1 / 34

WARM-UP:

WARM-UP:. The next 3 weeks in a nut-shell. Awesomeness!. 1920s New Industries. CRASH!. Speed Bump 1919. Depression. 1920s Economic Boom!. Main Idea: After some issues in 1919 the U.S. experienced stunning economic growth during the 1920s. 1920s Economic Boom!. Today’s Topics :

zia-velasquez
Download Presentation

WARM-UP:

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. WARM-UP: The next 3 weeks in a nut-shell Awesomeness! 1920s New Industries CRASH! Speed Bump 1919 Depression

  2. 1920s Economic Boom! Main Idea: After some issues in 1919 the U.S. experienced stunning economic growth during the 1920s

  3. 1920s Economic Boom! • Today’s Topics: • 1920s Presidents? Successes, failures? • How did the growing importance of the car and other new industries improve U.S. standard of living? • - Discuss the positive and negative aspects of the 1920s consumer society

  4. 1920s Presidents? Successes, failures?

  5. How did the growing importance of the car and other new industries improve U.S. standard of living? 1920s = Mass Production = BOOM! A.) What system of production leads to mass production? * The assembly line allows for things to be made fast…and cheap * If products are cheap? - then people will buy more of them!

  6. Real Quick Make Two Columns: Column 1 = write down all the materials needed to build a car Column 2 = write down all the companies that deal with anything car related

  7. How did the growing importance of the car and other new industries improve U.S. standard of living? • Henry Ford perfected the assembly line. (cars in the 1920s were extremely affordable) • Paid his workers $5 a day! = better standard of living. • Also, cars = mobility for people = spread culture/travel/enjoy life. • If the car industry fails so would millions of other car-related businesses. Industry #1 CARS

  8. How did the growing importance of the car and other new industries improve U.S. standard of living? • 1920s = development of the Airline Industry • Why is the airline industry good for America? • Jobs, enjoyment, access to other nations/materials. Industry #2 Flight

  9. How did the growing importance of the car and other new industries improve U.S. standard of living? • 1920s = development of the Radio Industry • How is radio important? • Jobs, entertainment, spread culture/news etc. Industry #3 Radio

  10. How did the growing importance of the car and other new industries improve U.S. standard of living? • New Industries lead to New Products…that have to be advertised. • How is advertising important? • Jobs, helps with sales. Etc Industry #4 Advertising

  11. The ad first appeared in 1920’s, with the claim that blamed a woman’s single hood on bad breath!  The sales of Listerine jumped from $100,000 in 1921 to 0ver $4,000,000 in 1927!!!

  12. In order to have a good economy? • You need to people to buy stuff. • People who buy stuff are consumers Three Reasons we had a lot of consumers in the 1920s…

  13. New Industries (cars & radio) = More Jobs 1 Buy, Buy, Buy Consumer Society 1920s Worker Wages Hours 2 New “Cool Products = Increases Demand 3

  14. Positives and Negatives of the 1920s Consumer Society In the 1920s =Strong Consumer Society People start buying on Credit/ Installment Plan Negative? Positive? Credit allowed consumers to buy more stuff 1920s economy was so good people had faith they could pay off debt = theyoverspent DEBT!

  15. Supply-Side Economics Mellon Plan

  16. 1920s BOOM! To BUST Main Idea: The prosperity of the 1920s seemed limitless…but 1929 would change everything for everyone

  17. 1920s BOOM! To BUST Great Short Answer Q: What were the causes of the Great Depression. (5)

  18. Where we are at: Awesomeness! 1920s New Industries CRASH! Speed Bump 1919 Depression

  19. What were the causes of the Great Depression? Election of 1928 Herbert Hoover How do we know him? - Lead the food administration (ration) in WWI “We are nearer to the final triumph over poverty than ever before!...I have no fears for the future of our country. It is bright with hope”

  20. Causes of the Great Depression Cause 1: Overproduction Cause 2: Raised Tariffs Cause 3: Federal Bank = low interest rates Cause 4: Bad Stock Market Investments Cause 5: Banks Closed

  21. What were the causes of the Great Depression? • #1: Overproduction • 1920s: got so good at making stuff = we made too much! • There weren’t enough people to buy all the stuff companies were making. • Supply ____ = prices ____ = profit _____ • causes? • Companies to lay-off workers.

  22. So… I get laid off in the 1920s. How am I going to pay for things? CREDIT or Installment Plans. So basically…I end up in even more debt!

  23. What were the causes of the Great Depression? • #2: High Tariffs  Loss of Foreign Buyer • Hawley-Smoot Tariff = • raised tariffs on foreign goods. • Done to protect American goods…?? • Europe = mad so they raised their tariffs too.

  24. So… I increase the price of foreign goods. Now I can’t afford American goods, nor can I afford European goods. Plus no one in Europe is buying American goods.

  25. 1.) Why is laissez-fair good for economic growth? How is laissez-fair bad for economic growth? 2.) How did the car industry help create an awesome economy in the 1920s? 3.) How did purchasing items on credit effect the consumer society in the 1920s? 4) Why did people start to lose their jobs in the 1920s 5.) Why was the Hawley-Smoot Tariff a cause of the Great Depression?

  26. What were the causes of the Great Depression? • #4: Stock Market Investments & Speculation • How does the stock market work? • Company opens • They allow you to buy stock = your money goes to help company grow • Company does well = you win! Company does bad =

  27. 2.) Stock Market Investments • - Buying on Margin…Margin Call\ • Stock market looked like easy money = more people want to buy into it. • Borrowed money to pay for stocks =buying on margin • - Speculators

  28. What were the causes of the Great Depression? #5: Banks Closed / All Savings Were Lost! -Banks loaned $ to speculators -Banks invested your money into stock market -Bank Runs = no more money

More Related