American Automobile Industry

Initial auto production after the war was slowed by the retooling process, shortages of materials and labor unrest. However, the American auto industry reflected the post-war prosperity of the late-1940s and the 1950s. Cars grew in overall size, as well as engine size during the 1950s. The Overhead valve V-8 engine developed by GM in the late-1940s proved to be very successful and helped ignite the horsepower race, the second salvo of which was Chrysler's 1951 Hemi engine. Longer, lower and wider tended to be the general trend. Exterior styling was influenced by jets and rockets as the space-age dawned. Rear fins were popular and continued to grow larger, and front bumpers and taillights were sometimes designed in the shape of rockets. Chrome plating was very popular. The most extreme version of these styling trends were found in the 1959 Cadillac Eldorado and Chrysler Corporation's 1957 Imperial. The Chevrolet Corvette and the Ford Thunderbird, introduced in 1953 and 1955 respectively, were designed to capture the sports car market. However, the Thunderbird grew in size in 1958 and evolved into a personal luxury car. The 1950s were also noted for perhaps one of the biggest miscues in auto marketing with the Ford Edsel, which was the result of unpopular styling and being introduced during an economic recession.
• The 1960s
Big changes were taking place in automobile development in the 1960s, with the Big Three dominating the industry. Meanwhile, with the passage of the $33 billion Federal Aid Highway Act of 1956, a network of regional and interstate roads continued to enhance transportation. As urban areas became more congested, more families migrated to the suburbs. In fact, between 1960 and 1970, 70 percent of the population's growth occurred in the suburbs.
Imports grew during the 1950s, with the Volkswagen Beetle being the biggest seller. In response to this the domestic auto makers developed compact cars, such as the Ford Falcon, the Chevrolet Corvair, the Studebaker Lark and the Plymouth Valiant. (The compact AMC Rambler had been around since the early 1950s.) While initially successful in sales, they mostly took sales away from larger cars within their companies.