Why was there an economic boom in the 1920s ?

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Why was there an economic boom in the 1920s ?

        There was an economic boom in the 1920s as there were many factors playing a part and working together, causing the boom to be self generating. These factors where resources, impact of First World War, technological change, Mass- production, Mass Marketing, Credit, Confidence and the policies of the Republican Presidents. These are the many reasons there was an economic boom in the 1920s.

        One of the main reasons there was an economic boom was the fact that the USA had a great store of natural resources, like coal, wood, iron, minerals, oil and land, meaning that not only the USA had such a great natural resources that they could use in trade, but also it helped America to become a great industrial power and proving a sound basis for further expansion.

        The impact of the First world war also played a huge part in the economic boom, as during the war America supplied Europe with many goods and had taken over overseas European markets, with in some area the USA industry was now the world leader, e.g. chemicals. The war hastened technological change which the US industry seized on.

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        To link with the First war world is Technological change, the fact that the war helps speed up the changes. Plastics like Bakelite were developed effectively for the first time and were used in new household products. There were also other technological developments like, automatic switchboards, glass tubing, conveyor and concrete mixers, these helped modernise existing industries and develop new ones. Through one of the biggest developments was that of electricity. Electricity provided a cheaper more efficient source of power for factories, also it led to the productions of new consumer goods such as refrigerators, vacuum cleaners and radios.

        Mass ...

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