Using these four passages and your own knowledge, assess the view that the impact of the First World War was the main reason for the booming economy in the USA in the 1920’s
The First World War left much of Europe in complete disarray however the USA, having only joined the war in its last year, suffered much less physical and economic damage. There is still debate over whether World War One was the main reason for the boom in America or whether it was due to other factors. Potter is convinced World War One acted as a catalyst for the boom by causing growth in industry, accelerated productivity and the laissez faire attitude of the federal government. Conversely, although Jones acknowledges the war caused some growth in industry and demand he gives more credit to technological advancement and innovation. Gerstle, likewise, gives credit to technological advances but also, similarly to Potter, sees the war as providing the stable foundations of the boom. Cannadine suggests the boom was mainly down to Mellon’s policies and government actions giving no credit to the war. The view that Word War One was the main reason for America’s booming economy in the 1920’s needs to be assessed.
Cannadine attempts to persuade his audience that Mellon’s policies and consequently the government were the main reason for America’s booming economy in the 1920’s. He mentions the “stricken post first World War world” which suggests he feels the war did little to help America’s and certainly the world’s economy, however, America did emerge from the war certainly in a better state than any European country which Cannadine also seems to overlook. Although, America did go through a short economic depression from the mid 1920’s to 1921 so it could be argued that Cannadine is correct and that the war did not offer a stable economic foundation for the boom. He does state that “there was much of [the boom] for which Mellon could take the credit” which is much more agreeable with Potter, who sees the war as a catalyst for the boom, and also with Jones and Gerstle who acknowledge the war’s contribution to the boom within industries and some areas of the economy.
Cannadine attempts to persuade his audience that Mellon’s policies and consequently the government were the main reason for America’s booming economy in the 1920’s. He mentions the “stricken post first World War world” which suggests he feels the war did little to help America’s and certainly the world’s economy, however, America did emerge from the war certainly in a better state than any European country which Cannadine also seems to overlook. Although, America did go through a short economic depression from the mid 1920’s to 1921 so it could be argued that Cannadine is correct and that the war did not offer a stable economic foundation for the boom. He does state that “there was much of [the boom] for which Mellon could take the credit” which is much more agreeable with Potter, who sees the war as a catalyst for the boom, and also with Jones and Gerstle who acknowledge the war’s contribution to the boom within industries and some areas of the economy.