Calvin Coolidge
Coolidge succeeded Harding upon his untimely death. Characteristic of the bland politics of the times, Coolidge made a habit of taking long naps in the afternoon. He maintained the pro-business policies of his predecessor. Some of his famous sayings reflecting this attitude include “The business of America is business”; “Those who build a factory build […]
“The Boom” – When Capitalism Reigned Supreme; The Religion of Economic Prosperity and Boosterism
Consumerism During The Twenties, GNP rose from $74 billion to $104.4 billion. (TFC, Vol. III, p. 25) and the buying power of wages increased 50% from 1913 to 1927 (Id, p. 96) The Twenties saw the development of Madison Avenue and the mass marketing of products. Modern advertising techniques, such as celebrity testimonials originated in […]
The Stock Market Goes Bananas! The Great Stock “Bubble”
We noted the growth of the credit economy above. Stock brokers even began allowing the purchase of stocks on credit, a practice called “margin”. People who wanted to get into the stock market could put up 10% of the cost of the stock and the broker would lend the rest of the purchase price on […]
SUMMARY
F. Scott Fitzgerald looked back at and reflected on the Jazz Age in his 1931 essay “Echoes of the Jazz Age”. He seemed to question the whole experience: Now once more the belt is tight and we summon the proper expression of horror as we look back at our wasted youth. Sometime, though, there is […]
The Great Economic Disaster
The decade of the 1920s was characterized by an unprecedented economic expansion, which resulted in a huge bull market on Wall Street. Business leaders and economists told Americans it was their duty to buy stocks. John J. Raskob, Chairman of the Board of General Motors, wrote in his book “Everyone Ought to be Rich” that a person […]
Homelessness and Hoovervilles
Millions were out of work during the Great Depression. Since the government provided no unemployment insurance, lost jobs resulted in repossessed homes and evictions. Homeowners lost property when they could not pay the mortgage or taxes. Renters fell behind and were evicted. People were put out on the streets with all of their belongings. By […]
The Plight of the Farmer
Thousands of farmers lost their land when they had no market for their crops and thus could not pay their mortgages. The plight of the farmer is reflected in the following quote from a debt-ridden farmer: “If they come to take my farm, I’m going to fight. I’d rather be killed outright than die by […]
The Dust Bowl
It was not bad enough that the economy dealt farmers a lousy hand, Mother Nature added salt to the wounds in the form of The Dust Bowl. The Dust Bowl was an environmental disaster brought on by drought and soil mismanagement where “topsoil literally dried up and blew away…like snow drifts in winter.” (Jennings and […]
Hoboes
Besides the dust bowl migrants, other groups of people were traveling the roads, or hopping freight trains, or going place-to-place looking for something better during the Depression. These transients were called “hoboes” or “boomers.” A derogatory name used by some was “bums” but, there was a distinction: “The hobo works and wanders, the bum drinks […]
The Bonus Army
After World War I, Congress voted a financial payment to veterans of the war as a bonus for their service. Every veteran of the Great War was promised a pension that included $1 for every day served on the home front with a maximum of $500 and $1.25 for every day served overseas with a […]