USA 1920s - Boom and Bust

Summary

In 1919 New York, a million immigrants arrived seeking the American dream, but many faced hardship in overcrowded tenements. The 1920s saw the US as an industrial giant with thriving sectors like iron, steel, and agriculture. President Wilson's vision for the League of Nations was rejected in favor of isolationism. The era was marked by labor unrest, the rise of prohibition, and a consumer boom symbolized by the automobile. Corruption scandals marred Harding's presidency, while the 1920s ended with the stock market crash of 1929, leading to the Great Depression.

Takeaways

• 🌍 In 1919, New York was a major immigration hub with a million new arrivals annually from various European countries seeking opportunities.
• 🏭 By the 1920s, the USA was the world's largest industrial power, with the Northeast focused on iron and steel, the Midwest on agriculture, and the South on manual labor.
• 🤝 President Woodrow Wilson's vision of a League of Nations to prevent future wars was not realized due to America's desire for isolation from Europe.
• 🔨 The early 1920s saw a rise in strikes and fear of Communist and anarchist plots, leading to the arrest and execution of two Italian anarchists, Sacco and Vanzetti.
• 🚗 The 1920s was a decade of rapid industrial growth, with the automobile industry booming and Henry Ford's $5-a-day wage setting a new standard.
• 🏙️ The era was marked by mass production of consumer goods and the rise of skyscrapers to accommodate expanding businesses.
• 📻 Silent movies and radio became popular forms of entertainment, with comedians like Harold Lloyd and Cecil B. DeMille's films gaining prominence.
• 🚫 Prohibition led to the rise of speakeasies and organized crime, with gangsters like Al Capone profiting from the illegal alcohol trade.
• 📉 The stock market crash of 1929 marked the beginning of the Great Depression, with millions losing their investments and jobs, and businesses closing.
• 🌐 The economic downturn affected not only the US but also had global repercussions, leading to widespread unemployment and poverty.

Q & A

What was the primary reason for the influx of immigrants to the United States in 1919?

Immigrants came to the United States in 1919 because they had heard it was a land of opportunity where they would be free to work and earn a good livelihood for themselves and their families.

Why were many immigrants disappointed upon arrival in the United States?

Many immigrants were disappointed because they found themselves in overcrowded tenements on the East Side of New York, which did not match the image of opportunity and prosperity they had expected.

What was the economic status of the United States by the beginning of the 1920s?

By the beginning of the 1920s, the United States was already the world's largest industrial power, with people earning their living from various industries such as iron and steel in the northeastern states.

What was President Woodrow Wilson's stance on the League of Nations, and did it materialize?

President Woodrow Wilson was eager for the United States to join the League of Nations to avoid future wars. However, his dream was never realized as America wanted isolation from Europe, and the Congress rejected membership.

What significant legislation was influenced by the thinking of American small towns?

The thinking of American small towns, especially from the women, influenced the passing of the 18th Amendment to the American Constitution, which prohibited the sale and buying of alcoholic drinks.

How did the automobile industry contribute to the economic boom of the 1920s?

The automobile industry was the largest in the country during the 1920s, stimulating other trades such as rubber, glass, and steel. It symbolized fast-growing industry and mass production, contributing to the economic boom.

What was the impact of Prohibition on the American society and economy in the 1920s?

Prohibition led to the rise of speakeasies and organized crime as gangsters like Al Capone thrived on the illegal alcohol business. It also resulted in widespread law abuse and corruption among poorly paid federal agents.

What were the social and economic conditions of the rural population in the United States during the 1920s?

The rural population, including tenant farmers and sharecroppers, faced high rents, low crop prices, and a lack of machinery. This led to thousands of evictions and a cycle of poverty, forcing many to leave their land in search of work.

How did the stock market crash of 1929 affect the American economy and society?

The stock market crash of 1929 led to a loss of confidence, with rich men losing fortunes and millions of small investors left with nothing. It resulted in businesses, industries, and jobs being lost, marking the beginning of the Great Depression.

What was the cultural impact of the Jazz Age on young Americans?

The Jazz Age brought significant changes in the social habits of young Americans, with the popularity of dance halls, nightclubs, and new music styles like ragtime and jazz. It also provided black musicians an escape route from poverty and introduced new dances like the Charleston and the black bottom.

