The GI Bill of Rights
The GI Bill of Rights, officially the Servicemen's Readjustment Act, offers economic aid to veterans of the U.S. armed forces. Since its creation in 1944, the law has helped millions of veterans get an education, start businesses or buy homes. In doing so, it has transformed the culture as well as individual lives.
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History
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Congress approved the original GI Bill of Rights during World War II, but the law arose out of experiences from previous wars. Previously, American soldiers received little more than small bonuses when released from duty. This policy proved inadequate after World War I, when the country experienced a postwar recession. Although the economy bounced back in the 1920s, Congress approved a delayed veterans' bonus not to be paid for several years. During the Great Depression desperate, unemployed veterans demanded immediate payment of their full bonuses. Their protests led to violent clashes with the Army.
Passage
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Wanting to avoid another similar situation, members of Congress proposed the GI Bill of Rights. Many hoped that the law would also prevent another postwar recession. The war industry had brought the United States fully out of the Great Depression. Economic experts worried that ending military contracts just as millions of returning veterans needed jobs would cause another downturn. In June 1944, just one week after the Allies' D-Day invasion brought hope for the war's end, Congress approved the GI Bill.
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Effects
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The GI Bill offered grants for veterans to go to college or trade school, thus delaying their return to the workforce. Low-interest loan programs encouraged vets to buy homes or start businesses, further stimulating the economy. The law also included unemployment benefits for those unable to obtain work. Relatively few veterans took advantage of the unemployment benefits. Many, however, took advantage of the loan and grant programs. By 1952, about 2.4 million veterans had used the funds to build or buy homes. The educational grants proved most popular, supporting some 7.8 million veteran students by 1956.
Benefits
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The original GI Bill ended in 1956. Although Congress approved some continuing aid to veterans, the new programs were never as popular as the GI Bill had been. Thus, in 1984 Congress, hoping benefits would boost volunteer enlistment, restored the GI Bill. After the terrorist strikes of Sept. 11, 2001, Congress expanded the educational provisions to assist veterans of the war on terrorism. As part of the new provisions, veterans were allowed to transfer unused educational benefits to spouses or children.
Significance
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Experts are generally unanimous in considering the GI Bill one of the most sweeping pieces of social legislation ever approved by Congress. In addition to supporting an economic boom in the late 1940s and 1950s, the law democratized American education and home ownership. Before the bill, relatively few Americans attended college or owned their own home. Afterward, college and home ownership became middle-class norms. As of 2008, the GI Bill was still funding higher education for more than 500,000 students annually.
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