How Wars Have On A State 's Economy Essay

World War II is a great example of how war helped the US strengthen their economy because ending the policy of isolationism and joining the war ended the Depression. In the 1940’s, when the US was isolated from the rest of the world due to the Great Depression,

A war time economy in the United States has proven to be a way to bring the people of America together, boost the economy, and inspire nationalism. The War of 1812 did much to follow this trend. By shutting off trade with Great Britain for a few years, United States ' manufacturers were able to establish their industries and develop a dependency from the people of America. In these ways, the War of 1812 helped create a scenario that allowed the United States to proliferate following the war. The United States grew following War of 1812 due to innovations in transportation, the role of the federal government, and industrialization in the developing market.

After World War Two the American economy was on the rise due to the outcome of the war.

Before and during the war our trade was severely interrupted and negatively affected which resulted in the need for Americans to rely on themselves to make many of the products they had previously depended on importation for. Because the States were no longer purchasing from other countries and paying high taxes, but buying and selling to their own people, the economy was lifted. Previous to the start of the War and all throughout, the economy was in sad shape. Due to the result of the war and uneasy ties with Britain, by doing business within itself America was lifted a little out of the huge hole which the War of 1812 and previous wars created.

War stimulates growth, especially for countries that participate in it, but aren't experiencing it on their soil. Not experiencing the war first hand allows for the major focus of war to be the production and mobilization of the nation. In many cases, surprisingly, it is healthy for the economy and production of a country that is mobilizing for war. For example, as America entered WWII, her “GNP rose 15%... the great depression… was thus resolved because the state ‘primed the pump’ of economic demand by means of huge order…” (Source B). Essentially, the war ended the Great Depression in America and boosted her to be the mighty manufacturer she is today. After WWII, many soldiers came back and continued to stimulate the economy and increase manufacturing and population. Women during wartime, gained more freedoms and rights, as they took over jobs men occupied before they left to fight. As well as women, African Americans gained more freedoms and they strived for Civil liberties following the war. Without the war, what would America look like today, would women and African-Americans have gained more

Soon after the war was over, the men came back and needed jobs back. Many people who had taken jobs during the war were fired and former workers tried to get their jobs back. Though America was no longer facing an economic depression, the country was in even more debt than

If the emotional effects of the war were not enough, the war also hit the US economy. All wars throughout history have had a transformative effect on the economies of the participating nations. The Vietnam War severely impacted the United States’ economy due to the amount of product that the war required. A factory that would normally produce a consumer good would instead be used to produce bullets, uniforms, artillery, etc. all for the war effort. The GDP of the United States was altered from it's growing state in the early 60’s. The change in factory production from consumer goods to military goods caused controversy in the eyes of the people over the government’s use of economic policy. Money was going out, but no money was coming in. The US progressively saw more and more change to its economy. War brings on, debt and bills in large

The economy of the United States became stronger because of the war. The war did not physically hurt the United States. There was no damage done. Manufacturing and factories saw a positive impact. Due to the war, factories were needed to manufacture materials for the war. Due to the increase of manufacturing, the United States became an industrial leader. The economy was doing well, along with making profits. Due to the economy strengthening, the 1920s became known as the “Roaring Twenties.”

War is a dangerous game, many people would likely agree to this, however, very few have ever seen a battlefront. The truth is that war, no matter how awful we can imagine it, is always exponentially worse. In Timothy Findley’s The Wars, Robert Ross, the protagonist,­ faces a situation that he finds difficult to come to terms with, and when faced with a similar situation later on in the novel, he must take drastic measures to reconcile the uncertainties of the past situation. Timothy Findley suggests, through the life of Robert Ross, that one’s need to reconcile the uncertainties of past experiences dominate our actions when such situations come up again in our lives. In the words of Hiram Johnson, a US Senator during the First World War,

In the period after the civil war there were many consequences in the economy in such categories as agriculture, labor, industrialization, and transportation. Many of these economic categories took a hit because many suppliers, work areas, and and employees were hurt or destroyed during the war. It took many years after the end of the Civil War for the agricultural industry, labor industry, industrial industry, and transportation industry to regain their footing in the economic world. Even then some of the industries would forever be changed by the things that the great Civil War caused in our country.

Before World War I, the United States was in a period of isolationism, and a determination to stay out of European wars and affairs, while trying to maintain its status as one of the world’s biggest superpowers, militarily and economically (“United States Before”). America was just exiting the Gilded Age, which was an important time of growth and prosperity. Despite this, the American economy was in a small recession when entering the war, which was reversed by a 44 month period of growth caused by production for the war (NBER). This 44 month period helped the economy expand, and furthered the strength of the country. It also furthered the confidence of American businesses and the government which contributed to the attitude that caused overconfidence and helped to spread the Great Depression.

In fact, the United States had enjoyed an extended period of economic expansion during the war, and following the war the U.S. economy continued with great strength for more than a decade. Life in America, consequently, was arguably better than it had ever been. The middle class had swelled, unemployment rates were some of the lowest in history, and the “American Dream” was for many families a reality.

World War II brought the US out of this period of slow growth. The military needed tanks, planes, guns, and everything else needed for the war effort. People were either back to work or overseas fighting. Production and growth rates reached new highs.

     When Hazlitt wrote about how war affects economics, he wrote about this subject brilliantly. The best example Hazlitt used had to do with the broken window. He said that if a window breaks for a certain business, it is better for the economy. If a window is broken for a certain business and takes a few thousand dollars to fix, it would be a small price to pay to increase the economy. The economy would give jobs and pay wages to the repair the window. Hazlitt’s point is that sometimes there is a blessing that comes out of destruction. For example, the Civil War had a positive affect on economics. During and after the war, there was tremendous growth in industry, railroads, and others. But this came at the price of destroying land and life as well. “The war, in short, changed the postwar direction of effort; it changed the balance of industries; it changed the structure of industry” (Hazlitt p27). The reason for this growth is because it takes a lot of energy and a lot of stimulation to get the economy back where it was before the war, because the money that the government used to supply the war came from certain industries. A commodity had to be subtracted in order to supply the needs for the war. After the war, it is a great chance that

War has influenced economic history profoundly across time and space. Winners of wars have shaped economic institutions and trade patterns. Wars have influenced technological developments. Above all, recurring war has drained wealth, disrupted markets, and depressed economical growth.