A United States government agency established during World War I, it coordinated the purchase of war supplies. The organization encouraged mass-production techniques and standardization to eliminate waste and boost efficiency. It set production quotas and allocated raw materials, also conducting psychological testing to help people find the right jobs. For example, it directed Bernard Baruch to manage war-related manufacturing with the goal of optimizing resource allocation for the war effort.
The agency played a critical role in mobilizing the American economy for war, ensuring the military received the necessary resources. By centralizing control over production and distribution, it minimized duplication of effort and maximized output. This governmental intervention in the economy provided valuable lessons and precedents for future economic management during national crises and influenced the relationship between government and industry for decades to come.
