Canada and a Roaring Economy

1. Canada and a Roaring Economy Canadian History

2. Overview • The Roaring Twenties saw boom times in Canada. Unemployment was low; earnings for individuals and companies were high. • Greater disposable income meant a consumer society was being born. • Labourers were also thrust to the forefront of social change because of terrible working conditions.

3. Whimper before the Boom • During the war Canada's resource industries and manufacturing industries operated at full capacity, even contributing to the war effort. • The 1920s started with a short economic ‘whimper’. Industries that produced war materials had to stop production while they change their equipment and material for peacetime production.

4. Boom in Old and New Industry • By 1923-24 the economic slump that followed the First World War was over. • World economies had improved and countries were buying Canadian goods. • Demand for Canadian wheat reached record levels in the 1920s. • Domestic and foreign industrial demand for iron ore, nickel, zinc and copper caused a mining boom.

5. Growth in Industry • The Canadian pulp and paper industry expanded rapidly during the 1920s. • Demand was huge in the American market. • During the 1920s Canada exported more pulpwood and newsprint than the rest of the world combined.

6. Automobiles • Automobile production grew from a small industry to become the fourth largest manufacturing industry in Canada. • Production of new household products also increased. • Radios, record players as well as other labour saving electrical appliances.

7. Tariffs • Tariff: Tax on foreign goods being imported. • The federal government introduced tariffs to protect Canada’s manufacturing and industrial base. • Example: US made farm machinery was taxed so that it was more expensive than Canadian-made farm machinery. • What did this do for Canadian companies?

8. Drastic Change • Economic prosperity and new technological developments brought about enormous change. • Many people moved into the cities to work in factories or in service industries like transportation, finance, public administration, and hospitality.

9. Changes…. • Wages were rising for many people and for the first time people could buy stuff on an installment plan. • Beginning of a debt society. • Workers had more income......what does this mean?

10. Canada becomes a Consumer Society • Along with the 1920s came with a number of consumer products that many Canadian families ‘had’ to have. • Mass Media was introduced in the 1920s, in fact, by 1929 there were 300,000 radios in Canada, up from fewer then 10,000 radios in 1924 (beginning of boom) • Mass media = Mass Advertising

11. Don’t Worry - Shop • Mass advertising along with job security and higher incomes meant that they could spend money on things other then the basic necessities. • There was more ‘disposable’ income.

12. Advertising • Advertisers made luxury items seem like necessities to hundreds of thousands of Canadians. • There was an astounding range of household goods made available by places like EATONS.

13. Advertising • EATONS catalogue was a central feature in every Canadian household.

14. Miracles • Automatic washing machines, hand operated washing machines, electric irons, electric toaster, electric stoves, vaccuum cleaners and sewing machines. • Why did people want to buy things like this?

15. The Biggest Consumer Item • The top consumer item was the automobile. • In 1923, a person could pay $445.00 a month for a Ford. Two years later a person could buy one for $424.00 a month. For slightly less you could get a number of options: a spare tire, speedometer, and lights. • Buying it was made easier by the introduction of mass production plants.

16. Automobiles • By 1928 there were many other automobile plants in Canada and the United States. • Canadians could shop around, they could buy a Chevrolet or Pontiac. • By 1929 a large percent of Canadians owned cars, in fact over 10 years it had increased 300%.

17. What did the automobile do for Canadians? • Before the 1920s only the rich could travel Canada. • After the early twenties the average Canadian could. • Canadians went on Sunday family drives.

18. The Radio and the Family • Radio was a way for families to spend time with on another. • The entire family would huddle around a radio set and listen to their favourite weekly shows of music, comedy, soap opera, education, news and preaching.

19. Conclusion • The economic boom made life easier for many Canadians and in some ways it brought families together.