22 terms

12.3 (U.S. History) The Business of America


Terms in this set (...)

Calvin Coolidge
new president who favored government policies that kept taxes down and business profits up and gave businesses more available credit in order to expand; succeeded Warren Harding as president
urban sprawl
unplanned and uncontrolled spreading of cities into surrounding regions
installment plan
an arrangement in which a purchaser pays over an extended time, without having to put down much money at the time of purchase
status symbol
possession believed to enhance the owner's social standing
What fueled the business boom of the 1920s?
consumer goods
What launched the era of modern consumerism in the United States?
business, technological, and social developments of the 1920s
What became the backbone of the American economy in the 1920s and profoundly altered the American landscape and American society?
the automobile
What was the goal of both Calvin Coolidge and his successor Herbert Hoover?
to keep taxes down and profits up, and give businesses more available credit in order to expand; they wanted to keep government interference to a minimum and allow private enterprise to flourish
What was the impact of the automobile on America?
1. it liberated the isolated rural family, who could now travel to the city
2. it gave families the opportunity o vacation i new and faraway places
3. it allowed both women and many young people to become more independent through increased mobility
4. it allowed workers to live miles from their jobs, resulting in urban sprwal
5. provided an economic base for cities
6. it drew people to oil-producing states
7. it became a status symbol
What symbolized the success of the free enterprise system and the Coolidge era?
the auto industry
About how many people in the United States owned an automobile?
about 80%
Who made a trimotor airplane in 1926?
Henry Ford
Whose transatlantic flights helped to promote cargo and commercial airlines?
Charles Lindbergh and Amelia Earhart
What company produced the single-engine Vega, one of the most popular transport planes of the late 1920s?
Lockheed Company
Founded in 1927, what airline inaugurated the first transatlantic passenger flights?
Pan American Airways
What did the development of alternating electric current make possible?
the distribution of electrical power efficiently over long distances
How did appliances such as the electric iron, the electric refrigerator, cooking ranges, and toasters impact the lives of the American housewife?
made the lives of housewives easier, freed them for other community and leisure activities, and coincided with a growing trend of women working outside the home
Why did American advertisers hire psychologists?
to study how to appeal to people's desires for their products
What industries suffered during the 1920s?
1. textile and steel manufacturers
2. mining and farming
3. iron and railroad
Why were farmers deeply in debt during the 1920s?
they had borrowed money to buy land and machinery so they could produce more crops during WWI; when European agriculture bounced back the demand for US fell, as did prices, creating surpluses
In addition to advertising, how else did industry lure consumers into buying goods?
easy credit
Why did some economists and business owners worry that installment buying might be getting out of hand?
because it was a sign of fundamental weaknesses of a superficial economic prosperity