USA: In the 1920s, radio was one of the sectors of the new economy

In the Twenties radio was one of the sectors of the new economy
In the roaring years of radio, RCA had a boom comparable to that of technology companies. But this did not prevent it from being overwhelmed by the crisis of 1929, although the purchase of radio equipment continued to grow, as the article of explains.

A study of the stock market capitalization shows that in the Twenties of the 20th century the performance of radio companies was comparable to that of today’s technology companies. In the summer of 1920 commercial broadcasters had started their activity in the United States, so it was imagined that the purchase of receivers would have led to a strong development for the industry. The analysis conducted by Jim Reid, a specialist at Deutsche Bank, reconstructs the performance of the stock of RCA (Radio Corporation of America), whose profits had risen from 2.5 million dollars in 1925 to 20 million in 1928, causing the value of the shares to soar by 700% (from cents in 1921 to ten dollars in 1926).