Business Ethics and Corporate Governance, Second Edition

HISTORY AND GROWTH OF CONSUMER PROTECTION

The genesis and growth of consumer movement could be traced to the consumer-related awareness that emerged in the United States all through the first half of the 20th century.

The 1920s witnessed serious efforts being made to reduce the exaggerated claims of advertisers of goods and services, and demands made for impartial testing of goods. A testing service established in the United States was so popular that it formed the basis for the present Consumers’ Union. The 1930s witnessed the growth of consumer cooperatives. The first federal consumer agency, Food and Drug Administration, demands the labelling of products and the introduction of USDA stamps. The 1940s ushered in 150 local consumer councils ...