Driven by growing consumer demand, as well as the continuing expansion of the military-industrial complex as the Cold War ramped up, the United States reached new heights of prosperity in the years after World War II.
How did World War II affect the US economy?
Many Americans feared that the end of World War II and the subsequent drop in military spending might bring back the hard times of the Great Depression. But instead, pent-up consumer demand fueled exceptionally strong economic growth in the post-war period.
What caused the post-war economic housing boom after WWII?
What Caused the Post-War Economic Housing Boom After WWII? Many Americans feared that the end of World War II and the subsequent drop in military spending might bring back the hard times of the Great Depression. But instead, pent-up consumer demand fueled exceptionally strong economic growth in the post-war period.
What caused the industrial boom in the United States after WWII?
U.S. factories that had proven so essential to the war effort quickly mobilized for peacetime, rising to meet the needs of consumers who had been encouraged to save up their money in preparation for just such a post-war boom.
How did the growth of cities change after WW2?
As new, federally-sponsored highways created better access to the suburbs, business patterns began to change as well. Shopping centers multiplied, rising from eight at the end of World War II to 3,840 in 1960. Many industries soon followed, leaving cities for less crowded sites.
How did it improve the US economy after WWII?
America's response to World War II was the most extraordinary mobilization of an idle economy in the history of the world. During the war 17 million new civilian jobs were created, industrial productivity increased by 96 percent, and corporate profits after taxes doubled.
What primary factors led to the growth of the American economy after World War II quizlet?
The primary factors that led to the growth of the American economy after WWII were the implementing of the Bretton Woods system and the power of what Eisenhower called the "military-industrial complex" which involved the idea of defense spending.
Which of the following gave the American economy a major boost?
Because after world war second, there has been a repressed demand withinside the marketplace for the purchaser items. As the producers apprehend the demand for consumer goods, manufacturing commenced which led to the massive scale production of the purchaser items and boosted the American economy.
What were the major factors that contributed to postwar suburbanization?
The growth of suburbs resulted from several historical forces, including the social legacy of the Depression, mass demobilization after the War (and the consequent “baby boom”), greater government involvement in housing and development, the mass marketing of the automobile, and a dramatic change in demographics.
What was the impact of World War II on the American economy quizlet?
In 1939 9,500,000 people were unemployed, in 1944 there were only 670,000! General Motors also helped unemployment as they took on 750,000 workers. The USA was the only country to become economically stronger because of WW2. Over 500,000 business were also set up $129,000,000 worth of bonds were sold.
How did US economy and society change after World War II quizlet?
How did the US grew as consumer and entertainment society after World War II? 1) New technologies from war were shifted to business to produce new goods. 2) New manufacturing processes allowed businesses to extremely efficient.
What happened to the American economy after World War I quizlet?
What happened to the U.S. economy after World War I ended? High inflation and increasing unemployment caused a recession.
What factors sparked the long economic boom from 1945 to 1970?
What factors sparked the long economic boom from 1945 to 1970? The underpinnings cossall military budgets and cheap energy. 8. What region of the country saw its population grow the most following WWII?
What happened after the Pacific War?
After the Pacific War broke out in December 1941, the United States formally declared war on the Axis powers, further promoting the development of the industry. [10] . In 1944, the U.S. GDP reached $17.84 billion, a 28.14 percent increase from $13.644 billion in 1943. With more funding for the military also came discoveries ...
How did free trade help the US economy?
Free trade allowed America’s growing economy to play to its strengths. In 1948, America accounted for 45% and 18% of the world’s industrial production and international trade, respectively. In terms of capital export, from 1945 to 1960, the major capitalist countries added $12 billion in outbound investment, of which about 70% came from the U.S. [24] The United States was the only country with a large trade surplus, and the U.S. dollar was the most popular international reserve and settlement currency. In addition, the U.S. had two-thirds of the world’s gold reserves, which was an indication of how prosperous its economy was at the time. [25] All of this could only be achieved by vigorously promoting free trade throughout the world.
What was the role of liberal trade policies in the war?
Heralded as somewhat of a savior for helping to bring an end to the war, America found itself at the forefront of a globalizing world, as the economically debilitated European nations looked to America for stability. [18] .
