WORLD HISTORY

Detailed explanation-1: -President Roosevelt settled on two major means of raising money: increased taxes and borrowing, through the sale of massive amounts of war bonds. Besides paying for the enormous costs of war, these measures would remove excess wages and other spendable money in a time of shortages, helping to keep a lid on inflation.

Detailed explanation-2: -Financing to pay for the war came mostly by borrowing from the American people through the sale of war bonds, which raised about $50 billion. Another $150 billion came from financial institutions. During the war, commercial banks alone increased their Treasuries holdings from $1 billion to $24 billion.

Detailed explanation-3: -War Bonds for the War Effort To help fund this effort, the government turned to ordinary Americans. The United States Treasury offered Americans a series of War Bonds they could purchase during the war. A War Bond was both an investment in one’s country and an investment in one’s own financial future.

Detailed explanation-4: -During WWII the United States issued war bonds that were labeled Defense Bonds. They were later relabelled war bonds, after the attack on Pearl Harbor. The war bonds sold in the US helped the government raise about $185 billion. Bonds were bought by over 84 million Americans.

Detailed explanation-5: -The Canadian Government sold Victory Bonds to Canadian citizens, private corporations and various organizations in order to raise funds to pay for the war.