1920s us economic boom Flashcards
(24 cards)
Term
Definition
What is an economic boom?
A period of rapid economic growth and prosperity within a country.
When did the USA experience a significant economic boom?
In the 1920s, following the First World War.
How did the economic boom impact the USA in the 1920s?
It led to a rising standard of living, urbanisation, and the emergence of a modern consumer culture.
What transformed daily life for many US citizens during the boom?
The widespread availability of consumer technology and products.
How did WWI help the US economy?
The US loaned money to Allies, avoided destruction at home, and sold goods to rebuild Europe post-war.
How much did the UK repay to the USA after WWI?
$7.5 billion.
Why didn’t many Americans want to join WWI?
They were isolationists and feared casualties, costs, and foreign entanglements.
Who campaigned against US involvement in international affairs after WWI?
Warren Harding, with the slogan “America First”.
What is mass production?
A method of producing goods quickly using machines and an assembly line.
Which industry pioneered mass production in the 1920s?
The car industry, especially Ford.
What was Henry Ford’s innovation in 1913?
The moving assembly line for the Model T.
How often was a new Model T produced in the 1920s?
Every ten seconds.
How did mass production affect the US economy?
It made goods cheaper, boosted related industries, and led to urban and suburban development.
How many cars were there in the USA by 1929?
23 million.
What helped create a consumer culture in the 1920s?
Mass production, widespread advertising, and new shopping methods.
Name some media used for advertising in the 1920s.
Radio, cinema, newspapers, magazines, and billboards.
What did the increase in advertising cause?
A rise in demand, mass production, and a cycle of prosperity.
What is hire-purchase?
Buying goods on credit and paying in instalments.
How did hire-purchase schemes contribute to the boom?
They allowed people to buy more goods, boosting production and profits.
What economic policies did Republicans support in the 1920s?
Tax cuts, laissez-faire governance, and tariffs on foreign goods.
What was the Fordney-McCumber Tariff?
A 1922 law placing tariffs on foreign goods to protect US industries.
Why did confidence help fuel the boom?
People invested in stocks, made profits, and reinvested or spent money, boosting the economy.
What does ‘buying shares on the margin’ mean?
Buying stocks with borrowed money due to low interest rates.
