Why were the 1920's a great time to be wealthy?
The 1920s were an age of dramatic social and political change. For the first time, more Americans lived in cities than on farms. The nation’s total wealth more than doubled between 1920 and 1929, and this economic growth swept many Americans into an affluent but unfamiliar “consumer society.” The 1920s was an era of “mindless materialism and consumption of private wealth.
Fact: The oil reserves were Casper Wyoming, Elk Hills and Buena Vista Hills in California.
A story of scandal.
On april 14, 1922, every newspaper broke a disturbing story on its front page. Albert B. Fall, the US secretary of the interior, had acted without government authorization to lease, or rent, government-owned oil reserves in California and Wyoming to two private business interest. The words corruption and scandal were used to describe. The wall street journal revealed that Fall had taken large amounts of money to push through the leases, which would lead to millions of dollars in profit in business interest.
Fact: It is called The Teapot Dome Scandal because oil reserves looked like a teapot.
Albert B Fall.
Fall was a powerful government official, he had direct control over all public lands in the United States. He was one of President Warren G Harding's most trusted cabinet members and he was a personal friend of the President as well. Senator of New Mexico and then The secretary of interior.
How did government economic policies during the 1920's lead to the Great Depression?
Wealth distribution in 1920s was incredibly uneven. In the 1920s, prior to the Great Depression, the distribution of wealth was uneven due to most of the money going to America's rich and not being evenly distributed to everyone in the United States. This type of distribution meant a gradual decline in the people's spending power.
This uneven distribution caused prices to go up on products as the factories put them out en masse, but the everyday laborer was increasingly unable to buy the products. The top 1 percent of Americans each had a wealth equal to the bottom 42 percent combined