ECONOMY

     1920's

             1960's

Overall Economy - The twenties were described as a period of mass consumerism and entertainment, with the mass production of cars, ready-made clothing, household appliances, huge increases in the number of restaurants, and increase in use of the telephone and electricity. It was a booming time economically allowing for a shift from income being used for necessities to recreation and other consumer products. Installment credit allowed everyday people to borrow from banks for mortgages, automobiles and more. 

Stock Market - Times in the twenties were so prosperous people took their savings and started investing in the stock market.  It was seemingly stable and lucrative until people starting investing money they didn't have, buying stocks on margin. Warning signs were ignored.  After nearly a decade of booming economic times the Stock Market crashed on Oct. 29, 1929, beginning the Great Depression.

Growing Industries - Newer industries, such as automobile, aviation, chemicals, entertainment, and processed foods, surged ahead rapidly during this decade. The growth of chains, such as grocery and five-and-dime stores also grew as did the entertainment industry with radio, movies and spectator sports. The discovery of penicillin was a major medical breakthrough.

Overall Economy - The sixties were considered to be a decade of affluence as it had the longest period of economic expansion.  The domestic economy was expanding, unemployment was low, and technology was sparking continual innovation.  Big business, with General Motors, Standard Oil and Ford Motor dominated.  Government became bigger as it employed more people than ever before. This greater affluence allowed increased discretionary money for enjoyment. The U.S.'s higher standard of living became envied worldwide.

     Stock Market -  The stock market was strong in the early sixties in response to the robust economy and low inflation with it peaking in early 1966.  Inflation increased after this peak and government spending (versus investment growth) and increased taxes along with slower industrial production and increased defense spending were all factors contributing to a decline in the stock market by the end of the decade.

  Growing Industries - Many of the inventions of the 1960's created breakthroughs in the communications industry with telephones and pagers, etc; the information age begins with developments in computer technology; a new frontier of space exploration (see the video of the first moon landing); and further amazing medical advancements.  Real estate development with the building of malls and hotels greatly expanded. Inventions created ranged from the computer mouse to the ATM machine to LEDs to astroturf.