labour's economic policy Flashcards
1
Q
1946
A
coal, civil aviation, wireless and the bank of england
2
Q
1947
A
road, transport and electricity services
3
Q
1948
A
gas
4
Q
1949
A
iron and steel
5
Q
end of the war Britain had financial problems
A
- debts of £1498 million
- balance of payment deficits £750 million
- exports of manufacturers had dropped by 60%
6
Q
how much did the invisible exports shrink
A
£248 million (1938)- £120 million (1946)
7
Q
overseas military commitments
A
quintupled between 1938- 46
8
Q
defence costs
A
- cold war ally for the US increased the debt to £4.7 billion in defence
9
Q
in 1947 what happened to Britain’s nuclear deterrent
A
britain was committed to develop its own nuclear deterrent
10
Q
how much was Britain spending of the GDP on defence?
A
14%
11
Q
main features of austerity
A
- continuation of rationing food and fuel
- right financial controls to prevent inflation
- controls of wages and salaries
- increased taxation and income goods
- restrictions on imports to keep spending to a minimum
11
Q
main features of austerity
A
- continuation of rationing food and fuel
- right financial controls to prevent inflation
- controls of wages and salaries
- increased taxation and income goods
- restrictions on imports to keep spending to a minimum
12
Q
devaluation
A
- loan of £600m from USA (britain had to pay for goods in dollars and dollar was stronger than pound)
13
Q
1947-49 sterling crisis
A
foriegn markets withdrew their money
14
Q
Atleean government
A
winter of discontent made things worse and this devalued the pound and humiliated britain
and weakened the govt.
