Question

Which statement provides the best explanation of the relationship between American consumerism and manufacturing during the 1920s?

Manufacturers lowered the prices of their goods in response to Americans’ embrace of consumerist attitudes.
Consumers were often frustrated by their inability to afford many of the new products being produced by manufacturers.
Businesses hesitated to manufacture new products as most consumers hesitated to buy untested items.
The economy boomed as consumers had more money to spend just as more manufactured goods were becoming available.

Answer 1

"The economy boomed as consumers had more money to spend just as more manufactured goods were becoming available."

Explanation: In the 1920s rising wages, installment buying, and heavy advertising expanded consumer demand while mass production (assembly lines, cheaper manufacturing) increased the supply of automobiles, appliances, radios, etc. The combination of greater purchasing power and more available goods drove the economic boom.