The Business of America p. 422-427 The Business of America

Objectives Summarize the impact of the automobile and other consumer goods on American life Explain how prosperity affected different groups of Americans Explain in what ways the country’s prosperity was superficial

American Industries Flourish Calvin Coolidge “The chief business of the American people is business…. The man who builds a factory builds a temple….. The man who works there worships there.” Followed a policy of “Laissez-Faire” Kept taxes downs to keep profits up High tariffs continued to help American manufacturing

American Industries Flourish The Impact of the Automobile Cultural Changes Garages Gas/repair stations Motels Tourism Literal change of the American landscape Route 66 Chicago to California

American Industries Flourish The Impact of the Automobile (cont.) Liberation of the American Family Urban Sprawl The unplanned and uncontrolled spreading of cities into surrounding regions 1920s - 80% of all registers cars were in the US 1 car for every 5 people

American Industries Flourish The Young Airplane Industry U.S. Mail Weather Forecasting Transatlantic Flights Charles Lindbergh Amelia Earhart Pan American Airway 1927 – 1st transatlantic passenger flight

America’s Standard of Living Refrigerators Cooking ranges Toasters Washing machine Vacuum cleaner Sewing machine Electrical Conveniences Percentage Increase 1899-1929 – 331% Percentage of American Industries powered by electricity 1929 – 50%

A Superficial Prosperity Producing Great Quantities of Goods Buying Goods on Credit Americans believed prosperity would never end Overproduction of Products Farmers Struggle Mergers Automobiles Steel Electric equipment Wages not keeping up with rising prices Americans use Credit to increase their standard of living Chain Stores Five-and-Dime Woolworth’s Installment Plan An arrangement in which a purchaser pays over an extended time, without having to put down money at the time of purchase

How did the automobile change American life How did the automobile change American life? What role did credit play in the American economy in the 1920s? What did some businesses not do well in the 1920s? How did the installment plan fuel a superficial prosperity?