Economics 1947-1967 Flashcards
What did the Colonial Development and Welfare Act 1945 do?
Increased available aid to over £120 million over 10 years
When was the Colonial Development Corporation introduced?
1948
What did the Colonial Development Corporation do?
co-ordinated major projects, developed self sustainable agriculture, industry and trade
How much did the 1948 Tanganyika Groundnut Scheme cost?
£49 million
When was the Karbia Dam built in North Rhodesia?
1949
What post war investment was established in Kenya in 1946?
Kenya Tea Development Authority
What was the direct effect of the successful post war colonial developments?
Directly affected Colonial Policy
e.g Malaya (improved rubber production essential $ earner so GB fought the communist insurgency and delayed independence)
At the start of the 1950’s what percentage of the workforce was employed by British manufacturing?
40%
What fraction of global manufacturing exports was Britain responsible for at the start of the 1950s?
1/4
Between 1955 and 1969 how much had prices increased by?
63%
Between 1955 and 1969 how much had wages increased by?
130%
How many homes were built every year in the 1950’s and 1960s?
over 200,000
Why did Britain’s main competitors rapidly overtake Britain in productivity in the 1960’s?
-Lack of Willingness/ ability of GB producers to innovate
-Poor relations between trade unions and the government
-Lack of Government investment in infrastructure (too focused on building a welfare state)
What happened in the 1960’s due to the decline in competitiveness, combined with a rise in consumer demand?
Britain’s trade deficit increased and the value of the £ weakened
In 1958 what percentage of GB overseas investment was still in imperial companies or government?
58%
In 1946 what percentage of British exports went to the commonwealth?
46.1%
By 1965 what percentage of British exports went to the commonwealth?
27.9%
How did the Western European economy recover so quickly?
- Marshalle Aid and US investment and trade
-Post-war takeover of liberal democracies moved further away from protectionism - Scientific and technological advances accelerated new and improving industries
(By the late 1950’s W Europe was enjoying full employment, high growth rates just as Britain had a decade earlier)
When did the European Economic Community form?
1957
The Conservative government resisted joining the EEC in 1957 and instead chose to rely on …..
traditional base of own “common market”
What years did GB apply for EEC membership?
1963 and 1967
In what year was the sterling devaluation?
1967
(destroyed “sterling area”)
When did GB join the EEC?
1973
Why was the Sterling Devaluation in 1967 so significant?
-Often referred to as the key moment that proved GB relative economic decline
-Devaluation reduces the cost of exports, so countries are more likely to buy British, however there is an increase in the cost if imports so domestic consumers more likely to buy British= exports increase and imports decrease
=Reduced trade deficits
What happened in June 1967?
Six Day war in middle east which majorly disrupts trade
What was the percentage of devaluation against the dollar in November 1967?
14%
What was the status of GB economy by 1967?
Devaluation clear proof that Gb and £ no longer as economically powerful as before WW11
but despite the economic decline evident in the 1960s, Gb still in a more prominent position in global economic system because of legacy of Imperial Wealth than any other nations of similar size
