Without the new automobile industry, the prosperity of the 1920’s would scarcely have been possible.
The prosperity of the US was largely down to the success it had in the 1920’s. It was a pioneer in all industries, such as automobile, chemical technology and commercial shopping. The automobile industry was a huge factor in the boom and here are reasons why.
The prosperity of the 1920’s was only possible because of the automobile industry. Firstly, Henry Ford’s idea of creating a cheap car that many people could afford not only made him rich but also helped create a ‘cycle of prosperity’ that saw people get jobs in related industries such as rubber and metal production, garages and petrol production, engineering, hotels and road building. Henry Ford used mass production techniques to help build cars quickly and cheaply. His assembly line took the work to the man and not the man to the work so that people did the same job to a high standard on each car. Because they only needed to be trained on one aspect of the job they were unskilled workers, and didn’t need to be paid as well as more skilled motor manufacturers; however, as the hours were long and the work was intense, Ford increased wages to a huge $5 a day, the highest in the country to attract workers. Standardisation was introduced, this was where a car was produced in the same way with different mechanics doing different jobs allowing enhancements, changes and modifications being allowed to be made without affecting the assembly line and creating a new standard. This allowed prosperity to affect all industries as it revolutionised the manufacturing process allowing products to be made faster, cheaper and more efficiently. Being able to buy materials in bulk, and not take risks over buying materials that wouldn’t be popular and get used, meant that Ford could get discounts and make his car even cheaper. The original price was $1200 but thanks to mass production, is fell to an incredible $295. This then allowed an ordinary American, using the hire purchase scheme to purchase a car and use it to travel and see the wonders of America and visit the shops by hopping into a car. The prosperity of 20’s was dependent on the fact that consumers could purchase a car and spend on maintenance and fuel. It also allowed family and friends to reconnect by being able to travel long distances easier. Mass production made it easier for farmers to harvest the crops by using similar methods to tractors and combine harvesters. Mass production allowed technology to advance like this and ‘plough’ ahead of Europe.
