Answer to Question #157159 in History for Chris

Question

How else did buying war bonds help the economy?

Answer 1

The sale of war bonds "sterilized" the otherwise humongous U.S. debt. That is, while debt was historically large (by any standards except today's), we "owed it to ourselves" and not to foreigners. Which is to say that the money was available to be "recycled" into the U.S. economy after the war.