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The economic boom in the United States brought prosperity to most citizens following WWII. This change in the economy gave American citizens the idea that issues from the war could be resolved. Americans did not want to fall into another economic depression just like they did following WWI, so people were very motivated to help the country grow in any way they could. Many Americans moved out of larger cities and into suburbs. With a growing economy, spending increased significantly and large retail companies were on the rise. Companies like General Motors began making over $1 billion in a year (Winship). New innovative ways to pay for goods began to spread across the country. Cash payment was reduced with the charge card, so this created a more convenient way to shop for society. With this new economic boom, wages rose, so in turn the cost of living index also increased (Hart, Diane, Bower). Business also developed new ways of advertising such as planned obsolescence, which was tactic making current things people use seem obsolete, while pitching the newer, better product (Hart, Diane, Bower). Businesses also started franchising to increase profits, as companies like McDonald's and Holiday Inn expanded across the country (Hart, Diane, Bower). Also, with this new economic boom the blue-collar workers were able to work their way up to the middle class (Hart, Diane, Bower).

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The American government was very involved in the 1950's to bring the economy to success. The people needed a stable economy so they didn't fall into another economic depression. One example of government action at this time was the G.I. bill. It gave veterans options and benefits upon returning from war. They were given federal loans to continue their education or purchase homes, businesses, or farms to restart their lives as citizens ("G.I. Bill"). This bill boosted the economy immensely because it got more people involved and working which got money circulating. In addition to this bill, many believed that the prosperity from this time period could be traced back to FDR’s solid foundation which was the New Deal Program, specifically the Securities and Exchange Commission which set up the United States for a steady, consistent economy ("G.I. Bill"). To conclude, nobody wanted another depression following the war like last time, so people were very motivated to go out and get jobs for one collective goal, which was a better future with great prosperity.

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1.) Inflation Challenges -->The US economy recovered quickly from the pandemic but the bounce back stressed supply chains and inflation rose rapidly. The US is still working to hit the target of where inflation needs to be. This connects to how families in the 1950s were able to spend a lot more money than families in the 1920s, because after the pandemic families were spending a lot more trying to get back to their usual lives (Hodge).

2.) High Unemployment Rates -->This was an issue during the recent COVID pandemic. Because of the pandemic many people were being laid off and couldn’t find other employment opportunities. After the pandemic ended The US' economy was booming, and currently still is. This relates to the economy in the 1950s because the economy was also at its peak then. ("World Economic Outlook"). ("Inflation, Health Costs, Partisan Cooperation among the Nation's Top Problems").

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real income: is income measured by the amount of goods and services it will buy regardless of inflation

*by the mid 1950s the average American family had twice as much real income to spend as the average family in the 1920s

planned obsolescence: a method that made what a consumer bought that same day seem obsolete or old/out of date

*this helped businesses increase sales, because consumers wanted to buy more items/ what they thought was trending

general motors: was the best known manufacturing company

*they produced & sold as many cars as all its competitors combined. It was also the 1st US corporation to earn more than $1 billion a yr

cost of living index: measures differences in the price of goods & services overtime.

*there was a historic agreement w/ the United Auto Workers Union that guaranteed that Gm workers would receive regular wage hikes tied to a cost living index

franchise: an agreement to operate a business that carries a company's name & sells its products

middle class: blue-collar workers moved up here overtime and they began to dress, act, and consume like white-collar workers

(Hart, Diane, and Bert Bower).

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Due to the boom of the economy, Blue collar workers moved up to the middle class and the expansion of the suburbs increased and were given many white Americans, it created a big advantage for white Americans, so African Americans started the beginning of the civil rights movement, to create more equality between both races. The civil rights movement also began due to increased discrimination such as African Americans being heavily segregated in the south, as well as being disallowed from colleges and loans from banks, even with government back ups certain banks in the south, also many African-Americans that tried to move to the suburbs were heavily discriminated against as well (The 1950s""). Also, women were urged to leave the workforce and embrace their roles as wives and mothers due to the expansion of the suburbs which lead to the beginning of the  feminist movement in the 1960s ("The 1950s").

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Life for Americans at home completely changed as the economic boom changed the market completely. This increased industrial productivity greatly as more goods and services were being generated than ever before. American families in the 1950s also began earning twice as much real income to spend as the average family in the 1920s. White-collar workers began to outnumber blue-collar workers and move up to the middle class ("G.I. Bill"). As a result, greater gaps in wealth, education, and civil rights emerged.

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picture of blue-collar workers in the 1950s

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blue-collar workers were people who worked in factories or at skilled trades, like plumbing or auto repair

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There was a major increase in suburban living following WWII with many white Americans accumulating in the suburbs.

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This video shows the benefits that were given to veterans through the G.I. Bill and the new way of production that led the country to success.

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Post-World War II Economy Booms with Soldiers Return to U.S.

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white-collar workers were people that were considered professionals, like doctors, lawyers, engineers, salespeople, managers, and office staff

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A charge card was similar to today's credit card that was later developed not long after this. A charge card basically allowed customers to charge their accounts at certain stores rather than having to pay in cash right away.

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Advertising became a major trend in the 1950s because of the growing economy. Ads for kitchen appliances, grocery products, and retail items dominated at this time.

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Economists believed that the economy was going to go into another depression, but instead it was booming