1. The Business of America Under Coolidge
How Does Coolidge’s Conservative Policies create Economic Growth During the 1920s?

2. Business flourished under Coolidge
Coolidge easily wins 1924 “re-election”
Coolidge was pro-business & believes in Laissez Faire economics (less gov control, although he spoke in support if civil rights)
Low taxes, easy credit so Americans spend $
Keeps tariffs high on foreign imports
Investment in stock market
Result: Economic boom, w/ companies making record profits, increasing productivity, and paying workers higher wages

3. The Automobile Spurs Growth
Paved roads and highways are built, best known is Route 66 connecting Chicago to LA
Road improvements incl: first traffic lights, cloverfield traffic pattern & first underwater tunnel (Holland Tunnel connects NJ & NY)
More cars creates urban sprawl: cities grow “out” as workers able to drive to work faster

4. 1920s Culture Video Question
What is revolutionary about Henry Ford’s cars and how did cars change American culture?

5. Rise of Consumerism
Average annual income rises 35%, people begin buying more
More electricity in homes = more electrical appliances
Installment plans available to pay for expensive items “enjoy now…pay later” (but pay with interest)
More consumerism creates modern advertising
Vacuum
Electric Iron
Refrigerator
Washing Machine

6. Superficial Prosperity?
By the late 1920s, there were many warning signs showing the economy was starting to slow down
The Coolidge Administration largely ignored these signs