How did the government increase control of the economy during World War 1?

Answer 1

by introducing rationing

by using the major manufactures, such as automobile industry, to produce goods for the military

by the draft to force men into the military instead of working at home

Answer 2

This is a general question that fits almost every war and every government. During wartime the economy must be driven to enhance the governments' war efforts. Thus for example in World War 2, the United States' government had to increase warplane production. Airplane manufactures were given a quota on the number of warplanes and the type of warplanes that were needed in the war. Every conceivable product the war effort required forced the government to change manufacturing from a peace time schedule of products to a war time schedule.

Examples of this are many and here is one specific change with regard to hand guns. The standard side arm for soldiers was the Colt .45 semiautomatic pistol. The company licensed to produce this pistol was Colt Industries. Colt however did not have the capacity to supply the number of guns required. The government had to change licensing practices and thus the Browning Company weapons maker was given the job of supplying additional .45 caliber handguns.

Items like rubber and even gasoline needed for the war were rationed at home. This enabled factories and oil companies in the USA to divert these resources away from normal domestic markets to the war "market" to supply fuel and rubber products to be used for defense projects.

Ship yards were asked to produce submarines and other war vessels for the use of the air forces.

The examples cited above are just a sample of economic changes that were needed to be changed to fit the governments need for weapons. It affected almost every sector of the economy.

Answer 3

They established caps on wages and prices, and rationed many items that were needed for the war effort.