In military terminology, mobilization is the act of assembling and readying troops and supplies for war.  During the Second World War, this gave rise to President Roosevelt’s 1940 call to arms and the mobilization of America’s industrial capacity.  “Arsenal of Democracy” was the slogan that the President used to underline America’s commitment to give the allies military supplies, initially with the hope that the U.S. could stay out of the actual fighting.  Pearl Harbor changed that.

Recently, the U.S. government has been organizing corporate and financial resources in an effort to reduce the impact of the Coronavirus on public health and the economy.  A form of mobilization?

Investors might want to remember that America’s shift to all out support for the war effort was unprecedented and successful, but it didn’t happen overnight.

All comments and suggestions are welcome.

Walter J. Kirchberger, CFA