What percentage of black soldiers were still forced to serve in labor and supply units?
And while 90 percent of black troops were still forced to serve in labor and supply units, rather than the more prestigious combat units, the black labor force ended up providing much-needed support in war-time services and supplies. [14] .
What did the Fair Employment Practice Committee do in 1941?
In 1941, President Roosevelt established the Fair Employment Practice Committee (FEPC) to combat racism in war-related industries , and by 1943, the Committee had set up offices in 16 cities to arrange black employment and deal with the unfair treatment of black people. [13] And while 90 percent of black troops were still forced to serve in labor and supply units, rather than the more prestigious combat units, the black labor force ended up providing much-needed support in war-time services and supplies. [14] After a series of policies came out, the percentage of blacks in the job market overall rose from 16.2% to 23.9% between 1940 and 1950, and employment rose from 500,000 in 1940 to 1.25 million in 1944 in the manufacturing and processing industries. [15]
What was the changing population of workers?
With many young, strong men going off to war and many abandoned factories reopening to meet the demands of the growing market for military supplies , the U.S. was in urgent need of labor. As a solution, they turned to a new demographic of workers, women, and blacks.
How did liberal trade policies help the economy?
With the increasing market, diverse labor force, the nation’s investment in technology and the rapid rise of new industry, America’s economy was booming after World War II. Furthermore, the implementation of liberal trade policies sped up America’s economic development in the post-war period. These reciprocal policies not only helped America seize the opportunity and become a world superpower, but they also helped the rest of the world recover from the post-war damage and develop their own economies. Although America did begin to return to trade protectionism in the 1970s, the value of these liberal trade policies cannot be ignored. [30] As the world becomes more globalized and countries become more connected with one another, we should learn from the spirit of liberal trade policies to push for a better economic development that can benefit us all.
Why were factories important to the war effort?
factories that had proven so essential to the war effort quickly mobilized for peacetime, rising to meet the needs of consumers who had been encouraged to save up their money in preparation for just such a post-war boom.
What was the goal of the United States in 1940?
Since President Franklin D. Roosevelt ’s call in late 1940 for the United States to serve as the “ arsenal of democracy ,” American industry had stepped up to meet the challenge. U.S. factories built to mass-produce automobiles had retooled to churn out airplanes, engines, guns and other supplies at unprecedented rates.
What percentage of Americans saved in 1945?
In her book A Consumer’s Republic: The Politics of Mass Consumption in Postwar America, Lizabeth Cohen reported that by 1945, Americans were saving an average of 21 percent of their personal disposable income, compared to just 3 percent in the 1920s. READ MORE: 8 Unusual Wartime Conservation Measures.
What happened after years of wartime rationing?
After years of wartime rationing, American consumers were ready to spend money— and factories made the switch from war to peace-time production.
What was the unemployment rate in 1939?
Unemployment, which had reached 25 percent during the Great Depression and hovered at 14.6 percent in 1939, had dropped to 1.2 percent by 1944 —still a record low in the nation’s history. A new assembly line at Detroit Tank Arsenal operated by Chrysler which turned out 28-ton tanks by mass-production methods.
Who proposed the reconversion of military to civilian production?
In 1944, Donald Nelson of the War Production Board (WFB) proposed a plan that would reconvert idle factories to civilian production. Powerful military and business leaders pushed back, and plans for widespread reconversion were postponed.
Who said the United States would find itself largely unprepared to overcome unemployment on a large scale?
A report released in mid-1945 by Senator James Mead of New York took this opinion, arguing that if the war in the Pacific ended quickly, “the United States would find itself largely unprepared to overcome unemployment on a large scale.”. But history proved the pessimists wrong.
Who argued that the poor were only an afterthought?
it analyzed the nation´s successful, ¨affluent¨ middle class. Economist JOhn K. Galbraith argued that the poor were only an ¨afterthought¨ in the minds of economists and politicians who largely celebrated the new growth
Why did Puerto Ricans migrate?
Migration increased dramatically after World War II, when mechanization of the island's sugarcane agriculture left many Puerto Ricans jobless. Airlines began to offer cheap direct flights between San Juan and New York City.
Did public housing increase racial segregation?
strongly among African Americans, who often found that public housing increased racial segregation and concentrated the poor.
