
  

• This only helped the working poor and other in areas that recieved grants from the fund. But, there were many communities that benefited from both projects

• In the last 2 years of his administration, Carter tried a new tactic which would be introducing tax cuts, hoping they would help the economy where trying to manipulate the money supply had failed
  

• His measures may have worked, but the public had lost hope and confidence in his administration and him as president.

• Although he was honest, unlike Nixon, The seemed less and less competent as his term wore on and he was very unpopular in Congress
  

• This was exploited by his opponent in the 1980 election and later president of the US, Ronald Reagan.

Leisure in the 1920’s

• After a short period of rest after WW1, many workers settled into jobs with shorter hours and a higher hourly rate than pre-war jobs, giving them a significant amount of leisure time.
  

• It wasn't until 1938 that the Fair Labor Standards Act made a 40-hour Week (usually eight hours, five days a week) a legal maximum. It also set a minimum wage and overtime races.
  

• In 1920, there were still many people who had very little leisure time, working long hours or sometimes, doing more than one job.
  

• Many more were unemployed, especially in farming and industries such as the Coal Industry (which was declining due to growth of electric power). However, there were enough people with increased leisure time to create a growing leisure industry
  

• During the 1920's-1930's, many people had very little leisure time and it was mainly a benefit for the middle class and better off working classes.
  

• Most poor people still worked long hours is they had a job at all. Working or not, they had little money to spare

The Leisure Industry, How and Why did it develop in the 20's/30's?

• In the early 1920's sport became a very important part of the lives of many Americans. With the increase in prosperity in the USA, people had greater disparable incomes.

• They increase were able to now afford event tickets and watch more sport, but because of an increase in the amount of leisure time, people could also participate in it too
  

• Attending sport fixtures was also made easier by the production of cheap cars which many families owned. Meaning, they were able to travel to events, play games and visit friends and family for gatherings based around sport
  

• Sporting events was also easier to follow by the radio, something that only recently became available to everyday Americans. This made games that were only to be watched by the lucky few before, to now be in the homes of people across the country. As a result athletes became recognisable and the American Sporting heroes grew
  

• Following the footsteps of their heroes also led to further participation in sport by the public and so city councils built many more facilities for people to use.

• Huge new Stadiums were also built for sport teams to compete in that could hold the huge crowds
  

• Movie theatres and theatres also Sprang up in and around cities and towns.
  

• Eating out also became a leisure activity, as well as the illegal speakersies where people could gamble and drink
  

• The amount of choice available varied from place to place, not just in terms of the size of a town but also where it was in the country. E.g cinemas by the 1930S
  

• New York had several movie theatres ranging from small 50 seaters on black areas to luxurious 5,000 Seaters. Other areas of the country were less well served with North Carolina having 3 towns and cities with more than one
  Cinema
  

• In the South, Cinemas were segregated with blacks only being allowed on the balcony, unless the town or city had more than one cinema.

• The popularity of the movies led to an employment boom for workers in the movie industry, the building Industry and the service industries

Cars and other Amusements:

• Growing car ownership and better road systems meant people could get to National Parks to hike and Camp.
  

• National Parks provided a life back to nature experience, They had camping grounds, hiking trails and Park Rangers

• For days out, rather than longer holidays, a growing number of amusement parks competed to give people the most fun and exhilarating experience. Kiddie Parks were also created for smaller, younger children as well as more daring rides for those who were older
  

• For leisure at home, the radio industry grew rapidly as well as the book market, mainly due to the arrival of cheap paperbacks in the late 1920's. In 1929, book Sales were $117 million; by 1939, they had fallen to $74 million due to the depression

Sporting Stars:

• Babe Ruth, Yankees baseball star player, was such a draw that his salary rose from $20,000 to $80,000 in 1930 a year. He became an example on how sport can affect people's lives, the same way as movie stars
  

• Ruth's background meant that, without his success in baseball, he couldn't have expected to earn as much a year than his lowest salary in baseball.

Impact of WWII

• Helped pull the USA out of depression, but also meant that leisure time became less important.

• Significant restrictions were placed on Leisure during the War (e.g night time baseball games were stopped)
  

• Roosevelt tad national teams to keep playing for so long as they weren't called up for National Service
  

• Travelling to games became more difficult with war time restrictions in place.
  

• While the men were away sighting a greater number of Women's teams were formed.

