1. 1920s: Business Boom
March 28, 2017

2. Life before 1920… Life after 1920… No malls No fast food No highways
Few cars
No advertisements
Life after 1920…
1st shopping center
1st fast food
A & W Root Beer
Advertisements start
FORD begins building an automobile empire
WWI boosted U.S. economy
: wages rose 28%
Number of millionaires in U.S. doubled
MAIN CAUSE OF GROWTH: Consumer SPENDING
Depends on large amount of BUYING by consumers
BUYING MEANS THAT FACTORIES STAY OPEN = JOBS

3. Henry Ford & the Model T March 29, 2017

4. Credit Americans USED to pay with CASH for everything
But now you can buy on CREDIT
Installment plan: make payments for period of time until debt paid
Pay interest
Buy things otherwise wouldn’t
People buy cars, washing machines, furniture, vacuum cleaners, sewing machines, radios, refrigerators, toasters, stoves, etc. on CREDIT
Cities have electricity
Country does NOT (too much $$$ to run lines)
Farms use wind power to generate electricity

5. Henry Ford 1900s: Only wealthy could afford cars
GOAL: Sell cars that ORDINARY people can afford
Achieved through MASS PRODUCTION
Rapidly making large numbers of identical products (typewriters, sewing machine, etc.)
Achieved by : ASSEMBLY LINE
1908: Model T
Sells for $850
Average American could afford car
Put cars on moving assembly lines (gets idea from meat packing industry)
Time to build car from 12 hrs to 90 min

6. More cars made - Cost of Model Ts goes DOWN
$350 – 1916
$290 – 1927
Model Ts available only in BLACK
1919 – 10% American people own Model T
1927 – 56% own Model T
Ford pays workers $5/ day (average $2/ day)
8 hour workdays (avg. 9 hours)
1926: Saturdays and Sundays off (weekend)
RATIONALE: workers who have MONEY & TIME will buy CAR
ASSEMBLY LINE: Each worker does ONE specialized task to produce final product
Assembly line moves while worker stays in place
GOOD: don’t need to know hundreds of tasks to create product from start to finish

7. Henry Ford & Vertical Consolidation March 30, 2017

8. RUBBER - PLANTATIONS IN BRAZIL RAILROAD: SHIP PRODUCTS
VERTICAL CONSOLIDATION: Own each part to create complete product
FORD MOTOR CO.
IRON MINES
COAL MINES
FORD OWNS ALL
STEEL MILLS
WOOD - ACRES OF FOREST
RUBBER - PLANTATIONS IN BRAZIL
GLASS
RAILROAD: SHIP PRODUCTS
TOOLS - MADE OWN

9. Henry Ford - Complex Businessman
GOOD
$5-a-day pay rate (double average pay)
Produce car America can afford
BAD
Used violence to fight unions
Assembly line boring
Did NOT keep up to changing tastes (color)
Did NOT understand HISTORY
Sailed to Europe to try to talk out of WWI
1920: used own newspaper to blame Jews for world’s problems
1927: was sued & apologized

10. Answer What is Mass Production? What is Vertical Consolidation?
How do businesses benefit from CREDIT?
Where did Ford get the idea of the moving assembly line from?
Besides steel, list 3 other industries connected with the auto industry.

11. Society in the 1920s April 5, 2017

12. 1920s - car making single biggest manufacturing industry
Auto industry used:
15% steel
80% rubber
50% glass
65% leather
7 billion gallons of gas
Business Increased: dealerships, motels, auto garages, campgrounds, gas stations, restaurants, truck lines (transport goods), road/ bridge construction

13. Increased income = People change
Flapper: new type of woman
Young, rebellious, fun, loving & bold
Women of 1920s
Shorter dresses
Short bobbed hair
Hats
Makeup
Smoke cigarettes
Drink in public
Office, sales, & service
MOSTLY only single women could get jobs
Quit once get married
Married women…quit when pregnant
Seldom training for higher positions
Men & Women different pay scales
No women Doctors or Lawyers
women can vote
Seldom do
Voted with husband

14. Changes in the 1920s April 6, 2017

15. Cities & Suburbs Demographic changes in U.S.
Demographic: Statistics that describe population (data on race, income, education, etc.)
Migration in 1920s
Country to City
Why? _______________________
Education Higher
Why? _______________________
People wealthier?
Why? ________________________
With TRANSPORTATION now available
People move to SUBURBS
Outskirts of the cities
U.S. Population
1910
1920
1930
NYC
4,766,883
5,620,048
6,930,446
Chicago
2,185,283
2,701,705
3,376,478
St. Louis
687,029
772,897
821,960 LA
319,198
576,673
1,238,048
Detroit
465,766
993,078
1,568,662

16. U.S. President in 1920 – Warren G. Harding
Harding succeeded ___________________
Andrew Mellon named the Secretary of the Treasury
1. Favored BUSINESS
Laissez-faire approach
Laissez-faire: hands off
2. Low TAXES for everyone
3. Cut SPENDING by gov’t
$18 million to $3 million
Mellon raised TARIFFS by 25% (businesses like)
Tariff: Tax on foreign good
PROMOTES AMERICANS to buy ___________________, But…
Europe RETALIATES and increase their tariffs
RESULT: Europe no buy American (U.S. lose $$$)
1923: Harding suffers a heart attack…Calvin Coolidge is VP
Coolidge becomes new President…Nickname “Silent Cal”

