The 1950s

The 1950s

Period: Jan 1, 1950 to Dec 31, 1959

Start of the Korean War

Jun 25, 1950

North Korean forces invade South Korea through the DMZ. South Korea being majorly assisted by the United States requires assistance. United States steps in to help provide military assistance.

1950 Economic Indicators

Dec 31, 1950

Inflation Rate = 1.3%
Nominal Household Income = $4,000
Inflation Adjusted Household Income = $24,000
GDP = $2.27 Trillion
Unemployment Rate = 6.5%
30 Year Mortgage Rate = 4.7%

San Francisco Peace Treaty Signed

Sep 8, 1951

At the War Memorial Opera House in San Francisco 48 nations met to sign a document formally declaring the official end of World War II. It declared Japan's position as an imperial power over, said Japan was to provide compensation to Allied civilians and former Prisoners of War, and to end Allied occupation of Japanese territory.

Economic Indicators

Dec 31, 1951

Inflation Rate = 7.9%
Nominal Household Income = $4,100
Inflation Adjusted Household Income = $24,500
GDP = $2.40 Trillion
Unemployment Rate = 3.7%
30 Year Mortgage Rate = 4.9%

First Test of Thermonuclear Bomb

Nov 1, 1952

In the midst of the Cold War and the Nuclear Arms Race with the USSR, the United States developed and tested the first thermonuclear bomb, better known as a hydrogen bomb, in the Eniwetok atoll in the Pacific. This bomb proved 1,000 times more powerful than ordinary nuclear arms, and gave the United States a very short lived advantage in the Arms Race. This event set forward the development of more efficient nuclear weaponry very rapidly.

Economic Indicators

Dec 31, 1952

Inflation Rate = 1.9%
Nominal Household Income = $4,250
Inflation Adjusted Household Income = $25,000
GDP = $2.53 Trillion
Unemployment Rate = 3.2%
30 Year Mortgage Rate = 4.95%

Inauguration of Dwight D. Eisenhower

Jan 20, 1953

Economic Indicators

Dec 31, 1953

Inflation Rate = 0.8%
Nominal Household Income = $4,400
Inflation Adjusted Household Income = $25,750
GDP = $2.54 Trillion
Unemployment Rate = 2.9%
30 Year Mortgage Rate = 5%

Brown vs. Board of Education of Topeka

May 17, 1954

The Supreme Court unanimously rules that racial segregation in any school system is unjustified. This allows all schools to integrate other races into previously "White Only" education systems. This of course introduces a lot of issues, but ultimatley is a large step forward in racial tension in the United States.

Economic Indicators

Dec 31, 1954

Inflation Rate = 0.7%
Nominal Household Income = $4,600
Inflation Adjusted Household Income = $26,800
GDP = $2.61 Trillion
Unemployment Rate = 4.9%
30 Year Mortgage Rate = 5.1%

Black Boycott of the Montgomery Bus System

Dec 1, 1955

Rosa Parks refuses to move from her seat for a White Man, breaking the Alabama segregated seating law. This also sets in motion of the boycott that Martin Luther King Jr. lead for 381 days. Blacks refused to use the bus system, causing a large deficit in money coming through the Public Transportation system.

Economic Indicators

Dec 31, 1955

Inflation Rate = -0.4%
Nominal Household Income = $4,750
Inflation Adjusted Household Income = $27,500
GDP = $2.78 Trillion
Unemployment Rate = 4.9%
30 Year Mortgage Rate = 5.2%

First Aerial Hydrogen Bomb Test

May 21, 1956

United States tests the first aerial hydrogen bomb over Namu Islet, Bikini Atoll with the force of 10 million tons TNT. This opens up a whole new field for the ongoing Arms Race between the United States and the Soviet Union. The U.S. spending a lot money on their nuclear and military programs, really increasing the tension with the Cold War.

Economic Indicators

Dec 31, 1956

Inflation Rate = 4.5%
Nominal Household Income = $4,900
Inflation Adjusted Household Income = $28,400
GDP = $2.84 Trillion
Unemployment Rate = 4%
30 Year Mortgage Rate = 5.3%

Eisenhower Doctrine

Jan 1, 1957

Eisenhower Doctrine calls for aid to Mideast countries that resist armed aggression from Communist-controlled nations. This is a large step forward in the Cold War as the United States and other nations aim to rid the world of Communism. A lot of monetary aid and military support being sent over to certain countries, costing the United States a lot of money.

Economic Indicators

Dec 31, 1957

Inflation Rate = 3.3%
Nominal Household Income = $5,00
Inflation Adjusted Household Income = $29,800
GDP = $2.85 Trillion
Unemployment Rate = 4.2%
30 Year Mortgage Rate = 5.35%

First United States Satellite Launched into Orbit

Jan 31, 1958

The United States Army launches rocket Jupiter-C in order to land a satellite into orbit. This will be the first United States satellite in orbit, named Explorer I. This, like usual, increases the Space Race between the U.S. and U.S.S.R., continuously increasing the amount of money the United States government spends on NASA and their space program to outdo the Russians.

Economic Indicators

Dec 31, 1958

Inflation Rate = 2.8%
Nominal Household Income = $5,100
Inflation Adjusted Household Income = $31,200
GDP = $2.92 Trillion
Unemployment Rate = 5.8%
30 Year Mortgage Rate = 5.7%

Alaska and Hawaii become 49th and 50th State

Aug 21, 1959

The United States integrated Alaska as the 49th state on Janurary 3rd, 1959, and Hawaii as the 50th state on August 21st, 1959. This significantly increases the land mass of the United States, and also increases the population. Allows for more of an income of certain things due to supplies native to the two states. Increases nervousness due to Alaska's proximity to Russia.

Economic Indicators

Dec 31, 1959

Inflation Rate = 0.7%
Nominal Household Income = $5,250
Inflation Adjusted Household Income = $32,000
GDP = $3.06 Trillion
Unemployment Rate = 6%
30 Year Mortgage Rate = 5.85%