1. Chapter 20 Section 3
Business in America and Superficial Prosperity

2. Model T’s Weren’t the only Vehicles

3. Question: How many vehicles were on the road in 1927?
Answer: million

4. American Industry Flourish
Republican Coolidge is President
Fit into the pro-business spirit of 1920’s
Favored government policies of low taxes and high profits
Minimum government interference in business and allow private industry flourish

5. Calvin Coolidge

6. Impact of the automobile
Literally changed the American Landscape
Paved roads

7. Architectural styles with garages and driveways (smaller lawn)
New businesses (gas stations, repair shops, motels, shopping)

8. Tunnels, bridges, and intersections with lights

9. Liberated the isolated rural family
Women and young people independent

10. Urban sprawl – workers living miles from job
Provided economic base for some cities (car manufacturers)
Symbolized success of free enterprise and the Coolidge era (live with little money yet own their own automobile)

11. The Young Airplane Industry
Airplanes began as mail carrying service for US Post Office

12. Peacetime means of transportation with development of weather forecasting, radios on board, and navigational instruments

13. Henry Ford made a trimotor airplane in 1926
Charles Lindbergh made transatlantic flights

14. Amelia Earhart helped promote cargo & commercial airlines

15. Lockheed Company porduced single-engine plane, the Vega
Pan American Airways (1927)
First transatlantic passenger flights

16. America’s Standard of Living Soars
Electrical Conveniences (Alternating Current)
Factories used electricity to run machines
No longer restricted to cities
Appliances made life easier for housewives
Fed trend of women workers

17. The Dawn of Modern Advertising
Advertising agencies hiring psychologists to study the appeal/desire of American public
Slogans doubled sales for some
Advertising branches out to other aspects of life (charities, etc…)

18. A Superficial Prosperity
Most thought prosperity would go on forever

19. Producing great quantity of goods
Businesses expanded with increased productivity
Companies merged
Chain stores sprouted

20. Congress passed law allowing National Banks to branch within cities of main office
The income gap between workers & managers was growing with businesses

21. Not all industries were prosperous
Railroads
Iron
Farmers suffering losses

22. Buying goods on credit “dollar down and a dollar forever”
installment plans – buy goods over extended period of time
Banks provided low interest rates and advertisers pushed the installment plan
No one was looking at future problems