Chapter 18 Flashcards
Economic issues
What did the Emergency Powers (Defence) Act 1939 legislate?
The government was granted authority to make regulations covering any aspect of life
What sort of ministries were established during the war?
Ministry of Aircraft Production, Ministry of Labour and 1942 Ministry of Production
How many workers were under the Royal Ordinance Factories
300,000
What were Bevin’s aims in the Ministry of Labour?
To get the unemployed into work, but also ensure every industry was represented
How much did the total workforce rise by during the war?
2 million
How did Bevin improve working and living conditions?
He used ‘essential work orders’ to improve canteens, medical centres, wages and trade union powers
How was agriculture encouraged during WW2?
The ‘Dig for Victory’ campaign led to a huge rise in home grown vegetables across the country
What were the Labour government’s rationing policies?
Living standards were held down under austerity, bread was rationed from 1946-48
What were the Labour government’s rebuilding policies?
There was an ‘export drive’ in order to buy imports of food and raw materials
What were the Labour government’s peaceful industrial production policies?
Government controls maintained the allocation of materials, encouraged new factories in deprived areas
What were the Labour government’s economic planning and employment policies?
Nationalisation, used taxation, interest rates, and the budget to stimulate the economy
What were the Labour government’s new policies?
General Agreement on Tarrifs and Trade (GATT) at Bretton Woods in 1944 to reguate world trad
How did Britain face a financial crisis as a result of the war?
Debts of £4198 million, balance of payments crisis, drop of 60% in exports, rapidly increasing costs of the military
What were the conditions of the loan that Keynes negotiated with the USA?
Britain had to end its economic policy of giving countries’ preference, Britain had to join GATT, had to make the pound fully convertible to dollars
What economic crisis shook Attlee’s government?
There were not enough dollars in the Bank of England to make the pound convertible
How much aid did the Marshall Plan give to Europe
13 billion dollars
How had the Labour government’s export drive proved successful?
Exports had increased by nearly 80% between 1946-50
What significant economic successes did the Labour government have?
Interest rates, inflation and wage rates were low, productivity in agriculture improved, half of all new factories sat in formerly deprived areas
How was the Labour government successful in their nationalisation policy?
They publicly owned 20% of economic enterprises and employed 10% of the workforce
How did nationalisation bring improvements in some industries?
Supplies of electricty and gas were expanded, growth in civil aviation and communications, safety and working conditions met minimum standards
How much were private owners of business compensated?
£2700
How did nationalisation not fully provide benefits?
Labour’s administrative system did not directly involve workers or consumers
How was nationalisation arguably radical?
Nationalisation moved Britain towards being a collectivist society, the economy ceased to be entirely capitalist, now a ‘mixed economy’
How was nationalisation arguably not radical?
Most industries nationalised already had some State involvement, socialist demands for workers control were ignored, private owners were compensated, most industry remained in private hands
