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structure from manufactoring to service industries

- London has maintained and streghtened ist position as international trading centre

3. The British economy in the 80?s and 90?s

Thatcherism: -reform policy in the 80?s

-intended to create an economic climate of competition,

production and efficiency

-government influenced economy

-the Blair government accepts these reforms,but fine tune them

Economic Growth: -caused by strengthening competition, reducing tax rates,

exploitation of North sea oil

-recession in the early 90?s, then grew steadily for

several years

-economic problems that arose worldwide in 1998 had effect

in Britain too

Inflation: -the Tories have successfully fought inflation under Thatcher

and Major through austerity2 policies and strict control of the

money supply

-inflation fell from 18% (1979) to 4% (1986), but then doubled

and peaked to more than 10% (1990), since than, inflation

declined

Trade Union Policy: -between 1980 and 1983, different Employment Acts gave

Britain a tough labour law ( unions3 could be sued4

for organizing unlawful industrial action, the forced

trade union membership was restricted, it?s free to

bargain4 with trade unions for employers)

-since then, the industrial power of unions had

diminished5 and union membership has fallen

Privatization: -the Torie reforms during the 80?s intended to privatize

nationalised industries and to turn people who work in

these companies into shareholders6

-electricity, gas, water, British Airways and British Rail

were privatized

Housing: -council houses7 were selled· higher house prices · inflation

increased

-boom ended in 1988; in 1991, the government introduced measures

to protect houseowners

-now, houses are built for the private sector

-between 1994 and 95, the government financed 100 million pounds

to help people moving to these private houses

-council houses are re-let to families in great housing need

1 Ballungsraum 4 handeln 7 Sozialwohnungen

2 Sparpolitik 5 vermindert

3 Gewerkschaften 6 Aktionare

4...


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structure from manufactoring to service industries

- London has maintained and streghtened ist position as international trading centre

3. The British economy in the 80?s and 90?s

Thatcherism: -reform policy in the 80?s

-intended to create an economic climate of competition,

production and efficiency

-government influenced economy

-the Blair government accepts these reforms,but fine tune them

Economic Growth: -caused by strengthening competition, reducing tax rates,

exploitation of North sea oil

-recession in the early 90?s, then grew steadily for

several years

-economic problems that arose worldwide in 1998 had effect

in Britain too

Inflation: -the Tories have successfully fought inflation under Thatcher

and Major through austerity2 policies and strict control of the

money supply

-inflation fell from 18% (1979) to 4% (1986), but then doubled

and peaked to more than 10% (1990), since than, inflation

declined

Trade Union Policy: -between 1980 and 1983, different Employment Acts gave

Britain a tough labour law ( unions3 could be sued4

for organizing unlawful industrial action, the forced

trade union membership was restricted, it?s free to

bargain4 with trade unions for employers)

-since then, the industrial power of unions had

diminished5 and union membership has fallen

Privatization: -the Torie reforms during the 80?s intended to privatize

nationalised industries and to turn people who work in

these companies into shareholders6

-electricity, gas, water, British Airways and British Rail

were privatized

Housing: -council houses7 were selled· higher house prices · inflation

increased

-boom ended in 1988; in 1991, the government introduced measures

to protect houseowners

-now, houses are built for the private sector

-between 1994 and 95, the government financed 100 million pounds

to help people moving to these private houses

-council houses are re-let to families in great housing need

1 Ballungsraum 4 handeln 7 Sozialwohnungen

2 Sparpolitik 5 vermindert

3 Gewerkschaften 6 Aktionare

4...


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