Outlines

00:00

🌆 The Great Migration and Early 20th Century America

This paragraph sets the scene in 1919 New York, highlighting the influx of immigrants from various European countries seeking opportunity and freedom in the United States. It contrasts the promise of prosperity with the harsh reality of life in overcrowded tenements on the East Side. The narrative also touches on the United States' industrial might, the agricultural abundance of the Midwest, and the continued manual labor of African Americans in the South. Politically, it discusses President Woodrow Wilson's vision for a League of Nations, his failed health during a nationwide tour, and the subsequent American isolationist stance. The paragraph concludes with a mention of a wave of strikes and the fear of Communist and anarchist plots, leading to the persecution and deportation of many, including the controversial case of the Italian anarchists Sacco and Vanzetti.

05:00

🚗 The Roaring Twenties: Prosperity and Corruption

The second paragraph delves into the economic boom of the 1920s, symbolized by the widespread ownership of automobiles and the growth of the American industry. It describes the era's consumerism, with families enjoying new pleasures and adventures, and the rise of Warren Harding as president. Harding's administration is portrayed as one of leisure and corruption, with his 'Ohio Gang' holding key government positions and engaging in scandals such as the Teapot Dome affair. The paragraph also touches on the impact of Prohibition, the rise of organized crime and speakeasies, and the economic policies that led to high tariffs and reduced overseas trade. Despite these issues, the decade was marked by growth in wages and industries, with Henry Ford's $5-a-day wage and the rapid production of automobiles being notable highlights.

10:01

📺 Advertising, Technology, and Social Change in the 1920s

This paragraph explores the explosion of advertising and consumer culture in the 1920s, with a focus on the strategies used to persuade Americans to buy more goods. It discusses the proliferation of advertisements across various media, including magazines, billboards, newspapers, and mail order catalogs. The era's technological advancements, such as radios, telephones, and automobiles, are highlighted, along with the impact on consumer behavior and the emergence of new products like electric cleaners and skyscrapers. The paragraph also covers the rise of silent movies and the influence of celebrities and advertising in cinema. However, it contrasts this with the struggles of the poor, tenant farmers, and sharecroppers who could not afford these luxuries and were caught in a cycle of poverty and evictions.

15:02

📉 The Stock Market Crash and the Onset of the Great Depression

The final paragraph describes the economic optimism of the late 1920s, with a focus on the stock market and the widespread belief in continuous growth. It details the sudden collapse of the market on October 24, 1929, known as Black Thursday, and the subsequent panic selling that led to a massive loss in share value. The paragraph discusses the efforts of President Herbert Hoover to restore confidence, but the economic crisis proved too severe. The crash had devastating effects, with wealthy individuals and small investors alike losing their fortunes, businesses closing, and widespread unemployment. The paragraph concludes with a somber reflection on the end of the boom and the beginning of the Great Depression, with its global impact and the hardships faced by millions.

Keywords

💡League of Nations

The League of Nations was an international organization founded after World War I with the aim of preventing future wars and promoting international cooperation. In the video, it is mentioned as part of President Woodrow Wilson's vision for global peace, which he hoped to achieve by having the United States join the League. However, this dream was never realized as the U.S. Congress rejected membership, reflecting America's desire for isolation from European affairs.

💡Prohibition

Prohibition refers to the period in the United States from 1920 to 1933 when the sale, manufacture, and transportation of alcohol were banned. The script mentions the 18th Amendment, which brought in Prohibition, and how it was influenced by the thinking of American small towns and women. Despite the ban, the script notes the rise of speakeasies and the thriving of organized crime, highlighting the law's failure and the cultural impact of the era.

💡Teapot Dome Scandal

The Teapot Dome Scandal was a political scandal during the Harding administration involving the illegal leasing of federal oil reserves. The script describes how Albert Fall, a personal friend of President Harding, was found guilty of selling government land to oil companies for personal gain, illustrating the widespread corruption in Washington during the 1920s.

💡Great Migration

The Great Migration refers to the movement of millions of African Americans from the rural South to the urban North in the early 20th century. The script touches on this as it discusses the social and economic challenges faced by blacks, who continued to be at the bottom of the social scale since the end of slavery in 1865, and the rise of hate groups like the Ku Klux Klan.

