Consumerism and causes of prosperity

• What happened to life in America after WWII ended?

  Life gradually returned to normal.
• How did the production of peacetime goods compare to wartime goods?

  Peacetime goods were produced with the same efficiency as wartime goods.
• What types of luxury goods could people afford after WWII?


  People could afford ovens, televisions, and cars.
• What role did advertising play in postwar America?

  A huge advertising industry and 'buy now, pay later' schemes persuaded people to spend their money.
• What was built on the outskirts of towns during the postwar period?

  Massive shopping malls were built.
• By the end of the 1950s, how many US households had a TV?

  Nine out of every ten US households had a TV.
• By the end of the 1950s, how many US households had a car?

  Eight out of every ten US households had a car.
• By the end of the 1950s, how many US households had a telephone?

  Eight out of every ten US households had a telephone.
• By the end of the 1950s, how many US households had a washing machine?

  Seven out of every ten US households had a washing machine.
• What percentage of the world's manufactured goods was America supplying by 1952?

  America was supplying 65% of the world's manufactured goods.
• What portion of the world's goods and services was consumed by America's growing population?

  America's growing population was consuming one third of the world's goods and services.
• What demographic event contributed to a 40% increase in the population during the postwar period?

  The baby boom contributed to a 40% increase in the population.
• What was the name of Truman's domestic policy initiative from 1945 to 1952?

  Fair Deal
• What were the two main issues addressed by Truman's Fair Deal?

  Poverty and rights for African-Americans
• How much did Truman raise the minimum wage during his Fair Deal policies?

  From 40 cents to 70 cents
• What action did Truman take regarding slums as part of his Fair Deal policies?

  He cleared large slums to make way for affordable housing
• Who opposed Truman's Fair Deal policies?

  Republicans and many Southern politicians
• What significant legislation was passed to assist veterans during Truman's presidency?

  The GI Bill
• What benefits did the GI Bill provide to veterans?

  Established hospitals, made cheap home loans available, and offered grants for education
• How many veterans received financial assistance from the government from 1944 to 1949?


  Nearly 9 million veterans
• How much money did the government provide to veterans from 1944 to 1949?


  $4 billion
• When did Eisenhower become President of the USA?

  1952
• What policies did Eisenhower continue during his presidency?

  He continued with the New Deal and the Fair Deal
• What was one of Eisenhower's economic focuses during his presidency?

  Encouraging economic growth and looking after the middle classes
• Was this a time of the American Dream?

  Despite America being the richest county in the world by the 1950s, there were still areas were the majority of people were desperately poor with substandard living. 25% were still living in poverty – there was no NHS, jobseekers allowance or sickness pay. The elderly failed to benefit from the boom. In 1960, 68% of people over 65 had an income of less than $1000 at a time when the average factory workers earnings were over $4000.
• By the end of the 1950s, what percentage of the world's manufactured goods was produced by the USA?

  50 percent
• How many Americans moved from cities to suburbs during this period?

  19 million
• What factors made it possible for Americans to move to the suburbs?

  They could buy cars, the standard of roads was better, and the interest on mortgages was low
• By 1960, what percentage of the American population lived in suburbs?

  25 percent
• What amenities did suburban residents typically have by 1960?

  Televisions, record players, swimming pools, and cars
• How much did consumer credit increase between 1945 and 1957?

  800 percent
• How many cars were there in the USA between 1945 and 1960?

  The number of cars rose from 25 million to 62 million
• Which car brand was mentioned as popular during Eisenhower's presidency?

  Cadillac
• What political party did Eisenhower belong to?

  Republican
• How did Eisenhower's administration impact the economy?

  He brought business people into government to keep the economy booming
• What was the effect of Eisenhower's policies on the standard of living and wages?

  The standard of living for millions improved and wages kept rising
• What was the time period during which the US economy grew rapidly after World War II?

  From 1945 to the early 1970s
• How did the economic growth from 1945 to the early 1970s affect middle-class white Americans?

  It provided them with a comfortable lifestyle
• By how much was the living standard of the average American higher than that of the average British person in the 1960s?

  Three times higher
• What were the main causes of prosperity in post-war USA?


  • World War II revived the economy with job opportunities
  • No mainland bomb damage during WWII
  • USA's GNP doubled in the 1950s
  • USA produced half of the world's goods
  • Part of the American Dream included home ownership with modern goods
  • Middle-class migration to suburbs for better quality of life
  • Goods available on hire purchase or credit card
  • Acceptance of shorter product lifespans
  • Wealth spread further down the social scale, but some felt excluded