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USA Part 1: The Economy in the 1920s


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USA Part 1: The Economy in the 1920s


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Lewis Gant 45m3


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[Front]


An economic boom is a period of time of
[Back]


growth and prosperity. Often goods will become more valuable

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USA Part 1: The Economy in the 1920s - Detalles

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An economic boom is a period of time of
Growth and prosperity. Often goods will become more valuable
As a result of WW1, the USA went from being
A debtor nation to a creditor nation.
Speculators would often buy shares “on the margin” This meant
Borrowing money to buy shares and selling them at a profit.
Free market individualism means
Hard work, and the importance of family in meeting the daily needs of life
Laissez-Faire means
A policy of minimum governmental interference in the economic affairs of individuals and society.
Tariffs
Are an additional tax placed on goods made outside of the country
The Fordney McCumber Act 1922
Protected American factories and farms from foreign competition.
G.N.P. stands for
Gross National Product, which is the term for the total value of goods and services produced by a nation.
By 1929
1 out of every 9 jobs was in an auto-related [vehicle] business.
New Consumer Goods:
Vacuum cleaners, refrigerators, toasters, coffee makers, stoves, radios
Electrification:
The process of powering by electricity [homes/factory's]
Installment plans:
A person pays a small down payment, takes home the item and pays off a little each month.
Speculation Boom:
People borrowed money to buy shares in companies listed on the stock market
'buying on the margin'
Borrowing money in order to purchase shares in the hope that an increase in value results in a quick and easy profit.
The growth of the automobile allowed for the
Growth of suburban communities.