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American Economy after WWII

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After WWII many economic experts predicted a decrease in the American economy. With 12.2 million members of the military returning to their families jobless, and the extremely large military manufacturing companies said to go out of business, Americans feared another depression.(1) However thankfully this was the exact opposite outcome that WWII had on the U.S. After the war there was a time of economic prosperity known as the Gilded Age that lasted until the early 1970s. There were many conurbations to this tremendous economic time in American history that greatly include advances in agriculture, industry, and consumer sectors. At the beginning of WWII the U.S. loaned a great deal of funds to the allies (which was one of America’s main incentives to enter the war). After the war was over Americans collected $185 billion in war bonds that were able to be reinvested in the economy, giving us an immense increase immediately. Another factor that was put in place to help boost the economy before the war was even over, was The Servicemen's Readjustment Act of 1944, commonly known as the G.I. Bill.(2) This was a law that provided benefits including low-cost mortgages, low interest loans to start a business, cash payments of tuition and living expenses to attend university, as well as one year of unemployment compensation. Low cost mortgages raised construction of suburbs in the west, many small businesses were started by veterans because of low interests, and roughly 1.9 million took advantage of their benefits to attend universities, which lead to a more educated workforce.(2) With unemployment at an all time low during the war, and soldiers coming home to a vast range of benefits, the middle-class was beginning to flourish. More people were able to afford luxuries and this would make industry/ manufacturing an extensive necessity like never before. There was an increasing market for goods that was only getting larger due to the “bab

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