WW1: Economic Turning Point Flashcards
What type of nation did Britain emerge as?
A debtor nation
How did WW1 change relations with the empire?
Much closer economic relationship with the empire than what had previously existed. The empire was an economic lifeline that Britain could call upon to cushion the economic impact of the war.
What did dominions do during the war?
Develop alternative trade links
What did Canada establish with the USA?
Important links through the export of agricultural products
What happened during the interwar years?
Imperial trade, particularly with the dominions increased
Between 1910-14, what percentage of imperial imports into Britain?
25%
During what years were 25% of imperial imports into Britain?
1910-14
What percentage of exports from Britain into the empire between 1910-14?
36%
During what years was the percentage of exports from Britain into the empire 36%?
1910-14
What was the percentage of imperial imports into Britain in 1935-39?
39.5%
During what years were 39.5% of imperial imports into Britain?
1935-39
What percentage of exports from Britain into the empire in 1935-39?
49%
During what years were 49% of exports from Britain into the empire?
1935-9
How did many conservatives regard imperial trade?
Solution to Britains post war problems and many favoured the introduction of tariffs controls
When did Britain abandon its free trade policy?
1932
What did Britain do in 1932?
Abandon its free trade policy
What forced Britain to tighten its economic bond to colonies?
Depression which began in 1929
What was the impact of the depression that began in 1929?
Forced Britain to tighten its economic bond with its colonies
What happened in the mid-1932 Imperial Economic Conference in Ottawa?
Agreements were set up for imperial preference (preferential trade arrangements between Britain and Dominions and between the dominions themselves). There were the imposition of high tariffs (10%)
What was the impact of the mid 1932 Imperial Economic Conference in Ottawa?
Made Britains balance of payment worse
Dominions benefited
Reinforced unity
What happened after 1932?
The percentage of increase in imports was greater than the percentage increase in exports
What had commercial rivals done during World War One?
Seizing British markets, particularly in India, the Far East and Latin America
What were British staple industries (Old established industries) reliant upon?
Exports, therefore, they suffered as a result of the new trading patterns caused by the war
What happened between 1913 to 18?
Japanese Cotton textile production grew by 55%
When had the Japanese Cotton textile production grew by 55%?
1913-18
What happened between 1913 to 1929?
Japan’s share of textile trade with China rose from 20% to 26%
When had Japan’s share of textile trade with China rose from 20% to 26%?
1913-29
What happened to the British share of tiles with China between 1913-29?
Fell from 16.5% to 9.5%
Between what period did the British shares of the textile trade with China fall from 16.5% to 9.5%?
1913-29
What was Japan’s share of the Indian import trade between 1913-18?
Rose from 1% to 21%
When had Japanese shares of the Indian import trade risen from 1% to 21%?
1913-18
What position did Japan replace the British as?
Japan replaced Britain as the world’s leading exporters
Between 1910-19, what percentage did the textile industry make up of the Britains total exports?
40%
When was textiles worth 40% of the British export industry?
1910-19
What industry was worth 40% of the British total export sector between 1910-19?
Textiles
Between 1930-8, what percentage did the textile industry make up of the Britains total exports?
24%
When was textiles worth 24% of the British export industry?
1930-8
What industry was worth 24% of the British total export sector between 1930-8?
Textiles
Between 1910-19, what percentage did the coal industry made up Britains total exports?
10%
Between 1920-9, what percentage did the coal industry made up Britains total exports?
8%
When was coal worth 8% of the British export industry?
1920-9
When was coal worth 10% of the British export industry?
1910-19
How much was the iron and steel industry as a percentage of exports between 1910-19?
£62.9 million
How much was the iron and steel industry as a percentage of exports between 1930-8?
£54.1 million
How much was the iron and steel industry as a percentage of exports between 1920-9?
£96.5 million
How much was the textile industry as a percentage of exports between 1910-19?
£200.2 million
How much was the textile industry as a percentage of exports between 1920-9?
£288.9 million
How much was the textile industry as a percentage of exports between 1930-8?
£106 million
How much was the coal industry as a percentage of exports between 1910-19?
£50 million
How much was the coal industry as a percentage of exports between 1920-9?
£65.2 million
How much was the coal industry as a percentage of exports between 1930-8?
£37.7 million
Who became the main supplier of raw materials to Britain and its allies?
USA
What did the US become the main suppliers of, to Britain and its allies?
Raw materials, food and merchant shipping
What allowed the US to overtake the British as the worlds largest producers of merchant shipping?
New production methods
How much world tonnage did the British produce between 1909–13?
58.7%
When was the British world tonnage production equals to 58.7%?
1909-13
What was the British world production in 1923?
44.7% of world tonnage
When was British production of world tons worth 44.7%?
1923
How much did the British borrow by the end of the war?
$4 billion
Who was the British dependent upon?
USA
What happened to inflation?
Grew more severe, as Britain increased the quantity of money in circulation in order to finance the borrowing from the USA
What happened in 1914?
Britain withdrew from the Gold standard
When did the Britain withdraw from the Gold Standard?
1914
When did the British return on the Gold Standard?
1925
What happened in 1925?
Britain returned to the gold standard
What was the value of the pound in 1925?
$4.85
When was the value of the pound $4.85?
1925
What was the impact of setting the value of the pound at $4.85 in 1925?
Pound was overvalued by 10%
What was the impact of the currency being overvalued by 10% in 1925?
Less internationally competitive
What nation did the US become?
Creditor nation, principal source of lending and the main source of raw materials
What was Britain not able to do internationally?
Use its wealth to reinforce its international status
Why did the British abandon the gold standard in 1914?
Low gold supply
How much, in comparison to the Boer did, did WW1 cost?
13 times more
What was the impact of the low gold supply?
The British had to abandon the gold standard in 1914
What was production focused on?
Warfare and therefore goods that they dominated in were taken over by competitors
What happened in 1931?
Financial crisis forced the British off the gold standard again
When had a financial crisis forced the British off the gold standard?
1931
How much did India contribute to the war effort?
£146 million
Who contributed £146 million to the war effort?
India
What was the impact of India contributing £146 million to the war effort?
Inflation and shortages in the country
What fraction of Indian imports came from Britain in 1914?
2/3
Why did British exports to India fall?
Wartime disruptions to trade
Competitiveness of international competitors
What happened to Indian manufacturers?
Captured more domestic demand
What was the tax on Indian imports in 1917?
11%
When was the tax of imports on Indian imports worth 11%?
1917
What was the tax on Indian imports in 1931?
25%
When was the tax of imports on Indian imports worth 25%?
1931
Why did the British raise the import tax on Indian imports?
Desperate for revenue in order to pay for the nationalist rising on Indian imports
What did Canada emerge as?
Industrial power
Who did Canada open trade and investment up to?
US
Who did Australia and New Zealand rely on for food and what was the impact?
British and were therefore hit hard by the war
What did Britain do in 1925?
Return on the gold standard to promote international business
What did the Colonial Development Act of 1929 promise to do?
Gave Treasury more funds to support colonial development projects
What percentage of cocoa imports were coming to Britain in 1913?
50.9%
What percentage of cocoa imports were coming to Britain in 1934?
90.7%
What percentage of British exports went to India and Burma in 1909-13?
11.9%
What percentage of British exports were going to India and Burma between 1934-8?
8%
When did the British abandon free trade?
1932
