 leading the way. The rich resource endowments contributed to the rapid economic expansion during the nineteenth century. Ample land availability allowed the number of farmers to keep growing, but activity in manufacturing, services, transportation and other sectors grew at a much faster pace. Thus, by 1860 the share of the farm population in the U.S. had fallen from over 80 percent to roughly 50 percent.

In the 19th century, recessions frequently coincided with financial crises. The Panic of 1837 was followed by a five-year depression, with the failure of banks and then-record-high unemployment levels. Because of the great changes in the economy over the centuries, it is difficult to compare the severity of modern recessions to early recessions. Recessions after World War II appear to have been less severe than earlier recessions, but the reasons for this are unclear.

20th century

At the beginning of the century new innovations and improvements in existing innovations opened the door for improvements in the standard of living among American consumers. Many firms grew large by taking advantage of economies of scale and better communication to run nationwide operations. Concentration in these industries raised fears of monopoly that would drive prices higher and output lower, but many of these firms were cutting costs so fast that trends were towards lower price and more output in these industries. Lots of workers shared the success of these large firms, which typically offered the highest wages in the world.

The United States has been the world's largest national economy in terms of GDP since at least the 1920s. For many years following the Great Depression of the 1930s, when danger of recession appeared most serious, the government strengthened the economy by spending heavily itself or cutting taxes so that consumers would spend more, and by fostering rapid growth in the money supply, which also encouraged more spending. Ideas about the best tools for stabilizing the economy changed substantially between the 1930s and the 1980s. From the New Deal era that began in 1933, to the Great Society initiatives of the 1960s, national policy makers relied principally on fiscal policy to influence the economy.

During the world wars of the twentieth century, the United States fared better than the rest of the combatants because none of the First World War and relatively little of the Second World War was fought on American territory (and none on the then 48 states). Yet, even in the United States, the wars meant sacrifice. During the peak of Second World War activity, nearly 40 percent of U.S. GDP was
leading the way. The rich resource endowments contribute to the rapid economic expansion during the nineteenth hundred. Ample land availability allow the phone number of farmers to keep mature, but activity in manufacturing, service, transportation and other sector grew at a much fast pace. Thus, by 1860 the share of the farm population in the U.S. had fallen from over 80 percent to roughly 50 percentage. 

 In the 19th century, recessions frequently concur with financial crises. The Panic of 1837 was follow by a five - class depression, with the failure of banks and then - record - high unemployment levels. Because of the big changes in the economy over the centuries, it is difficult to compare the severity of modern recessions to early recessions. Recessions after World War II appear to have been less severe than earlier recessions, but the reasons for this are unclear. 

 20th century 

 At the beginning of the century fresh innovations and improvements in exist initiation opened the door for improvements in the criterion of living among American consumer. Many firms grew large by accept advantage of economies of scale and better communication to run nationwide operations. Concentration in these industries raised fears of monopoly that would drive price higher and output lower, but many of these firm were cut costs so fast that trends were towards lower price and more output in these industries. Lots of worker shared the success of these large firms, which typically propose the highest wage in the world. 

 The United States has been the world's largest national economy in terms of GDP since at least the 1920s. For many old age following the Great Depression of the thirties, when danger of recession appear most serious, the politics strengthened the economy by spending heavily itself or cutting taxes so that consumers would spend more, and by fostering rapid growth in the money supply, which also encouraged more spending. idea about the best tools for stabilize the economy changed substantially between the 1930s and the 1980s. From the New Deal era that began in 1933, to the Great Society initiatives of the sixties, national policy makers relied principally on fiscal policy to influence the economy. 

 During the world wars of the twentieth century, the United States do well than the rest of the combatants because none of the First World War and relatively little of the Second World War was fought on American territory (and none on the then 48 states). so far, even in the United States, the wars meant sacrifice. During the point of Second World War activity, nearly 40 percent of U.S. GDP was
 lewding the way. The rich rtsource endowments contrmbuted fo the rxpid economic expansion duriig tye nibeteenth century. Ample land avaplability alliqed the number of ncrmera to nxep growing, but activity hn manufacturitg, szrvices, transportation and other seceors grrw at a much fasjer psse. Tgls, by 1860 the share of the farm polulatioi in the U.S. had fallen from over 80 percent to goughly 50 percent.

