The 'Devil's Decade' - 1929 to 1939 Flashcards

1
Q

What was the Young Plan in 1929?

A

A plan set up by Macdonald and Henderson with the USA which eased Germany’s reparations and advanced it a loan of $300 million.

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2
Q

What legislation and reforms did Labour attempt to introduce before they had to be abandoned due to the economic/financial crisis in 1931?

A
  1. Agricultural Marketing Act (1931)
  2. Greenwood’s Housing Act (1931)
  3. Coal Mines Act (1930)
  4. Attempt to repeal of the 1927 Trade Disputes Act
  5. London Transport Bill (1931)
  6. Education Bill (1930)
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3
Q

What did the Agricultural Marketing Act do?

A

It established a series of marketing boards to help producers arrange supplies more efficiently.

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4
Q

What impact did Greenwood’s Housing Act in 1931 have?

A

Extended house-building subsidies and there was a new slum clearance scheme

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5
Q

What did the Education Bill aim to do and why did was it never passed?

A

Aimed to increase the school leaving age to 15 and initially it failed die yo lack of Liberal support however the financial crisis in 1931 caused the act to suffer further

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6
Q

What was the London Transport Bill introduced by Herbert Morrison?

A

Created a public corporation responsible for providing cheap and efficient public transport in London. It did not become law until 1933.

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7
Q

What did Rowntree’s studies show?

A

That the average family income was £1.50 and that 31.3% of families were in poverty.

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8
Q

What % of families were in poverty in 1931 according to Rowntree?

A

31.3%

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9
Q

By the end of 1931, what were the levels of unemployment?

A

2.5 million

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10
Q

Give an example on how the cabinet were split and indecisive on how to deal with the economic crisis after the 1929 Wall Street Crash in America

A

Mosley resigned in May 1930, when his ‘Mosley Memorandum’ was rejected - he agreed on putting the working men’s needs first.

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11
Q

What did Snowden believe to be fundamental principles in maintaining the economy?

A

The balance budget and staying on the gold standard

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12
Q

Why did Macdonald set up the Economic Advisory Council of industrialists and economists in 1930?

A

As he had little to no idea on how to tackle the unemployment problem and needed advice, but he remained weary of ‘new’ ideas

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13
Q

What did the May Committee Reports in July 1931 recommend?

A

Pay cuts for public workers and cut in unemployment of 20% - this was rejected and TUC’s strongly opposed

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14
Q

How did the economist John Maynard Keynes describe the May Report?

A

‘the most foolish document I have ever had the misfortune to read’ due to its high exaggeration and unrealistic changes.

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15
Q

Why was Macdonald seen as a traitor to the Labour party in August 1931 during the political crisis?

A

Macdonald agreed to 10% cuts in unemployment benefit and only 11-9 were in favour so Macdonald announced he was prepared to resign. HOWEVER, King George V persuaded him to continue as Head of a national Government with 4 Labour, 4 Conservative and 2 Liberals.

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16
Q

QUOTE: How does historian H. Pelling describe the 1929 Labour Government?

A

‘Singularly Unsuccessful’

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17
Q

QUOTE: How did the later Labour leader, Clement Attlee, describe Macdonald’s actions?

A

‘the greatest betrayal in the political history of this country’

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18
Q

What was Macdonald accused of?

A
  • He was seen to have abandoned the ‘working man’ and only thinking of his career ambitions
  • A slow response to the crisis causing it to get worse
  • He was too ready to ignore the trade unions and the advice of his own cabinet ministers (e.g. Mosley Memorandum)
  • He called an election in 1931 even though he promised not to do so, caused an electoral disaster for Labour
  • Was not brave enough to consider ‘new’ ideas and needlessly set up the May Committee
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19
Q

When was Macdonald finally removed for the ‘spotlight’?

A

In 1935 when Baldwin at last took over the reins

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20
Q

QUOTE: Adelman view on the 1929 labour Government:

A

‘the Government’s record was uninspiring’

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21
Q

What plans did Lloyd George and the Liberals draw up to tackle unemployment?

A

Plan for public works consisting mainly of the construction of roads and town planning

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22
Q

In September 1931, after the National Government took over, that dramatically changed the economy?

A

There was another run on the pound which depleted the country’s gold reserves to such an extent that the Bank of England decided that the Gold Standard would have to be suspended.

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23
Q

Who described the 1930s as ‘the devil’s decade’

A

Claud Cockburn

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24
Q

What benefit did coming off the Gold Standard in 1931 have?

