Henry Ford also introduced an assembly line which was a more efficient method of producing cars. An electric conveyer belt carried partly assembled car at the same speed as the worker. This meant that because more cars were made faster more people were buying and so bought money into the USA. Before the conveyor belt one car was made every 3 minutes, however by 1920 one car was produced every 10 seconds.
Fords new modern advertising techniques helped sell more cars. For example he had women in the advertisements. This not only attracted men’s attention, it encouraged more female drivers. This meant that more people were buying cars and so contributed to the economic prosperity.
The car industry was a quite important factor which led to the economic boom because people bought more cheap cars.
The First World War was another factor which helped contribute to the economic prosperity. This is because at the beginning of the war the USA did not enter the war and therefore benefitted. Many European countries bought much needed supplies such as raw materials and munitions from the USA as no other country could provide. Also many countries borrowed lots of money from the USA. This was the most important factor was the First World War, this is because other countries were more dependant on the USA and spent more money on the supplies so it impacted the economy most.
The development of technology helped with the economic prosperity. This is because it meant that there were more gadgets for people to buy like radios. This was very important because more people wanted to buy the electronic goods and so they bought in money to the USA, however it is not as important as the First World War as it bought in more money into America.
Cheap Labour was another factor which leads to the economic boom. This is because immigrants from places like Europe supplied plentiful supply of cheap unskilled labour. This meant that less money was being spent and so there was more money for the country. I think that this was the least important as it did not bring in as much money as the First World War, car industry or the technological change did.
Credit was another factor helped with the economic boom. This is because more money was available for people to borrow. This made it easier for people to buy items if they didn’t have cash, because they could always pay later. I think that credit was fairly important, because more people buying goods bought more money into America.
In conclusion overall I believe the car industry was not the most important factor which contributed most to the economic boom I believe First World War was as it was the factor which bought in the most amount of money compared to the other factors,
by
azilani191 (student)
