Year 10 lesson 2 Economic Boom

What is an economic boom?

• A significant decrease in a country's wealth

• A slow and steady increase in a country's wealth

• A dramatic increase in a country's wealth

• A dramatic increase in inequality in a country

What is a consumer society?

• A society where everyone eats lots of food

• A society where people have little money to buy non-essential items

• A society where most people can afford to buy non-essential items

• A society where everyone can afford to buy luxuries

How did WWI NOT contribute to the economic boom of the 1920s?

• The USA was owed money by other nations it had lent to during the War

• The USA's manufacturing industries produced lots of war materials to sell during the War

• Other advanced nations like Germany and France suffered great damage during the War

• More than 100,000 Americans died during the War

Which of the following did NOT contribute to the economic boom of the 1920s?

• Low taxes encouraged investment and spending

• Tariffs on foreign products encouraged people to 'buy American'

• There was little regulation for companies to spend money complying with

• Many women returned to being housewives after WWI

Which of the following statements is false?

• Mass production made it cheaper and faster to produce goods

• The car industry was important because it provided good jobs to lots of people

• The car industry was important because it created jobs in the industries that supplied the materials - glass, tyres, leather, and steel

• By 1930, every American owned a car

Which of the following statements is false?

• Advertising developed in the 1920s partly as a result of propaganda from WWI

• Advertising helped create demand for consumer products

• Advertising was the key to the economic boom of the 1920s

• Advertising encouraged people to strive for an 'ideal' life

What was Hire Purchase?

• A way of hiring a product before you bought it

• A way of selling a product second-hand if you regretted buying it

• A way of buying a product in instalments

• The first credit card

Which of the following statements is false?

• In a cycle of prosperity, most people have jobs and can afford to buy non-essential products

• In a cycle of prosperity, wages are rising and companies are doing well

• In a cycle of prosperity companies are struggling and sacking some workers

• In a cycle of prosperity, living standards are generally rising

What is the stock market?

• A market where people can buy products

• A market where people can buy shares in companies

• A market where people can share their wealth with other people

• A market where people can start their own company

How did the stock market contribute to the USA's economic boom?

• Many people borrowed money to buy shares

• Many people bought shares and made money as their value increased during the 1920s

• Banks lent money to people to buy shares on the stock market

• The President encouraged people to buy shares on the stock market