💡Wall Street Boom

The Wall Street Boom of the 1920s refers to the period of rapid economic growth and a bull market on Wall Street. The script describes the widespread buying of stocks on credit and the general optimism that characterized this era. However, it also foreshadows the eventual crash that would mark the end of the boom and the beginning of the Great Depression.

💡Ku Klux Klan (KKK)

The Ku Klux Klan is a white supremacist hate group that was particularly active during the Reconstruction era and experienced a resurgence in the 1920s. The script mentions the KKK spreading hate against various groups, including blacks, Jews, Catholics, and foreigners, and using fear to protect the interests of certain social classes.

💡Sacco and Vanzetti

Sacco and Vanzetti were Italian-American anarchists who were controversially executed in the 1920s for robbery and murder, despite slender evidence. The script uses their case to highlight the social and political tensions of the time, including the fear of anarchists and the influence of public sentiment on the legal system.

💡Henry Ford

Henry Ford was an American industrialist and business magnate, best known for his role in the development of the automobile industry and the establishment of the Ford Motor Company. The script mentions Ford's introduction of the $5-a-day wage, which was a significant event in labor history, and his mass production techniques that revolutionized the industry.

💡Great Depression

The Great Depression was a severe worldwide economic depression that lasted from 1929 to the late 1930s. The script describes the stock market crash of 1929, which triggered the Depression, and the widespread economic hardship that followed, including mass unemployment and business failures.

💡Jazz Age

The Jazz Age, also known as the Roaring Twenties, was a period of cultural and economic dynamism in the 1920s, characterized by the emergence of jazz music, the flapper lifestyle, and the rise of consumer culture. The script references this era through the mention of dance halls, new music styles, and the changing social habits of young Americans.

💡Hobo

A hobo is a term used to describe a migrant worker or homeless person, especially one who is impoverished and itinerant. The script refers to the thousands of evicted farmers and unemployed men who roamed the country, hitching rides on railroads and searching for work, highlighting the social dislocation and economic hardship of the time.

Highlights

In 1919, New York saw a million new arrivals from Europe seeking opportunity and freedom.

By the 1920s, the US was the world's largest industrial power with thriving iron and steel industries.

President Woodrow Wilson's vision for the League of Nations was not realized due to America's desire for isolation.

In the 1920s, a wave of strikes and fear of Communist revolution led to mass deportations.

Warren Harding's presidency was marked by the Prohibition and the influence of small-town thinking.

The 18th Amendment led to the prohibition of alcohol, but speakeasies thrived in its wake.

The motorcar became a symbol of America's growing industry and a source of family adventure.

Corruption in Washington was rampant during Harding's administration, with the Teapot Dome scandal as a notable example.

Calvin Coolidge's presidency focused on protecting American business with high tariffs, impacting international trade.

The 1920s saw mass production of consumer goods, influencing fashion and home life.

The era of silent movies and the rise of Hollywood, with Cecil B. DeMille's films as a highlight.

Advertising boomed, with new mediums like radio and cinema used to reach consumers.

The economic disparity of the 1920s saw the rich get richer while the poor faced eviction and unemployment.

The Ku Klux Klan's influence spread hate and fear, targeting minorities and immigrants.

The stock market boomed in the late 1920s, with everyone from small grocers to shoe shine boys investing.

The stock market crash on October 24, 1929, marked the beginning of the Great Depression.

Herbert Hoover's presidency faced the challenge of restoring confidence during the economic crisis.

The Great Depression led to widespread unemployment and business failures, affecting global economies.

Transcripts

[Music]

New York

1919 every year a million new arrivals

came from all over Europe from Russia

from the Scandinavian countries from

Greece and Yugoslavia and

Italy they came because they'd heard

that the United States was a land of

opportunity where they'd be free to work

and to earn a good livelihood for

themselves and their families many were

soon disappointed especially those who

got no further than the overcrowded

tenaments of the East Side in New

York by the beginning of the 1920s the

United States of America was already the

world's largest industrial power here in

the northeastern states people earn

their living from Iron and

Steel

[Music]

across the middle west stretch the

Prairies good Farmland producing an

abundance of

grain

down in the southern states blacks still

did the heavy manual work as they'd

always done since the days of

[Music]

slavery in 1919 Amic iic an welcome back

their troops who'd helped to beat the

Germans over there in

Europe President woodro Wilson returned

from the peace conferences eager to win

his people's approval of the verside

treaty he wanted America to join with

European and other nations into a great

League of Nations to avoid future War

the president set out to speak to the

people in towns and cities all over for

the USA and seek their support for his

policy but Wilson was never a robust man

he was living on his nerves and he broke

down under the strain of the tour

Wilson's dream that America would become

a member of the League of Nations was

never realized America wanted isolation

from Europe the president ended his term

of office as an inaly the American

Congress rejected membership of the

League of Nations America desired no

part in the Affairs of

[Applause]

