Roaring Economy to Great Depression

In the 1920s, how did manufacturers make products faster and more cheaply?
They adopted Henry Ford’s manufacturing techniques.

What is consumerism?
a pattern of wanting and buying new products

During the 1920s, people would buy stock on margin, which meant that they
bought it on credit.

Which of the following best explains what happens when consumers think the economy is struggling?
People spend less, businesses produce less, and unemployment rises.

In the 1920s, many rural banks failed because
farmers could not repay their loans.

A strong economy depends on
most people’s confidence in the economy.

Which industry boosted consumerism in the 1920s, feeding economic growth?
advertising

Businesses and industries in the 1920s most closely followed the buying demands of
consumers.

Which statement best explains how farming affected the economic slowdown that led to the Great Depression?
Even though prices and demand were falling, production increased.

A part of the consumerism cycle is that manufacturers
advertise goods.

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What industrial weakness signaled a declining economy in the1920s? The older industries such as textiles, steel, and railroads, which were basic to the fundamental well-being of the economy, were barely profitable. How did diminished demand affect farmers in the 1920s? …

Key Republican Party Policies during the 1920s Laissez-faire- lack of involvement in the economy. Small state. Deregulation of business and the stock markets Hoover’s Response to the Depression At the start – very little. Believed that it was simply a …

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d. to make big gains from rising stock prices The Stock Market boom of the 1920s was characterized by a big increase in the number of people who bought stock chiefly. a. to make safe investments b. to earn dividends …

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