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British Empire (1914-47) > Economics > Flashcards

Flashcards in Economics Deck (28)
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1
Q

WWI cost…

A

£35 billion (13 x Boer War)

2
Q

Britain returned to the gold standard following WWI

A

1925

3
Q

Britain went off the gold standard again

A

1931

4
Q

Amount India contributed to the war effort

A

£146 million

5
Q

Britain placed high taxes on Indian imports after WWI

A

Actually grew India’s domestic economy
Taxes in 1917 = 11%
Taxes in 1931 = 25%

6
Q

Colonial Development Act 1929

A

Made £1 million available to the colonies

UK gov could borrow money to develop the colonies without this being backed by the gold standard

7
Q

Sterling Area meant that…

A

Volatility in the pound would not affect trade as everyone was trading in the same currency

8
Q

Shifts in trading patterns during the inter-war period

A

1913 - 1934
Total global exports fell by 28%
Exports to Empire only fell by 15%

9
Q

Ottawa Conference

A

1932

10
Q

Campaign for ‘Empire Free Trade’

A

Imperial preference

Lord Beaverbrook’s Daily Express was heavily involved

11
Q

Who supported imperial preference?

A

Conservative Party

Majority of industries

12
Q

Conservative Party came into power in Britain which meant Empire Free Trade could be implemented

A

1931

Neville Chamberlain became Chancellor of the Exchequer

13
Q

Conservative Party came into power in Canada

A

1930

Had made support for imperial preference part of their campaign

14
Q

Agreements made at the Ottawa Conference

A

Series of bilateral trading agreements which effectively enacted a system of imperial preference
Britain introduced a 10% import tax but the colonies were exempt from it
Dominions and other colonies were allowed to continue to grow their economies with free trade outside the Empire

15
Q

Impact of the Ottawa Conference on British exports to the Empire

A

1931 - 1937

Exports rose by 7%

16
Q

Impact of the Ottawa Conference on British imports from the Empire

A

1931 - 1937

Imports rose by 13%

17
Q

U boat attacks in WWI lost the British

A

11.7 million tons of shipping

54% decrease in merchant ships

18
Q

Export trade decline following WWI

A

2/3 pre-war export trade lost

19
Q

Impact of WWII on stored wealth

A

Lost 1/4 stored wealth

20
Q

Fraction of Britain’s overseas assets were sold to pay for the war

A

1/3 overseas assets

21
Q

Lend Lease

A

Britain borrowed from USA in 1941

22
Q

John Maynard Keynes negotiated a loan with America

A

1945, £900 million to help with the end of Lend Lease

23
Q

What did the Americans demand regarding Keynes/Lend Lease

A

Free convertibility of the pound which would ‘hamper an economic recovery based on imports’

24
Q

Colonial Development and Welfare Act 1940

A

Wrote off some colonial debts

Provided colonial grants/loans of up to £5 million per year

25
Q

Colonial Development and Welfare Act 1945

A

Increased aid available to the colonies to £120 million over the next ten years
Colonies had to provide a ten-year development plan regarding their use of the funds

26
Q

Import Duties Act

A

1932

British imposed a 10% tariff on most imports

27
Q

Example of bulk British purchasing

A

1939, bought the entire cocoa crop of British West Africa

28
Q

British debt in 1945

A

£3,500 million