The economy slowed down during 1956 1957 the second

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The economy slowed down during 1956-1957; the second recession started in 1957 and lasted until April of 1958. After this recession the U.S continued with four quarters of strong growth.
ECO 202GDP (Graphs)Stewart, Hale. "The Bonddad Blog."1950s GDP. N.p., 01 Jan. 1970. Web. 21 May 2017.
ECO 202Unemployment and InflationInflationThe main culprits in regards to the inflation in the 1950s are due to slow economic growth and slow increases in money supplies.Consumer number rose higher due to the many factors such as the slow growth of productivity, The Federal Reserve Policy, and large consumer demand and credit. The Federal Reserve Board was obsessed with the fear of inflation as well as the utilization of too much control.By 1955 the U.S had pulled out of the recession and the gross national product was growing at a rate of 7.6%.UnemploymentDuring the early 1950s the unemployment rate was high starting at a 5.3%, slowly whimpering away it would soon rise again during the years of 1954 and 1958 due to the two main recessions of the 1950s.
ECO 202Inflation & Unemployment of the 1950s(Graphs)Unemployment Graph1950 - 1959Annual Inflation Chart1950 - 1959
ECO 202Interest Rates (1–2 slides)Higher interest rates have a variety affects on the economy like increasing the cost to borrowing. With higher rates interest on loans and credit card payments become expensive. In the 1950s interest rates were low just like today. America didn’t have a huge boom in interest rates until the 1980s-1990s.Due to the low interest rates in the 1950s it affected the home ownership community with low mortgage rates which resulted in a housing boom. With low rates during the 1950s a lot of individuals were encouraged to invest via the stock market.During the 1950s, due to the low rates of interest foreign trade rates would have decreased; in this case, a higher rate attracts foreign capital, which cause the rate of exchange to rise.
ECO 202Interest Rates (Cont.)Percent Changes in Inflation 1950-2000"Price Infaton."Effect of Inflation on Interest Rates. Cedar Springs Software, n.d. Web. 21 May 2017.
ECO 202Fiscal PolicyThe federal government was small compared to the size of it nowThe government balanced there surplus or there budgetTruman era followed the expansion of economic and social programsFederal budgeting and spending soared through major warsThe Japanese Invade Pearl Harbor in 1941The Cold War intensifies in 1947A 1.4 Billion dollar expansion on energy commission facilitiesTruman expanded the executive officeNational Security Act of 1947 was created
ECO 202Fiscal Policy ActionsThe U.S had a Keynesian systemIn 1950 the federal budget went to 1.1% GDP (Due to tax cut in 1948-1949)

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