Normalcy and Good Times

Chapter 16

Lesson Targets

•Students will be able to describe the political development of post World War I America•Students will be able to explain the factors in the rise of the American economy in the 1920’s

Presidential Politics• The Harding

Administration President Warren G.

Harding Product of the Ohio

Republican political machine

Ran campaign on concept of Normalcy – a return to normal life after the war

Gave several government jobs his friends known as the Ohio Gang – many used their positions for corrupt purposes

Presidential Politics• Teapot Dome Scandal

Harding administration became known for scandals

Most important – Teapot Dome

Albert Fall – Secretary of the Interior

Leased US Navy oil reserves at Teapot Dome and other locations for kickbacks

Presidential Politics• The Coolidge

Administration President Harding died in

office Succeeded by Calvin

Coolidge aka “Silent Cal” Cleaned up government

and let business be business

Coolidge easily won reelection in 1924

Progressive Party candidate – Robert M. La Follette

A Growing Economy• New Industry

Increased worker earnings More leisure time Mass Production – large-

scale manufacturing usually done by machinery, created more supply and cut consumer costs

Assembly Line – divided operations into simple tasks that unskilled workers could do and cut unnecessary motion to a minimum

A Growing Economy• Henry Ford first to adopt

assembly line• Cut production time from 12

hours per car to 93 minutes• First product was Model T or

“Tin Lizzie”• Cut prices from $850 (1908)

to $295 (1924)• Lower cost of car = higher

volume of sales• Paid workers $5 a day – build

loyalty and keep unions out

A Growing Economy• Workers had to maintain

high moral standards – were investigated• Growing market for cars

brought in competitors such as General Motors and Chrysler• Auto industry spurred

growth in supporting industries that made car parts

A Growing Economy• Cars revolutionized

American life – mobility brought changes to where and how we lived• Other products were

introduced in 1920’s Electric irons, vacuum

cleaners, washing machines, refrigerators, mouthwash, deodorants

Indoor plumbing became more commonplace

A Growing Economy• The Airline Industry

Aviation developed rapidly after flight of Wright Bros. at Kitty Hawk

Glenn Curtiss – invented ailerons (still used today), first flying boat, and made warplanes for US

Airline industry received boost when US government authorized air mail service

A Growing Economy• Charles Lindbergh – first

to fly solo non-stop across Atlantic in Spirit of St. Louis• Amelia Earhart female

pilot attempted flight around the world – disappeared on third leg• Bessie Coleman – black

female pilot – helped open doors to black aviators

A Growing Economy• Radio Industry

Radio broadcasting to public began in 1920

1926 National Broadcasting Company (NBC)

1928 Columbia Broadcasting System (CBS)

• Consumer Society Shift from saving to

consumerism – spurred by prosperity of 1920’s

Consumer credit Mass advertising

A Growing Economy• Managerial Revolution

Growth of businesses resulted in need for mid-level managers

New labor market – rise of business schools to fill demand

• Welfare Capitalism – Companies allowed workers to buy stock, share in profits, gave benefits such as medical care and pensions• Open Shop – a workplace where

workers did not have to join a union (promoted by management)

A Growing Economy• Rising Farm Crisis

Farmers did not share in prosperity of 1920’s

Advances in agriculture allowed more output but it was accompanied by lower prices

Farmers had borrowed heavily to produce for WWI

Congress also raised tariffs and European markets retaliated

A bill to protect farmers was passed by Congress twice but vetoed twice by Coolidge

Policies of Prosperity• Mellon Program

Established Bureau of the Budget and General Accounting Office

Reduced national debt through budget cuts and refinancing

Reduced taxes

• Hoover’s Cooperative Individualism

Encouraged manufacturers to form trade associations that would voluntarily share information w/government

Believed this would reduce costs and promote efficiency

Policies of Prosperity• By 1920’s, US most

dominant economic power in world• Isolationism – people did

not want to be involved in world affairs• Dawes Plan –

restructured Germany’s reparations payments, and European loan payments to US

Policies of Prosperity• Washington Conference

Arms limitation talks Four-Power Treaty

US, GB, FR, and JP All agreed to respect territories

in PacificNegotiate differences

Five-Power Treaty US, GB, FR, JP, ITFreeze naval production

Nine-Power TreatyUS, GB, FR, JP, IT, BE, CH, NE, POReasserted Open Door Policy in

China & Chinese independence

Policies of Prosperity• Abolishing War?

Pacifism on rise in US

Kellogg-Briand Pact – all nations signing document agreed to abandon war and settle disputes by peaceful means

Hey everybody! Let’s toast

marshmallows!

Kumbaya my lord, kumbaya

…

Oh wow…the world is going to be, like, so full of peace and brotherhood!