On September 8, 1950, the U.S. Congress enacted the Defense Production Act. The Act gave the President statutory authority to order companies to do business with the United States in order to furnish equipment and services needed for national defense; to establish federal agencies as needed to implement the Act; and to allocate resources, personnel and funds to ensure national defense needs were met. However, the Act tied wage controls to prices. If any price ceiling was imposed, the government was required to issue regulations and orders stabilizing wages in the affected industry.