The Leisure Industry, 1945-1980:

• Leisure opportunities developed in the 1950's and 1960's since people most working Americans had more time and money to spend on leisure, due to paid holiday 40 hour working weeks and wage regulation boosting this leisure time and spending Power.

• White Collar workers and married women working (40%) also increased during this time and thus, raised the family income.
  

• The baby boom, the emergence of Suburbs and Shopping malls added to leisure Pursuit. The baby boom meant that family leisure activities became increasingly popular and theme and water parks sprang up across the country.

• The suburbs sprouted family entertainment facilities such as bowling alleys, golf courses and Tennis Courts.

• Shopping became a leisure activity; people would go to large shopping malls for a day out, browsing the shops, spending money and eating.
  

• In the 1980's, Computing was a limited leisure activity since computers at the time were expensive, slow and needed to be self-Programmed. People also had to learn a computer language program called BASIC before they could even use it. Middle-class families or those better off usually only had them.
  

• Spectator sports developed after
  WWII since football and baseball leagues went South and West, with new Stadiums being built for larger audiences.

• TV Companies spent a lot of money on the rights to televise sport. In the 1940's, baseball TV rights were selling for about & $1,000 a game, by the 80's a vast range of sports televised were now not from big stadiums. This dropped sports attendance, which got worse in the 70's.

• Sport Sponsors helped raise audience numbers by corporate entertainment, family days and other special offers, which worked out in the end. The working-class and peer families who had a TV could be able to watch the games for free and as techniques improved, with better view instead of paying for a seat.

Knock on Effects Of The Car Culture

• Industrial Effects:

• Associated Supplies:

• Roads:

• Mobility

• Shopping.

• Tourism

Industrial Effects

• Once there was a significant market for cars in the early years of the Car Industry

• Car factories expanded and employed more workers. They also started producing spare parts.
  

• The industries that produced raw materials for cars (steel, rubber glass, leather) also increased production and employed more workers
  

• The need for workers pushed wages up and car prices went down. This meant more people could afford them, so demands increased

Associated Supplies

• Cars needed petrol and mechanics to maintain them. In 1929, there were 121,500 filling Stations that made $1,800 million that year in petrol sales.

• By 1967, there were 216,000 filling Stations that made $22,709 Million
  that year.

• Meanwhile, car mechanics' workshops and car dealerships sprang up along the rods, often with filling Stations attached

Roads

• Roads were improved and expanded. In 1917, the USA had 2,125,000 miles of public road, in 1980, there were 3,860,000 of public road.
  

• In 1960, 21.5% of people in the census had no car, by 1980, it was 12.1%

Mobility

• People could travel more widely once car ownership grew and there were more roads.
  

• Diners and motel's Sprang up along the growing number of roads and by 1958, there were about $6,000 motels and they made $850 million a year.
  

• National travel was possible before the car boom by utilising trains, the only drawback was that the trains didn't always take people exactly where they wanted to go
  

• Cars helped people travel further, faster and more cheaply. This led to a huse rise in the number of travelling Salesmen, who worked over larger area. This helped manufacturers of all kinds of goods to reach a greater number of Customers and made door-to-door deliveries by lorry easier too, rather than relying on goods trains.
  

• The car and removal truck also made it easier to move home.

Shopping

• The car allowed for the development of Shopping malls
  

• Southdale, Minneapoles, which of thed in 1956, was the world's first Covered AC'd mall, having a wide range of Shops and services.
  

• People were able to buy a book, buy clothes, furniture, have a meal and get their hair cut
  

• Once there was one mall, they increased in the state dramatically. Between 1960-1980, about 30,000 Malls were built, the averige size of them growing each year

Entertainment

• In the 50's and 60's, there were a growing number of national drive-in restaurant chains, as well as fast food chains
  

• Drive in restaurants catered to families. People didn't have to dress up, as at a more conventional restaurant. They were often play areas for children and the food was child friendly.
  

• There were also drive-in movie theatres, where people watched movies in their cars. They were very popular with young people and usually showed low-budget movies for teen-audiences, with some also providing food.
  

• By 1954, there were 3,800 drive-ins Making 16% of all the cinema box office receipts. drive-in movies did well even though the industry as a whole was losing out to tv.
  

• Weekly Cinema attendance sources overall fell from to 40 million in 1960 to 19.7 million in 1980. There were disadvantages, mainly the climate since drive-ins thrived more in places where it was dry and warm most of the year, like California

Tourism

• The car and the expanding road system was vital to the development of the tourism industry within the USA.

