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Theme 1 A changing political and economic environment, 1918-1979.

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Presentation on theme: "Theme 1 A changing political and economic environment, 1918-1979."— Presentation transcript:

1 Theme 1 A changing political and economic environment, 1918-1979

2 Task The following slides provide you with some key points to consider Build on these points using your class notes and the core textbook

3 Prime Ministers Lloyd George (Liberal) 1918-22 Bonar Law and Baldwin (Conservatives) 1922-24 Macdonald (Labour) 1924-24 Baldwin 1924-29 (Labour) MacDonald 1929-31 (Labour) The National Government 1931-9 Chamberlain (1937-39) Churchill 1939-45 (Conservatives) Attlee 1945-51 (Labour) Churchill 1951-55 (Conservative) Eden 1955-57 (Conservative) Macmillan 1957-63 (Conservative) Wilson 1964-70 (Labour) Heath 1970-74 (Conservative) Wilson 1974-76 (Labour) Callaghan 1976-79 (Labour)

4 Reasons for changing party fortunes Scandal (Peerages, affairs) Political Acts (Representation of the Peoples Acts, First Past the Post System) War (WW1, Chanak incident, WW2, Cold War) Political views (Communism, Nationalism, Socialism) Foreign Affairs (Russia, Germany, Suez Canal, Ireland) Manifestoes (Welfare State, taxation) Campaigning

5 Economic Challenges WW1 (loss of trade, debt, value of the pound, inflation, technological development) Recession Depression Unemployment Stagflation WW2 Rationing Value of the pound Competiveness of British industry Worker-employer relations Government debt Too much focus on defence Foreign Affairs (OPEC, Wall Street Crash)

6 How did governments deal with economic change? Consider: The extent to which solutions were considered practically achievable and politically acceptable The level of understanding of the root cause of the problem The existence of received wisdom (or an ideology) that shaped and informed decision-making The prioritisation of the problem

7 Solutions of the 1920s Gold Standard (Return to in 1925) Taxation Interest rates (Raised) Protectionism

8 Solutions of the 1930s Spending/pay cuts Gold Standard (Left in 1931) Rearmament (1935) Interest rates (Reduced)

9 Solutions of the 1940s Essential Work Orders (1941) Keynesian approach (Rather than balancing the budget, the government should borrow and spend to stimulate the economy) Nationalisation Austerity

10 Solutions of the 1950s Keynesian approach ‘Stop-go’ policies: Taxation (Raised and cut when needed) Pay increases (Limited when needed) Interest rates (Lowered when needed) Remember the term ‘Butskellism’

11 Solutions of the 1960s Investment in new technology ‘Stop-go’ policies Borrowing European Economic Community (Britain asked to join in 1967 but was refused) NEDDY NICKY National Board on Prices and Incomes Prices and Incomes Act Industrial Reorganisation Corporation (IRC) Devaluation

12 Solutions of the 1970s Prices and wages capped (The government was forced to do this due to foreign affairs) IRC (Scrapped) Spending Cuts Taxation (Reduced) IMF

13 Challenges in the work place Problems: – Red Clyde side – Miners’ Strike – General Strike – Great Depression – Betteshanger Strike – Bevin Boys – Welsh Miners’ Strike, 1944 – Ford Strikes – Wildcat Strikes – Girling Bake Strike – Miners’ Strikes 1970s – Haulage Strike – Public Sector Strike You need to know the causes and impact of these events. Also consider severity and level of threat to the government

14 Challenges in the work place Solutions: – Unemployment Insurance Act – Trades Disputes Act (also a problem) – Coal Mines Act – Factory Act – Special Areas Act – WW2 – The Industrial Charter – Equal Pay Act – Sex Discrimination Act – Employment Protection Act – Industrial Relations Act


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