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So was it the massive deficit spending from ww2 or the new deal that got us out of the great depression?
So, conservatives tell me that the new deal isn't what got us out of the great depression, it was ww2, and that major government spending doesn't get us out of recessions.
Well, what was it about ww2 that ended the recession? From an economic standpint, ww2 was just a ridiculous amount of government deficit spending, correct me if i'm wrong.
Hey Reagan, thanks for hijacking my question with something that holds no relevance, douche.
Don't you guys see? from an economic standpoint the new deal was a fair amount of deficit spending, while ww2 was a ridiculous amount of deficit spending, nomatter what you say, deficit spending is what fixed the economy.
16 Answers
- QLv 710 years agoFavorite Answer
Both. I for one don't want a nice little profitable war though.
Anyway, the stimulus package was at least half tax cuts. Obama should do a real Roosevelt style stimulus.
- SocratesLv 710 years ago
FDR did some good things when he came into office in 1933, but he also implemented a Progressive agenda of social manipulation. This caused the depression to linger on for 7 years. Then, in 1940, he was forced to buy planes, tanks, ships, bombs, bullets and beans. This was trickle-down economics aimed straight at business. The depression was over in less than a year.
To be fair, spending on the troops was sort of a military CCC program. It was prime the pump economics that put money in the hands of men, gave them food, room and board and had them do a job for the country. The reason why this "CCC" program worked and the earlier civilian program didn't is because back then, FDR ignored and even distrusted the needs of corporate business. It was like focusing on gas for the engine while ignoring the importance of the spark plug. When the war started, business was fed and the men returning from the war were slowly reintegrated into the job market but had money already in their pockets for to create immediate demand for goods and services.
- James KLv 610 years ago
the economy was totally stagnent long after the stock market crash and in fact there was a double dip depression. it was world wide too. europe was still in shambles from WW1. so no, the roosevelt new deal stuff wasn't working, (we did build the hoover dam. that was cool). but in the end it was WWII that brought the US out of the depression. BUT REMEMBER, and this crucial, after WWII the US of A was the only dog left standing. that and that alone is what lead to our 50 year run as the number one no question about it, world leader in everything. now the world has caught up with us and we are just another BIG dog in the kennel.
- Anonymous10 years ago
It was the massive industrial capacity and the natural resources of America being put to use at a very large scale that created a growing economy. Also, the war effort employed almost everyone.
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- ?Lv 710 years ago
The largest aspect of WWII that helped pull America out of the great depression was that all of the companies manufacturing goods for the war effort were making things for civilians after the war ended. There was an industrial boom after WWII was over.
- neilLv 510 years ago
" One data point and your jumping for joy. Last time i check wars only destroy. There was no Multiplayer consumption just shrank as we used scarce resources for every new tank. Pretty perverse to call that prosperity ration meat ration butter a life of audacity. When that war spending ended your friends cried disaster but the economy thrived and grew faster" - fight of the centery - econstories
- ?Lv 610 years ago
It was just the normal economic cycle that brought us out of the depression. It would have happened even without the New Deal spending and WW2. The economy reaches a bottom and then starts its climb to a higher point. We would have gotten out of it sooner if FDR had kept his mud-hooks out of there and allowed the capital to flow into the private sector instead of into the government.
- Anonymous10 years ago
Well, WW2 did get rid of our major competitors, making the U.S. one of the only countries selling cars at a massive rate. But I do think that government spending helped.
- ?Lv 610 years ago
Seems like the industrial capacity of the world, save the USA, was destroyed in WWII. Kind of hard not to be prosperous with that advantage. So ended the 1st Great Republican Depression.
- ?Lv 610 years ago
Fair Labor Standards Act
limiting hours actually increased demand for laborers. Shock!