Loading presentation...

Present Remotely

Send the link below via email or IM

Copy

Present to your audience

Start remote presentation

  • Invited audience members will follow you as you navigate and present
  • People invited to a presentation do not need a Prezi account
  • This link expires 10 minutes after you close the presentation
  • A maximum of 30 users can follow your presentation
  • Learn more about this feature in our knowledge base article

Do you really want to delete this prezi?

Neither you, nor the coeditors you shared it with will be able to recover it again.

DeleteCancel

Welfare Capitalism?

No description
by

Jarod Roll

on 29 March 2016

Comments (0)

Please log in to add your comment.

Report abuse

Transcript of Welfare Capitalism?

Welfare Capitalism?

HIS 318
Dr. Roll

Big Business in command after 1919:
--Harding and Coolidge administrations (1921-1929) the most pro-business in decades, perhaps ever
--government spending cuts, tax cuts (particularly for the wealthy)
--turning government agencies (Dept. of Commerce under Herbert Hoover) to aid business
Wild growth of consumer capitalism in the 1920s:
--new consumer goods: electrical appliances, automobiles, wider range of cars
--buying encouraged by advertising
--buying facilitated by new mechanisms of consumer credit
Yet, profits grow much faster than wages in the 1920s
--corporate profits increased by 62%
--wages in manufacturing increased by 5%
--by 1929, 70% of Americans earned as much or less than $2,500, widely considered the poverty line for a family of five
Why?
--spread of mass production techniques and technologies
--assembly line (cars, electronics, rubber)
--mechanization (machine cutting coal, tractors)
--labor needs in road construction, textiles, rubber, and electrical equipment cut between 25 and 60 percent in the 1920s
--manufacturing, coal mining, railroads shed a net of 1 million workers
Unemployment, or precarious employment (layoffs, shut-downs, etc.) endemic in the 1920s
--10 to 13 percent unemployment rate built into the economy
--fear of the loss of work dominant
--de-skilling and unemployment eroded wages
Also, employer assault on labor unions:
--union membership peaked at 3.5 million in the 1920s, less than it had been in 1917
--weakest in new mass production industries, like automobile factories
--Open Shop Campaign
--American Plan
Open Shop campaign:
--Chambers of Commerce, National Association of Manufacturers, League for Industrial Rights all in a concerted campaign to erode rights of workers to join labor unions
--Supreme Court undermined Clayton Anti-Trust Act in a series of early 1920s rulings
--restored the yellow-dog contract
Union conservatism in response:
--John L. Lewis, UMW: defending contracts over organizing new miners
--UMW membership shrank from 500,000 to 150,000

Welfare Capitalism:
--building workers loyalty
--bonus and piece rate premiums, company unions, pension schemes (that disappeared if a worker left a job), leisure activities (picnics, baseball teams)
--company unions: 400 with more than 1.5 million members in the 1920s

Any challenge?
--Progressive Party of America, 1924
--Robert La Follette
--5 million votes, but disastrous election
AFL flirted with Progressive Party, but remained focused on craft unions
--Gompers died in 1924
--William Green replaced, same views
Full transcript