History - USA


Recap Timeline

1919 : Congress refuses to join league.

1920 : Republican Warren Harding elected as President.

1928 : Herbert Hoover - new President.

1929 : Wall Street Crash

1930 : Franklin Roosevelt elected.

1939 : WW2 begins in Europe.

1941 : America join the War.

5 reasons for the boom :

  • Industrial Strength
  • World War 1
  • Republican points
  • New Industries/Methods
  • State of Mind

Industrial Strength

  • USA was a vast country, rich in natural resources and a growing population.
  • It didn't need to import many raw materials and it didn't need to export all its goods.
  • The home market was large and growing.
  • By WW1, America led the world in most areas of industry.
  • It had massive cal, steel and textile industries - leading oil producer.
  • It developed cars, telephones and lighting.
  • American agriculture had been the most effective and productive in the world.
  • It became so successful that farmers had become able to produce more than they could sell.

World War 1

  • America tried to stay out of 1st World War but they lent money to the Allies for the war. 
  • They sold massive amounts of food, which gave this 'one -way' trade, America a massive boost.
  • The Americas joined in 1917, fortunately, they were not in the war long enough for it to drain resources the way it did in Europe. 

Republican Points

  • Republicans believed the government should interfere with the citizens every day life as little as possible = 'Laissez - Faire'
  • After Wilson, Harding promised to keep a 'normday' of USA and keep European matters separately.
  • Set up tariffs which made it expensive to import foreign goods in the USA.
  • Republicans kept taxations as low as possible, this bought benefits to the middle class but even more to the wealthy. 
  • Harding died in 1923 but his successor was republican. 

New Industries/Methods

  • These new methods bough an enormous boom in consumer goods - telephones, radios, vacuum cleaners.
  • Big industries used sophisticated sales and marketing techniques to get people to buy their goods. 
  • Mass nationwide advertising.
  • By now - pay later schemes.
  • In 1929, 4.8 million cars were made.
  • In America, cars were more common :
  • America : 1 in 5 owned a car
  • England : 1 in 43 owned a car
  • Russia : 1 in 7000 owned a car

A State Of Mind

  • Most Americans believed they had a right to prosperity
  • Consuming more seemed more American. 
  • Main Aims in life :
  • - Have a nice house
  • - Good job
  • - Plenty to eat
  • - Home to be filled with the latest goods

Problems in Farming

  • Farm income dropped from $22 billion (1919) to $13 billion (1928)
  • Reasons why farmers had problems :
  • 1) Loss of European Market : had shipped millions of tons of grain to Europe but due to WW1, Europeans could not afford it. Also, the tariffs made grain more expensive.
  • 2) Competition with Canada.
  • 3) Overproduction : From 1900 to 1920, more and more land was being farmed. Improved machinery made US agriculture…


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