trade & commerce (imperialism challenged)

Question 1

How much did India contribute to the war effort?

Answer 1

£146 million.

Question 2

What did India suffer as a result of its WW1 contributions?

Answer 2

Inflation and shortages, as in 1914 2/3 of Indian imports British

Question 3

What other unintended consequences did India suffer in WW1?

Answer 3

Morę foreign competition displaces British imports, and domestic manufacturers able to capture some of the market.

Question 4

What tax changes did Britain make that benefited Indian manufacturing even more?

Answer 4

In order to raise revenues, raised import taxes in India from 11% in 1917 to 25% in 31. Further strengthened domestic industry.

Question 5

How does Canada emerge from WW1?

Answer 5

As an industrial power and looks to US for capital investment?

Question 6

How were Australia and New Zealand affected by WW1?

Answer 6

Deeply, dependent on UK for exports. Both run up deficits with the UK, felt they were being exploited.

Question 7

What were the two different post WW1 economic philosophies?

Answer 7

• In the 1920s, attempt to restore the status quo, no special preference for Empire, Gold Standard re-established in 1925. Exception was Colonial Development Act of 1929.
• Post depression more emphasis on Empire. Imports increase, exports don’t.

Question 8

Why were Imperial countries useful points of investment?

Answer 8

Other investment avenues/opportunities had been closed and fixed to sterling.

Question 9

How did the proportion of total imports from Empire change from 1914-1934?

Answer 9

24.9% to 35.3%

Question 10

How did the proportion of total exports to Empire change from 1914-1934?

Answer 10

37.2% to 44%

Question 11

How did Britain respond to the Great Depression from a tariff perspective?

Answer 11

Imposes 10% import tax except crown colonies.

Question 12

How did WW1 affect the UK?

Answer 12

• A lot of overseas investment wiped out
• Gołd standard stopped because reserves were so low
• Overseas markets lost
• Overseas competition for traditional industries (e.g. textiles; ship-building, coal, and steel)
• City damaged
• Ability to fund Empire reduced just as costs increase

Question 13

What did the Colonial Development and Welfare Acts of 1940 do?

Answer 13

• Write off some colonial debts
• Colonial grans loans of up to £5 million p.a

Question 14

Colonial Dev Act of ‘45

Answer 14

• £120 million available for over 10 years, as long as there is a 10 year development plan of what would happen w the money.

Question 15

Impacts of WW2 on UK

Answer 15

• U-Boat attacks = 11.7 million tons lost, 54% of merchant fleet
• Malaya lost to Japanes, no rubber
• Trade deficit due to lac kof exports
• 1/3 of overseas assets sold
• Increased dependence on Empire
• Colonial reserves used up to pay
• Keynes secures £900 million loan from US in ‘45