Post WWI and the Roaring 20’s

Demobilization leads to economic turmoil• Demobilization- the return to a peacetime

economy• Government agencies let go of their controls

on Industry– Released pent up demand– Workers had money to spend, and demanded

goods that had been “rationed” during the war.– Businesses raised prices they had been forced to

keep low during the war-demand for consumer goods outsripped supply

leading to the ________ in prices. (cost of living doubled)

Demobilization leads to Economic Turmoil Cont.Effects: Rapid inflation- the lowering of

the value of money.If prices for the cost of living go up your money

buys you less. Inflation leads to strikes by workersDuring the war, industries were forced to

raise wages (concessions given to workers) inflation caused workers to lose their economic gains.

Inflation caused operating costs for companies to rise- employers wanted to keep wages low.

Demobilization leads to economic turmoil Cont.• Post War Recession• Government cancelled about $2 billion in

war contracts. (heavy industry)• Factories responded by cutting back

production and laying off workers. • Farm Crisis- American farmers were

expanding to produce food for European markets during the war – When Europe began producing their own food demand dropped- Farmers lost land.

Inflation leads to StrikesLabor strikes seen as “communist”Seattle General Strike (1919) – all workers

not just workers from one industry.The Steel Strike – 350,000 steelworkers,

higher pay, shorter hours and union recognition.Company broke up strike by using anti-immigrant

feelings to divide workers.The Boston Police Strike (1919) – 75% of the

Boston police force went on strike. All the men were fired.Calvin Coolidge MA governor “There is no right to

strike against the public safety by anybody, anywhere, anytime.”

See Reading

The Red Scare –Fear of Communism (April 1919) Post office intercepted 30 packages addressed to leading businesspeople that were triggered to explode when opened.

(June) 8 bombs in 8 cities exploded within minutes of one another.

One near US Attorney General Mitchell Palmer’s home.

The Palmer RaidsPalmer established the General

Intelligence Division (predecessor to FBI)Headed by J Edgar Hoover.

Palmer organized raids of various radical organizations, particularly Communist

Focused on foreign residents and immigrants.

Agency often disregarded the civil liberties of suspects.

Suspects were mistreated held for indefinite periods of time

Detained and deported suspects from the country.

As economic situations worsen people tend to become scared of

ideas and people who are “different”

The Interesection between Economic strife and Racial,

ethnic oppression

Demobilization leads to Racial Tensions

As white boys came home from the war, needed employment and housing, began competing with the African Americans who moved north during the War. (The Great Migration)

Competition led to race riots 1919 race riots broke out

in over 20 cities.Violence spread to South1921- Tulsa Riot1923- Rosewood

See video Clip

The Resurgence of NativismNativism – the desire to protect the interests of “old stock” Americans against those of immigrants.

By 1921 Immigration levels had risen to pre-war levels but most came from Eastern and Southern Europe instead of Western Europe.Prejudice against Germans and Communists expanded to all immigrants

Nativism and Public PolicyImmigrants Seen as a threat to cultural orderThreat to soldiers of WWI who needed jobs in

the post-war weak economy.Emergency Quota act (1921) – created a

quota system limiting immigration.Only 3% of the total population of an ethnic group that was living in the US as recorded in the 1910 US census could be admitted into the US per year.

Result is that it discriminated heavily against Immigrants from eastern and southern Europe.

Nativism and Public Policy Cont.The National Origins Act (1924)- made

immigrant restriction a permanent policy.Set quotas at 2% of people living in the US of a

particular nationality as recorded in the 1890 census.

Result: scaled back where immigrants could come from- favoring Northern Europe

Second part of the act that took effect in 1929 limited immigration to 150,000 people a year.

Exempted people from the Western Hemisphere

Huge influx of Mexicans to fill need of cheap labor in agriculture, mining, railroads

The Sacco-Vanzetti Case2 men shot and killed two employees of a shoe

store in Braintree Ma, Robbing it of $15,000.Sacco and Vanzetti two Italian immigrants

were arrested, charged, and tried for the crime.

Men were anarchists (someone who opposes all forms of government)

Sacco owned a gun similar to the one used in the crime- bullets matched.

No conclusive proof to their committing of the crime.

Both were found guilty and sentenced to deathGuilty or victims of prejudice? See reading

Nativism and RacismEugenics movement – false scientific movement that deals with the ability to improve hereditary traits.

Social Darwinism in its scientific form. Human inequalities are inherited and the ending of the procreation of the “unfit” and “inferior.”

Forced sterilization of African American women

The Re-emergence of the Ku Klux KlanOriginal KKK response to emancipation of the slaves

Re-emergence included hatred towards Catholics, Jews, and Immigrants.

