Chapter 19 Section 2 Notes The American Dream of the 1950s

What is it? Happily married couple Happily married couple –male = white collar “breadwinner” –female = “homemaker” 2 – 3 kids with a dog 2 – 3 kids with a dog New family car New family car live in suburbs live in suburbs Was this achieved by most Americans? Was this achieved by most Americans? –NO! But a lot of people wanted it. In many cases, they still do. In many cases, they still do.

The Changing Work Force in the 1950s fewer blue collar jobs fewer blue collar jobs –manual labor Anything Industrial Anything Industrial Construction Construction Mining Mining Railroads Railroads –typically lower pay more white collar jobs more white collar jobs –Management & Office type positions Communications Communications Insurance Insurance Sales Sales Advertising Advertising –wear a tie to work –typically higher pay WHY? = AUTOMATION WHY? = AUTOMATION

The Typical White – Collar Employee someone that “fits in” someone that “fits in” –teamwork, cooperation, loyalty are valued –Conformity to existing procedures Creativity is generally frowned upon Creativity is generally frowned upon –Individuality and questioning authority could get you fired could get you fired William Whyte’s The Organization Man William Whyte’s The Organization Man –Book that describes how successful companies became this way companies became this way

Business Expansion during the 1950s Successful American companies become bigger Successful American companies become bigger Corporation Corporation –A business organization owned by a group of stockholders, each of whom enjoys limited liability (that is, each can be held responsible for losses only up to the limit of his or her investment). stockholders limited liabilityinvestmentstockholders limited liabilityinvestment –A corporation has the ability to raise $$$ by selling stock to the public. stock –By 1960, The Top 600 U.S. Corporations (½ % of all American companies) accounted for over 50% of all American Business Income.

3 Ways Corporations Get Big 1. Conglomerate 1. Conglomerate –One company with several unrelated businesses. –Example = General Electric Appliances Appliances Light bulbs Light bulbs Health Care Equipment Health Care Equipment Aircraft Engines Aircraft Engines

5 Major Conglomerates Today

2. Multinationals 2. Multinationals –Sell stuff to and operate in more than one country. After WWII, more U.S. companies do this due to improvements in transportation and communication as well as increased interest in American products After WWII, more U.S. companies do this due to improvements in transportation and communication as well as increased interest in American products

McDonald’s currently Operates in over 120 Different Countries

3. Franchises 3. Franchises –a corporation granting a license to an individual or group to market its products or services at a specific location. –Most Popular Types Fast Food Fast Food Gas Stations Gas Stations

What company made franchising popular? What company made franchising popular? –McDonalds Ray Kroc Ray Kroc –Bought the company from the McDonald’s brothers for $2.7 million in 1961 –Began to license out franchises to interested businesspeople –Today… most of McDonalds 35,000 restaurants are franchises

What allows businesses to get big? Consumerism Consumerism –Businesses encouraging people to go out and buy stuff How? How? –Planned Obsolescence Businesses selling people something, knowing that it will become outdated in very little time Businesses selling people something, knowing that it will become outdated in very little time –Advertising through all forms of media (radio, TV, print media, billboards) Convincing people that they needed the newest products Convincing people that they needed the newest products –Making credit easy to get (borrowing $$$ to buy stuff) Installment plans directly with a business Installment plans directly with a business Credit Cards (1 st one – Diner’s Club – 1950) Credit Cards (1 st one – Diner’s Club – 1950)

(1945 – 1964) A Growing Population – “The Baby Boom” (1945 – 1964) birth rate in U.S. increases due to birth rate in U.S. increases due to –married couples anxious to “reunite” after the war –an increase in marriages before and after WWII –a generally good economy = more kids –better medical practices = more live births effects of the Baby Boom at that time effects of the Baby Boom at that time –greater demand for toys –more schools built –more teachers needed –Market products for “teenagers” 1 st time word used = mid 1950s 1 st time word used = mid 1950s –Suburbs grow (no space in cities) Effects of the Baby Boom now Effects of the Baby Boom now –Health Care needs –Retirement demands 1 st one founded In 1948

2 Important Doctors Dr. Jonas Salk Dr. Jonas Salk –developed polio vaccine Dr. Benjamin Spock Dr. Benjamin Spock –Wrote Common Sense Book of Baby and Child Care No spanking (time outs instead) No spanking (time outs instead) Mothers should stay home with kids Mothers should stay home with kids

Women’s Role in Society Homemaker and Child Care Provider at 1 st Homemaker and Child Care Provider at 1 st By late 1950’s, 40% of women with kids in school work outside of home By late 1950’s, 40% of women with kids in school work outside of home –Get paid less for same work as men –Limited job opportunities nursing, teaching, secretarial nursing, teaching, secretarial No white – collar office careers No white – collar office careers

Increased Leisure Time in the 1950’s Why? Why? –greater productivity = lower hrs worked (40 hrs a week) –improved technology = decreased the amount of time needed to do daily things Drive Drive Do all kinds of housework Do all kinds of housework activities people engaged in activities people engaged in –sports (watching and playing) –reading (adults and kids) –Various hobbies

Automobiles after WWII Several incentives to buy at least 1 new car Several incentives to buy at least 1 new car –New models go faster, looked nicer Most cars from the 30s were outdated Most cars from the 30s were outdated Companies didn’t sell cars during WWII Companies didn’t sell cars during WWII –Lower gas prices –Cars affordable due to easy credit –Suburb life = you needed a car Very little public transportation offered Very little public transportation offered People needed to drive to work in cities People needed to drive to work in cities People needed to get to stores People needed to get to stores Bottom line – more cars! Bottom line – more cars! –Registered cars in 1945 = 25 million –Registered cars in 1960 = 60 million

Interstate Highway Act (1956) created over 40,000 miles of expressways (took 35 yrs to finish) created over 40,000 miles of expressways (took 35 yrs to finish) Positives Positives –Sped up development of suburbs –Made transportation quicker –trucking products (less railroads) –Created many new jobs Restaurants, motels, shopping malls, etc… Restaurants, motels, shopping malls, etc… –Made it easier to vacation Negatives (?) Negatives (?) –Did some areas “lose their identity”? –Environmental issues –Deadlier auto accidents –increased stress (traffic) –“White Flight” (Sect. 4)