Wartime Economic Changes in America

Wartime Economic and Social Changes in America

• Wartime Economy: The federal government directed the American economy through the War Production Board, overseeing industrial output.
• Industrial Restructuring: Businesses, big and small, converted their factories to produce war materials. Automobile manufacturers shifted to making airplanes, tanks, and trucks; appliance and toy makers produced medical supplies, ammunition, and other necessary equipment.
• "Arsenal of Democracy": The U.S. became a huge military producer, surpassing all its enemies combined. Output included 7,400 ships, 88,000 tanks, 300,000 airplanes, 2.4 million trucks, 6.5 million rifles, and 40 billion bullets.
• Rationing: The U.S. government implemented rationing of gasoline, fuel oil, cloth, shoes, sugar, meat, dairy, coffee, and cooking oil using ration cards and stamps.
• Victory Gardens: Americans planted "victory gardens" to increase their own food production and supplement rations.
• Recycling Campaigns: Citizens collected scrap metal, rubber, clothing, and paper to contribute to the war effort.
• War Bonds: Eighty-five million Americans purchased war bonds to fund the war.
• Increased Taxes: Congress expanded the income tax to apply to most Americans and raised tax rates on the wealthy, implementing a payroll deduction system
• Deficit Spending: The government used massive borrowing (deficit spending) to finance the war.
• Full Employment: The war ended the unemployment problems of the Great Depression, leading to full employment.

Wartime Labor Shortages and Opportunities

• Mobilization of Men: Millions of men were enlisted in the armed forces, creating a surge in labor demands.
• New Opportunities for Women: Women filled vacant industrial jobs previously held by men, working as factory workers (like "Rosie the Riveter"), welders, riveters, mechanics, and more.
• African American Migration: African Americans continued moving from the rural South to industrial North in search of jobs.
• Bracero Program: The U.S. government contracted Mexican workers to fill agricultural and railroad labor shortages (Bracero Program). This agreement secured five million contracts across twenty-four states between 1942 and 1964.
• Discriminatory Policies & Bracero program: Discrimination against Mexican Workers prevented participation in the Bracero program in Texas until 1947

Wartime Society and Military Experience

• United States Military Service: More than 16 million Americans served in the military; a significant proportion were enlisted, others were drafted.
• Military Propaganda: Newsreels depicted brave and glorious combat efforts and soldiers, sailors, and marines.
• War's Aftermath: Millions of Americans were wounded or suffered psychological trauma, and over 400,000 lost their lives in the war.