Post World War I period

Introduction

The period after the World War I was as a period of prosperity in the history of America. It was marked by a period of prosperity, technological spur, followed by the collapse in the economic front which is popularly known as the Great Depression, followed by the measures taken by the government to improve the situation which comes under the umbrella The New Deal, and then the most catastrophic event namely the World War II.

Post World War I period

The period from 1923-1929 was a period of exceptional prosperity in the United States. Economic experts felt that America had reached a permanent plateau of economic development. Industry saw a boom in production with the use of steam engine and assembly lines .New inventions brought prosperity due to mass production. Automobile industry was mainly responsible for the economic prosperity of America. Hendry Ford was responsible for making innovations in the automobile and made it more an affordable commodity to the people at large. In fact, with large scale employment provided by this sector, it led to the growth of other industries such as rubber and oil. With large number of people at work, it improved the living conditions of the people and by 1920 the per capita income was3.7% which hardly any inflation. People were able to own consumer goods on instalment from chain shops that sprung up during this period. This was a new development in the post war period. However, some industries like mines, railroads and the agriculture did not share good times as their was lull in these businesses and crop prices had a slump and profits were low. Thus there was uneven economic prosperity with a some groups in the urban sector doing better than the people in the rural sector.