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Do You Agree With The View That Conservative Economic Policy Was A Success In The Years 1979 1983?

933 words - 4 pages

Do you agree with the view that Conservative economic policy was a success in the years 1979-1983?
The Conservative government saw its high and lows from the year 1979 to 1983 however overall it was a success, however this success was only due to the fact that the Conservatives brought about some extreme changes in relation to their economic policy. One of these extreme changes was Thatcher’s adoption of the monetarism. Sources 7 and 9 take into consideration the view that the Conservatives economic policy was a success in the years 1979 to 1983. Source 7 does so by complimenting the success of Thatcherism in the “expanding towns of southern England and East Anglia”. Source 9, comments on ...view middle of the document...

The conservative’s economic policies resulted in the loss of much of Britain's heavy industry which was mainly located in the North of England and parts of Scotland. Coal pits, steel plants, machine-tools and shipyards were particularly hard hit. Source 8 would disagree with the statement that Britain’s manufacturing output was growing as its figures for manufacturing output show an overall decrease from the year 1979 to 1983. In 1979 Britain’s manufacturing output was at its highest at 100 however by 1983 it had decreased to 89. However, these statistics majorly reflect on the loss of Britain’s heavy industry in the north and not the south. Although there was growth it only “smaller” industries were affected, much of the bigger industries were located in the North had suffered a big loss as Thatcher had deemed the industries in the North to be very inefficient therefore much focus was put into improving the more self-sufficient industries in the South.
Britain saw Inflation decreased from the year 1979 from 1983 due to the Conservative’s economic policies. Margaret Thatcher’s adoption of Monetarism played a huge role in causing inflation to decrease. Source 9 shows a clear agreement for this statement as it states that after the Conservatives came into office Britain has seen a major decrease in inflation. It first stood at 22% in 1980 (a year after the Conservatives took over from Labour) but by the end of Thatcher’s first term in 1983 it had seen inflation drop to only 5%. Also they saw a surplus of “£4 billion” further indicating that the Conservatives had seen a huge success in their economic policy. However, source 7 states that “prosperity was simply the product of lengthy consumer boom financed by credit” suggesting that Britain’s decrease in inflation will only be short lived and Britain will soon suffer a huge increase in Inflation. This statement however is wrong,...

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