1. Chapter 21: Normalcy and Good Times
American History

2. The Harding Administration
Harding’s slogan was to return to normalcy, or normal life after World War I
However, Harding’s presidency was littered with scandal
Ohio Gang: hired old poker buddies for political jobs; abused their positions and caused scandal
Teapot Dome Scandal: Secretary of Interior Albert Fall leased lands containing Navy oil reserves in Teapot Dome, Wyoming in exchange for bribes
Daugherty scandal: Attorney General Harry Daugherty accepted bribes from a politician in connecting with gaining access to a German company’s valuables

3. The Coolidge Administration
Coolidge was more withdrawn than Harding, and contrasted heavily from the “Roaring 20’s”
Was quiet, withdrawn, and did not seek attention
“Keep Cool with Coolidge”
Believed that prosperity rested on business leadership, and that the government should not interfere with business
Easily won the election of against a weary Democratic Party and a dying Progressive Party

4. The Automobile and the Assembly Line
During this time, mass production, or large scale manufacturing, had increased, resulting in consumer costs
With the invention of the automobile (Model T) by Henry Ford came the development of the assembly line
Divided operations into simple tasks that unskilled workers could do
Cut unnecessary motion to a minimum
Reduced the price of goods due to speedy manufacturing and using less materials and man-power
Increased worker’s wages and decreased worker’s hours and days of working

5. The Consumer Goods Industry
With the development and manufacturing of the automobile came the growth of other industries, such as rubber, plate glass, nickel, and lead
The automobile also helped create small business, such as garages and gas stations, and eased the isolation of rural life by making it easier for farmers and townspeople to travel into the city
Other products, such as electric razors, disposable facial tissues, frozen foods, home hair dye, hygiene products, vacuum cleaners, electric irons, and refrigerators became available for the public to own
A major focus on fashion and youthful appearance also took shape

6. The Airline and Radio Industries
With advancements in airplanes during World War I came the development of the airline industry
Airplanes were used for stunts, at first, but then developed into mail-carrying vessels
With Charles Lindbergh’s solo flight over the Atlantic came the possibility that airplanes can be used for transportation
In 1913, Edwin Armstrong invented the radio, and in a few years, it would be a household item for entertainment
In 1926, the National Broadcasting Company (NBC), followed by the Columbia Broadcasting System (CBS) established a permanent network of stations, selling time to advertisers and performers

7. The Consumer Society
The 1920’s was a decade of spending, which kept the economy booming
Consumers built upon lines of credit and debt, figuring they would be able to pay it off over time
Advertising became a booming industry, using ads to lure consumers into spending
Companies went through a managerial revolution, where the company became more structured, with a manager in charge
Industrial workers were offered to participate in welfare capitalism, or use the option of buying company stock, participate in profit sharing, and receive benefits
Companies offered the option of an open shop to workers, which did not require them to join a union

8. The Farm Crisis
Farmers did not share the same fortunes as everyone else in the 1920’s
Even with the development of fertilizers, pesticides, and farm equipment, which led to an increase in production of products, the demand was low, and so were prices
The government encouraged farmers to sell their crops in Europe, but once the war ended, farming returned to normal
The government passed bills to help farmers sell their surpluses overseas, but Coolidge vetoes these bills, saying that the farmers would grow a greater surplus, eventually limiting the government to sell their products overseas

9. Promoting Prosperity
Andrew Mellon devised programs and goals to help continue the raging American economy
Cut government spending, reduced taxes, and balanced the overall budget
Believed lowering taxes would give people more money to invest, which would help the economy grow, which would give the government more money, in the long run, from taxes: supply-side economics
Herbert Hoover also helped develop the nation’s economy
Called on his philosophy of cooperative individualism, which encouraged manufacturers to form trade associations, which would give secrets to the government
Also created several agencies to help keep the economy stable

10. Trade and Arms Control
The majority of Americans favored isolationism, or staying out of world affairs, but the government viewed the United States as an instrument for world peace
Banker and diplomat Charles Dawes negotiated with Great Britain, France, and Germany, and established the Dawes Plan to help continue economic stability in Europe
The United States would loan money to Germany to pay for the reparations for World War I, and in turn, France and Great Britain would pay more on their war debts to the U.S. and demand less from their reparations

11. Disarmament and Abolishing War
The U.S. government held meetings, known as the Washington Conference, with Great Britain, France, Italy, China, Japan, Belgium, the Netherlands, and Portugal, to discuss halting armament production
Proposed a 10 year moratorium, or pause, in the construction of new warships
The Five-Power Naval Limitation Act formalized the plan
The Four-Power Treaty recognized possessions of islands in the Pacific
The Nine-Power Treaty guaranteed China’s independence
The Kellogg-Briand Pact outlawed war in the United States
62 nations ratified it
Hailed as a victory in peace, but did little to keep countries from arming soldiers and from tangling into war