1 / 39

The 1920’s

The 1920’s. Economic Overview. Post-war recession Unemployment = 10% Trade cut in half Prices for products dropped 20% 1922-29 Unemployment 3%-4% Gross National Product (GNP) increased from $74.1 billion to $103.1 billion Per capita income increased from $641 to $847. Economic Overview.

tavia
Download Presentation

The 1920’s

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. The 1920’s

  2. Economic Overview • Post-war recession • Unemployment = 10% • Trade cut in half • Prices for products dropped 20% • 1922-29 • Unemployment 3%-4% • Gross National Product (GNP) increased from $74.1 billion to $103.1 billion • Per capita income increased from $641 to $847

  3. Economic Overview • What’s driving the economy? • New goods (cars, appliances, radios, etc.) • Consumption (movies, etc.) • Farmers suffering • Wartime overproduction • Wheat dropped 40%, corn 32% • McNary-Haugen bill • Would have created federal price supports for farmers • Vetoed by President Coolidge • BAD decade for farmers

  4. Election of 1920 A return to “normalcy”

  5. The Democrats • President – Ohio Governor James M. Cox • Vice-President – Ass’t Secretary of the Navy Franklin D. Roosevelt • Goals • Continue Progressivism • Push for entry into League of Nations

  6. The Republicans • President – Ohio Senator Warren G. Harding • Vice-President – Mass. Governor Calvin Coolidge • Goals • A “Return to Normalcy” • Pro-business • Conservative cultural values

  7. WOMEN GET TO VOTE! The Election

  8. The Harding Administration • Harding = VERY weak • Republicans wanted to control him • Surrounded by some good people • Charles Evans Hughes – Secretary of State • Andrew Mellon – Secretary of Treasury • Herbert Hoover – Secretary of Commerce

  9. The Harding Administration • Herbert Hoover • Food Relief (WWI) • Associationalism • Voluntary cooperation between business and government • Stability in economy • Data driven decisions

  10. The Harding Administration • Surrounded by some BAD people • The “Ohio Gang” – Harding’s corrupt friends • Charles Forbes – Head of Veteran’s Administration • Albert Fall – Secretary of Interior • Colonel Thomas Miller – Patent Office

  11. The Harding Administration • Charles Forbes – Veteran’s Administration • Job: help World War I vets • Embezzled $250 million from V.A. • Served 20 months in prison

  12. The Harding Administration • Albert Fall – Sec. of Interior (oversees federally owned land) • Naval Reserves • Elk Hills & Buena Vista, CA • Teapot Dome, WY • Leased for private drilling without bids • Received $325,000 in bonds and cash as a bribe • Spent one year in jail • Known as “Teapot Dome Scandal”

  13. The Harding Administration • Colonel Thomas Miller • Sold confiscated German patents • Spent 18 months in prison • What was Harding thinking?

  14. The Harding Administration • Harding takes western trip June - August, 1923 • Dies of heart attack in San Francisco, August 2nd • Or did he die of something else . . .

  15. The Harding Administration • Coolidge becomes President • Only president sworn in by father

  16. Election of 1924

  17. The Republicans • Coolidge for President • Charles Dawes for Vice-President • Coolidge quotes: • “The man who builds a factory builds a temple. The man who works there worships there.” • “The business of America is business.”

  18. The Democrats • West Virginia Senator John W. Davis – President • Nebraska Governor Charles Bryan – Vice-President • Democrats divided • Economy doing well under Republicans

  19. The Progressives • Robert LaFollette of Wisconsin • Platform • National ownership of railroads • Public ownership of utilities • Congress can override Supreme Court decisions • Get rid of Electoral College

  20. Other Issues • Women • Not much role in politics • Given token positions within parties • Became lobbyists on women’s and children’s issues • Voter apathy • 52% voter turnout

  21. The Election

  22. The Business of America is Business

  23. Corporate Capitalism • Modern management structure • Upper management • long range goals • Middle management • day to day production • Factors leading to growth • Mergers • Research and development • Education for professional managers

  24. Corporate Capitalism • Finance • Wall Street • More capital available for growth • Labor • Wages increase (buying power) • Established work week (5 ½ days) • “welfare” capitalism • Owners create opportunities (no job protection) • Goal: undercut unions • Union membership drops by 2 million

  25. Corporate Capitalism • Role of the government • Judicial Branch • Harding and Coolidge appointed five conservative judges • William H. Taft – Chief Justice (1921) • Decisions began to support business again • Executive branch • Laissez-faire – “Hands off” • Coolidge worked four hours a day . . .

  26. Gross Domestic Product 1919-1930

  27. Tax Rates in the 20’s

  28. Employment 1920’s-1940’s

  29. Per Capita Income 1920-1970

  30. Haves vs. Have Nots

  31. International Business Relations • Trade increases significantly • U.S. goes from debtor nation to creditor nation • U.S. in other countries • Establishes foreign offices and plants • American companies invest in foreign countries and companies (mostly natural resources) • American banks loan to foreign companies and countries • High Tariffs • 1922 – Fordney-McCumber • 1930 – Hawley-Smoot (highest EVER)

  32. Foreign Debt Problems • Germany – reparations payments • Britain/France owe U.S. • Dawes Plan – Charles Dawes (Secretary of Treasury) • U.S. loans $ to Germany • Germany pays debts to Britain/France • Britain/France pay debts to U.S.

  33. Foreign Policy in the 1920’s

  34. Philosophy during 1920’s • Isolationism • No involvement in Europe’s problems • Globalization • peaceful, stable world = solid economy • Use economic tools to stabilize Western Hemisphere (return to Dollar Diplomacy)

  35. Washington Naval Conference • 1921 • Reduce naval armaments • Ratios of battleships for major powers • U.S. – 5 • Britain – 5 • Japan – 3 • Italy – 1.75 • France – 1.75 • Germany – ? • Also called the Five-Power Treaty

  36. Washington Naval Conference • Nine-Power treaty • respect territorial integrity in China • Continuation of Open Door Notes • Signed by U.S., Britain, France, Japan, China, Italy, Belgium, the Netherlands, and Portugal • Four-Power treaty • respect existing Pacific territories • Signed by the U.S., Britain, Japan, and France

  37. Kellogg-Briand Pact Frank Kellogg U.S. Secretary of State Aristide Briand French Foreign Minister

  38. Kellogg-Briand Pact • Began in 1925 • Signed in 1928 • Outlawed war as an instrument of national policy • Signed by 63 nations • Included Germany, Japan, and Italy

  39. How would you describe the status of America and the world by the end of the 1920’s?

More Related