Answer: This dissertation examines how Cold War defense spending shaped the evolution of American political culture and public policy from the 1940s until the 1990s. It argues that the Cold War economy contributed to the realignment of American politics in the postwar era. The fight against global communism abroad altered the structure, purpose, and public perception of the federal government following World War II, but also subsidized corporations, suburban communities, and individuals affected by defense spending. The militarization of the Cold War therefore created various dependents of America’s military and defense apparatus that continuously pressed for more defense spending during the Cold War, even if increases in the military budget were strategically and economically gratuitous. Americans in communities dependent upon defense contractors for employment and economic growth lobbied their political representatives to allocate more defense contracts to their towns, while defense companies and contractors formed alliances with activists, politicians, defense workers, and labor unions to ensure their profitability in the face of cuts to the defense budget. The combination of these forces created a unique “Cold War coalition” that worked to keep the defense economy active in shaping the domestic and foreign policies of the United States.
The Federal Reserve is responsible for money related arrangement for the United States. Fiscal arrangement needs to do with controlling the supply of cash to either help the economy or moderate it. For this situation, the economy is not doing all around ok.
