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Gang Of 25
The Gang of 25 or the Group of 25 was a cohort of British Conservative Party (UK), Conservative Party backbench members of Parliament (MPs) that threatened to vote against prime minister Margaret Thatcher's 1981 Autumn Statement. The statement contained monetarism, monetarist measures to control inflation. Similar measures introduced since 1979 had reduced inflation but caused job losses in the manufacturing sector. The majority of the Gang put their names to a 25 November letter to Thatcher's Chief Whip, Michael Jopling, that stated they would vote against any deflationary economic measures. A potential revolt by the Gang, plus twenty others suspected by Jopling, could negate the Conservatives' 45-seat majority and lead to the government being defeated in the House of Commons of the United Kingdom, House of Commons. The move came at a low point for Thatcher, following the 1981 Brixton riot, Brixton and 1981 Toxteth riots, Toxteth riots and when the new SDP–Liberal Alliance was O ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Margaret Thatcher (1981)
Margaret Hilda Thatcher, Baroness Thatcher (; 13 October 19258 April 2013) was a British politician and stateswoman who served as Prime Minister of the United Kingdom from 1979 to 1990 and Leader of the Conservative Party from 1975 to 1990. She was the first female British prime minister and the longest-serving British prime minister of the 20th century. As prime minister, she implemented economic policies that became known as Thatcherism. A Soviet journalist dubbed her the "Iron Lady", a nickname that became associated with her uncompromising politics and leadership style. Thatcher studied chemistry at Somerville College, Oxford, and worked briefly as a research chemist before becoming a barrister. She was elected Member of Parliament for Finchley in 1959. Edward Heath appointed her Secretary of State for Education and Science in his 1970–1974 government. In 1975, she defeated Heath in the Conservative Party leadership election to become Leader of the Opp ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
1979 United Kingdom General Election
The 1979 United Kingdom general election was held on Thursday 3 May 1979 to elect 635 members to the British House of Commons. The Conservative Party, led by Margaret Thatcher, ousted the incumbent Labour government of James Callaghan with a parliamentary majority of 44 seats. The election was the first of four consecutive election victories for the Conservative Party, and Thatcher became the United Kingdom's and Europe's first elected female head of government, marking the beginning of 18 years in government for the Conservatives and 18 years in opposition for Labour. Unusually, the date chosen coincided with the 1979 local elections. The local government results provided some source of comfort to the Labour Party, who recovered some lost ground from local election reversals in previous years, despite losing the general election. The parish council elections were pushed back a few weeks. The previous parliamentary term had begun in October 1974, when Harold Wilson led La ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Government Subsidies
A subsidy or government incentive is a form of financial aid or support extended to an economic sector (business, or individual) generally with the aim of promoting economic and social policy. Although commonly extended from the government, the term subsidy can relate to any type of support – for example from NGOs or as implicit subsidies. Subsidies come in various forms including: direct (cash grants, interest-free loans) and indirect (tax breaks, insurance, low-interest loans, accelerated depreciation, rent rebates). Furthermore, they can be broad or narrow, legal or illegal, ethical or unethical. The most common forms of subsidies are those to the producer or the consumer. Producer/production subsidies ensure producers are better off by either supplying market price support, direct support, or payments to factors of production. Consumer/consumption subsidies commonly reduce the price of goods and services to the consumer. For example, in the US at one time it was cheaper to buy ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Early 1980s Recession
The early 1980s recession was a severe economic recession that affected much of the world between approximately the start of 1980 and 1983. It is widely considered to have been the most severe recession since World War II. A key event leading to the recession was the 1979 energy crisis, mostly caused by the Iranian Revolution which caused a disruption to the global oil supply, which saw oil prices rising sharply in 1979 and early 1980. The sharp rise in oil prices pushed the already high rates of inflation in several major advanced countries to new double-digit highs, with countries such as the United States, Canada, West Germany, Italy, the United Kingdom and Japan tightening their monetary policies by increasing interest rates in order to control the inflation. These G7 countries each, in fact, had " double-dip" recessions involving short declines in economic output in parts of 1980 followed by a short period of expansion, in turn, followed by a steeper, longer period of econom ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Currency Appreciation And Depreciation
Currency depreciation is the loss of value of a country's currency with respect to one or more foreign reference currencies, typically in a floating exchange rate system in which no official currency value is maintained. Currency appreciation in the same context is an increase in the value of the currency. Short-term changes in the value of a currency are reflected in changes in the exchange rate. There is no optimal value for a currency. High and low values have tradeoffs, along with distributional consequences for different groups. Causes In a floating exchange rate system, a currency's value goes up (or down) if the demand for it goes up more (or less) than the supply does. In the short run this can happen unpredictably for a variety of reasons, including the balance of trade, speculation, or other factors in the international capital market. For example, a surge in purchases of foreign goods by home country residents will cause a surge in demand for foreign currency w ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Monetarism
