How and why did the American economy soar from 1950 to 1970?

It soared because wages were relatively high and people had money to spend.

The American economy experienced significant growth from 1950 to 1970, a period often referred to as the "golden age of capitalism." There were several factors that contributed to this economic boom:

1. Post-WWII Recovery: The period after World War II saw a substantial increase in demand for goods and services as the economy transitioned from a wartime to a peacetime footing. The United States emerged from the war relatively unscathed, unlike many other countries, giving it a competitive edge in the global economy.

2. Baby Boom and Population Growth: The post-war period witnessed a "baby boom," where the population of the United States experienced a rapid increase. This demographic shift led to a higher demand for consumer goods, housing, and infrastructure, driving economic growth.

3. Technological Advancements: The 1950s and 1960s marked a period of significant technological progress in the United States. Innovations such as the development of transistors, the advent of computers, and breakthroughs in aerospace and electronics industries laid the foundation for multiple industries to flourish, boosting productivity and driving economic growth.

4. Government Investment and Infrastructure Development: The U.S. government played a crucial role in fostering economic growth during this period. The government invested heavily in infrastructure, such as the construction of highways, bridges, and airports, which facilitated the movement of goods and services, enhanced productivity, and created employment opportunities.

5. Higher Education and Skill Development: The GI Bill, passed after World War II, provided funding for veterans to pursue higher education, which led to an increase in skilled professionals in various fields. This influx of educated and trained workers fueled innovation, productivity, and economic expansion.

6. Global Trade and Investment: The United States emerged as a dominant economic power on the global stage, establishing strong trade networks and becoming a major exporter of goods and services. International investments and trade agreements further bolstered the American economy during this period.

It is important to note that while these factors explain the economic growth from 1950 to 1970, the benefits were not uniformly distributed. The period also witnessed disparities in income distribution, racial discrimination, and social tensions that were not experienced equally by all segments of society.