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I need help please tell me abour vietnam war and???.......?
The economy during this war I can not find anything on it!!
sorry i meant ABOUT
1 Answer
- Anonymous1 decade agoFavorite Answer
The Vietnam War was a very long war and had a varied economy throughout.
Under LBJ, the government underwent massive expansion as it spent record amounts domestically (Medicare, War on Poverty) and with the war near record amounts (World War II was more expensive) on national defense. This was known as the "guns and butter" economy which we are experiencing today under Bush II.
The United States experienced rapid economic growth which is common for nations in war (as long as the war isn't fought in their own country with manufacturing and other sectors physically destroyed by the war).
Short term this was great as most people were working and making good money but it is not sustainable as the country paid for this was an exponential expansion of debt.
Nixon tried to control the runaway inflation caused by runaway government spending with little success. Wage and price controls were enacted but they never work and usually are counterproductive. The Oil Embargo by OPEC in 1973 caused gas prices to skyrocket which caused inflation to become even worse.
This mess of over spending my government and a resulting high inflation reached its worst level under Jimmy Carter before Ronald Reagan became elected. Reagan cut spending which led initially to a recession which was necessary to bring about long term prosperity (low interest rates / low inflation) which Americans enjoyed over the following two decades.