- the state of US economy follows a cyclical pattern. Unrealistic confidence - realisation that investment at this level is unsustainable - uncertainty - panic - realignment of expectations - confidence restored based on fact and hope.
- WWI sparked economy - but industrialisation led to a post-war economic slump due to over-production and machines taking the place of workers. Less demand so less profit.
- Republican isolationist policy led to money being spent in America - ROARING TWENTIES. 1919-1921 (decline), 1921-1929 (good times). Roaring Twenties were doomed to fail - unsustainable.
- 'Fordism' led to economic improvements - with Ford reducing unemployment and caring for his workers (taught immigrants English, bagged workers a car with 'The Ford Plan' etc.)
- loans and buying 'on credit' along with an increased focus on consumerism sparked economy.
- the BULL market of the stocks and general unsustainability in high spending caused the crash.
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