Europe in the early 20s a wave of

strikes and demonstrations threatened to

disturb the public

[Applause]

peace many Americans were convinced that

Communists and anarchists were plotting

a revolution in

America these two Italian Americans Saku

and vanetti were arrested in 1920 on

Slender evidence for robbery and

manslaughter however they were known to

be anarchists and the jury found them

guilty both men were sentenced to the

electric

chair in this atmosphere of violence and

tension thousands of newcomers most of

them blameless were forced to leave the

country

Warren Harding became president in 1920

he promised to put America First Harding

had owned a newspaper in the small town

of Marian Ohio the thinking of American

small towns had always exerted a great

influence on American

politicians it was pressure from the

small towns especially from the women

that brought in the famous 18th

Amendment to the American Constitution

prohibition of the selling and buying of

Al alcoholic

drink the saloon is well named the poor

man's club it keeps its members and

their families always

poor if you believe that the traffic in

alcohol does more harm than good help

stop it close the saloons prohibition

posters set out to convince Americans

that sin like Jin could be poured

away in spite of prohibition for many

Americans the good times were beginning

the country already had more cars than

the rest of the world put together and

the motorc car came to be the symbol of

fast growing industry the owner of a

family car not only gained respect in

the eyes of his neighbors he also found

a new source of pleasure and adventure

for the whole family Americans began to

discover what lay beyond their own

backyards

[Applause]

[Music]

[Applause]

[Music]

Warren Harding was never a hardworking

president most of all he enjoyed

relaxing with his old cronies from

Ohio many members of this Ohio gang now

held office in government

departments by 1923 there were WID

spread stories of corruption in

Washington Albert Fall a personal friend

of the president president was found

guilty of selling government land at

Teapot Dome Wyoming he'd sold it to oil

companies in return for money to pay his

own areas of tax other cronies of the

president were accused of graft and some

were jailed though Harding himself was

never

accused on a trip to Alaska in 1923 the

president collapsed and

died Calvin kulage the vice president

took over at the White House kulage was

an honest Homespun president president

the business of America he said is

business and he saw every reason to

protect American Business from foreign

competition so America put High tariffs

or taxes on all Goods coming from abroad

and in reply foreign countries raised

their tariffs against American Goods

depriving America of much of its

overseas trade still As Long As

Americans had the money to buy Goods at

home all would be well wages were

certainly good car maker Henry Ford was

paying $5 a day excellent for that

[Music]

time Lane here

on the Motorcar industry was by far the

largest in the country and it stimulated

other trades too rubber glass steel

Henry Ford's Detroit factories with

their Acres of assembly lines poured out

mod Fords at the astonishing rate of one

every 3

minutes the 20s were the years of growth

and boom in all consumer Industries this

was the era of mass production of new

gadgets and new fashions radios

refrigerators electric cleaners Wasing

machines telephones

typewriters and it was the era of the

skyscrapers mushrooming to house Giant

and expanding

businesses the American public was being

pressurized to spend more and more in

the shops there she is there's what

keeps me up at night o Will O wh there's

why I can't eat a

those flaming

eyes that flaming

you oh the 20s was the great age of

silent movies as Cinemas replaced music

halls and

[Music]

theaters now I ask you very

confidentially ain't she sweet and it

was the Golden Age of comedy and the

slapstick antics of Harold

Lloyd

[Applause]

[Music]

cesil B de Mill's Ten Commandments was a

typically lavish spectacular of these

years lovely

commercial advertisers were quick to use

the new medium of

[Music]