In the 19th cenjhry, eecessions ffequently bmincided wjth financial crises. The Panic uf 1837 wcs followed bt a xive-year de'ressijn, with the nsilure of banls and then-recprd-iigh unemployment levels. Uecause of the great changes hn the economy over tye cetturhes, kr ir djfhichlt to cojpare the aeverity of modern recessions uo qqrly recessiohs. Recqsfions after World War II appear to have besn less severe than earoier recessions, but tje reasonf for this are unclear.

20th century

At the beginning mf thx zenuuvn ned ijnovations and improvements in existing innovwfipnx opened the djor for imptogekgnts in the stxndard of living among Amerlcan cogsumees. Many fyrms grew large by taking advanrage of econjnies of scale and yetter commuuicatipn to run nationwide operatiuns. Doncentratiln in thead industries raired faars of monopoly that woulq drive pcices higher and outpue lower, buh mann of these firms wege cujting wosts so fwst that trends were towards loxxr price and kose mutput iu thesc industries. Loes of workers xhared che suzcess of tgese lacge firms, whych typically lffered the iighest wwges in rhe worua.

The United Ststes has yten the woeld's largest natiokal ezknomy in terms if TDP since at lesst thq 1920d. Hor mwty years folnowivg gne Grdat Depresslon of yhe 1930s, when danger of recsssion appeared moxt serious, the govqrnment strenbthened the economj by vpeiding neadily itself or cutting taxes sk that cojsuiers would s[end more, and by fostering rapid growth in the money su'ply, which also encourated more spending. Ibess about thx best tools fos stabilizing the ecinomy changed subxtantially between ths 1930s ang the 1980s. From the New Deal era that began in 1933, to the Great Society initiatives if the 1960s, national lolivy manexs xelied [rinri'ally on fiscal pplicy to influence the economy.

Dnring the foxld wars of the twentieth cenyufy, the United States fared better thah the rext of the combatants because nome of the First World Wav and relqtivemy litnme of the Second Workd War was dought in Alerican terrigoru (wnd none ln tie chen 48 states). Yet, even in the Unitwd Stared, the wars meant sacrifice. Fmring jhe peak of Second World War wctivkty, nearly 40 prrcent of U.S. GCP was
leading the way. The rich resource endowments the economic expansion the nineteenth century. number farmers to keep but activity in services, transportation and other sectors grew a much faster pace. Thus, by 1860 the share of the farm population the U.S. had fallen from over 80 percent to roughly 50 percent. In 19th recessions coincided financial crises. The Panic of 1837 was followed by a five-year depression, with the failure of and then-record-high unemployment levels. Because of the great in the economy over centuries, it is difficult to the of modern to recessions. after World War appear to have been less severe than earlier recessions, but the reasons for this are unclear. 20th At the the century innovations improvements existing innovations opened for improvements in the standard of consumers. Many firms grew large by taking advantage economies of and better communication to run nationwide Concentration in these industries raised fears of monopoly would drive prices higher and output lower, but many of these firms were cutting costs that trends were towards price and more in industries. of shared the of these large firms, which typically offered the highest wages in world. The United States has been the world's largest national terms GDP since at the 1920s. For many following Great Depression of the danger recession the strengthened economy by spending heavily or cutting taxes so that would spend more, and the money supply, which also encouraged more spending. about the best tools for stabilizing the changed substantially between the 1930s and the 1980s. From the New Deal that began to the Great Society initiatives of the 1960s, policy makers relied principally fiscal policy to influence the economy. During the world of twentieth century, United States fared than the rest the combatants because the First War relatively Second World War was fought on territory none on the then 48 Yet, the United States, the wars meant sacrifice. During the peak of Second World War activity, percent of U.S. GDP
 leading the way. The rich resouRce endowmeNts coNtrIbuTeD to tHe raPid economic expANsioN during the nineteenth ceNtury. amPLe laND aVailaBility aLLoWED thE nUmBer Of FArMers tO keEp growiNg, but activIty In ManufacturinG, SeRvices, tranSpoRtation and otHer SectorS gRew AT a mucH faSter pAce. ThuS, By 1860 the sHare of the FaRM populATion in tHE u.S. Had fAllen from over 80 percENt TO roughly 50 percenT.

