Here’s your revised and organized notes:
⸻
Main Causes of the Boom
WWI
• Took place 1914-1918.
• America joined in 1917.
• Sold products to Britain and allies throughout the war.
• Loaned money to Britain and allies, which was later used to buy war supplies from the USA.
• America took over production due to disruptions in Europe.
• No post-war destruction in the USA.
• More jobs for soldiers when they returned.
Government Policies
• Republican government helped businesses.
• Fordney-McCumber Tariff Act: Placed a tariff on goods imported from abroad.
• Encouraged Americans to purchase American goods.
• Tax cuts for the rich so more jobs could be created.
• More money to buy consumer goods.
New Ways to Buy and Sell
• Advertising: billboards, magazines, newspapers.
• Catalogs: people living in rural America could buy consumer goods.
• Hire purchase plan: Spread out costs over a long period of time.
Consumer Society
• Americans became obsessed with buying things.
• Advertisements encouraged people to spend their paychecks on new items, boosting the economy.
• Benefited wealthier people, as they had more access to electrical products.
Mass Production
• Goods were not made by a single person but by many people on a conveyor line.
• Ford invented it in 1913 to make his Model T car, which got cheaper every year.
• 1925 price of the car: $290 (instead of the earlier $850).
• Meant employees had to be trained for only one job on the line.
• Goods were produced quickly and in bulk, making them cheaper and increasing profits.
• Business owners benefited as they could mass-produce products faster and in better working conditions.
⸻
How Were Their Lives Affected?
Factory Workers (Cotton & Wool)
• Did not benefit.
• Less demand for their products due to man-made fibers such as rayon.
• Fashion used less fabric.
• Prices fell, factories closed, and people were laid off.
• Economic effects: drop in employment.
African Americans (Did Not Benefit)
• Sharecroppers had to give a portion of their land as rent.
• Farmers lost out as there was a much lower demand for food after Europe began to redevelop.
• Many Black people without jobs were unable to get new ones due to institutional racism.
• Economic and social disadvantages.
Farmers (Did Not Benefit)
• Europe recovered and didn’t require American crops, leading to high unemployment.
• 600,000 people unemployed.
• High-tech meant more food was produced, lowering production costs but also leading to oversupply.
• Economic struggles as they couldn’t sell goods to Europe, which was self-sufficient.
• Combine harvesters and tractors allowed for greater production but didn’t help struggling farmers.
⸻
This structure makes it easier to follow and connects the causes of the boom with its effects
Flashcard (10)
Studied by 0 people
Note