Module 2: 14-Recent changes in UK economy

Question 1

Who was in government 1970-74?

Answer 1

Edward Heath

Conservative

Question 2

When was Edward Heath in power?

Answer 2

1970-74

Question 3

Who was in government 1974-79?

Answer 3

Harold Wilson/ Jim Callaghan

Labour

Question 4

When were Harold Wilson/ Jim Callaghan in government?

Answer 4

1974-79

Question 5

Who was in government 1979-90?

Answer 5

Margaret Thatcher

Conservatives

Question 6

When was Margaret Thatcher in power?

Answer 6

1979-90

Question 7

Who was in government 1990-96?

Answer 7

John Major

Conservatives

Question 8

When was John Major in power?

Answer 8

1990-96

Question 9

Who was in government 1997-2007

Answer 9

Tony Blair

Labour

Question 10

When was Tony Blair PM?

Answer 10

1997-2007

Question 11

What major economic event occurred in 1973?

And what effects did it have?

Answer 11

UK entry into EEC

• Rapid rise in export/ import
• Entry into bigger competitive arena

Question 12

When did UK enter EEC?

Answer 12

1973

Question 13

What major economic event occurred in 1973-74?

And what effects did it have?

Answer 13

Oil crisis

• OPEC x4 oil prices in several months
• Purchasing power of UK exports declined against imports.

Question 14

What major economic event occurred in 1974-78?

And what effects did it have?

Answer 14

Economic slump

• Output increased b only 1%/ year in this period
• Unemployment rose

Question 15

When was the 70’s oil crisis?

What caused it?

Answer 15

1973-74

-OPEC x4 its oil prices

Question 16

When did UK experience an economic slump in the 70’s?

What did the slump consist of?

Answer 16

1974-78

• Output of only 1%/ year
• Rising unemployment

Question 17

What major economic event occurred in 1979-85?

And what effects did it have?

Answer 17

Period of economic recovery combined with high unemployment.

Question 18

What major economic event occurred in 1986-88?

And what effects did it have?

Answer 18

Boom period

• Inflation increased 3% - 4.8%
• Unemployment decreased from 12% - 7%

Question 19

What major economic event occurred in 1988-93?

And what effects did it have?

Answer 19

Downturn in economic activity

• Inflation decreased: 1988=4.9% 1993=1.5%
• Housing market ave. value dropped £60k - £53k in this period.

Question 20

In which period did UK experience a prolonged drop in avg. house prices from £60k - £53k?

Answer 20

1988 - 1993

Question 21

What major economic event occurred in 2012-13?

And what effects did it have?

Answer 21

Double-dip recession due to austerity and lenders reluctance to lend money.