Question

What was an economic result of soldiers being drafted to fight in World War I?

Answer 1

One economic result of the draft during WWI was a dramatic decrease in the unemployment rate. In the United States the unemployment rate stood at 7.9% in 1914 prior to the beginning of the draft and dropped six and a half points to 1.4% by 1918. This large shift in unemployment, along with the shift in demand caused by moving the economy to a war footing, showed that government activity could have a great impact on macroeconomic conditions.