The Interwar Years and World War 2 Test Review
Interwar unemployment and poverty in the United Kingdom describes a catamenia of poverty in Interwar Britain between the end of the Beginning World State of war in 1918 and the starting time of the 2d Globe War in 1939. Unemployment was the dominant issue of British club during the interwar years.[1] Unemployment levels rarely dipped below 1,000,000 and reached a peak of more than than 3,000,000 in 1933, a figure which represented more 20% of the working population. The unemployment rate was fifty-fifty higher in areas including Southward Wales and Liverpool.[1] The Government extended unemployment insurance schemes in 1920 to alleviate the effects of unemployment.[two]
Causes [edit]
There were several reasons for the decline in industry after the First Globe War. The stop of the war brought a boom. In the shipping industry, businesses expanded rapidly in order to take advantage of the increment in demand. However, the nail was short-lived and this rapid expansion caused a slump from oversupply.[iii] Structural weaknesses in the British economy meant a disproportionate number of jobs were in the traditional industries. A combination of a lack of pre-state of war technological development and postal service-state of war competition damaged the economy and the new industries which emerged employed fewer people. At the same time, Britain began to lose its overseas markets due to strong foreign competition.[4] Some have argued than an overly generous unemployment insurance system worsened the state of the economy.[v] The Wall Street Crash in 1929 was responsible for a worldwide downturn in merchandise and led to the Great Depression.
Apart from the major pockets of unemployment, U.k. was generally prosperous. Historian Piers Brendon writes:
- Historians, however, have long since revised this grim motion picture, presenting the devil'due south decade as the cradle of the affluent society. Prices fell sharply between the wars and average incomes rose by about a third. The term "property-owning commonwealth" was coined in the 1920s, and 3,000,000 houses were built during the 1930s. State, labour and materials were cheap: a bungalow could exist purchased for £225 and a semi for £450. The heart-course also bought radiograms, telephones, three-slice suites, electric cookers, vacuum cleaners and golf game clubs. They ate Kellogg'southward Corn Flakes ("never miss a day"), drove to Odeon cinemas in Austin Sevens (costing £135 past 1930) and smoked Craven A cigarettes, cork-tipped "to prevent sore throats". The depression spawned a consumer smash.[vi]
Response [edit]
Lloyd George's coalition [edit]
As the Regime had funded the Swell War largely through borrowing, Great britain had sew together a large national debt. A boom in the economy occurred in 1919 causing unemployment rates to decrease. The boom stopped in 1920 when unemployment began to increase, by the time that the Liberal-Bourgeois coalition lost power at the 1922 general election, the unemployment rate had reached 2,500,000. A committee on unemployment was set up in 1920 and recommended public work schemes to ease unemployment, this led to the institution of the Unemployment Grants Committee. As unemployment was not uniform across United kingdom of great britain and northern ireland, information technology was decided to concentrate schemes in areas of the state that were particularly affected past the economic downturn.[7] However, the government wished, also, to return to the gold standard, a move which would have required cuts in public spending.[7] The Unemployment Insurance Act 1920 extended unemployment benefits to comprehend all workers who earned less than £250. The "Seeking Work Test" was introduced in 1921, it stated to receive full unemployment benefit there had to exist evidence the recipient was looking for work.
Conservative policy [edit]
The Unemployment Insurance Act 1927 returned to the principle that workers had to contribute to insurance schemes in order to be a part of them. The workhouse system was abolished and replaced with a arrangement of Public Assistance Committees.
Labour Policy [edit]
Ramsay MacDonald's Government passed the Development (Loan Guarantees and Grants) Act 1929.
National Government [edit]
In 1931, a National Government formed later on Cabinet splits resulting from the financial crisis. National Governments would stay in power from 1931-1940 until Winston Churchill became Prime Minister of a Coalition Regime during the Second World War.
