Final Flashcards
(84 cards)
Gold Standard (post WWI)
Winston Churchill, as Exchequer, brings it back at the same value as before ($4.86). It was included in the 1924 budget and was a disastrous mistake. Many initially supported it, though John Meynard Keynes was an economist that warned about the world depression it would cause. Effect of the gold standard: Increased interest rates, wages drop, housing stagnates, declining industries.
Cyclical VS structural unemployment (add notes to this)
Structural unemployment is caused by shifts in the economy, improvement in technology and workers’ lack of prerequisite job skills, which makes it difficult for workers to find employment. This is shown in areas of Ireland and Scotland with outdated manufacturing. Conversely, swings in companies’ business cycles cause cyclical unemployment. Gov. may pay more during bust to maintain work, but stop paying once economy is doing well.
John Maynard Keynes
He was a British economist whose ideas fundamentally changed the theory and practice of macroeconomics and the economic policies of governments. He built on and greatly refined earlier work on the causes of business cycles. In the 1920’s he was the one of the only figures who spoke out against Churchill’s ideas for economic repair: the Gold Standard.
General Strike
1926: Started by the TUC leader Ernest Bevin in an unsuccessful attempt to force the British government to act to prevent wage reduction and worsening conditions for 1.2 million locked-out coal miners. It lasted 9 days and had little impact on trade union activity or industrial relations. It did show the discontent by working class on the outdated system of repairing economy. This strike was a key tool of labour party to bring down gov. Causes: The reintroduction of the gold standard in 1925 by Winston Churchill, which made the British pound too strong for effective exporting to take place from Britain and (because of the economic processes involved in maintaining a strong currency) raised interest rates, hurting some businesses. Miners pay was reduced to help the economy pick back up. WWI: Britain exported less coal in the war than it would have done in peacetime, allowing other countries to fill the gap.
The General Theory of Employment, Interest, and Money
1936: Book by Keynes, it challenged the established classical economics. New economic idea post WWI to have rich trading partners, minimal reparations for Germany, and loans from the US to Europe. For fixing economy, Keynes says to devalue currency, raise interest rates, increase debt for electricity to drive market with new goods.
Harold McMillan
One nation conservatism belief. Wants to help out unemployed. Despite him being conservative, he agreed with Keynes showing that this is an issue among multiple parties.
Neville Chambelain (Exchequer)
Chancellor of the Exchequer in the National Gov. starting in 1931. Things he did as Exchequer: ended free trade (1931), cultivated local industries, put a 10% tarriff on imports, go off gold standard (1931). In 1932, he was able to get the pound to a normal level. Britain begins to do well economically in the 1930’s.
National Government
After Ramsay McDonald’s Labour government fell apart, this was formed.Formed to deal with Great Depression. It was a coalition of the major political parties; the governments of Ramsay MacDonald (Labour, 1931-1935), Stanley Baldwin (conservative, 1935-1937) and Neville Chamberlain (conservative, 1937-1940). This was the transition away from labour support to conservative support: while McDonald was left in power he was essentially powerless.
British Union of Fascists
Formed by Oswald Mosely in 1932: Mosley was the youngest elected Conservative MP before crossing the floor in 1922, joining first Labour and, shortly afterwards, the Independent Labour Party. He became a minister in Ramsay MacDonald’s Labour government, advising on rising unemployment. He left the Labour party and formed the New Party based on his ideals. During 1931, the New Party became increasingly influenced by Fascism. The next year, after a January 1932 visit to Benito Mussolini in Italy, Mosley’s own conversion to fascism was confirmed. The BUF initially had a sizable following (up to 50,000 members at one point), as the party became increasingly radical, support declined. Violence and antisemitism caused numbers to drop quickly. A lot of nazi-sympathizers stayed. Growing British hostility towards Nazi Germany, with which the British press persistently associated the BUF, further contributed to the decline of the movement’s membership. It was finally banned by the British government in 1940 after the start of the Second World War, amid suspicion that its remaining supporters might form a pro-Nazi “fifth column”
National Unemployed Worker’s Movement (NUWM)
Communist party in Britain. Set up in 1921. It aimed to draw attention to the plight of unemployed workers during the post World War I slump, the 1926 General Strike and later the Great Depression. Angry unemployed people against labour unions, because those unions only focused on the rights of the already employed. Had about 20,000 members in the 1920’s. Though they weren’t a very large group, they still caused unease in British people.
Marie Stopes
In a time of improving public health in the 1920’s/1930’s, Stopes was an important figure in the women’s movement. She was renowned for her scientific work, and took a biological approach to women’s rights and education. She wrote “Married Love” in 1918, which is about having a healthy sex life with one’s partner and understanding methods of birth control. It also taught women the importance of spacing pregnancies apart (could be an impact on avg # of children declining). This book broke the Victorian image that classy women don’t talk about sex. Stopes founded the first birth control clinic in 1921, and the Catholic Church sued her for that and “Married Love”. Stat: families had 5-6 children on avg before WWI, and it lowered to roughly 2.2 on avg in the 1930’s.