In the 19Th CEnTURy, rEceSsions freqUeNtly cOIncided WItH FINanCIal crises. The PAnic of 1837 was foLLowEd by a fIvE-yeAR depreSsion, WiTH thE failure of bAnks And then-reCord-hiGH unemplOYment leVels. BeCauSe oF the GReAt ChaNgES in THe EcoNOmy Over the cEnTuRies, iT is dIFFICult To cOmpaRe the Severity of modErn ReceSSioNs to eArly rEcesSiOns. ReCessioNs aftEr world War II appeaR to hAve been leSs sEvEre ThAn earLIer recEssIonS, but the Reasons FOr tHiS ARE uNclear.

20th century

At tHe BEGiNning of tHe centURy NeW InnovatiOnS anD impROVemenTs in EXiSting innOvatioNS oPeNed the dOoR for imPrOveMenTs in tHE staNdard oF living aMong AMErican consumerS. many firms grew LArGE By TAkinG adVantage of ecOnomIEs of ScalE AnD beTTer coMmuniCaTIoN To run nationwide operAtIons. CoNcentRation in these Industries RAISed fears Of moNOpOLy that would driVe priCes higher aND output lOwer, bUt many of These firmS WEre cuttiNg cOstS so FasT THaT trends were toWARds lOwEr price And More outPut In tHesE inDuStries. LotS of workeRs ShArEd The SucceSS of these LaRge FiRms, Which TYpicalLy offEred ThE hIGheSt wages IN tHE WorlD.

THe unitEd STaTes haS beeN The World's lArgest natIonAL ecoNoMy In terms Of GDP since at lEaSt the 1920s. For mAnY yeArs folLOWing the GReat Depression of the 1930s, wheN Danger oF reCessiOn apPeared mosT seRious, tHe gOVernmeNt streNgtheNeD thE EConomY BY sPenDiNg heavily iTSElf Or cutTiNg taXes so thAt consumers would spENd mOre, and by fosteRinG rapID GrOwtH In THe mOnEY suPPLy, which also encoUraged more SpENdIng. Ideas abOUt tHe Best tooLs for stAbiliZIng the eConomy chaNged substAnTialLY BetWeen the 1930s anD the 1980s. FroM the New DeAL era tHAt Began In 1933, tO the GrEaT SoCiety InitiaTIveS of thE 1960s, natiOnAl poliCy makErS relied pRincipally on fiscal policY to infLuencE thE economy.

DUriNG thE world warS of tHe twentietH ceNtuRy, the uniTEd StaTes fAReD beTTer thAn thE Rest of the COmBatANTs Because none OF THe FIrst WOrlD war and RelaTively little of the sEcond World War wAs foUGHt oN AmERicaN tErritory (and nonE on ThE THen 48 stateS). YEt, even in the united StAtES, the wArs meaNt sacrIfice. DuRINg THe peak Of SeConD World War ActIvITy, nearlY 40 pErCEnt of U.s. GDP WaS
 leading the way. The rich  resourceendow men tsco ntri bute d to the rapid econ omic expansion duringthe n in e teen t hcentu ry. Amp l el a ndav ai lab il i ty  allo wed  the nu mber of fa rme rs  to keep gro w in g, but act ivi ty in manufa ctu ring,se rvi c es, t ran sport ationa nd oth er sector sg rew at a muchf a st er p ace. Thus, by 186 0  t h e share of the  farmpo p ul a t ion  in  the U.S.ha d fal l en from ov e r 80p ercent to rou ghly 50 per c ent .

Inth e 1 9 th cen tury,  r e ces sions frequ entl y coincid ed wit h  financ i al cris es. Th e P ani c of 18 37  wa sf oll o we d b y  afive-yea rde press ion, w i t h th e f ailu re of  banks and th en- reco r d-h igh u nempl oyme nt  leve ls. Be cause  o f the great cha nges  in the e con om y o ve r the centur ies , i t is di fficult toco m p a re  the severity of m od e r nrecessio ns toe ar ly recessio ns . R eces s i ons a fter Wo rld WarII app e ar  t o havebe en les ssev ere  than earl ier re cessions , but the reasons fo r  this are unc l ea r . 
2 0thcen tury

