Final answer:
The American economy after World War I was affected by the demobilization of the military, a rise in demand for consumer goods, and tariffs placed on American imports by European nations.
Step-by-step explanation:
The American economy was affected immediately after World War I by several factors. One of the major effects was the demobilization of the military, which resulted in a large number of returning soldiers seeking employment. This created a temporary surge in the labor force and increased competition for jobs.
Additionally, there was a rise in the demand for consumer goods as the pent-up consumer demand led to the creation of new jobs in industries producing consumer goods. However, the war also caused high inflation, which reduced the buying power of consumers.
Another factor was the tariffs placed by European nations on American imports. These tariffs were a response to the economic devastation caused by the war and resulted in a decline in international trade. This further impacted the American economy.