Farming in 1920s America

How did farming change during the 1920s in America?

Farming in 1920s America suffered serious problems of overproduction. Although farmers were producing more goods, there was less demand for them and so farmers' crop and produce prices fell.

Why did farmers produce more in 1920s America?

Farmers were able to produce 9% more produce in the 1920s, for a number of reasons.

• ❖ The Agricultural Credit Act of 1923 made it easier for farmers to borrow money to modernise their farms.
• ❖ Mechanisation and the use of tractors meant that more food could be produced with fewer workers.
• ❖ During the war, new seeds, pesticides and fertilisers improved production.

Why did farmers stop selling so much food in America in the 1920s?

During the 1920s, demand for agricultural produce fell, and as a result prices dropped.

• ❖ When the First World War ended, demand for food from Europe fell. This meant that prices dropped, making life difficult for many farmers who had expanded their farms to meet the demand of the war years.
• ❖ Prohibition was introduced, which meant that the production of alcohol became illegal. This reduced the demand for barley, apples, hops and grapes, which were used to make alcoholic drinks.
• ❖ The demand for cotton fell with new fashions and synthetic textiles, so cotton farming went into decline.
• ❖ The US government put tariffs on food imports from other countries. They retaliated by putting tariffs on American food, so it was harder for US farmers to sell their goods overseas.

What was the effect of the decline in American farming in the 1920s?

The changes to farming in the 1920s led to a number of problems for farmers and farmworkers.

• ❖ Food prices dropped and farmers could no longer get as much money for their crops.
• ❖ Farmers lost money. About two-thirds of US farmers were running their farms at a loss.
• ❖ Many farmers went bankrupt and had to leave their farms.
• ❖ There were 1 million fewer jobs for farmworkers by the end of the 1920s.