In the United States, what were the economic benefits of WWI?
My report is on the innovations and economic benefits of WWI. I have many innovations from the zipper to the machine guns, but I am having trouble finding documented evidence of economic benefits.
1 Answer | Add Yours
Assuming that you are talking about the United States, WWI had two major types of economic benefits.
First, the war improved the US economy in the short term. The US had been in a recession when the war began. But that changed when the war started and the European countries started needing things from the United States. The European economies stopped working so well because of the war and so they needed to buy from the US. That led to a major boom in business.
Second, the war made the US government and industry work together more closely. Some economists (see nber.org link) believe that this helped lead to American prosperity even after the war.
It is also worth noting that, after the war, the US became a major player in terms of investing in other countries. England had previously been the biggest investor, even in countries like Mexico. After the war, America's economy was stronger than that of England and the US was in better position to invest in other countries' economies. This was also an economic benefit of the war for the US.
We’ve answered 319,811 questions. We can answer yours, too.Ask a question