Asked by: Heriberto Loskovasked in category: General Last Updated: 30th April, 2020
Did the Great Depression happen during World War 2?
In this manner, how did the Great Depression affect World War 2?
The Great Depression Was Ended by the End of World War II, Not the Start of It. A common fallacy is that the Great Depression was ended by the explosive spending of World War II. But World War II actually institutionalized the sharp decline in the standard of living caused by the Depression.
Also, what was the Great Depression ww2? The Great Depression was the worst economic downturn in the history of the industrialized world, lasting from 1929 to 1939. It began after the stock market crash of October 1929, which sent Wall Street into a panic and wiped out millions of investors.
Then, how did World War 2 affect the economy during the Great Depression?
The United States was still recovering from the impact of the Great Depression and the unemployment rate was hovering around 25%. American factories were retooled to produce goods to support the war effort and almost overnight the unemployment rate dropped to around 10%.
How did the war help the Great Depression?
During the war, more than 12 million Americans were sent into the military, and a similar number toiled in defense-related jobs. Those war jobs seemingly took care of the 17 million unemployed in 1939. Most historians have therefore cited the massive spending during wartime as the event that ended the Great Depression.