After World War II, the economy avoided severe dislocations due to demobilization because: Pent-up demand for consumer goods spurred production.
What was the resultant effect of World War II?
World War II saw the relocation of many people and the corresponding drain on human resources. Ordinarily, this should have negatively affected the economy of many nations but the increase in the need for consumer goods cushioned the effect.
Production increased and this boosted the economy of the nation. So, it can be said that although the economy was damaged, there was a beneficial aspect.
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