Monetarism is a school of thought in monetary economics that emphasizes the role of governments in controlling the amount of money in circulation. Monetarist theory asserts that variations in the money supply have major influences on measures of national income and output, national output in the short run and on price levels over longer periods. Monetarists assert that the objectives of monetary policy are best met by targeting the growth rate of the money supply rather than by engaging in discretionary policy, discretionary monetary policy.Phillip Cagan, 1987. "Monetarism", ''The New Palgrave: A Dictionary of Economics'', v. 3, Reprinted in John Eatwell et al. (1989), ''Money: The New Palgrave'', pp. 195–205, 492–97. Monetarism is commonly associated with neoliberalism. Monetarism today is mainly associated with the work of Milton Friedman, who was among the generation of economists to reject Keynesian economics and criticise Keynes's theory of fighting economic downturns ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
1981 United Kingdom Budget
The 1981 United Kingdom budget was delivered by Geoffrey Howe, the then Chancellor of the Exchequer, to the House of Commons on 10 March 1981. It was Geoffrey Howe's third budget and the second of the first Thatcher ministry. The budget represented a strongly monetarist response to the stagflation and high government borrowing which the UK was suffering at the time. The budget speech lasted for 91 minutes. Background The budget was given during a time of significant economic malaise in the United Kingdom, with unemployment having increased by almost one million in the prior 12 months and inflation running at around 15%. Measures The budget increased net taxes by £4 billion (in 1981 prices). A new 20% tax on North Sea oil was introduced. A one-off windfall tax on certain bank deposits was introduced, in the form of a 2.5% levy on deposits of banking businesses, charged by reference to non-interest bearing sterling deposits in excess of £10 million averaged over the final t ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Geoffrey Howe
Richard Edward Geoffrey Howe, Baron Howe of Aberavon, (20 December 1926 – 9 October 2015) was a British Conservative politician who served as Deputy Prime Minister of the United Kingdom from 1989 to 1990. Howe was Margaret Thatcher's longest-serving Cabinet minister, successively holding the posts of Chancellor of the Exchequer, Foreign Secretary, and finally Leader of the House of Commons, deputy prime minister and Lord President of the Council. His resignation on 1 November 1990 is widely considered to have precipitated the leadership challenge that led to Thatcher's resignation three weeks later. Early life Geoffrey Howe was born in 1926 at Port Talbot, Wales, to Benjamin Edward Howe, a solicitor and coroner, and Eliza Florence (née Thomson) Howe. He was to describe himself as a quarter Scottish, a quarter Cornish and half Welsh. He was educated at three independent schools: at Bridgend Preparatory School in Bryntirion, followed by Abberley Hall School in W ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Pound Sterling
Sterling (abbreviation: stg; Other spelling styles, such as STG and Stg, are also seen. ISO code: GBP) is the currency of the United Kingdom and nine of its associated territories. The pound ( sign: £) is the main unit of sterling, and the word "pound" is also used to refer to the British currency generally, often qualified in international contexts as the British pound or the pound sterling. Sterling is the world's oldest currency that is still in use and that has been in continuous use since its inception. It is currently the fourth most-traded currency in the foreign exchange market, after the United States dollar, the euro, and the Japanese yen. Together with those three currencies and Renminbi, it forms the basket of currencies which calculate the value of IMF special drawing rights. As of mid-2021, sterling is also the fourth most-held reserve currency in global reserves. The Bank of England is the central bank for sterling, issuing its own banknotes, and ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Rate Of Interest
In finance and economics, interest is payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum (that is, the amount borrowed), at a particular rate. It is distinct from a fee which the borrower may pay the lender or some third party. It is also distinct from dividend which is paid by a company to its shareholders (owners) from its profit or reserve, but not at a particular rate decided beforehand, rather on a pro rata basis as a share in the reward gained by risk taking entrepreneurs when the revenue earned exceeds the total costs. For example, a customer would usually pay interest to debt, borrow from a bank, so they pay the bank an amount which is more than the amount they borrowed; or a customer may earn interest on their savings, and so they may withdraw more than they originally deposited. In the case of savings, the customer is the lender, and the bank plays the role of the borrower. Interes ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Bank Of England
The Bank of England is the central bank of the United Kingdom and the model on which most modern central banks have been based. Established in 1694 to act as the English Government's banker, and still one of the bankers for the Government of the United Kingdom, it is the world's eighth-oldest bank. It was privately owned by stockholders from its foundation in 1694 until it was nationalised in 1946 by the Attlee ministry. The Bank became an independent public organisation in 1998, wholly owned by the Treasury Solicitor on behalf of the government, with a mandate to support the economic policies of the government of the day, but independence in maintaining price stability. The Bank is one of eight banks authorised to issue banknotes in the United Kingdom, has a monopoly on the issue of banknotes in England and Wales, and regulates the issue of banknotes by commercial banks in Scotland and Northern Ireland. The Bank's Monetary Policy Committee has devolved responsibility for ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
First Thatcher Ministry
Margaret Thatcher was Prime Minister of the United Kingdom from 4 May 1979 to 28 November 1990, during which time she led a Conservative Party (UK), Conservative majority government. She was the first woman to hold that office. During her premiership, Thatcher moved to Economic liberalization, liberalise the Economy of the United Kingdom, British economy through deregulation, Privatization, privatisation, and the promotion of Entrepreneurship, entrepreneurialism. This article details the first Thatcher ministry she led at the invitation of Queen Elizabeth II from 1979 to 1983. Formation Following the 1979 vote of no confidence in the Callaghan ministry, vote of no confidence against the Labour government and prime minister James Callaghan on 28 March 1979, a general election was called for 3 May 1979. The Winter of Discontent had seen the Labour government's popularity slump during the previous four months, and the opinion polls all pointed towards a Conservative victory. Th ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
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