The US Economy In The 1940s-1950's
Shortly after the end of the war in 1919, America began a consumer boom that led to an increase in inflation, after which the Federal Reserve Bank began to raise the discount rate.
The US strengthened its military, political, economic, technological and ideological leadership in the Western world. They abandoned the principle of non-participation in military blocs in peacetime. American troops were deployed on an ongoing basis in Europe and the USSR. The US industryexplained a colossal recovery through the transition of the economy to military races. Employment increased from 54 million in 1940 to 64 million in 1945.
In December 1921, the Fed lowered its discount rate to 4.5% and a long period of economic growth began in the 1920s (Roaring …show more content…
The economy of the country was stable, America became a state of "equal consumers", economically prosperous and providing all its members with equal material and cultural conditions.
The life of the workers changed as the industrial America itself changed. Employment in the service sector prevailed over employment in industry. By 1956, the majority of those who received wages had "white-collar" professions of managers, teachers, sellers and clerical employees. Some firms guaranteed annual wages to employees, signed long-term contracts with them, and provided other benefits. In this connection, the activity of the working class gradually declined and some of its characteristic features began to disappear.
The economic recovery took place for a number of reasons. One of them is the growth of cars; for 1946-1955. it increased 4-fold. Housing construction was growing rapidly, in part because of the provision of concessional housing loans to former servicemen. GNP also increased due to the growth of military expenditures. The farming industry was going through difficult times. On the one hand, there was an enlargement of part of the farms, increasing their productivity, and among farmers there appeared more and more big businessmen. On the other hand, the situation of family farms worsened, their competitiveness fell, and the number of those who stopped working on the ground
The US strengthened its military, political, economic, technological and ideological leadership in the Western world. They abandoned the principle of non-participation in military blocs in peacetime. American troops were deployed on an ongoing basis in Europe and the USSR. The US industryexplained a colossal recovery through the transition of the economy to military races. Employment increased from 54 million in 1940 to 64 million in 1945.
In December 1921, the Fed lowered its discount rate to 4.5% and a long period of economic growth began in the 1920s (Roaring …show more content…
The economy of the country was stable, America became a state of "equal consumers", economically prosperous and providing all its members with equal material and cultural conditions.
The life of the workers changed as the industrial America itself changed. Employment in the service sector prevailed over employment in industry. By 1956, the majority of those who received wages had "white-collar" professions of managers, teachers, sellers and clerical employees. Some firms guaranteed annual wages to employees, signed long-term contracts with them, and provided other benefits. In this connection, the activity of the working class gradually declined and some of its characteristic features began to disappear.
The economic recovery took place for a number of reasons. One of them is the growth of cars; for 1946-1955. it increased 4-fold. Housing construction was growing rapidly, in part because of the provision of concessional housing loans to former servicemen. GNP also increased due to the growth of military expenditures. The farming industry was going through difficult times. On the one hand, there was an enlargement of part of the farms, increasing their productivity, and among farmers there appeared more and more big businessmen. On the other hand, the situation of family farms worsened, their competitiveness fell, and the number of those who stopped working on the ground