policies and economic policies Flashcards
in jan before the 1970 election conservatives held a conference at Slsdon park why?
to approve a policy programme = soon form the basis of the conservative party’s manifesto at the election
conservative manifesto involved policies around:
tax reform
better law and order
reforms to trade unions
immigration controls
cuts to public spending
end to public subsidy of ‘lame duck’ industries
‘lame duck’ industry
one that is unable to compete + survive without support from the state
Heath still believed in?
‘one nation toryism’ + post-war consensus
The Selsdon park programme not intended to
be an all-out rejection of post-war consensus
during Heath premiership = number of reforms
(school)
school leaving age raised to 16
during Heath premiership = number of reforms
(local gov)
local gov reorganised
during Heath premiership = number of reforms
(British currency)
british currency went decimal= however administration was dominated by economy + industrial relations
decimalisation
agreed in 1965 but came into force in 1971
-new British currency would have 100 new pence rather than 144 old pennies in pound= more in line with currencies of other European countries
who was new chancellor?
Anthony Barber
what did new chancellor Anthony Barber initially introduce?
cuts in public spending
-introduced tax cuts to try to encourage investment
what was called the ‘barber boom’ began with?
rapid rise in infaltion
what was unusual about this inflation?
what was it called?
-inflation not accompanied by economic rgowth
-unemployment actually went up = something highly unusual at same time as inflation
-known as stagflation
stagflation
unusual combination of inflation and stagnant economic growth = produces enemployment= occurring at same time
unemployment started to edge to a million =what did gov previously want to do?
reduce state intervention in industry felt compelled to take action
what was nationalised?
the prestigious engineering firm Rolls Roycein 1971
gov money also poured in to prevent what going bankrupt?
prevent Upper Clude shipbuilders going bankrupt
-known as U-turn
u-turn
reversal of previous policy= Edward Heath’s u-turn in 1971-72 was his retreat from the free-enterprise economic principles his gov tried following from 1970
what was the trigger for the crisis in October 1973?
the war prompted OPEC(organisation of petroleum exporting countries led by saudi Arabia to protect interest of its members)
the Yom Kippur War in the Middle East
-war prompted OPEC to declare an oil embargo
OPEC declaring an oil embargo meant?
what happened to the price of oil?
-exports suddenly stopped
-price of oil rocketed to 4 times the usual levels
-Long queues formed outside the petrol stations
this was the context for National Union of Miners(NUM) to ?
demand a huge new pay rise in November 1973
