14. How did the U.S. government raise money to pay for the war?
A. Liberty Taxes
B. Income Taxes
C. Liberty Bonds
D. Tariffs
C. Liberty Bonds
The U.S. government raised money to pay for the war through various methods, including:
1. Liberty Taxes: This option is not accurate. There were no specific taxes called "Liberty Taxes" implemented to fund the war.
2. Income Taxes: Income taxes were indeed implemented as a means to generate revenue for the war effort. The Revenue Act of 1916 introduced progressive income taxes on high-income earners to help fund the war.
3. Liberty Bonds: Liberty Bonds were government-issued securities sold to the public to raise funds for the war. These bonds allowed individuals to loan money to the government, which would be repaid with interest over time.
4. Tariffs: Tariffs, which are taxes on imported goods, were not primarily used to raise money for the war effort. However, tariffs did play a role in generating revenue for the government in general, which indirectly contributed to the overall funding of the war.
Therefore, the correct options are B. Income Taxes and C. Liberty Bonds.