1951-64 Flashcards
identify the prime ministers 1951-64
1951-1955- winston churchill
1955-57- Anthony Eden
1957-63- Harold Macmillan
1963-64- Douglas-home
reasons conservatives won the 1951 election
first-past-the-post system
1950 saw influx of new younger tory MP’s
could attack gov on more socialist ideas (nationalisation)
key leaders (Butler) believed in key ideas such as post war consensus
reasons labour lost the 1951 election
six difficult yrs in office left them tired
divisions over economic, welfare and foreign policies
reasons conservative won 1959 election
post-war economic boom
macmillan restored party unity after suez
macmillan had good relationship w media
reasons labour lost 1959 election
internal battles over nuclear disarmament and direction of party
failure to capitalise on conservatives’ humiliation over Suez
domestic policies under conservatives
most conservatives had accepted most reforms of the labour government
war years made people ready to accept state intervention
define post-war consensus
belief in a mixed economy
support for NHS and welfare state
a wish to ensure full employment
work with both TU’s and employers
what did the conservative manifesto promise to do in terms of housing?
build 300,000 houses a year to rebuild the housing stock destroyed by the war
describe the education system under the conservatives
tripartite system-developed by butler in 1944
grammar school- intellectually gifted
technical- practical and vocational
secondary modern- majority
how was it decided which school you would go to
11+ test
describe the social reforms under the conservatives
clean air act 1956- prevent smog
housing and factory acts to improve working and living conditions
1957 wolfenden commision- homosexuality no longer criminal
reasons for conservatives fall of power
macmillan lost his political touch
rejection to EEC in 1963
night of long knives 1962- he sacked 1/3 of cabinet- dented public confidence in him
spy scandals
spy scandal examples
George Blake= convicted as Soviet double agent 1961
John Vassall= blackmailed on basis of homosexuality to pass info onto soviets 1962
John profumo= lied about actions, macmillan secrecy of state 1963
why did macmillan resign oct 1963
Ill health and a major abdominal operation kept him in hospital for weeks.
what was the difference between the left wingers and right wingers of the Labour Party
left- be more socialist
right- be more modern
what idea did Gaitskell put forward at the 1959 conference
abolishing Clause IV of the party constitution which committed party to nationalisation
when did gaitskell become the leader of the Labour Party
when it was going through its most disruptive periods
why was there divisions within the Labour Party
it couldn’t decide what type of party it was and what its aims were
what was the first step of a socialist Britain
introduction of welfare state
what did the left of the Labour Party argue for
greater commitment to state control and direction of the economy and society
many of the left were unilateralists, what is that
people who believed Britain should give up its atomic weapons without waiting for a multilateral agreement between the nuclear powers
what is CND
Campaign for Nuclear Disarmament
what were the socialists more in favour of
CND
abolishment of clause IV
against joining EEC
1951 prescription charges
what dictated conservative policy towards the TU’s
post-war consensus
what were potential blips with the trade unions
1957-dispute over economic management- thorneycroft wanted to limit wage rises and cut money supply but macmillan sided with expansionist policy and maintained post-war consensus
-1961- pay pause introduced
why didn’t the blips with TU’s become bigger at this stage
- bigger issues were in labour
- age of affluence giving a good feeling
- working with trade unions (national economic development council 1961, national incomes commission 1962)
define Keynesian economics
belief that if money is invested in the working class then they will spend it putting more in circulation which would spur more growth, pump money into the economy to get it rolling, government+state intervention
describe the 2 strategies of Keynesian economics
wage limits/controls
interest rates raising/lowering
what were the key features of the post war consensus related to the economy
belief in a mixed economy and desire to have full employment
define inflation
a general increase in prices and fall in the value of money.
why can inflation be good
encourages manufactures to expand their businesses and employ more people
why can inflation be bad
economy can overheat as workers demand higher wages due to higher prices
define deflation
a fall in the price of goods and services
describe inflation controls
wage freezes, increasing taxation, making borrowing harder so goods cannot be bought on credit
what can deflation lead to
unemployment as people have less money to spend so less goods and services need to be produced
what does a wage freeze do to people
panics them because they feel as they have less money as product prices increase therefore spending more and keeping less money
when did food rationing end
July 1954
what was the difference in the population of Britain between 1951 and 61
by 1961 51m ppl in GB, 5% (2 million) more than in 1951
how many people were unemployed in 1955
less than 200,000 (1%)
what sort of work was there expansion in
electrical and engineering work, industries relating to cars, steel and other metals
what did economic growth and low unemployment bring
rising wages
what did the give-away budget provide
£134m of tax cuts for middle classes
what did the giveaway budget lead to
feeling of affluence and growing consumerism along with already rising wages
what was britain able to do in the late 1950’s
import 29% more goods than in 1951 for the same number of exports
what did more imports cause
improved world trade
define stop-go economics
a policy which deliberately alternates between expansion and contraction of demand in effort to curb inflation and eliminate balance of payments deficit while maintaining full employment
why was gov at high risk of inflation
growth in wages was outstripping rate of production
what did the gov have to do in response to growth in wages outstripping growth of production
put in controls, taxation remained high to stop excess spending and prevent further increase in imports
describe the cycle of stop-go economics
imports exceed exports and balance of payments crisis
gov controls: high interest rates and wage freeze
demand falls
output decreases
controls removed
increase in demand
rising imports
imports exceed exports and balance of payments crisis
define balance of trade
the difference between the goods that a country imports and what it exports
define balance of payment
includes invisible imports and exports (e.g shipping, banking, insurance)
why was the economy unstable
controls were constantly tightened and losened
what years was Britain in a trade deficit of -56 million in
1946-1955
why was britain in such a bad trade deficit 1946-55
importing more goods than exporting, higher salaries created higher consumer demand however did not encourage manufacturers to increase exports
in what years did Britain gain a trade surplus of +132 million
1956-60
what exposed Britains financial weakness and what did it start
pressure from US over Suez crisis- started run on the pound
define run on the pound
Rapid fall in the value of the pound in international currency markets
when did the sterling regain its value against a US dollar
1959- run on pound did not have lasting damaging effects
why did britain need a pay pause and IMF loan
bc of worries ab the economy overheating
when was the introduction of a pay pause and application for IMF loan
1961
why did britain want to apply to the EEC
because trade with the empire and commonwealth was insufficient and was not enough to supply demand, they were lacking economic growth in comparison to Europe
when did they submit the application for the EEC and when was it rejected and why
1961
1963-De Gaulle distrusted Britain as he fought that during disputes, they would side with America
describe what the EEC was
common market to eliminate trade barriers