Write a paragraph describing how the U.S. government managed the economy during World War I and the economic effects of that management. Consider the roles played by the Food Administration, the War Industries Board (WIB), and the War Labor Board.

Answer 1

During World War I, the U.S. government managed the economy through various agencies such as the Food Administration, the War Industries Board (WIB), and the War Labor Board. The Food Administration was led by Herbert Hoover and was responsible for regulating food production and distribution. The WIB, led by Bernard Baruch, was responsible for ensuring the efficient production and distribution of war goods. The War Labor Board mediated labor disputes and ensured that workers were paid fair wages. The government's management of the economy had several effects, including the shift of resources and production towards the war effort, increased federal control of the economy, and inflation. Overall, the government's management of the economy helped sustain the war effort, but also had significant economic effects that lasted beyond the end of the war.