Kek at what, your own stupidity?
Following the bombing of Pearl Harbor in 1941 and with the onset of World War II, the federal government set out to impose new or expanded controls over the country`s economy. On January 6, 1942, President Franklin D. Roosevelt announced some ambitious production goals to support the war. As a result, all of the country’s economic sectors were then under increased government control. While economists usually oppose price controls, it was a state of emergency.
The government then sought the cooperation of those who controlled the resources needed to conduct the war successfully. It took many agencies to resolve disputes between workers and management, set price controls, and impose rationing on scarce commodities as part of the war effort. Such agencies as the War Production Board (WPB) and the Office of Price Administration (OPA) were created in 1942 to increase total production and to control wages and prices.
Wage and price control measures, as well as regulating the hiring and firing of workers, was also initiated by the government. The National War Labor Board was established by an executive order of President Roosevelt on January 12, 1942. The board was responsible for determining the correct procedures for settling disputes that could possibly affect any war production. It was also authorized to approve wage increases and quickly adopted the Little Steel formula for wartime changes based on the rising cost of living.
The Emergency Stabilization Act was passed in October 1942, which placed wages and agricultural prices under control. There were immediate wage restrictions, and in order to attract labor, the employers offered a range of such fringe benefits as pensions, medical insurance, paid holidays, and vacations. Because the foregoing were not paid out in cash, they did not violate the wage ceiling. Controlling output proved easier than controlling wages.
The Office of War Mobilization then emerged in 1943 to reallocate the production of military matériel. In order to convert to military production, resources for the production of consumer goods had to be diverted. The great surge in munitions production reached its peak in 1943, after such motives as patriotism and financial incentives drew the necessary resources to war production centers.
In June 1943, the OPA established more than 200 Industry Advisory Committees whose sole purpose was to aid the price control effort. The manufacture of such consumer items as refrigerators, automobiles and even housing materials was forbidden at that time. During World War II, many inflationary pressures were created by shortages of both goods and labor. The Consumer Price Index (CPI) increased by more than 35 percent. Strict limits were set on the manufacture of numerous consumer goods.
Despite the efforts of the National War Labor Board, the shortage of labor during World War II precipitated a sharp increase in wages. Congress passed the War Labor Disputes (Smith-Connally) Act on June 25, 1943, which authorized the president to take over plants needed for the war effort, thereby preventing further war production disruption because of labor disputes. Although strikes were prohibited, they still occurred.
OMG wage controls price controls the state controlling production it's fascism!!!!!1111