Infographic Assignment

Level of Government intervention

Classical liberalism

- Limited government intervention

Government acted on creating more industrialization

- Provided land for railroads

- High tariffs to prevent foregin competition

- Army was employed to remove indigenous people from their lands to further industrialize

Key Individuals

Michael Faraday

- Invented the eletric motor, transformer and generator

General workers

- contributed to industrialization

- many individuals were replaced by machines

Policies and Influencial Ideas

- Cottage system -> Factory system

- Increased production and effciency

- Lower prices

- More goods

- Migration from rural to urban areas

- Machines replaced people

Level of Government intervention

Classical liberalism

- Very limited government

Laissez-Faire

- Promoted limited government intervention in the market

Politics were very corrupted

- Big companies would bribe political figures to ensure that government policis favoured businesses over workers

Key Individuals

John D. Rockefeller

- Founder of Standard Oil Company

Henry Clay Frick

- Coke and steel operations

Andrew Carnegie

- Espansion of steel industry

Policies and Influencial Ideas

- Repaid economic growth

- Higher immigration

- Higher wages than Europe

- Poverty

- Concentration in wealth

- Some were extremely rich and some were living in extreme

- Great riches

- Big companies thrived while workers struggled to make ends meet

Level of Government intervention

A little more government intervention

- Slight shift towards modern liberalism

- Increased policies

- Favoured civil service reform, food safety laws, increased political rights for women

Key Individuals

Theodore Roosevelt

- Threatened mine owners

- Argued that capitalists and labourers should be treated fairly

Herbert Hoover

- american relief administration

William Howard Taft

- Addressed the progressive goals of democracy, social welfare, and economic reform

Policies and Influencial Ideas

- Protect social welfare

- Promote moral imrovement

- Create economic reform

- Foster efficiency

Level of Government intervention

Many refused government intervention

- opposed ideas of communism

Classical liberalist ideas that strongly opposed the idea of government intervention in order to achieve equality

Key Individuals

The "Reds"

- refers to the blood shed by the working class in its struggle against capitalism

Warren G. Harding

- speech about "return to normalcy"

- recovering after First Red Scare

Policies and Influencial Ideas

After Russion revolution and wall street bombing

- Support for classical liberalism

- Rise in unemployment

- Fear that Russian immigrant intended to overthrow government

- Russian immigrants deported

Level of Government intervention

Classical liberalism

- limited government intervention

- conservative

- beliefs that if the government focused on private businesses, it would benefit everyone

- women got the right to vote in 1920

Key Individuals

Henry Ford

- showed that happy employees worked harder

Calvin Coolidge

- Revenue Act of 1924

- Cut federal taxes

Policies and Influencial Ideas

- Mass production

- Drop in prices

- Increase in consumerism

- Buying on a margin

- Getting a loan from brokerage and investing it

Level of Government intervention

Lack of government intervention

- millions of people invested their savings or borrowed money to buy stocks, pushing prices to unsustainable levels

- increased government intervention afterward in hopes of providing financial aid to those struggling

Key Individuals

Herbert Hoover

- was critisized for doing too little too late

General public/Investors

- the stock market crash lead to the great depression

- many individuals struggled from poverty

Policies and Influencial Ideas

- Overpriced shares

- Public panic

- Rising bank loans

- Living beyond means

- Overproduction

Level of Government intervention

Government Intervention

Classical liberalism

- Lack of gov intervention at the beginning which caused further recession

Dependence on private charities and volunteerism

In 1932s was when taxes were increased on wealthy and larger corporations

Key Individuals

Key Individuals

Herbert Hoover

- Too little, Too late

- Hoover believed that public relief would reduce work ethic and weaken individual character

- Hoovervilles

- Drought (Dust Bowl)

- Did not try to control stock market boom

Policies and Influencial Ideas

Policies and ideas

High unemployment rates and decline in industrial output

The 1932 Reconstruction Finance Corporation (RFC)

- Increased taxes to corporations and wealthy

Small amounts of public works construction attepmted:

- Hoover Dam

- San Francisco Bay Bridge

- Los Angeles Aqueduct

Level of Government Intervention

Shift to modern liberalism

- More government intervention in the economy and in social programs

Federal government programs that sought to offer economic relief to the suffering, regulate private industry, and grow the economy

Recovery of the economy through federal spending and job creation

Key Individuals

Franklin Roosevelt

- Adressed problems of Great Depression through implementing programs

Policies and Influencial Ideas

Public works projects: Series of programs and projects aimed to restore prosperity as well as help the people who are unemployed

- Examples: AAA, CCC, FERA, NRA, FDIC

NIRA

- Cooperation and limiting of competition

Federal Deposit Insurance Corporation

Securities and Exchange Commission

Encouragement of unions

Level of Government intervention

Modern liberalism

- More Gov intervention

Heavy gov spending

Governments can boost supply by lowering taxes and reducing regulations on suppliers

Government controls economy by controlling money spent and saved during specific times

Key Individuals

John Maynard Keynes

- Keysian Economics

- Fiscal and Monetary Policy

- Recession: More government spending (lowering taxes) and decreasing interest rates

- Inflation: More government saving (raising taxes) and increasing interest rates

Policies and Influencial Ideas

Government spending: increase in government spending to generate demand for goods and services

Monetary policies help to control money available through regulating interest rates

Demand of goods and services is what drives economy

Save (raise taxes) during times of prosperity

Spend during recessions to stimulate economy

Level of Government intervention

Modern Liberalism

- More government intervention

Regulation of industries

Regulation of economy

More government services provided

Social and welfare programs

Policies and Influencial Ideas

Canadian Pension Plan

Employment Insurance

Crown Corporations

CMHC and CRTC

Universal health care

Level of Government intervention

Shift to classical liberalism

- Less gov intervention

Government collected less taxes

Became in debt and had to take out loan from International Monetary Fund

Policies and Influencial Ideas

Slow growth and rapidly increasing prices

OPEC reduced production of oil

- increasing prices of oil

- Slowing of economy causes inflation

- Not enough supply for demand

Recession and high inflation occurring at the same time creates this period of recession

Level of Government intervention

Classical Liberalism

- Less gov intervention in free market

Government should be cutting taxes, lowering borrowing rates, and deregulating industries to foster increased production

Descrease in regulation of economy

Decrease taxes for larger corporations and wealthy

Key Individuals

Ronald Reagan

- Reaganomics: lowering taxes for the wealthy will promote economic growth because they will spend more

Margaret Thatcher

- Thatcherism -- reduce gov involvement, increase economic freedom (shift to classical liberalism), increase privatization

Milton Friedman

- Rejection of welfare state and advocate for less government intervention

- Promotes fiscal responsibility

F.A. Hayek

- Free market is necessary to balanace supply and demand

Policies and Influencial Ideas

Supply-side economics, which states that the production of goods or services, or supply, is of primary importance in economic growth

The three pillars of supply-side economics are tax policy, regulatory policy, and monetary policy.

- Lower tax rates

- Monetary policy will create to economic prosperity

Free market is the only way to balance supply and demand

More privatized buisnesses