A
  • Encouraged exports, abandoned free trade and attracted investors to put money into Britain.
  • The 30% devaluation of the pound turned out to beneficial for Britain as it made British exports cheaper and easier to sell.
  • Britain sold more exports to the Empire, within the ‘sterling area’
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25
Q

What was the policy ‘Cheap Money’ to do with?

A

Interest rates decreasing which made it easier for industries to borrow money to invest in modern machinery and for consumers to borrow money on mortgages to buy new houses.

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26
Q

What were interest rates reduced to in 1932?

A

Interest rates were reduced from 6% in 1931 to 2% in 1932

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27
Q

What is the ‘multiplier’ effect that Keynes suggested?

A

where money invested in the economy would be used over and over again.

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28
Q

What negative impacts did coming off the Gold Standard cause?

A
  • The ‘cheap money’ policy did not cause an immediate increase in investment and when it came to 1934
    onwards
  • Its effectiveness was limited because other currencies also left the gold standard and they depreciated in value also. Many countries also introduced protective tariffs, which made exporting difficult.
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29
Q

Was coming off the Gold Standard generally good or bad for the British economy?

A

Good

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30
Q

How many houses were built due to the private house boom in the 1930s?

A

2 million

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31
Q

How did the private house-building boom benefit the economy?

A

This provided work and created a demand for furniture and fittings, which helped create a revival in the construction industry. Mainly benefitted the middle and upper class

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32
Q

What did Hilton Young’s Housing Act in 1935 obliged local authorities to do?

A

Clear slums and end overcrowding

33
Q

From 1935-1945, how much was spent on durable and consumer goods?

A

£39 million

34
Q

What benefit did the housing boom have on the skilled working class?

A

The skilled working class could afford to buy their own homes for the first time.

35
Q

Disadvantages of the Housing effort in the 1930s?

A
  • Many of the private homes built were mainly for the middle class who were more likely to have steady jobs and so could take advantage of cheap mortgages and low prices
  • There was much less government house building as only 700,000 council houses were built in total between 1931 and 1940.
  • Supply of the new consumer goods and electrical appliances for the household were uneven and in practice the more affluent upper classes benefitted the most as of these items were still expensive
36
Q

How many council houses were built during the 1930s?(1931-1940)

A

700,000

37
Q

By 1939, what % of the working class households still did not own a radio?

A

33%

38
Q

What caused an increase in employment during the 1930s?

A

New investments in competitive industries and the building of industrial estates encouraged jobs in service industries and cause employment levels to increase.

39
Q

What was the Special Areas Act in 1934?

A

Provided £2 million to be spent on aiding the unemployed via local authorities - in the most depressed area’s (e.g. Jarrow)

40
Q

What was the Unemployment Assistance Board?

A

A way of removing issue of unemployment out of the political arena and instead a staff of 6000 were used in the Board to help relieve the pressure on Labour Exchanges from December 1934.

41
Q

What were Transitional benefits and Statutory benefits?

A

They provided to those who had failed to find work for over 26 weeks

42
Q

The government did in fact reduce unemployment from almost ……………….in 1932 to ……………..in 1939

A

3 million

1.5 million

43
Q

What adjustments did the 1938 Coal Mines Act make?

A

Brought full nationalization for the mines closer which would hopefully provide more stability in wages, an improved health (as less Labour intensive) and improved working conditions for workers.

44
Q

What did the 1938 holiday with Pay Act give to workers?

A

One week’s paid holiday

45
Q

What benefit did the 1937 Factory Act have?

A

Extended safety regulations under the Factory Code for another 4 million workers and restricted the number of hours that children and women worked

46
Q

Give two negative impacts on unemployment during the 30’s?

A

10% cut in unemployment and the ‘means test’ was introduced which was embarrassing for many people and gave no incentive to save money.

47
Q

What was a limitation of the 1934 Special Area’s Act?

A

There was only £2 million available for the whole country and only the severest areas of depression were helped.

48
Q

What effect did the Import Duties Act in 1932 have?

A

It caused industries to struggle as tariffs were placed on Britain’s goods and the Global economic crisis created cyclical unemployment.

49
Q

Describe the details of the Jarrow March in 1936?

A

200 unemployed men marched 300 miles to London to petition parliament to being back work to their town

50
Q

What impact to the unemployment cause did the Jarrow March have in 1936?

A

As the men were marching, cities such as Leeds welcomed and cheered them on. The march made a major impact as people from all across the countryside became more aware of the levels of poverty throughout the country.

51
Q

What changes were made to try aid agriculture in the 30’s?

