Transcript Chapter 21-Normalcy and Good Times

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Chapter 21: Normalcy and Good Times
American History
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The Harding Administration
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Harding’s slogan was to return to normalcy,
or normal life after World War I
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However, Harding’s presidency was littered
with scandal
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Ohio Gang: hired old poker buddies for
political jobs; abused their positions and
caused scandal
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Teapot Dome Scandal: Secretary of Interior
Albert Fall leased lands containing Navy oil
reserves in Teapot Dome, Wyoming in
exchange for bribes
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Daugherty scandal: Attorney General Harry
Daugherty accepted bribes from a politician in
connecting with gaining access to a German
company’s valuables
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The Coolidge Administration
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Coolidge was more withdrawn than
Harding, and contrasted heavily from
the “Roaring 20’s”
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Was quiet, withdrawn, and did not seek
attention
“Keep Cool with Coolidge”
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Believed that prosperity rested on
business leadership, and that the
government should not interfere with
business
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Easily won the election of 1924
against a weary Democratic Party
and a dying Progressive Party
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The Automobile and the Assembly
Line
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During this time, mass production, or
large scale manufacturing, had
increased, resulting in consumer costs
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With the invention of the automobile
(Model T) by Henry Ford came the
development of the assembly line
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Divided operations into simple tasks that
unskilled workers could do
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Cut unnecessary motion to a minimum
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Reduced the price of goods due to speedy
manufacturing and using less materials
and man-power
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Increased worker’s wages and decreased
worker’s hours and days of working
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The Consumer Goods Industry
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With the development and manufacturing of
the automobile came the growth of other
industries, such as rubber, plate glass, nickel,
and lead
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The automobile also helped create small
business, such as garages and gas stations,
and eased the isolation of rural life by making
it easier for farmers and townspeople to travel
into the city
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Other products, such as electric razors,
disposable facial tissues, frozen foods, home
hair dye, hygiene products, vacuum cleaners,
electric irons, and refrigerators became
available for the public to own
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A major focus on fashion and youthful
appearance also took shape
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The Airline and Radio Industries
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With advancements in airplanes during
World War I came the development of the
airline industry
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Airplanes were used for stunts, at first, but
then developed into mail-carrying vessels
With Charles Lindbergh’s solo flight over the
Atlantic came the possibility that airplanes
can be used for transportation
In 1913, Edwin Armstrong invented the
radio, and in a few years, it would be a
household item for entertainment
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In 1926, the National Broadcasting Company
(NBC), followed by the Columbia
Broadcasting System (CBS) established a
permanent network of stations, selling time to
advertisers and performers
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The Consumer Society
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The 1920’s was a decade of spending, which kept the economy booming
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Consumers built upon lines of credit and debt, figuring they would be
able to pay it off over time
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Advertising became a booming industry, using ads to lure consumers
into spending
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Companies went through a managerial revolution, where the company
became more structured, with a manager in charge
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Industrial workers were offered to participate in welfare capitalism, or
use the option of buying company stock, participate in profit sharing, and
receive benefits
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Companies offered the option of an open shop to workers, which did not
require them to join a union
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The Farm Crisis
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Farmers did not share the same fortunes as
everyone else in the 1920’s
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Even with the development of fertilizers,
pesticides, and farm equipment, which led to an
increase in production of products, the demand
was low, and so were prices
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The government encouraged farmers to sell
their crops in Europe, but once the war
ended, farming returned to normal
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The government passed bills to help farmers
sell their surpluses overseas, but Coolidge
vetoes these bills, saying that the farmers
would grow a greater surplus, eventually
limiting the government to sell their products
overseas
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Promoting Prosperity
Andrew Mellon devised programs and goals to help continue the
raging American economy
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Cut government spending, reduced taxes, and balanced the overall
budget
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Believed lowering taxes would give people more money to invest, which
would help the economy grow, which would give the government more
money, in the long run, from taxes: supply-side economics
Herbert Hoover also helped develop the nation’s economy
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Called on his philosophy of cooperative individualism, which
encouraged manufacturers to form trade associations, which would give
secrets to the government
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Also created several agencies to help keep the economy stable
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Trade and Arms Control
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The majority of Americans favored isolationism, or staying
out of world affairs, but the government viewed the United
States as an instrument for world peace
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Banker and diplomat Charles Dawes negotiated with Great
Britain, France, and Germany, and established the Dawes
Plan to help continue economic stability in Europe
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The United States would loan money to Germany to pay for the
reparations for World War I, and in turn, France and Great Britain
would pay more on their war debts to the U.S. and demand less
from their reparations
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Disarmament and Abolishing War
The U.S. government held meetings, known as the Washington
Conference, with Great Britain, France, Italy, China, Japan, Belgium,
the Netherlands, and Portugal, to discuss halting armament
production
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Proposed a 10 year moratorium, or pause, in the construction of new
warships
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The Five-Power Naval Limitation Act formalized the plan
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The Four-Power Treaty recognized possessions of islands in the Pacific
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The Nine-Power Treaty guaranteed China’s independence
The Kellogg-Briand Pact outlawed war in the United States
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62 nations ratified it
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Hailed as a victory in peace, but did little to keep countries from arming
soldiers and from tangling into war