Here you go kids:
So as I exclaimed in an earlier post, the receipts line shocked me. I have been working a lot with federal spending and knew about the WW2 bulge, but you can see how it crashed right after the war. (This gave rise to all the songs we still sing to this day, about the horrible 1946 depression…[crickets].)
I had just assumed that federal receipts followed a similar trend, but as you can see, they basically jacked up taxation big time for the war…and left it there.
(1) Yes yes, I know there are problems with calculating nominal GDP etc. If you want to say that we shouldn’t be counting $1,000 in federal spending on tanks the same as $1,000 in private spending on cars, then the lines above would be even more pronounced during WW2.
(2) No no, I have no idea why WordPress stretches out my graphics. I have tried adjusted the “height” variable in the automatic code it generates when I upload an image, to no avail. The Internet works in mysterious ways, and I do not question it.