conservative policies topic2 Flashcards
(25 cards)
new right/ thatcher economic policies
laissez faire approach
-no state managment as free market adjusts itself and unemployment eventually falls
laissez faire approach
unemployment is caused by high wages and rejected keynesian economics used by prior cons gov
new right/ thatcherite economic policies
inflation
state should intervene to keep inflation low by putting up interest rates which may cause unemployment
ex: 1980 thatcher didnt mind this
new right/thatcherite economic policies
privitisation
no state owned industries
in 1980s gas, electrictiy, water rail,mail, mining, iron and steel was state owned and then privitised under thatcher.
2013 royal mail privatised by cameron
new right/thatcherite economic policies
low tax and spending
thatcher - state is not a good way to redistribute resources
individuals should pay low tax as they know best what to do with their money
reduced state spending to under 30% #income rate tax was reduced to 25%
top rate income tax was reduced from 75->40% and has remained at a similar level ever since
new right/thatcherite economic policies
trade unions
thatcher introduced new laws
> secondary striking illegal
refused to back down and faced year long miners strike head on with police force on picket lines
allowed industries with TU membership to decline like coal and iron. last coal mine shut in 2015
new right/thatcherite economic policies
industrial policy
thatcher had no policy for this instead deregulated market to allow for money to move around easily so the economy was prosperous and the city of london financial sector became powerful
how have thatcher’s economic policies shaped future governments
blair- increased state spending up to 40% by 2008 without changing tax rate for most. under coalition it increased higher to pay for crisis damages.
johnson spent 50% on covid crisis using quantitative easing methods.
trade unions are still marginalised and many companies remain privatised
economic policy under conservatives between 2010-19
so cameron
theresa may
- pay a lot of debt off frm crisis by squeezing on public services (austerity plan) - low state spending a thatcher policy
-businesses owned by the state continued to be privatised like the royal mail and where tax cuts could be made they wer .
economic policy under conservatives 2020-2024
boris
borus began a balanced budget where paying off debts was no longer priority
due to red wall seats being won e wanted to fund projects through high borrowing and taxes
covid19 spending was to increase spending to ensure standard of living didn’t fall but led to fraudulent businesses claiming support and a lot of money going into middle class savings
the gov debt increased exponentially and the johnson gov paid to help cushion ukraine war, and people who were affected by high gas and electricity payments. a neo liberal would pass the cost onto the customer rather gov.
he increased corporation tax (anti neo lib) and national insurance by 1.25% to pay for social care, nhs improvements
lizz truss gov economic policy
wanted to cut tax through borrowing but led to currency falling. borrowing is left idea whereas tax cut to stimulate growth is neo-liberal
wanted to cut taxes by 45bn by 2027 with her plan
sunak gov economic policy
-reduce inflation through neo-lib increasing interest rates and keeping pay low in public sector
-return to austerity to reduce gov debts
-cuts to corporation and some national income tax
-squeeze on wages which led to strikes and he introduced new laws like thatcher to reduce this
law and order policy thatcher
-neo-cons approach of a strong state in non economic matters.
-increased spending on police and increased their powers but regulated after brixton riots using pace to restore public confidence but giving enough powers to stop riots due to unemployment
law and order under cameron
decreased police spending due to austerity but did believe in longer sentences for those convicted of crime
law and order under sunak
rwanda policy and safety of rwanda act which was declaration of incompatability
no increased soending on police as he is not willing to spend more money
welfare policy under thatcher
sought to privatise education and health service but was unable to
boris Johnson’s welfare policy
increase national insurance by 1.25%. this would’ve generated 12b and nhs is in 30b underfunded. but was cancelled by truss and never reinforced by sunak
nhs privatisation
opticians, dentistry and other services within like laundry and building maintenance and meals are privatised
1990s john majors internal market in nhs welfare policy
sepearated nhs into bodies like gp and doctros who bought services and bodies like hospitals which sold them.
welfare policy unemployment 2010 cameron
universal credit introduced in 2013. unemployment benefits were cut and squeezed to encourage people to work. uc does this too by challenging unemployment or low income workers.
welfare policy thatcher
pensions
publi pensions were squeezed middle class private pensioners were better off
welfare policy cameron
pensions
introduced triple lock so pensions go up by more than wages.
foreign policy what are two things that dominate the british foreign policy?
atlanticism- uk allaince with usa which has not been altered since 1945. this is maintained through NATO. they support ukraine in war so keep military spending up
membership of eu which has changed and impacted cons
foreign policy eu
britian decided not to join eu early on in 1950 as it wanted trade with its empire and us but eventually fell behind and joined eu in 1970s. by 1980 many cons saw eu as a political body seeking to take power from states in some policy areas, like currency. this was seen as enroaching on uk national security. esp thatcher who opposed the direction eu was taking
cameron vs johnson eu policy
cameron was pro-eu and didnt think the referendum would succeed
johnson took a hard brexit pursue cutting all ties with eu.
