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The Economic Boom of the 1920's Essay

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The Economic Boom of the 1920s

After the First World War America was a completely different country. The twenties was a very unusual time period in American History. The twenties were a time of fun and partying. There are many reasons why it was called the Roaring Twenties.
Most of the American people were living a great life and were able to afford luxury items, even though this didn't apply to every one many believed that it was excellent and exciting a time of great hopes.

In the twenties, industry took a very big step. It nearly doubled. Not only did industry grow so did science, fads, laws, beliefs, arts, social lives changed, sports and the various different news from around the globe.
The twenties were a jam-packed
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Over 23 million cars were made.

Other scientific things that were invented at the time was freezing to preserve foods, car companies for example Ford and Chrysler, dry roll film and portable cameras.
There were many reasons for the boom they were: Mass production: Factories around the USA could use electricity and set up assembly lines and make objects quickly. The cars were made identical to make them easier to make and so they are cheaper.

America was being paid back loaned that it had lent other countries during the war, on top of this they were making interest. The banks now had lots of money to lend to people setting up a business or for people to buy on the margin.

Taxation was kept low and businesses and companies able to keep much of the profit to invest in new efficient factories that produced goods at a cheaper price.

Advertising also played a part in the boom, these convinced people to buy their items. They exaggerated. Advertising took place on the Posters, radio newspapers, magazines and cinema, they encouraged people to buy more and more, and the families had many more items than the rest of the world. When something new had come along every one had to buy it. It was like competitions between the Americans- To see who could get the better things. Hire purchase was also introduced to enable people to have consumer goods straight away. It leads to higher
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