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During World War 2, wages rose about 65% over the course of the war. This limited success in cutting the rate of inflation meant that many Americans experienced improved quality of life. The  government placed price controls on many foods and commodities. Many civilians were encouraged to plant "victory gardens" to grow food. The government rationed gas and food so that most of it could go to the soldiers. The government imposed a maximum price on goods to prevent inflation.

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The government used price control during World War 2 because they needed extended control of businesses and production to be able to support the war effort. the government also used rationing to control the amount of food people got, so that the government could feed its soldiers.

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Even though the the government is not supposed to interfere with business, in times of war they have the ability to take away rights from people for the better of the country. In this case, this is a very mild thing that is being regulated to stop a big issue that would affect people tremendously.

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Why its allowed during wartime vs. Peacetime

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Why its allowed during wartime vs. Peacetime

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In wartimes, it is much harder to maintain a stable currency and economy. The government wanted to do anything it could do to keep the currency strong and the economy strong. This tactic is not really needed in peacetime because Americans are going about live in a usual manner which makes wage increases and inflation much more steady.

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There was support for the price controls and the maximum wage increases. This is because people knew that without them, inflation would increase and then the businesses and economy would go into a slump.

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The goal was to stop inflation by keeping the prices as reasonable as they were before the war. The government wanted to stop the currency from deteriorating in value.

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During the time when the government was very strict on the price controls, inflation was very low. It was at about 3.5%. These strict price controls went on from 1942 to 1946. After those years the inflation rose to 28% and the wage increases rose to 65%. This increased the quality of living for Americans

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It created a maximum general price. The government based the maximum price on the normal prices from March 1942. It also set a maximum wage increase for the wartime.