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Chapter 20:
The Economy, Expansionism,
and World War I
STUDY PRESENTATION
© 2010 Clairmont Press
Section 1: The Economy
Section 2: World War I
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Section 1: The Economy
Essential Question
• How did the “New South” concept
change the way Georgians viewed their
economy?
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Section 1: The Economy
What terms do I need to know?
•
•
•
•
New South
diversity
truck farming
service industry
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The Economy
 During and following Reconstruction in Georgia, the
number of tenant farmers and sharecroppers continued
to rise.
 Most tenant farmers were African Americans, but more
and more whites became part of that system.
 Some southern leaders called for a New South that
would become more economically progressive and
prosperous.
 Henry W. Grady, a journalist and editor of the Atlanta
Constitution, was a leading spokesman for the New South
and a great promoter of Atlanta during the 1880s.
 Grady made speeches and wrote articles encouraging
northerners to invest in the southern economy, especially
in Atlanta. Some of Atlanta’s industrial growth during the
late 19th Century can be attributed to Grady.
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Agriculture
Cotton remained the major cash crop of
Georgia, although peaches and pecans provided
income for some Georgians.
Truck farming, or growing vegetables and fruits
for market, grew in scale as railroads made it
possible to ship goods before they began to rot.
Proponents of a New South called for farmers to
diversify, or grow crops of different kinds; they
called for “scientific” farming which they
believed would strengthen Georgia’s economy.
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Industrialization
“New South” supporter Henry Grady of the
Atlanta Constitution” worked to bring more
manufacturing to Georgia and reduce.
The industries that emerged and grew in Georgia
during this pre-World War I period included
sawmills that made board from Georgia pine
trees and gristmills that ground corn and other
grains.
Georgians also began producing naval stores
from pine trees using new techniques to collect
the sap.
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Textiles
 Major textile mills were built in the late 1800s in
the Augusta and Columbus regions to produce
cloth from Georgia cotton.
 The west-central area of Georgia saw textiles as a
good economic development.
 National expositions or fairs in the 1880s
showcased Georgia’s economic recovery, the
state’s natural resources, and lured investors.
 Most mills built housing, which they rented to
workers. Communities grew up around the mills.
 Many children worked long days in the mills,
which kept them from attending school.
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New Businesses
The soft drink companies Coca-Cola and Royal
Crown Cola were founded in Georgia during
this period.
In 1886, Atlanta pharmacist John Pemberton
invented Coca-Cola as a “health” drink made
from the coca leaf and kola nut, mixed with
bubbly water. Several families in Georgia towns
became wealthy bottling and selling Coca-Cola.
Columbus pharmacist Claude Hatcher
developed Royal Crown Cola in the early 1900s.
In the 1920s, the company expanded into the
fruit-flavored drinks called Nehi.
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Tourism
 The state’s service industries
such as tourism grew,
especially in the Golden Isles
region of Georgia’s coast.
 A groups of wealthy
northerners built vacation
homes on Jekyll Island.
These individuals were
attracted to the coastal
region’s beauty and the
state’s mild climate in the
winter.
 Golf retreats became
popular in the Augusta area.
The Jekyll Island Club Hotel on Jekyll Island was once a
private club for some of the world’s wealthiest
businessmen.
Image: Public Domain
Link: Jekyll Island
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Urbanization and Business
 Georgia’s towns grew around the railroads.
 Working-class Georgians began to afford health and life
insurance policies from Georgia-based companies.
 Alonzo Herndon, a wealthy African-American
businessman, owned many properties and founded the
Atlanta Life Insurance Company. Herndon and his wife
provided funding for many social service nonprofit
organizations and Atlanta University.
 Atlanta’s growing population led to more retail stores.
Rich’s department store became a major attraction in
downtown Atlanta.
 Electricity came to Georgia’s cities by the early 1900s. It
would be many more years before residents in many
rural areas enjoyed the benefits of electricity.
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Population of Georgia: 1900-1950
4000000
3800000
3600000
Number of People
3400000
3200000
3000000
2800000
2600000
2400000
2200000
2000000
1900
1910
1920
1930
1940
1950
Year
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Section 2: World War I
Essential Question
• What were ways in which Georgians
contributed to the World War I effort?
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Section 2: World War I
What terms do I need to know?
•
•
•
•
isolationism
World War I
armistice
pandemic
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World War I
1914-1918
Immediate Cause: assassination of Arch Duke
Franz Ferdinand of Austria
Allies: Great Britain, Russia, U.S., and France
Axis: Germany, Austria-Hungary, and Turkey
GA enters the war
German U-boat (submarine) sank ocean liner,
Lusitania – killed American passengers
Zimmerman Telegram:
-telegram from Germany to Mexico, wanted
Mexico to join Germany if U.S. entered the
war
--Both events outraged Americans
Propaganda
- information that is spread for the purpose of
promoting some cause
Brits used it to bombard America with antiGerman information, enticed them to join the
war
GA’s major contribution
Soldiers:
3,000 young people from GA died in an effort
to make the world safe for democracy
Lend/Lease Act
March 11, 1941 – allowed the US
president to “lend or lease” war
materials and money to the Allied
Powers during World War I
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Georgia’s Military Bases
Before the war, Georgia already housed
five large federal military installations.
GA’s military bases became vital to the
United State’s war effort.
