The Cost of World War Two

The cost of world war two was staggering The federal government would spend more than 300 billion during the war almost twice as much as it had spent during the country's entire 150-year history. Inflation was already a huge risk americans were doing well There was nearly full employment and people wanted to spend their disposable income But with the factories focused on defense there weren't enough consumer goods to satisfy demand. Government needed to both pay for the war and reduce american spending power. To manage this delicate balancing act president rosavelt turned to leon henerson A brilliant and aggressive new deal economist he introduced rationing in 1942.