Daniel+-+Boom+Times

__Prosperity and Productivity__ After the war, the U.S. economy rose dramatically. Republican pro-business policies, tax cuts, and business leaders' confidence encouraged people to invest in companies. This led to increase in wage, which allowed consumers to look for other products other than necessities.

During the 1920s, electricity was common in most of the American houses. This was due to an abundant supply of energy and a large network of electrical power plants. Now, people were able to consume more than before, and electricity was widely used. Naturally, the revenue from electrical products skyrocketed. Some of the products were mixers, food grinders, sewing machines, washing machines, radio, and phonograph.

Because many people were able to purchase more products, companies had to come up with new ways to increase their quantity of products. **Scientific management**, supported by **Frederick W. Taylor**, was one of the ideas that proposed that every work could be broken down to smaller tasks. To specify the tasks, some observers conducted "time-and-motion" studies; then, they made rates of production that workers had to accomplish. "Efficiency experts" applied these methods o many types of businesses.

__The Growth of the Automobile Industry__ Using scientific innovation, **Henry Ford** lowered the cost of producing products. In 1903, he established his automobile company, and by 1908, he developed the **Model** **T**, which was a hit because of its low cost. To lower the cost even more, he developed a new method called the assembly line, which was derived from the slaughterhouses of Chicago. This was a conveyor belt that allowed workers to stay in one place and work.

1) How much did the workers earn from the Ford Company? - $5 2) Among the problems that the advent of cars have brought, which was the most serious problem? - car accidents 3) Because Ford was concerned about the workers, he would fire the workers doing THIS. - tobacco/ alcohol 4) Why did the teenagers no longer stay at home with their families? - they had more places to go riding cars 5) One of Ford's competitors, General Motors (GM), produced expensive and luxurious cars. This company was led by WHO? - Alfred P. Sloan 6) Installment plan is what? - paying for a product over time 7) After 1929, how much was the money spent on advertising? - $3 Billion 8) Manufacturers produce goods that would have a design that would soon be replaced by an up-to-date model. This was called WHAT? - planned obsolescence 9) List four things that were created because of the wide spread of automobiles. - billboards, drive-in restaurants, filling stations, tourist cabins, going to the suburbs, auto-touring guides (guidebooks), etc. 10) Who created Model T? - Henry Ford