Cinema I must don't you think he's kind

of mean but you must tell me very

[Music]

confidentially

a radio programs put out regular

commercials to reach people in their own

houses and salesman called to

demonstrate their Wares hey

look her over once or twice now I ask

you very

[Music]

confidentially KN advertisers were

constantly trying to persuade people to

buy more by flooding them with

advertisements in magazines on

billboards in newspapers and mail order

[Music]

catalogs don't think's kind of neat and

I ask you very

confidentially a keep

[Music]

we but it was pointless for advertisers

to appeal to those people who could

scarcely afford to fill the hungry

mouths of their families let alone buy

radios telephones or

Motorcars the poor tenant Farmers or

sharecroppers of the middle west and

Deep South were caught up in a vicious

circle of high rents low prices for

their crops and a lack of

Machinery there were thousands of

evictions poor people were being forced

to leave the land and set off to find

work out west or up north in the

industrial

cities blacks continued to be at the

bottom of the Heap the black had made

little or no progress up the social

scale since slavery had ended in 18

65 in the South and Midwest the Sinister

KLU Clan was still putting fear into

people's hearts they spread hate against

blacks Jews Catholics and foreigners the

KKK were making sure no Outsider would

threaten their property or

livelihoods grain poured from the

American prairies but prices were

disastrously low

yet their own high tariffs stopped

foreign governments from buying American

[Applause]

[Music]

produce evicted Farmers unemployed men

of all kinds roamed across the country

these were the hobos the traveling men

hitching free rides on the railroads

searching for seasonal work and

returning to spend winter in the

[Music]

cities there were still Urban workers

like Miners and Craftsmen fathers of

families who were in unstable employment

or sweated for low wages many faced

squalor and

[Music]

poty

prohibition of the sale of alcohol was

one of the most abused laws in American

history bars and saloons were now

illegal but speakes or drinking clubs

sprang up everywhere federal agents

confiscated what liquor they found but

because these agents were badly paid

they could easily be bribed by gangsters

who thrived on

prohibition Gangsters Organized the

illegal alcohol business on a large

scale

their underlings were sometimes arrested

but never the big

bosses Al Capone the Chicago gangster

did more than $60 Million worth of

business in alcohol in the year

1927 Chicago was Capone's Manor in

Chicago it was the gangster boss who

paid and controlled the officials in

City Hall as 1929 approached businesses

were still booming there seemed to be

more luxury and more spending than

ever the whole nation seemed to be Wall

Street

crazy everybody was buying on credit

even stocks and shares small Grocers and

Sho shine boys bid for company shares

and bought them from pavement stock

Brokers on higher purchase for a few

dollars down everything was on credit

and everyone lived on the profits

someone else was expected to

make

[Music]

the Jazz Age saw great changes in the

social habits of Young Americans they

had cars and they visited dance halls

and nightclubs where the music of rag

time and Jazz gave black musicians an

escape route from poverty it was the age

of crazy

dances like the Charleston and the black

bottom swept the

[Music]

[Music]

country

[Music]

there were few danger signs people could

see no reason why the stock market

shouldn't go on producing higher and

higher share prices and more and more

profits for the

shareholders but their confidence

collapsed on the day that several

companies went bankrupt the 24th of

October

1929 Panic set in and people started to

sell their stocks and shares for

whatever price they could get nearly 13

million shares changed hands that first

day but in the days that followed prices

plummeted to Rock

Bottom Herbert Hoover elected President

in 1928 tried to restore people's

confidence but the crisis was impossible

to check

rich men lost vast fortunes overnight

and millions of small investors were

left with

nothing shops companies whole Industries

began to go out of business Millions

were soon to lose even their jobs the

boom was over the Depression had come it

shock waves not only rocked the

foundations of the American economy they

were to be felt around the world used to

tell me I was building a

dream and so I followed the

M when there was Earth to plow or guns

to bear I was always there right on the

J they used to tell me I was building a

dream with peace and Glory

ahead why should I be standing in

[Music]

line just waiting for

[Music]

bread once I buil a

railroad I made it

run made it ra against

time once I built a

railroad now it's

done brother

can you spare

a once I built a

tower up to the

sun brick and rivet and

L once I built a

tower now it's

done brother can you

spare once in khaki suit I J looks

well full of that yanky

[Music]

do half a million boo when slog through

hell and I was the kid with a

Dr say don't you

remember they called me

out it was all the

time hey don't you remember

I'm your

P bud can you

[Music]

spare