12.3 The Business of America Is Business

1
12.3 The Business of America Is Business

• Calvin Coolidge pro business
• Business boom
• Standard of living soared

2
Coolidge Hoover favor Business

• gov policies to keep taxes low and profits high
• Gov interference at a minimum
• New technology increased productivity wages

3
Age of the Automobile

• Paved roads built across America
• Gas stations, repair shops, motels, garages,
  shopping centers
• Homes built with garage or carport
• Traffic signals,
• Suburbs grow as commutes are driven

4
Airplane industry

• Mail carrying by 1920
• Weather forecasting with radios, navigation equip
• Cargo commercial airlines by 1926
• Amelia Earhart Charles Lindbergh
• Trans Atlantic flights
• Pan American Airlines 1927 first trans Atlantic
  passenger flights

5
Standard of Living

• Average annual income up from 522 to 705
• Factories used electricity
• More homes got electric power
• Farms by mid-30s
• Rich had refrigerators, ranges, toasters

6
Modern Advertising

• Agencies hired psychologists to design ads
• Sales soared

7
Prosperity was limited

• Warning signs
• Over production of goods-
• Chain stores, 5 Dimes, spread rapidly
• Huge gap between Rich Poor
• Managers vs. Workers
• Buying on Credit Installment plan
• A dollar down a dollar forever
• Farmers never saw profits