Blanding, like most communities, actively supported national efforts during World War I, the Great Depression, and World War II. The town, however, received lasting notoriety for its involvement in the 1923 Posey War, billed by enthusiasts as the last Indian uprising in the United States. Far from being that dramatic, the event was more accurately a last bid for freedom by some desperate Utes living on the outskirts of town.

In economic terms, Blanding has ridden the waves of boom and bust cycles. Livestock and agriculture came to include lumber operations; all gave way in the 1950s to the burgeoning uranium and oil industries. New roads, service industries, and an increased population gave rise to a significant cash flow that increased local opportunities for education and employment. By the 1980s, however, when area ore was barely marketable, many people who had come in with the boom packed up and went elsewhere. State and federal government as well as educational institutions, however, continued to be large employers for those who remained. Organizations such as elementary through college schools, social services, and the Edge of the Cedars Museum provided local employment as well as attracting people to the community.