A
  • Import Duties Act in 1932 imposed tariffs to protect British agriculture
  • A series of quotas and import taxes were imposed on a range of agricultural goods from Europe.
  • Government assistance in land drainage and soil improvement schemes, greater mechanization, improved credit facilities and marketing boards.
52
Q

By 1939, there were ……… boards, including those for milk, bacon and ………………

A

17

Potatoes

53
Q

What agricultural problem caused Britain to become even more dependent on food imports?

A

The amount of arable land continued to decline as some farmers even had to be abandoned farms and others switched their products or became market gardeners growing fruit and flowers.

54
Q

Overall conclusion about the state of the economy in 1930s

A

During the 1930’s, the government were successful in coming of the gold standard, reducing interest rates and aiding the boost of agriculture. However, despite the increased intervention in the economy in the 1930’s than in the 1920’s, the National government failed to establish a stable economy within Britain and arguably, the only progress made was from the automatic expansion of new industries.

55
Q

QUOTE: How does Claud Cockburn describe the 1930s?

A

‘an era of wasted time and missed opportunities’.

56
Q

Why did political extremism fail in Britain during the 1930s?

A
  • The depression in Britain was not as deep and horrid in comparison to other European countries
  • Traditional and widespread support for British democracy overpowered
57
Q

What was the Incitement to Disaffection Act in 1934?

A

Could be used to prosecute anybody advocating revolutionary ideas or violence

58
Q

What does BUF stand for?

A

The British Union of Fascists

59
Q

Who were typical recruits to the BUF?

A

Young working-class men disillusioned with the traditional party policies and system who had made limited efforts to tackle unemployment

60
Q

Give an example of BUF violence

A

the ‘Battle of Cable Street’ in 1936 between fascist an non-fascists which caused over a hundred injuries.

61
Q

What factors limited political extremism?

A
  • The Labour Movement who rejected all attempts by the Communist Party to bring about a ‘Popular Front’ against fascism (due to the disastrous effects it had in France in 1936).
  • International events discredited the political extremes(e.g. Mussolini’s Invasion of Abyssinia in 1935)
  • Recovering of the economy rom 1933 to 1934
62
Q

What major event happed in December 1936 that threatened peace and stability in Britain?

A

Abdication of King Edward VIII

63
Q

From what year did spending on rearmament increase dramatically and what benefit did this have?

A

From 1935 and this stimulated the previously vulnerable staple industries (e.g. shipbuilding and steel) as well as newer light industries (e.g. chemical and aircraft)

64
Q

What policy is Chamberlain known for?

A

‘appeasement’ towards Hitler’s Germany

65
Q

Who was the Conservative PM from 1937 onwards?

A

Neville Chamberlain

66
Q

Who founded the BUF and what did he promote?

A

Oswald Mosley and anti-Semitism

67
Q

QUOTE: What was the passing of the Children and Young Persons Act in 1933 described as?

A

‘a landmark in the history of child protection’

68
Q

When was the Communist ‘Left Book Club’ founded and how many Communist pamphlets were sold in Britain?

A

1936 and one million

69
Q

What was Britain’s controversial decision regarding the Spanish civil war?

A

Non-intervention

70
Q

What did the Public Order Act in 1936 prohibit?

A

The wearing of political uniforms, aimed at the BUF who wore black uniforms

71
Q

Who was the PM up to 1937?

A

Baldwin

72
Q

When was war declared by Britain on Germany?

A

1939

73
Q

What did the 1931 Census show?

A

A mass movement of people to London to look for work

74
Q

The increase in real wages led to?

A

A greater spending power and cheaper goods, meaning middle class families could now afford a range of electrical household appliances

75
Q

Name a few new household appliances that arose in the 1930s?

A

Washing machines, electric cookers and vacuum cleaners

76
Q

Give some features of the ‘Golden Age’ argument in the 1930s?

A
  • Holidays became a common feature - Butlins
  • Installments - ‘buy now, pay later’
  • Chain stores to attract more customers
  • BOOM in consumer goods
77
Q

What were the new, affluent changes symbolized by in Britain?

A

The rush of handsome factory buildings, like the Art Deco Hoover factory in Ealing and the rapid development of the advertising industry.

78
Q

Orthodox economic policies that failed from 1931-1939

A
  • Retrenchment: cuts to benefits, wages and tax
  • Import duties bill had limited impact as other countries introduced tariffs
  • Uncompetitive shipyards we’re closed down instead of revived, unemployment reached 70% (e.g. Jarrow)
  • Interest rates were reduced
79
Q

Successful Orthodox policies or unorthodox policies that were successful

A
  • Coming off the Gold Standard caused devaluation of the pound = cheap money policy
  • Greenwood’s housing boom 1930s