Section Two-Trade and Commerce Flashcards Preview

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Flashcards in Section Two-Trade and Commerce Deck (8)
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1
Q

How did Britain benefit from the Empire economically?

A
  • As empire grew, British exports increased from 21.2% in 1871-75 to 37.2% in 1913
  • Britain imported vast quantities of wheat and beef from Canada, lamb and dairy from NZ and cheese, apples and potatoes from Empire overall
  • British breweries also gained from colonial trade and some beers were specially developed for colonial conditions e.g. India Pale Ale
2
Q

How did Britain suffer from the Empire economically?

A
  • Within Britain, middle classes were facing an increased tax burden due to maintenance and defence of the empire
  • Growth of Empire in this period was expensive to secure but offered little returns in terms of trade e.g. whole of Tropical Africa only amounted to 1.2% of British trade
  • Growing nationalism in Empire led to trade being damaged e.g. in India, which took 20% British exports there were strikes and boycotts showing it was volatile not ‘safe’
3
Q

Who was Joseph Chamberlain?

A
  • Created idea for ‘Imperial Preference’
  • Great supporter of the Empire
  • Colonial secretary from 1895-1903
4
Q

What is Imperial Preference?

A

Britain and its Empire would trade together freely but they would all protect themselves from foreign competition

5
Q

How would imperial preference been beneficial?

A

Would have given boost to imperial trade through protective tariffs against imports from non-imperial powers; also would be strategically reliable in times of emergency

6
Q

Opposition to Imperial Preference?

A
  • Manufacturers who traded mostly with non-Empire wanted to stop this as it might reduce profits
  • People pointed out Empire was not completely self-sufficient so might cause problems
  • Bankers and investors with business links with non-Empire countries objected
7
Q

Why did Imperial Preference ultimately not work?

A

1906 General Election gave Liberals a massive landslide victory and Balfour Unionist Government was defeated

8
Q

What was the aftermath of Imperial Preference not working?

A
  • Many dominions disappointed when Imperial Preference was not implemented
  • Australia, NZ and SA all imposed own import tariffs as means of asserting nationalist interests over any loyalties or ties to Britain
  • Some looked for trade agreements with other countries instead e.g. Canada made its own trade agreements with Germany, France, Italy and Japan