USA chapter 2- economic impact of world war 2 Flashcards
key dates ww2
1939 – World War Two began
1942 – Japan bomb Pearl Harbour and America
declares war on Japan and Germany
1950s – Affluent society, consumerism and life
in the Suburbs
impacts of ww2 on industry
the workforce
increasing population
the us economy
big business
us industry after ww2
open trading
industrial expansion
military spending
the workforce
In 1939 unemployment was still 9.5. million
By 1944 it was just 670,000
14 million worked in factories
increasing production
By 1944 the USA was producing almost one‐half of the weapons in the world. 25% of Britain’s military
equipment came from the US
us economy
Americas industry grew as they sold weapons to the Allies. By the end of the war in 1945, the USA was the most powerful economy in the world. This continued into the 1960s and beyond!
big business
The War Production Board (industrialists) met to discuss which companies would produce
particular goods. General Motors (car company)
was told to produce machine guns The firms agreed as they made lots of money!
open trading
Demand for consumer goods began to increase in Europe and other countries As other countries were busy rebuilding and repairing, the demand was highest for American goods e.g. in Britain
industrial expansion
A stronger economy in America led to a
higher demand for consumer and electrical
goods By the end of the 1940s, 50% of the worlds manufactoring took place in the USA
military spending
This meant the US industry kept creating
weapons even after WW2.
Billions of dollars were spent on research and
development
More spending meant more jobs in defence,
technology and IT industries
Affluence and Consumerism
Many had saved during the war and started spending their savings after the war to buy consumer goods they such as cars and televisions
People were able to buy more expensive goods on credit (small instalments which were paid back over time)
The Baby Boom (population increased by 40 million) in the 1950s led to greater demands for goods
By 1960, 90% of homes had television sets
the suburbs
The first planned Suburb was Levittown on Long Island (outside of Manhattan, New York City) Moving to the suburbs became a part of the ‘American Dream’ – a white picket fence and a garden Many moved to get away from the busy city life and to raise their children in a safe place with low‐crime rates As most families now owned a car, many lived in the Suburbs but worked in the city
poverty
Few African American families benefited from this wealth The USA was behind other European countries in providing good pensions and welfare benefits There was no national health service Most industry and Suburbs were in the North. Americans in Southern states did not benefit
