The economic boom in America

The economic boom in America is a period of strong economic growth, rising living standards, and mass consumption that took place after World War II, mainly from 1945 to the early 1970s.

When did it happen?

  • 1945 – early 1970s
  • Especially strong in the 1950s and 1960s

Why was there an economic boom?

Several reasons explain it:

  • The US economy was not destroyed by the war
  • High industrial production
  • Technological progress
  • Government support (housing, education, infrastructure)
  • Strong consumer demand
  • Development of credit

Main characteristics

Economic

  • Full employment (very low unemployment)
  • Rising wages
  • Rapid industrial growth
  • Growth of big companies

Social

  • Development of the middle class
  • Baby boom
  • Suburbanization (people moving to the suburbs)
  • Growth of the consumer society

Consumption and lifestyle

Americans bought:

  • Cars
  • Houses in the suburbs
  • Household appliances (TVs, fridges, washing machines)
  • New consumer goods

This is why the period is often called the “age of mass consumption.”

The end of the boom

The boom slowed down in the early 1970s because of:

  • The oil shocks
  • Rising inflation
  • Economic instability