The war saw massive oversight by the government in the economy. Government agencies took control of entire industries relating to defense, with the creation of such organizations as the War Production Board, War Manpower Commission and the Office of Price Administration.
With 13 million Americans serving in the military, unemployment dropped from 14% in 1940 to 2% by 1943. Full employment coupled with a lack of production and buying of consumer goods is what ultimately led to the necessity of the Office of Price Administration, which curbed inflationary effects by setting prices. Meanwhile the War Labor Board set a ceiling on wage increases.
This was a point of contention for Labor Unions whose membership continued to grow by the millions in the war years, which were nonetheless friendly to unions, with the Federal Government consistently ruling in Labor's favor in exchange for pledges by many unions not to strike. Harmony between workers and their employers was in the best interest for national defense.
Women found high paying industrial jobs in record numbers, but still agreements were made with Mexico to import thousands of agricultural workers in a policy known as the Brancero Agreement.
With 13 million Americans serving in the military, unemployment dropped from 14% in 1940 to 2% by 1943. Full employment coupled with a lack of production and buying of consumer goods is what ultimately led to the necessity of the Office of Price Administration, which curbed inflationary effects by setting prices. Meanwhile the War Labor Board set a ceiling on wage increases.
This was a point of contention for Labor Unions whose membership continued to grow by the millions in the war years, which were nonetheless friendly to unions, with the Federal Government consistently ruling in Labor's favor in exchange for pledges by many unions not to strike. Harmony between workers and their employers was in the best interest for national defense.
Women found high paying industrial jobs in record numbers, but still agreements were made with Mexico to import thousands of agricultural workers in a policy known as the Brancero Agreement.