WORLD HISTORY

HISTORY

WORLD WAR II

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
During World War II, the need of the United States for more war materials resulted in the ____
A
easing of government controls on the economy
B
use of lengthy strikes by labor unions
C
rationing of some consumer goods
D
reduction in profits for defense industries
Explanation: 

Detailed explanation-1: -Supplies such as gasoline, butter, sugar and canned milk were rationed because they needed to be diverted to the war effort. War also disrupted trade, limiting the availability of some goods.

Detailed explanation-2: -Rationing was a means of ensuring the fair distribution of food and commodities when they were scarce. It began after the start of WW2 with petrol and later included other goods such as butter, sugar and bacon. Eventually, most foods were covered by the rationing system with the exception of fruit and vegetables.

Detailed explanation-3: -As millions of men and women entered the service and production boomed, unemployment virtually disappeared. The need for labor opened up new opportunities for women and African Americans and other minorities. Millions of Americans left home to take jobs in war plants that sprang up around the nation.

Detailed explanation-4: -Because of these shortages, the US government’s Office of Price Administration established a system of rationing that would more fairly distribute foods that were in short supply. Every American was issued a series of ration books during the war.

Detailed explanation-5: -During the war 17 million new civilian jobs were created, industrial productivity increased by 96 percent, and corporate profits after taxes doubled. The government expenditures helped bring about the business recovery that had eluded the New Deal.

Detailed explanation-6: -Rationing can artificially depress the price by putting constraints on demand. Alternatively, price ceilings can be imposed; they risk the need for rationing in order to maintain a certain level of supply. In any case, rationing generally results in shortages.

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