The 20th century saw the arrival of modern transportation. In 1900, the Tramway de Nice took over from the horse-drawn streetcars and wider travel in the region from Menton to Cagnes-sur-Mer.
In the 1930s Nice hosted international car racing in the Formula Libre (predecessor to Formula One) on the so-called Circuit Nice.
As war broke out in September 1939, Nice became a city of refuge for many displaced foreigners, notably Jews fleeing the Nazi progression into Eastern Europe. From Nice many sought further shelter in the French colonies, Morocco and North and South America. Nice was also heavily bombarded by the American airforce in preparation for the Allied landing in Provence (1,000 dead or wounded and more than 5,600 people homeless) and as a result of this a famine ensued in the summer of 1944. Finally American paratroopers entered the city on 30 August 1944 and Nice was finally liberated. The consequences of the war were heavy, the population decreased by 15% and the economic life was totally disrupted.
In the second half of the 20th century, Nice enjoyed an economic boom primarily driven by tourism and construction, which has continued to the present day and makes Nice one of the most popular tourist destinations in the South of France.