17. HOMEWORK
Page 250
#1, #2, #6, & #7
Write out the question and the answer
Do assignment on separate sheet of paper
Because it will be handed in (due: Tomorrow)
Drop it off to my class by the end of the day

18. COOLIDGE PRESIDENCY APRIL 7, 2017

19. By 1923: Farmers start to suffer
Price of goods goes DOWN – Why???
More competition means you sell at lower price
Lower price means you’re not earning as much
Can’t pay bills for land, equipment, etc.
African Americans face segregation in SOUTH
Jim Crow laws separate races
Labor unions want higher wages/ better working conditions
But, what does President do???
“Silent Cal” stays quiet
Laissez-faire
Gov’t stay out of business

20. DO NOW – Use notebook or textbook
What president PRECEDED Harding?
What does Laissez-faire mean?
What is a tax on a foreign good?
Who was Harding’s Vice President?
What does Segregation mean?

21. 1920s: America’s Role in the World April 10, 2017

22. America’s Role in the World
No more War
Washington Naval Disarmament Conference: limit construction of war ships (reduce militarism)
Militarism: Building up military
Militarism was a HUGE FACTOR in WWI
Kellogg-Briand Pact
Agreement between Sec. of State Kellogg &French minister Briand to “outlaw” war
62 other countries signed
In reality – pact is unenforceable
Collecting war debt
France and England owe the U.S. a lot of $$$ from WWI
Economy in France and England – BAD
In order for France & England to repay U.S. – They need $$ owed from ___________________.
Germany had NO $$$$ = U.S. does not get paid
1924: Dawes Plan – U.S. loans money to Germany (so they can repay England and France to pay back the U.S.)
Dawes Plan ends in 1929 (Great Depression)

23. 1920s: For the first time – More Americans live in Urban U.S.
Museums/ Parks/ Plays
More stores (more goods)
Open to change (modern beliefs)
Education is VERY important
Rural
No museums/ plays
No stores (no buy)
Traditional beliefs/ NO CHANGE
Education NOT that important (reading, writing, and math all that matter)

24. FUNDAMENTALISM APRIL 11, 2017

25. Religion
Fundamentalism: Belief that every word in the Bible is TRUE
Believe that every problem can be solved by the Bible
Most fundamentalists were found in RURAL America
1925: Scopes Trial
ISSUE: Theory of Evolution (Charles Darwin) – species evolved over time
CLASHES with Theory of Creation in the Bible
1925: Tennessee pass law that public schools CANNOT teach EVOLUTION THEORY
John Scopes (high school biology teacher in TN) teaches evolution
Arrested
Clarence Darrow (Defense lawyer)
William Jennings Bryan (expert for Prosecution)
Bryan claims the Bible is RIGHT and science is WRONG
Scopes found guilty and fined $100

26. Rural immigrants resist CHANGE (cities; immigrants; etc.)
1915: Ku Klux Klan revived in Georgia
Original KKK targeted African Americans
New KKK still targeted African Americans & Jews, Catholics, and immigrants (GOAL: NO CHANGE)
Over 5 million members
Burned crosses/ boycotted businesses/ terrorized citizens

27. IMMIGRATION IN 1920S & PROHIBITION APRIL 18, 2017

28. Restricting Immigration
Nativists: Argue that immigrants take away jobs from Native-Born (people born in U.S.)
1882: Chinese immigrants restricted
1919: Russia turns __________________
Fear that new immigrants will bring SOCIALISM to U.S.
Extreme version of Socialism is COMMUNISM
1921: QUOTA system enacted to restrict immigrants from specific countries
National Origins Act: Number of immigrants in a given nationality could NOT exceed 2% of the number of that nationality living in U.S. in 1890
Example: British Immigrants in 1890: 3 million
Amount of British Immigrants allowed in: 60,000
Italian population in 1890: 250,000
Amount allowed in: 5,000
Asian immigrants: 0
1914: Immigrants must know how to read & write their own language
Wilson veto/ Congress override veto
Quota system does NOT apply to Mexico
Many Mexicans move to Texas & California for farming
Faced discrimination/ lower work wages

29. Prohibition 1919: Ban on manufacture, sale, & transport of alcohol
Believe that alcohol caused all the problems in U.S. (divorce; crime; poverty; etc.)
During WWI: believe that corn, wheat, & barley should be used for bread (not alcohol)
18th amendment a.k.a. Volstead Act
Passed with RURAL vote
Went into effect in 1920
Ignored in cities
Speakeasies: secret bars you could enter by whispering password
Kansas - 95% obeyed
NY - 5% obeyed
Prohibition did NOT stop drinking
People just did it ILLEGALLY
People make own alcohol, or purchase illegally from BOOTLEGGERS
Al Capone: most notorious during Prohibition era (made MILLIONS)
Pay off judges; police; politicians; etc.
Crime continued under prohibition
REPEALED in 1933 with 21st amendment 20