Impact of Empire on British Economy

Question 1

How did Britain gain control of the Suez Canal? When did this last until?

Answer 1

Through the taking of Egypt in 1882. This lasted through Egyptian Independence (1922) and the Anglo-Egyptian Treaty (1936) until 1954.

Question 2

What key imports did Britain gain from India?

Answer 2

Silk, cotton, cash crops (rice)

Question 3

What key import did Britain gain from the Caribbean?

Answer 3

Sugar

Question 4

Where in the empire did Britain acquire its cotton?

Answer 4

South Africa and Australia

Question 5

What proportion of British imports came from the empire by 1914? What proportion of exports went there?

Answer 5

24. 9%

37. 2%

Question 6

Between 1915-1919, what was the value of goods which Britain imported each year from the empire? How did this compare to the five previous years?

Answer 6

£1161m compared to £714m previously

Question 7

When was the Kirkuk-Haifa Oil Pipeline built?

Answer 7

1932-34

Question 8

When was the Anglo-Persian Oil Company founded? What share of the company was bought out by the British government in 1914?

Answer 8

1909

51%

Question 9

When was the Ottawa Trade Agreement?

Answer 9

1932

Question 10

By 1914, what proportion of Britain’s imports didn’t come from the empire?

Answer 10

75.1%

Question 11

Which historian argues that British consumers paid competitive prices for products regardless of its origins?

Answer 11

Patrick O’Brien

Question 12

How much did Britain’s share of world trade fall between 1914-1938? How is the empire partially responsible for this?

Answer 12

From 17% to 14%. Because Britain’s economy was so axed upon empire, when they couldn’t provide the goods which the colonies needed (like at the end of the wars), the colonies turned to the USA who could provide the goods.

Question 13

What was the average annual rate of returns from the empire 1860-1884? What was this for domestic investment?

Answer 13

Imperial investment = 9.7% return rate

Domestic = 5.8% return rate

Question 14

How did empire have a positive impact on British investment in the colonies?

Answer 14

Since it protected and secured the investment there e.g. Dual-Economic control in Egypt ensured that the returns were protected

Question 15

Why did Bevin want to invest in African colonies after WW2?

Answer 15

Because he saw them as possessing the raw materials and foodstuffs required to boost Britain’s economy and meet its consumption needs. This would help bring Britain up to superpower status.

Question 16

What proportion of British investible funds went to the empire 1865-1914?

Answer 16

1/4

Question 17

What was the average annual rate return on imperial investment 1885-1912? Domestic?

Answer 17

Imperial = 3.3%
Domestic = 5.5%

Question 18

Which historian argues that British returns from imperial investments were ineffecient and divested investment away from Britain?

Answer 18

Hobson

Question 19

When did McKinnon’s company fail? Goldie’s?

Answer 19

1896 and 1900

Question 20

Who has shown that overseas investment outside the empire produced larger returns than inside the empire?

Answer 20

Edelstein

Question 21

What was the problem of investment under the Colonial Development and Welfare Act for the British economy?

Answer 21

Much of the money went to be spent on social infrastructure (schools and health) rather than economic development which would have had a more direct benefit to Britain

Question 22

How did informal empire in Argentina help government finance?

Answer 22

It meant the government could force Argentina to adopt policies to be able to keep paying the yields on the bonds held by british citizens e.g. deflationary policies at the end of the C19th

Question 23

How much money did the government hold belonging to the colonies at the end of WW2?

Answer 23

£600m

Question 24

Between 1946-1951, how large a dollar surplus did the colonies generate for Britain?

Answer 24

$1.83bn

Question 25

Which colonies pegged their currencies to the pound at the end of WW2? Which didn’t?

Answer 25

Australia, New Zealand and South Africa did

Canada and Newfoundland didn’t

Question 26

For the period 1846-1914, how much would British taxes have been reduced by if colonies shouldered their own costs for defense?

Answer 26

20%

Question 27

How did the empire contribute to America’s growing influence over Britain economically?

Answer 27

The cost of maintaining and sustaining empire forced Britain to grow more reliant on American finance and accept agreements such as Bretton Woods

Question 28

When was the Cost-Benefit analysis? What did it show?

Answer 28

1957- showed that the Empire cost more to maintain and own than it economically gave back to Britain

Question 29

Which sector had the highest rate of growth of employment 1870-1945 according to Cain and Hopkins? How does this relate to empire?

Answer 29

The financial service sector in London

Significant amounts of investment went into the empire and this fuelled the growth of the sector

Question 30

Which act facilitated much labor migration to Britain from the colonies?

Answer 30

1948 British Nationality Act

Question 31

Where did most of London Transport’s 4000 new employees in 1956 come from?

Answer 31

Barbados

Question 32

How many expats went to live in the commonwealth, causing a drain on the source of British labour?

Answer 32

10m

Question 33

When was copper discovered in Northern Rhodesia, a vital commodity?

Answer 33

1928

Question 34

Between 1870-1914, how much did Britain invest abroad? How much went to the formal empire?

Answer 34

£4.1bn abroad

40% went to the formal empire

Question 35

Despite possessing an empire, what did the Booth Report discover 1889-1903?

Answer 35

That 30% of London was living in extreme poverty

Question 36

What were imports from Britain/ exports to Britain in the empire in 1856-59? Compared to 1896-99?

Answer 36

1856-59: 46.5% of imports from Britain, 57% of exports to Britain
1896-99: 32.5% of imports from Britain, 34.9% of exports to Britain

Question 37

What had Britain’s share of World Trade originally been in 1860?

Answer 37

25%

Question 38

How much less were overseas investments valued in 1930 after lots having been sold off during the war?

Answer 38

£1000m

Question 39

What were Britain’s capital exports to the empire 1950-54?

Answer 39

65%

Question 40

Post-WW2, what proportion of oil did Britain derive from the Middle East? What proportion of non-ferrous metals came from SA and Canada?

Answer 40

82% of oil from the Middle East

50% of non-ferrous metals from SA and Canada