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Panama City was founded in 1909, but in was in fact often visited by Georgians and Alabamans as early as the 1830's. Before them, the area was inhabited by Native Americans. Panama City is located in St. Andrew's Bay, and because of its white beaches and beautiful weather, it became a popular spot to spend the summer. Though the area began to expand in the 1920's, it did not really become a large city until World War II broke out. In 1941, Tyndall Air Field was established, a U.S. Coast Guard base was established, U.S. Navy Mine Countermeasures Station was established, and Wainwright Shipyard building Liberty Ships was established. This influx of business and military personnel brought a tremendous rise in the population, as well as the strategic and psychological importance of the city. By 1950 the population in the city sky rocketed to 25,000 from 5,000 as it was previously reported several years earlier. After the war, many veterans who had served in the area returned and were essential in creating a stable backbone in the city. In addition, the Panama City Beach area, which became a huge tourism spot, brought much more business and inhabitants to the area. By 1960, the population of the city had risen to 67,000. Today, it is a city that is frequented by tourists who love to lay out by the beach.