Trade and Commerce 1914-1947 Flashcards
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Did Britain trade more within Empire or outside in the 1920s?
Traded more outside Empire.
What was set up in 1926 to try and increase imperial trade?
The Empire Marketing Board.
What was introduced to defend the value of the pound and for what reason?
After the pound left the gold standard it created the sterling area.
What act was introduced 1932?
The Import Duties Act.
What did the Ottawa Conference 1932 introduce?
Imperial Preference.
What percentage of British exports were going to Empire by 1939?
Nearly 50%.
In what way could Empire be deemed as more important?
Important market for specific goods eg Empire took 72% of all motor vehicle exports. Exports to dominions had increased 8% in the period.
India supplied 99% of Britain’s jute and 89% of tea. 63% of all wheat now came from Empire. Due to Great Depression dairy and wheat products from Australia and New Zealand were cheaper.
In what ways could Empire be deemed less important?
Exports of cotton and textiles fell during the period . Overall less goods were being exported to the Empire. India and Burma used to take 12% of exports in 1912, now only 8% in 1938. Imports from India decreased in this period.
To what extent did trade help in this period?
Colonies chose to join the sterling area. Imperial preference secured import and export markets.
To what extent did it not help?
Canada didn’t join the sterling area. India grows greatly in the period. Pressure on British colonies that are at a deficit.
How did WW2 effect the British economy?
German U-Boats stopped 54% of the merchant fleet. Loss of colonies in SE Asia. Diversion of industry due to war. 1/3 of Britain’s overseas assets were sold. Colonial reserves used.
What happened post-war to make Britain’s economic situation worse?
August 1945 the USA ended the lend-lease agreement. Sterling Crisis of spring 1947.
What was Britain’s dual approach with Empire?
When costs outweighed profits, they abandoned imperial control, however when they were considered beneficial, new emphasis was placed on development eg Malaya.
What was the Colonial Development and Welfare Act 1940 and later 1945?
Write off colonial debt and provided grants/loans of up to £5 million per year. Then increased aid in the second act to £120 million over 10 years provided the colonies gave forward a plan.
