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PRODUCING GREAT QUANTITIES OF GOODS As the adoption of mass production techniques increased productivity, businesses expanded. There were numerous mergers of companies that manufactured automobiles,

PRODUCING GREAT QUANTITIES OF GOODS As the adoption of mass production techniques increased productivity, businesses expanded. There were numerous mergers of companies that manufactured automobiles, steel, and electrical equipment, as well as mergers of companies that provided public utilities. Chain stores sprouted, selling groceries, drugs, shoes, and clothes. Five-and-dime stores like Woolworth's also spread rapidly. Mail-order catalogs allowed Americans who lived far from big cities to buy the attractive new products. Congress passed a law that allowed national banks to open branch offices within cities where their main office was located. But as the number of businesses grew, so did the income gap between workers and managers. There were a number of other clouds in the blue sky of prosperity. The iron and railroad industries, among others, weren't very prosperous, and farms nationwide suffered losseswith new machinery, they were producing more food than was needed and this drove down food prices. How did the use of new production techniques and machinery affect farmers? * 2 points Farmers were able to produce fewer crops. Farmers began to merge their businesses as output grew. Farmers were unable to keep up with demand for their products. Farmers produced more than was needed, which led to lower food prices

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