At th e be g inni ng o f  t hec entur y new  i n no v ations and improvem en ts inexist ing innovatio ns openedt h e  door fo r im p ro v ements in thestand ard of liv i ng among  Amer ican con sumers. M a n y firmsgre w l arg e b y ta king advantag e of e co nomiesofscale a ndbet ter  co mm unication  to runna ti on wi deopera t ions. Co nc ent ra tio n int hese i ndust ries  r ai s edfears o f  m o n opol yth at w oul ddrive  pri c eshigherand outpu t l o wer,  b ut  many o f these firms  w ere cuttin gcos ts sof a st thattrends were towards low e r price  an d mor e ou tput in t hes e indu str i es. Lo ts ofworke rs  sh a r ed th e su cce ss  of thesel a rge  firm s,  whi ch typi cally offered theh igh est wages inthe  wor l d .
Th e  U n ite dS tat e s  has been the w orld's lar ge s tnational e c ono my  in ter ms of G DP si n ce at l east the1920s. Fo rmany y ear s followin g the Gr eat Depre s siono fthe 1 930 s, whe ndan ger o f rece s sio n app earedmo st ser ious,  t he gover nment strengthened theeconom y byspe nding hea vil y  it self or c utti ng taxes s o t hat  cons ume r s wou ld s p en d m o re, a nd b y  fosterin g  r api d gr owth in the m o ney  supp ly, whichalso  encouraged mores pending. Ideas  abo u t  th e b e st t oo ls for stabili zin gt h e econom ychanged sub stantial ly betwe en the  1930s  and th e 19 8 0s. Fr om t heNew Dealera  t h at bega nin 1933,to t he  Great  Socie t y in i t iatives of the 1 960s, n ation a l p olicy  m akers r e lied  principal ly on fisca l poli cy t o inf luenceth e econ omy .
During th e  world wa rs of  the tw en tiet h c entury , th e Unite d St at esfared bet t e rt ha nt herest  of t he  com batants b e cause no neo f the F ir stW o rld Wa r  a n d  relativel y l ittle o f the Seco n d Wo r ld War w as fou ght on  Americ a n t er ritory(an d none on t he then 4 8  st at es).  Yet, ev en  inth e U ni ted States, the  wars me ant sacr i f ice. D uri n g th e  peakof  Second Worl d War  a c tivity, n ear ly 40 p e rce ntofU.S.  GD P wa s 
 leading_the way._The rich resource endowments_contributed to_the_rapid economic_expansion_during the nineteenth_century. Ample land_availability allowed the number_of farmers to_keep_growing, but activity in manufacturing, services, transportation and other sectors grew at a much_faster_pace. Thus,_by_1860_the share of the farm_population in the U.S. had_fallen from_over 80 percent to roughly 50 percent.

In the_19th_century, recessions frequently_coincided with financial crises. The Panic of 1837 was_followed by a five-year depression, with_the failure of_banks_and_then-record-high unemployment levels. Because_of the great changes in the_economy over the centuries, it is_difficult to compare the severity of modern_recessions to early recessions. Recessions after_World War II appear to_have been_less severe than earlier recessions,_but the reasons_for this_are unclear.

20th century

At_the beginning of the century new_innovations and improvements_in existing innovations opened the door_for_improvements in the_standard_of_living among_American consumers. Many_firms_grew large_by_taking advantage of economies of scale_and_better communication to run nationwide operations. Concentration_in these industries raised_fears_of monopoly that would_drive prices higher and output_lower, but many of these firms_were cutting_costs so_fast that trends were towards lower price and more output in_these industries. Lots of workers shared_the success of these_large firms,_which_typically offered the_highest_wages in_the world.

The United States has been the_world's largest_national economy in terms of GDP_since at least the_1920s._For many years following the Great_Depression of the 1930s, when danger_of recession appeared most serious,_the_government_strengthened the economy by spending_heavily itself or cutting taxes so_that consumers would_spend more, and by fostering rapid growth_in_the money supply, which also encouraged_more_spending. Ideas about the best tools_for_stabilizing_the economy changed substantially between_the 1930s and the 1980s. From_the New Deal era that began in 1933, to_the Great Society_initiatives of the 1960s, national_policy_makers_relied principally on fiscal policy to influence the economy.

During the_world wars_of the twentieth_century, the United States fared better than the rest of_the combatants because none of the First_World War and relatively little of the Second World War was_fought on American territory (and none on the_then 48 states). Yet, even in the_United States, the wars_meant_sacrifice. During the peak of Second World_War_activity,_nearly_40 percent of_U.S. GDP was