Economy Arguement And Wilson Flashcards
What’s the arguement ?
Often took action whilst attempting fix industrial relations which were often the root cause of problems
- government often failed to properly carry this out or went back on their plans
What did Wilson initially do ?
Deflationary measures autumn 1964 Callaghan COE introduced series of taxes on Tobaco and Alcahol and negotiated foreign loans from US over the next nine months
What was the next action after 1964 ?
National plan aimed for a 5.25 export increase and an annual growth rate of 3.8 over next six years
Accompanied by NBPI
- unions disregarded NBPI who had no power to enforce wage restraint
- importance of unions shouldn’t be exaggerated as the newly created DEA clashed with the treasury both Pershing contradictory measures
What happened in November 1968 ?
18 novmeber 1968 pound devalued 2.80 to 2.40 to solve problems
- largely caused by May 1966 seamen strike demanding greater pay which damaged export and poor trade figures threatened run on pound
How did in place of strife worsen it ?
Aimed to stop the increase in labour cost and inflation by placing restraints on the unions
- worsens reprising causing more strikes holding Brit back from economic growth leading to an increase in the Retail Price showing inflation rise of 33%