By the end of the war, Georgia had
more military training camps than any
other state in the country.
Fort McPherson
Created in 1889
 Center for Training Recruits and Draftees
Housed German Prisoners of War.
 Hospital for the Wounded
Fort Benning
 Permanent home of the U. S. Army’s Infantry
School
Columbus – 1917
Trained troops from all over the country
Eugene Jacques Bullard
First African American
Combat Pilot
From Columbus, GA
Flew for France
Famous Georgian
Use p. 341
Who was Juliette Gordon Low?
GA’s War Efforts
-Textile Mills
Made Fabric for Military Uniforms
Railroads
Carried arms,
ammunition, and
soldiers to ports where
ships waited to sail for
Europe
Farmers
Grew more food crops, tobacco, and livestock
Victory Gardens
Many Georgians grew “victory gardens” to raise their
own vegetables so there would be more food for
the military.
Atlanta Fire
On May 21, 1917, Atlanta’s attention was briefly
drawn away ...
Between 6 ,000 and
10,000 people were
homeless
Early that morning, many residents were told to collect water they
might need for the day because the city’s water supply was to be cut
off for a while.
A fire broke out, and the firemen had little water to put it out.
Over the next 10 – 12 hours, more than 70 city blocks were destroyed.
- About 1,900 houses and 1,600 businesses were destroyed
Armistice Day
 On Armistice Day, November 11, 1918, “The Great
War” was over. – now Veteran’s Day
For years afterward, Georgia and the rest of the
nation rang church bells and held ceremonies at
the 11th hour on the 11th day of the 11th month to
commemorate victory and peace.
World War I
 In the 1880s and 1890s, the United States entered
a period of expansion, acquiring territory in other
places. The U.S. needed overseas markets, raw
materials, and naval bases.
 The establishment of military bases in Georgia
during the 1898 Spanish-American War set the
stage for the role Georgia played in World War I.
Those bases provided a boost to Georgia’s
economy.
 The U.S. entered World War I in 1917, after
remaining neutral for three years. Georgia’s bases
would prove to be important to the war effort.
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Causes of World War I
 As the United States expanded its trade and territory, its
policy of isolationism changed.
 The 1898 Spanish-American War brought military bases to
Georgia, providing an economic boost.
 Complex alliances brought several European countries into
conflict following the assassination of the heir to the AustroHungarian throne, Archduke Ferdinand.
 Great Britain, France, and Russia (the Allies) joined against
Germany and the Austrian Empire (the Central Powers).
 The United States preferred to remain neutral, but effective
shipping blockades by Great Britain violated U.S. trade rights.
 German submarines (U-boats) made it dangerous for
American merchant ships to reach European waters.
 U.S. President Woodrow Wilson, of Augusta, attempted to
be a peacemaker as long as possible. As a boy, Wilson had
seen the horrors of war as wounded Confederate soldiers
were brought to Augusta.
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The United States Enters the War
 A German U-Boat sank a British passenger ship,
the Lusitania, in 1915, which resulted in 128
American deaths; Germans sank a French ship, the
Sussex, in 1916, which had Americans on board.
 The war resulted in millions of deaths, but until
1917 the U.S. stayed out of the conflict.
 In March 1917, German U-Boats sank several
American ships and the U.S. also learned that
Germany tried to recruit Mexico to its side.
 On April 4, 1917, the United States declared war on
Germany, despite continued opposition by many
Americans. Wilson told Congress he hoped it would
be a “war to end all wars.”
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Georgia and World War I
 Georgia benefitted from several military training camps
in the state.
 Camps across the state trained National Guard units,
medical personnel, transportation units, engineers,
biplane pilots, and infantry troops.
 Fort McPherson, south of Atlanta, was a permanent
post. During the war it housed prisoners and treated
thousands of soldiers in its hospitals.
 Demand was high for Georgia’s processed and canned
foods. Cotton prices went up.
 Georgia’s textile mills made cloth for uniforms and
bandages. The state’s railroads carried arms,
ammunitions, and soldiers to ships at port.
 Many Georgia citizens bought Liberty bonds to help
finance the war.
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World War I Deaths (Military and Civilian)
10,000,000
9,000,000
8,000,000
389,274
117,465
680,000
Bulgaria
725,000
Austria-Hungary
1,225,914
187,500
Ottoman Empire
7,000,000
Total Deaths
1,567,000
6,000,000
1,240,000
Other countries
United States
Romania
5,000,000
1,697,800
2,476,897
4,000,000
Serbia
British Empire
Italy
3,000,000
2,000,000
German Empire
3,311,000
France
2,921,844
Russian Empire
1,000,000
0
Allies
Central Powers
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The End of the War
 In 1918, Wilson proposed a League of Nations in which the
world’s nations could discuss and resolve issues. It was
formed after the war, but the U.S. did not participate.
 The Allies and Central Powers signed an armistice in
November 1918.
 The Treaty of Versailles weakened Germany and created
resentment in Germany that later brought on World War II.
 In 1918, the Spanish flu spread across the world and into
Georgia. This pandemic killed more than 40 million people.
 Georgians returned from foreign lands to resume their work
in farms, factories, towns, and cities. Georgians built
monuments to honor their dead.
 Segregation continued after the war, to the disappointment
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of African Americans who had served in Europe.
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