1964-1970 Economics (Unit 2, Topic 2) Flashcards
Wilson's ideology and leadership, Economic policies and problems including the trade unions, Labour divisions, Trouble in Northern Ireland, The end of the post-war consensus, Loss of the 1970 election
GDP?
Standard measure of the value added to created through the production of good and services in a country during a certain period
Prices and Income Policy?
An attempt by the government to set a rate of increasing prices and rate of wage increase in the economy
‘Wildcat’ Strikes?
Action taken by unionised workers to support or disprove something also known as surprise strikes
What were Britain’s Economic Issues?
Britain was lagging behind with lots of inflation and ‘stop go’ economics, the post war didn’t show growth economically
Moreover they inherited a deficit of £800 million. The common issues were deflation and devaluation. Deflation reduced inflation but was not the way Labour wanted to go. Equally devaluation would make imports expensive but make exports cheaper for other countries. Creation of the Department of Economic Affairs
Who was Harold Wilson?
He was a great moderniser and was described as a down to earth guy. He successfully linked the Labour Party to modernisation. He had previously been a Bevanite, serving in Gaitskell’s cabinet however, he would challenge Gaitskell and lose.
He supported nuclear deterrent and attempted to reform trade unions. He was seen as classless, relaxed and skillful on TV, he smoked a pipe and spoke with a Yorkshire accent, privately educated. Access to him was limited and he relied heavily on his advisors
How did Labour deal with the Economic Issues?
Labour survived the crisis in 1965 and 1966, using devaluation to fix the economic crisis, they brought in a Prices and Incomes Policy. Overall there were more detrimental negatives compared to the small positives of the new policy
How were Britain’s Industrial Relations?
They relied on trade unions, sea men strikes and wildcat strikes as well as dockers striked.
How did Labour deal with the Strikes?
White Papers were produced, Place of Strife 1969 it created a 28 day cooling period between strikes, government could improve settlements, strike ballots imposed.
It was supported by MPs but protests from Jack Jones went on for months
What was the Concorde?
A plane costing £1.39 billion and was constructed by British and French engineers. It could travel twice the speed of sound and reach 60,000ft. It cost £1,200 per person. However it wasn’t beneficial in reducing inflation costs and restoring economy
What was Labours Rocket Development?
Black Knight Rocket and Black Arrow Rocket were costly research into rocket development, but they were abandoned due to high cost and inflation
What was the Invention of Colour TV?
1st July 1967, BBC 2 was able to release televised colour to the British public, 15th November 1969 colour came to BBC 1 and ITV. 13th December 1969 Scotland receives colour and TV licenses were introduced on January 1st 1968 they were £10 which was double the cost of black and white
What was Defence Spending?
The defence spending of the government was increased because of the Cold War between the East and the West. There was the Korean War just before Wilson came to power which kept the defence budget high. Wilson also wanted to catch up militant wise so spending money for this was essential
What was Labours position in 1970?
Labour was in a very fragile state, they had experienced a number of setbacks and perceived failures. Even trade unions would refuse to side with the Labour Party and were not one to be forced into reforming industrial relations. Within the Labour Party there were multiple divisions about ideas moving forward pulling the party into further turmoil
What was the Conservative position in 1970?
Heath was seen as having a greater strengths but was seen as inexperienced and not a master campaigner like Wilson. Heath was hardworking, conscientious and had an image of competence even of he was perceived as dull
What were the Religious differences between North and South Ireland?
Southerners were Catholics whilst the North was mainly Protestant
