changing living standards, 1945-89 Flashcards
LO: evidence of improved living standards in the FRG, rise in cost of living
how was FRG a country of affluence?
the FRG grew into a country of affluence and plenty, in which citizens felt secure enough to spend their earnings on goods they desired, while still often having enough to save
give a statistic about car ownership
it rose from 2 million in 1950 to 12.1 million in 1965
what was the average disposable income in 1964?
the average disposable income for a four-person household was DM904; of this DM823 was spent on private consumption, two thirds of which went on essentials such as food, housing, and clothing
give a statistic to show the ownership of consumer goods
by the 1980s, more than 95% ownership of items such as washing machines, televisions and telephones
how was this improvement in the standrd of living fuelled?
it was fuelled by the relative cheap cost of living caused by relatively low inflation and restraint on wage demands
how did housing change in the FRG?
the number of rooms per person grew as more homes were built - from 0.9 in 1950 to 1.5 by the 1970s
living space per person rose from 19 square metres in 1950 to 30 square metres by 1980
how did the cost of living rise and why?
improved living standards are usually accounted for by pay rises being greater than the rate of inflation.
prices rose by 6% annually during much of the 1970s
citizens were aware that prices were rising and trdes unions put in wage demands to account for this
when did the cost of living start declining?
in 1986 in the FRG the cost of living started to fall and inflation was never greater than 3% during the remainder of the decade