Britain Flashcards
UK 🇬🇧
The United Kingdom of Great Britain and Northern Ireland (called UK) is a sovereign state
that includes England, Scotland, Wales and Northern Ireland.
• Great Britain is an island situated off the north west coast of Europe. England, Wales, and
Scotland are part of Great Britain Island. But Ireland is a separate Island. Northern Island
is part of UK, whereas remaining of the Ireland is an independent nation-state called
Republic of Ireland.
• Geography/demography:
• Group of Islands, called British Isles situated off the north west coast of Europe.
Separated from the mainland Europe by 21 miles wide sea water in the Atlantic
Ocean called English Channel. Across the English Channel is France.
• In area, UK is 1/13th of India, in population ( 6 crore) it is roughly equal to Gujarat!
Economy
Economy:
• GDP: about 2.82 trillion USD; 6th largest; Per capita GDP: about 45000 USD in
comparison to about 2000 USD in India
• Capitalist economy but moderated by strong social welfare measures, a kind of
social democracy.
Political system
Political System:
Its Westminster (Westminster is the name of the Parliament building in London)
form of Parliamentary system and cabinet form of govt is the standard template for
parliamentary Govt in many of the Commonwealth nations (erstwhile colonies of
Britain/UK), including India
• Constitutional Monarchy; Monarch is nominal head of the State; PM is the head of
the Govt. Parliament is sovereign and supreme.
• Oldest representative form of parliamentary democracy. Oldest constitutional
monarchy.
• Multi- party system;
• Electoral system: First Past the Post (FPTP) just like in India for popular elections.
Constitutional convention in UK
• Gradualism (very small changes) and conventions are the twin features of British socio-political system.
• It has no written constitution and codified law; they are based on conventions-centuries of practices accepted and remembered by people.
Salisbury convention
• The House of Lords will not oppose the second or third reading of any government legislation promised in its election manifesto- Salisbury
Convention
The sewel convention
UK Parliament does not legislate on matters devolved to Scotland without prior consent of the Scottish Parliament
Keynesian economic model
Social peace and harmony, strong sense of patriotism and nation building
• Economic model: ‘Keynesian’ demand led economic management. In this model, primary responsibility falls on the Govt to spur up the demand in the economy by massive expenditure on infrastructure and social welfare. For this, the Govt may take loan or print money. Hence, this model may result into high fiscal deficit, high public debt, high interest rate and high inflation.
Attempted to combine best of both socialism and capitalism - mixed economy or the third way. 
The labour party having adopted traditionally, social is agenda change its colour under the leadership of
Tony Blair and Gordon Brown
Chief economic adviser to thatcher
Frederick Hayek
Phases of political economy of Britain in the post-world war II period
Collectivist consensus, Era- post, World War II, till 1970s- Golden period, political consensus for interventionist and welfare state
State had the primary role in economic management, ensuring social welfare and equity
Economic model - Keynesian Demand led economic management. By the 1970s, economic slowdown, high inflation, high unemployment, social unrest and labour strikes, broke the consensus in the winter of discontent in 1978 to 1979, finally ended the golden era
Thatcher Era- new liberalism, free market economy- minimal intervention of state in market economy, promoted intrapreneurship, competitiveness and individual, autonomy, privatisation and liberalisation became the buzzword. Impressive, GDP growth, lower inflation, lower unemployment.
New labour Era - 1997 - 2010- the labour party having adopted social is agenda. Change its colour under the leadership of Tony Blair and Gordon Brown . new Labour Party projector itself as an alternative to both Thatcherite neo, liberalism and traditional Keynesian Demand led growth.
