Explain the economic effects of World War 1 on the United States. Need to include the impact on the economy prior to America's entry into war, the effect of mobilization, and the economic changes that took place after the war ended.

Prior to America's entry int WWI, the United states' economy was in a recession, but entered a boom shortly after the start of the war. Also, labor forces that were in large supply from Europe stopped; leading to an internal migration of blacks from the south to the north to step up the available labor force. America's export to Europe was increased at the beginning of the war from exporting food and arm supply to Europe, and America moved from borrowing from other nations to lending to other nations.

On entering into the war, tax and tariff charges rose in America to pay for the war. Sales of war bond and increase in money supply were other ways funds for the war was generated. The increased money supply led to inflation. Available labor forces further plummeted due to massive military recruitment and mobilization, leading to more internal economic migration. One of the positive impact of this internal migration was that the economic status of black people in America rose, as they moved from Jim crow south to industries in the North. America's general spending increased as it entered the war.

After the war, America rose as a world military and economic power. Labor shortages from Europe opened up employment opportunities for minority groups, and veteran blacks returning from the war saw greater opportunities than before the war. Some of the activities of the war led to the great depression after the war. Economic reforms were put in place to enhance production, and adjustments were made in labor and employment policies.

the answer is 250 percent.

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