'Sokay. We just figured you were weeking so hard you couldn’t see the monitor…
runs
No, I am not. Do you have a cite for your claim or are you just making it up?
In 1940 the U.S. exports, as a percentage of GDP, were 1.4 points higher than imports. In 1943, the height of U.S. exports during the war, they were 4.6 points higher. In 1946 it is 2.1.
The rest of the 40’s and 50’s we were exporting more than importing. From 1960 on we start losing ground and by 1970 the U.S. is importing more than it is exporting.
Linkto data.
So in the 40’s and 50’s the U.S. was selling stuff to everyone. It was a boom for the U.S. because a large part of the world was rubble and the U.S. had tons of manufacturing capabilities leftover from the war. We didn’t need to rebuild and could produce a lot of stuff that other countries needed to rebuild.
The situation is unlikely to repeat itself, unless we go blow the crap out of Europe to increase our exports.
Slee
Oh, I forgot to mention something in my last post. The savings rate during the war also had an impact on the late 40’s and early 50’s. From 1940 to 1944 personal savings in the U.S increased 10 fold.
Linkto data. Warning, PDF.
The savings rate for disposable personal income went from 3.7% in 1939 to a high of 25.5% in late 1944. Individual consumption was down during the war because most of the stuff produced was going to the war.
So when the war ended, the U.S. had tons of manufacturing ability in place, a huge export market and a ton of money in individual savings sitting there.
Slee
A lot of stuff was rationed during the war, too. I know that gas and certain kinds of food were rationed, and I THINK that clothing and shoes were rationed, too. People weren’t spending money during the war because there were darned few consumer goods to buy! Sure, most people viewed this restriction of buying ability to be a way of supporting the troops, but after the war, it was “let the good times roll!” and people went into a buying frenzy. They had been dutifully refraining from buying nylon stockings and gas and such during the war, and banking the savings as noted above, and it’s like the alcoholic who falls off the wagon.
My grandmother used to tell me how she had to learn to drink coffee without sugar or milk, because of wartime shortages. Similar stories abound.
Asia…if we blow the crap out of Europe, Asia will benefit. Need to blow up the factories in Asia. 