Atlee's government, economic record and legacy

Question 1

Why was Atlee elected in 1945?

Answer 1

1. Britain wanted the Beveridge report implemented and Churchill was unlikely to do that
2. They wanted conservatives out (because of Chamberlin’s policy of appeasement to Hitler)
3. British didn’t want to continue in wars with the US
4. British wanted a change and trusted Atlee

Question 2

What challenges did Atlee face?

Answer 2

1. Wartime debt
2. Nationalization of key industries
3. Reorientating the economy to a peacetime
4. De mobbing soldiers
5. Housing
6. End of lend lease
7. Rationing

Question 3

What was going on in the empire in 1945?

Answer 3

Many countries were looking for independence

Question 4

What was the British position in the world after WW2?

Answer 4

Lesser place in the world, the power vacuum fille by USA and USSR

Question 5

Why did Britain pull out of Turkey and Greece?

Answer 5

Because of financial constraints

Question 6

What was the significance of Suez

Answer 6

in 1956 the British and French wanted to keep control of the Suez canal - the Egyptians wanted them gone. US told them to leave

Question 7

How did the British government spending change between 1938-1944?

Answer 7

Changed from 17.5% to 62%

Question 8

What was war spending in 1940?

Answer 8

War spending 43.8% and non war spending -14.9%

Question 9

What did the minus government spending mean for Britain?

Answer 9

It meant that there was under-investment in British industry and things got old, depreciated and didn’t keep up with new technology

Question 10

What legal position helped Britain get rich and stay rich in the 19th and 20th century?

Answer 10

Laws which encouraged free trade and it kept competition high

Question 11

What was the Bretton Woods agreement?

Answer 11

System of international funding that the US really really wanted. It had 6 main features:

1. Replaced the gold standard with $
2. 44 countries agreed to fixed exchange rates
3. Created free trade agreements
4. Created IMF
5. Committment to full employment
6. Regulated Ag prices

Question 12

What shortage did Bretton woods cause?

Answer 12

shortage of dollars

Question 13

What happened to British exports between 1950 - 1999

Answer 13

dropped from 24.6% to 6.9% share of exports

Question 14

What was the Marshal Plan?

Answer 14

Plan developed by Marshal (US) to provide loans to Europe to help rebuild and reconstrct

Question 15

What does Corneli Barnett claim about Marshal Plan money?

Answer 15

That Britain wasted the opportunity to do something really useful with it

Question 16

What did Britain spend the Marshal Plan money on?

Answer 16

1. Buoying the pound as Bretton woods had caused a problem with the currency
2. Welfare state policies

Question 17

In what year did Britain have to suspecd convertibility to the pound?

Answer 17

1947

Question 18

What was the bad winter of 1946/7?

Answer 18

Bad winter when snow was heavy, disprupted coal mines, cattle death etc. Flooding then followed

Question 19

When did rationing end?

Answer 19

1954 entirley

Question 20

What food wasn’t rationed?

Answer 20

Fish and chips

Question 21

How many soldiers were demobbed?

Answer 21

4.3 million

Question 22

What happened to the divorce rate in 1947?

Answer 22

Rose to over 60,000 applications

Question 23

How many homes/council homes did Atlee build?

Answer 23

1 million, 80% of which were council homes

Question 24

What percentage of industry was privatised under Atlee

Answer 24

20%