Treaty of Versailles
was the most important of the peace treaties that brought World War I to an end. The Treaty ended the state of war between Germany and the Allied Powers. It was signed on 28 June 1919. Dealt with reparations post-war: Germany is heavily punished but not entirely handicapped. Britain make gains that will build them up. German navy abolished, Germany loses colonies, can now lose Rhineland if they mis-step. Britain leaves with a lot of strategic advantages.
League of Nations
Formed by Woodrow Wilson. founded on 10 January 1920 as a result of the Paris Peace Conference that ended the First World War. It was the first international organisation whose principal mission was to maintain world peace.
Secret Diplomacy
An international agreement in which the contracting parties have agreed, either in the treaty instrument or separately, to conceal its existence or at least its substance from other states and the public. Some important secret treaties of this era include the important secret treaty was the Treaty of London, concluded on April 26, 1915, in which Italy was promised certain territorial concessions in exchange for joining the war on the Triple Entente (Allied) side. After the war: All treaties must now be open, honest, and available to be seen by the public. Established in the LoN.
Iraq Mandate
Created in 1921: Puts Faisal ibn Husayn (prev: Syrian king) in power to rule Iraq as a kingdom, with the British Royal Air Force (RAF) retaining certain military control, the territory remained under British administration until 1932. Britain claimed it wanted to make Iraq a proper independent state. Good intentions but similar to ideas of colonialism
Washington Naval Conference
1921: It was the first international conference held in the United States and the first arms control conference in history. Wanted to prevent arms race via limitations: US and UK can have navies of 525,000 tons, Japan can have 350,000 tons. Germany’s navy abolished. France and Italy restricted to 175,000 tons. Much of the worry is Japan’s rising industrial power.
Mussolini and Abyssinia
The Abyssinia Crisis was a crisis in 1935. ongoing conflict between the Kingdom of Italy and the Empire of Ethiopia (then commonly known as “Abyssinia” in Europe). The League of Nations ruled against Italy and voted for economic sanctions, but they were not fully applied. Italy ignored the sanctions, quit the League, made special deals with Britain and France and ultimately established control of Ethiopia. The crisis discredited the League and moved Fascist Italy closer to an alliance with Nazi Germany.
Rhineland Re-occupation
1936: Hitler violates the Treaty of Versailles by sending German military forces into the Rhineland, a demilitarized zone in western Germany. Britain, France, and others wanted to prevent Germany but didn’t have the resources to do so. Had they sent in troops, it would’ve prevented WWII. Without punishment, Germany moves on to occupy Czechoslovakia in 1938.
Sudetenland Crisis
Sudetenland is areas of Czechoslovakia which were inhabited primarily by ethnic German speakers. Hitler invades March 1938, claiming he wanted to take back the German-speaking population. Still he is not stopped, and now he has Czech mountains as barrier for protection.
The Phony War
was an eight-month period at the start of World War II, during which there were no major military land operations on the Western Front. It began with the declaration of war by the United Kingdom and France against Nazi Germany on 3 September 1939, following the German invasion of Poland, and ended with the German attack on France and the Low Countries on 10 May 1940.
Even though Poland was overrun in about five weeks in the German Invasion of Poland beginning on 1 September 1939 and Soviet invasion beginning on 17 September 1939, the Western Allies did nothing. War had been declared by each side, but no Western power committed to launching a significant land offensive, notwithstanding the terms of the Anglo-Polish and Franco-Polish military alliances which obliged the United Kingdom and France to assist Poland.
Maginot Line
was a line of concrete fortifications, obstacles, and weapon installations built by France in the 1930s to deter invasion by Germany. Constructed on the French side of its borders with Switzerland, Germany, and Luxembourg, the line did not extend to the English Channel because the French military did not want to offend neutral Belgium. However these 90 miles of concrete barrier was a defensive move, leaving initiative to Germany.
Norway Debate
May 7-8, 1940: Background- Chamberlain as PM hates general Churchill and wants to give him enough military power to mess up. Churchill leads the The Norwegian Campaign (9 April to 10 June 1940), which was fought in Norway between Norway, the Allies and Germany in World War II after the latter’s invasion of the country. In April, the United Kingdom and France came to Norway’s aid with an expeditionary force. Despite moderate success in the northern parts of Norway, Germany’s invasion of France in May eventually compelled the Allies to withdraw and the Norwegian government to seek exile in London. The campaign ended with the occupation of Norway by Germany, and the continued fighting by exiled Norwegian forces from abroad.
Debate: Churchill admits to his error and gives a passionate speech about the importance of him at least trying. His speech wins over MPs, and Chamberlain resigns in favor of Churchill as new PM.
General Petain
Was part of the political civil war in France. During World War II, with the imminent fall of France in June 1940, Pétain was appointed Prime Minister of France by President Lebrun at Bordeaux, and the Cabinet resolved to make peace with Germany.
Dunkirk
As part of the Battle of France on the Western Front, the Battle of Dunkirk was the defence and evacuation of British and Allied forces in Europe from 26 May to 4 June 1940. The German army was able to effectively flank and corner the Allies. In a controversial move, the German forces were ordered to “halt” and allow for evacuation of the French, British, Belgian and Canadian troops known as the “Dunkirk evacuation”. This was dubbed a miracle and allowed for 330,000 Allied troops to evacuate. There was a lot of supply loss, however. This was shortly before France admits defeat.
