Question

The principal reason for the economic boom in the United States after the Second World War was:

(A) full employment, because the United States kept ten million men in the armed services as a precautionary measure.
(B) the continual production of war materials on a round-the-clock basis.
(C) a shortage of consumer goods combined with a reserve of purchasing power in the form of accumulated savings.
(D) the continuance of the federal government's operation of some of the basic industries, such as railroads.
(E) strong action by the federal government in behalf of organized labor.

Answer 1

The principal reason for the economic boom in the United States after the Second World War was a shortage of consumer goods combined with a reserve of purchasing power in the form of accumulated savings.