The Arsenal of Democracy
War had finally come.
Two days after Britain and France declared war on Nazi Germany, President Roosevelt issued a proclamation of neutrality and ordered the suspension of munitions sales to all belligerents. But Roosevelt stopped short of asking that Americans remain emotionally neutral in the European conflict. FDR knew that the only chance Britain and France would have to defeat the German Reich was to have ample supplies of weaponry. He immediately began to press Congress to repeal the arms embargo.
The request was simple. Allow trade of munitions with belligerent nations on a "cash and carry" basis. There would be no danger to American shipping if the Allies had to carry the supplies on their own ships. Isolationists were concerned, but support for the President's initiative was strong enough. The Neutrality Act of 1939 ended the arms embargo and permitted the sales of munitions on a "cash and carry" basis.
http://www.ushistory.org/us/50d.asp
