Postwar Turmoil

The return of peace in 1918 brought with it problems that would persist into the 1920s. Government efforts to suppress opposition to U.S. involvement in World War I fostered an atmosphere of repression that continued after the war ended, culminating in a wave of anti-Communist actions known as the Red scare. An influenza epidemic that killed hundreds of thousands of Americans and millions of people around the world heightened the climate of fear. Finally, the abrupt and painful transition away from a wartime economy produced inflation, labor unrest, and escalating racial tensions. The 1920s would come to be known as a decade of prosperity, but in the years immediately following the war the prospects for growth and stability seemed bleak.