The three decades following 1945 are sometimes described as the Golden Age of Capitalism: a period of historic economic growth and expanded...

Immediately after World War II ended in 1945, the United States turned from a command economy controlled by the government to a capitalist economy. Because of the pent-up demand for consumer goods, production and consumption exploded. The new consumer goods included cars, refrigerators, televisions, dish washers, washing machines, vacuums, toasters, and plastic goods. From 1945 to 1949, Americans bought 20 million refrigerators and 21.4 million cars, and this type of spending continued in the 1950s. The G.I....

Immediately after World War II ended in 1945, the United States turned from a command economy controlled by the government to a capitalist economy. Because of the pent-up demand for consumer goods, production and consumption exploded. The new consumer goods included cars, refrigerators, televisions, dish washers, washing machines, vacuums, toasters, and plastic goods. From 1945 to 1949, Americans bought 20 million refrigerators and 21.4 million cars, and this type of spending continued in the 1950s. The G.I. Bill also allowed many Americans to purchase their own houses and to attend college, providing employers with a well-educated workforce. 

The increase in American consumerism led, however, to a situation in which the U.S., comprising about 6% of the world's population, was, by the 1950s, consuming one third of the world's goods and services. In addition with the development of the jet engine and the increase in the use of cars, capitalist countries became highly dependent on oil. This would lead to problems in the 1970s when the price of oil greatly increased.

Countries in Asia and Europe also experienced economic expansion after World War II. For example, Japan recovered from the war and had the most rapid economic growth rate in the world, in part fueled by production for U.N. troops during the Korean War. Like the United States, however, Japan began to rely heavily on imported oil, which would become problematic when oil prices increased in the 1970s.

In addition, another problem that developed during this time period was consumer debt. The first credit card, the Diner's Club card, appeared in the 1950s. American consumer debt doubled during the decade, resulting from increased spending on housing and consumer goods. In addition, while many people prospered, one quarter of the nation still lived in poverty in the 1950s.