• People could make trips to major cities, go to big attractions like Disneyland, go hiking and camping in national parks and move.

• No matter what they wanted to do, someone, somewhere would provide what they wanted.
  

• Following this was the growth of hotel, motel and restaurant chains in tourist areas. People began to look for their favourite motels and diners like Denny's and Waffle House.

A Car & Year

• By the 1950’s, the American Dream was about new car ownership.

• The manufacturers’ aim was to move people to buy a new car each year and began to release new models el year with different colours and Shapes, different accessories and new and improved pertomance.

• This led to cars to increasing in the streets and per household.

Cars/Public Transport & Their Issues

• In the 1950s, the manufacturers aims were to make people buy a new year by year by introducing new models each year, these models would have different sizes and Shapes, different accessories and new and improved car performance
  

• As car culture expandedy life got harder for the poorer Americans Since they couldn't afford a cheap car and all the non-car transport shrank over time
  

• Rail travel did have problems due to the system only having fast trains from city to city, getting Somewhere rual on the railway network, could be. time-consuming and it was expensive, so it wasn't an option for the poor.
  

• Bus travel also had problems fonce the conditions were crowded, the buses themselves were slow and their only passengers were non-drivers or people who couldn't afford a car.
  

• By the 70's, problems emerged in cities as they had too many cars,
  driving to be slow, Pollution to rise and Protests against the Pollution rising as well.

• The two fuel crises in the 70's led to suel rationing, rising prices, long quelles for fuel and sometimes fights at the pump.

• All this bad to these crises led to the price for fuel to never reach where they were before, meaning people on the bottom of the car owning chain were back to public transport.

Air Travel

• Commercial flying was limited before 1925 since the planes weren't as developed. Seaplanes existed but costed $5 a person for a 1 person flight which would be short (less than 25 minutes) but had unpressurised cabins so planes where banned from flying higher than 10,000 feet due to passengers becoming dizzy or fainted. People were also afraid with the idea of flying
  

• Commercial flying began to expand in the 20's due to the Kelly Act in 1925, which laid out national routes for mail delivery and had many companies that were contracted for this put in seats for passengers. As people began to travel more on mail planes, more people took to flying
  

• There was an expansion of air travel after WW2 since jet engines had been invented and radar had been discovered to help pilots see "blind' in bad weather. The tanker planes used for bombers were repurposed to became the first US Passenger jet, the Boeing 707, which could carry 181 passengers with a top speed of 550 MPH

• Money was put into air travel due to the Cold War. These planes would fly people faster and to the airline network grew rapidly. The 1956 Grand Canyon crash that had two passenger planes crash into each other led to the cration of the Federal Aviation Administration, which ran the air control traffic system and manage the needs of all the airlines.
  

• Air travel had benefits such as the increase in air traffic and falling ticket prices allowing middle-class professionals could fly regularly, as well as the wealthy journeys that took days by car would now take hours and people ate and slept in these flights. People were able to take Jobs farther away and commute to them by Plane. International travel became more popular with the number of foreign tourists entering the US increased.

• From 1978, the Airline Deregulation Act run down the Civil Aeronautics Board (closed in 1984) ended federal government control over various arlines, including ticket pricing, routes, buyouts and mergers.

• While the CAB controlled the pricing and routes served, airlines had to compete in the service they provided (quality of food etc.) and how often they fly. This led to many planes fying half full in order to offer a large number of flights a day.
  

• The positives that came out of this deregulation was airlines being able to lower their prices and cut services, flew planes with cheaper seats and still made money, organise their own router and equipment.

• New low-cost airlines could be set up in Competition with the established airlines, helping to pull ticket prices down Still after 1980
  

• Possible problems could include more accidents due to the increasing amount of planes in the Sky and the plane companies who were developed could be greedy with their money and cause problems.

Effects of Other Modes Of Transport Due To Air Travel

• The car, the bus, the truck and the airplane book over much of the passenger and freight service, railroads, which had dominated the economy of the nation, fell into desperate straits.

• Mileage declined by 17,000 and many parts of the nation which were well served by the Railroads in 1840, were isolated by 1960.

• The railroad companies had once fought for Federal intervention, now appealed almost desperately for aid from Washington

• The Federal Government, which had once drowned on combinations as "Conspiracies in restraint of trade'“, now encouraged mergers.
  

• The 1950's was a time when it looked as it everyone was achtering the American Dream, due to the fact that everyone wanted the goods they couldn't have during WW2