How was the us economy after world war 2 ended?

Answer 1

At the end of World War II in 1945, the United States economy entered a mild recession, followed by a quick recovery and unprecedented growth. The prior years' economic expansion, galvanized by the wartime production of World War II, suddenly declined as demand was cut, primarily because of a significant decrease in government spending and a large influx of men returning from war with no immediate work and income. The American economy entered a contractionary phase as it restructured itself back to peace time operation. The sudden surge of men leaving the military and entering the workforce also led to a displacement of millions of American women in the labor market. These women, symbolized by the iconic Rosie the Riveter, who had taken traditionally male dominated trades during the war came back to being homemakers. Women did not reenter the job market in such large proportions again until the 1970's. American influence worldwide reached unprecedented heights as a result of its wartime efforts. So, as the world economy was slowly recovering from the war, American businesses and the government were in a strong position to build markets and create open trade overseas. U.S. lawmakers put into action foreign policies that favored American businesses internationally, and domestic policies, carried over from the Franklin D. Roosevelt's (FDR) administration, that encouraged business growth locally. Some examples of U.S. foreign policies that helped the American economy include the following: the Marshall Plan, which was primarily designed to help war torn Western Europe recover and stave off communist expansion, helped create and maintain a market in Europe for U.S. made goods. The creation of the International Monetary Fund (IMF), spear headed by the U.S. government, facilitated global commerce. Thus making it easier for American businesses to expand worldwide. The IMF also provided loans to countries, which in turn were used to buy goods and services produced by American companies. American businesses and entrepreneurs on the other hand, took advantage of the advances in engineering and production techniques spurred by the war, which became invaluable in the postwar economic environment. They also began to put a higher emphasis in international commerce. These actions paired with the political and business environment at that time opened new markets and opportunities for the American people. As such, the large American industrial complex began to operate more effectively within the new political and economic environment that emerged out of World War II. All these factors resulted in a quick recovery and a mild recession. The recession of 1945 lasted only 8 months. As the economy emerged from this mild recession, new jobs were created from the industrial infrastructure that were put in place during the war. For the first time in years consumer goods were once again produced and sold in large quantities. Technology developed during the war began to make its way to the civilian sector. The post war era was the beginning of the technology boom, which would transform the world within 50 years. The birthrate began to increase dramatically by approximately 20% from before the war, with an increased in population came an increased in demand. The post war years also led to more Americans buying homes as returning G.I.'s and the public as a whole took advantage of low interest mortgages, a product of the Federal Home Mortgage association created in 1938 as part of FDR's "New Deal". In addion to the availability of mortgages, affordable homes situated in newly developed suburban communities began to emerge all across the United States. The increase demand for real estate also led to an increase in construction jobs. Then by 1947 the Cold War had begun, the American military industry was once again spurred into action, creating thousands more jobs. The U.S. emerged from World War II as a political and economic powerhouse. It's economy, following the mild recession of 1945, enjoyed unprecedented growth and prosperity. As a nation and as a government it was well liked by all its allies, and respected and feared by its percieved enemies. Amercan business and political influence became far-reaching and global, as never before. The stage was set for the American standard of living to improve significantly and for its economy to grow substantially in the following decades. The period from the end of World War II to the early 1970s is considered by many to be a golden era of American capitalism. It was the comming of age of the American economy.

Answer 2

The Military Industrial Complex. It refers to policy and monetary relationships between legislators, the armed forces, and the miltary industrial base that supports them. This evolved into war corporatism and war economy, which is why we are always fighting other countries.

The biggest economic change came in the form of war profiteering.

Answer 3

In the years following the end of WW 2, the US economy reverted to one which significantly reduced its production of war supples due to the ending of WW 2. It's economy did place an emphasis on war production based on the Cold War. However, there was a vast difference between that "war production" economy versus the WW 2 war production economy.The US economy, not hampered by rebuilding its infrastructure because it escaped the ravages of WW 2, began to produce consumer products for itself and for the world. It also made gains in farmland production. This too was a benefit for itself and many other parts of the world. The US economy began an overall expansion period, probably the largest one in its history.

Answer 4

Prior to WW 2, the US had been in a terrible depression. With the war in 1941 with Japan and Germany, the US economy began to use its factories and farm crops to supply itself with the necessary products for conducting a war. After WW 2 most nations in Europe were left with ruined economies. Great damage had been done in the war. The US economy was able to expand and supply Europe with new products and the US also expanded its defense sector to prevent a war with the USSR.

Answer 5

Your question is unclear - what about the American economy?

Answer 6

The best in the world, literally.