In your opinion, why had unemployment and extreme inflation, and deflation been significantly reduced by the middle of the 1920s?

During World War I, the federal government

created new agencies to manage the economy

to ensure a successful war effort. When the war

ended, the economic landscape in America changed

suddenly. Government agencies removed their

controls from the economy, and two million

soldiers returned home looking for jobs.

The economy, however, was going into

a postwar slump.

The end of wartime production and controls resulted in a sudden recession in the United

States. Both unemployment and inflation increased significantly in the years immediately

following the war. The rise in unemployment was largely a result of the end of government

orders for war materials and demobilization. Factories laid off workers and the military

discharged two million soldiers. With civilian employment down and a large population

of ex-soldiers looking for jobs, unemployment rose sharply.

Inflation resulted from the end of government controls. People raced to buy goods that had

been rationed, and with demand rising quickly, prices jumped. Businesses also moved to

raise prices that they had been forced to keep low during the war. The combination of

unemployment and inflation plunged the United States into an economic crisis and resulted

in suffering and a rise in labor disturbances.

they have different colored collars

d. dr. francis collins