Local government was reorganised so that local authorities provided school dinners and health services, means testing was introduced and the Unemployment Help Board was set upwardly in 1934. Economic measures included the devaluation of the pound and taking Britain's currency off of the gold standard, borrowing also increased. The Special Areas Act 1934 attempted to inject finance into depressed areas and British industry was protected by protectionist measures such as state subsidies and import quotas. The Unemployment Act 1934 increased the numbers covered by unemployment insurance.
Legislation [edit]
- Unemployment Insurance Human activity 1920
- Unemployment Insurance Human action 1921
- Unemployment Insurance Act 1924
- Unemployment Insurance Act 1927
- Unemployment Insurance Human action 1930
- Coal Mines Act 1930
- Import Duties Deed 1932
- Unemployment Act 1934
- Special Areas Act 1934
- British Aircraft (Aid) Act 1935
- Cotton Industry (Reorgainsation) Deed 1936
- Special Areas (Subpoena) Human activity 1937
- Cotton fiber Manufacture (Reorgainsation) Act 1939
Unrest [edit]
There were several examples of unrest during this period, most notably the Full general Strike of 1926 and the Jarrow March of October 1936. There were besides protests against the introduction of means testing and hunger marches organized by the National Unemployed Workers Movement.
References [edit]
- ^ a b Laybourn, Keith (1999). Modernistic United kingdom Since 1906: a Reader. Tauris History Readers. I. B. Tauris. p. 105. ISBN978-one-86064-237-1.
- ^ "The Chiffonier Papers | Alleviating inter-state of war unemployment". Nationalarchives.gov.united kingdom of great britain and northern ireland. Retrieved 2012-x-06 .
- ^ "The Cabinet Papers | Interwar menstruation". Nationalarchives.gov.great britain. Retrieved 2012-x-06 .
- ^ "Introduction". Making the Modern World. 1938-12-12. Retrieved 2012-10-06 .
- ^ Daniel Yard. Benjamin & Levis A. Kochin, "Searching for an Explanation for Unemployment in Interwar U.k.", Journal of Political Economy 87 (1979), pp. 441-478.
- ^ Brendon, Piers (5 July 2008). "Review: A Social History of Britain Betwixt the Wars by Martin Pugh". TheGuardian.com . Retrieved 12 November 2017.
- ^ a b "The Cabinet Papers | Lloyd George'southward coalition". Nationalarchives.gov.u.k.. Retrieved 2012-10-06 .
Further reading [edit]
- Benjamin, Daniel Chiliad. & Levis A. Kochin, "Searching for an Explanation for Unemployment in Interwar Uk" Journal of Political Economy 87 (1979), pp. 441-478.
- Cole, Harold L., and Lee E. Ohanian. "The Corking UK Depression: A puzzle and possible resolution." Review of Economic Dynamics 5.1 (2002): 19-44.
- Eichengreen, Barry J., and Timothy J. Hatton, eds. Interwar unemployment in international perspective (Springer, 2012).
- Eichengreen, Barry. "Unemployment in Interwar Great britain." Plant for Research on Labor and Employment (1988). online
- Hatton, Timothy J. "Unemployment and the labour market, 1870-1939." in The Cambridge economic history of modern United kingdom of great britain and northern ireland: vol ii 1860-1939 (2004)
- Hatton, Timothy J., and Roy East. Bailey. "Unemployment incidence in interwar London." Economica 69.276 (2002): 631-654.
- McKibbin, Ross. Classes and Cultures: England 1918-1951 (2000) pp 111-26.
- Pugh, Martin. 'We Danced All Night': A Social History of Britain Betwixt the Wars (2008) review by Piers Brendon in The Guardian four July 2008
- Srinivasan, Naveen, and Pratik Mitra. "Interwar Unemployment in the Uk and the US: Old and New Evidence." Due south Asian Journal of Macroeconomics and Public Finance 5.one (2016): 96-112. online
External links [edit]
- Unemployment in interwar Uk
sandersonsuntseir.blogspot.com
Source: https://en.wikipedia.org/wiki/Interwar_unemployment_and_poverty_in_the_United_Kingdom
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