How did the Fordist industrial practice spread in US and Europe?
CBSE Class 10
CBSE Class 10 Social
2018-03-06 14:11:09 UTC
Fordist industrial practices soon spread in the US. They were also widely copied in Europe in the 1920s.
Mass production lowered costs and prices of engineered goods. Due to higher wages, more workers could now afford to purchase durable consumer goods sucfuas cars.
Car production in the US rose. Similarly, there was a spurt in the purchase of refrigerators, washing machines, radios, gramophone players, all through a system of ‘hire purchase’ or credit re-paid in weekly or monthly instalments.
These purchases also fuelled a boom in house construction and home ownership, financed once again by loans; so it created a cycle of higher employment and incomes, rising consumption demand, more investment and yet more employment and incomes.