Churchill

Question 1

How old was Churchill in 1951?

Answer 1

77

Question 2

What was the Tory majority in 1951 and why was it an issue?

Answer 2

17 MPs which made it hard to pass legislation

Question 3

What was the balance of payments deficit?

Answer 3

£700 million

Question 4

How many houses did Harold MacMillan pledge to build and did they succeed?

Answer 4

They aimed to build 300,000 a year. They made £318,750 in 1952-53

Question 5

How much of the housing was social housing?

Answer 5

30%

Question 6

What was a disadvantage of the new housing?

Answer 6

That the houses were lower quality and standards for housing were reduced

Question 7

Who was housing minister?

Answer 7

Harold MacMillan

Question 8

Who was health minister?

Answer 8

Ian MacLeod

Question 9

What were prescription charges increased to?

Answer 9

2 shillings

Question 10

How much was spent on welfare?

Answer 10

£2416 million an increase from £1963 million

Question 11

When was the Education Act?

Answer 11

1944

Question 12

Why did education see little development?

Answer 12

Because it was a low priority compared to housing, defence or health

Question 13

How many fewer students was there in 1954?

Answer 13

3000 fewer

Question 14

Define mixed economy

Answer 14

An economic system combining state and private and state enterprise

Question 15

What was nationalised under Churchill?

Answer 15

Newly created Atomic Energy Authority

Question 16

What was denationalised?

Answer 16

Iron and steel in 1953

Question 17

Who was the Minister of Labour?

Answer 17

Monckton

Question 18

What was the conservative view on trade unions and why was it an issue?

Answer 18

To avoid confrontation and pursue industrial peace however this led to dramatic rises in wages which badly affected inflation

Question 19

What was the balance of payments surplus in 1952?

Answer 19

£250 million

Question 20

When did rationing end?

Answer 20

1954

Question 21

What was income tax reduced by?

Answer 21

6p

Question 22

Who was chancellor?

Answer 22

RAB Butler

Question 23

Define stop go economics/Keynesian economics

Answer 23

Stop - when imports exceed exports, inflation is too high and the BOP deficits begin to pile up then there are tax and rate increases and wage freezes which makes demand fall to stop inflation

Go - when output decreases then the controls are removed and there are higher wages and demand which creates natural growth and then tax and rate cuts also simulate growth and a need for more imports

Question 24

What is a criticism of this economic strategy?

Answer 24

That it is only a short term solution to inflation so was called ‘13 wasted years’

Question 25

Define Butskellism

Answer 25

It is highlighting the similarity between Butler and the shadow chancellor Hugh Gaitskell by combining their names

Question 26

How were they similar?

Answer 26

They both supported the welfare state, nuclear weapons building and using mixed economy to maintain full employment.

Question 27

Where did they differ?

Answer 27

Butler thought the way to deal with the BOP deficit was through controlling interest rates whereas Gaitskell favoured higher taxation