Public Relations campaign claiming that the Klan was fighting for “Americanism” solicited 4 million members nationwide

See Political cartoon

The Economics of the 1920’s- Creating a BoomRepublicans controlled the

Whitehouse from 1920-1932Both Harding and Coolidge

believed in laissez-faire “The business of America is

business”Tax cuts and limited government

spending lead to surplus capital in the consumer economy

Economic Philosophy of the 20’sto promote economic growth

Supply-side economics

By 1923 economy boomed

2.Businesses and

Consumers spendinvest Money

4.Government

Collect more taxesAt a lower rate

1.GovernmentLowers taxes

3.Economy

Grows

The Roaring 20’s BeginSupply-side economic combined withNew business techniques help fuel

economic boomBetween 1923 and 1929 earnings

increased 22 % while work hours decreased

What made this Possible?Expansion of Mass Production and

Assembly Line system into most industries. Effect – more products at a lower cost

Ford MotorsModel T 1908- $850 1914- $490 (mass production) 1924- $295 (improved

assembly line techniques)

Ford increased wages to $5 a day and created the 8 hr. work day.Allowed his workers to buy his productUndercut the Unions.Prevented workers from quitting

Ford Motors Cont.Created a “sociological Department”

which set requirements that workers had to meet.Attempted to assimilate immigrantsHad to spend their money in “approved ways”Workers who went against this policy could be disqualified from extra pay, suspended or fired

The Birth of New Industry’sQuestion: What other industry’s began because of the automobile?

Airline IndustryBeginning planes during WWI1918- government created first airmail

service1925 – Kelly Act –postal officials were

allowed to contract with private airplane providers to carry mail nationwide

1926- Air Commerce Act – provided federal aid for building airports

1927- Charles Lindberg 1st solo flight across the Atlantic – won popular support for commercial flights

1928- 48 airlines serving 355 American cities.

The Radio Industry1913 – Edwin Armstrong Invented Radio1926 – National Broadcasting Company

(NBC) created.1927 – NBC has 700 stations nationwide1928 – Colombia Broadcasting System

(CBS) created a coast to coast network Both sold advertising time and hired

popular musicians, actors and comedians to appear on their shows

1928 – sold $1 million of advertising time to Republicans and Democrats.

The Consumer SocietyHigher Wages and shorter workdays (more

leisure time) resulted in a decade long buying spree

Shift in attitude – people went from being “thrifty” to wanting to consume goods.“Protestant Ethic”

Rise of Credit- installment plans – buying things now and paying for them over time People bought cars, radios, phones, washing machines with the use of credit

The Rise of Mass AdvertisingProblem: New appliances were

invented but how do we make people buy products they don’t know they need?

Advertisers created appealing, persuasive messages that linked their clients’ products with qualities associated with the modern era. i.e. progress, convenience, leisure, successComparing Ads

Social Movements of the 1920’s

ProhibitionMovement began in the late 1800’s 1920 18th Amendment is passed –

Prohibiting the consumption of alcoholProhibition fell under the jurisdiction of

the Treasury Dept.Volstead Act – gave police powers to

both federal and state officials in order to be able to enforce prohibition.Government’s right to use force to protect people and property.

Significance- greatly increased federal powers; previously police powers were granted only to the states.

Prohibiting ProhibitionTreasury department made over 540,000 arrests

Americans blatantly ignored the lawSpeakeasies – secret bars (32,000 in NYC)

Bootleggers – made own alcohol illegallyControlled by Organized Crime. Became a billion dollar black market

21st Amendment ending prohibition passed in 1933

The Fundamentalist MovementFeared America was losing its “traditional

values” Feared the rise of youth culture Flappers – loose dress, smoking, drinking, nightclubs

Reassert the authority of the BibleFocused defending the idea that humans get their moral behavior from God

Rejected Darwin’s theory of EvolutionBelieved in Creationism – the belief that God created the world as described in the Bible.

The Scopes TrialButler Act (1925) – outlawed any teachings that denied the Biblical story of the worlds creation.

American Civil Liberties Union (ACLU) wanted to test the law

asked a biology teacher John T. Scopes if he would be arrested for teaching evolution

Scopes Trial Cont.

Judge would not admit scientific evidence to be entered; called it heresy.

Scopes Loses $100 fine Overturned on a

technicality.General Public thought

case was ridiculous Significance:

marginalized fundamentalists

African American CultureThe Great Migration leads to development of

African American Culture.Harlem Renaissance - Living in Urban centers

stimulated artistic development, racial pride, a sense of community, and political organization.Jazz – an improvisational style of music which combined African rhythms, European melodies (ragtime) then blended with sound of blues. Louis Armstrong – “father of Jazz”

Blues- music that evolved from African American spirituals. Bessie Smith singing of unfulfilled love, poverty, oppression

The Rise of Black NationalismMarcus Garvey- Jamaican Born Leader of

Black Nationalist movement formed the Universal Negro Improvement Association (UNIA) to promote black pride and unity.

Argued for black self-reliance Economic and political power through education

Advocated separation and independence from whites –Black settlement in Liberia, Africa

Black Nationalism Cont.After he led a 50,000 man march through Harlem the FBI viewed his organization as a source for black uprisings.

Garvey was then Convicted of mail fraud in 1923

Coolidge used his immigrant status to send him back to Jamaica in 1927