Chapter 14: Thatcher Economic

Who promoted Monetarism?

• Betty Friedan

• Frederick von Hayek

• Milton Friedman

• Margaret Thatcher

How could inflation be controlled?

• Restricting money supply

• Decreasing interest rates

• Reducing government spending

• Mini budget

When were the public spending cuts?

• 1979

• 1980

• 1981

• 1982

Where did tensions rise as a result of these economic policies?

• Downing Street

• The Treasury

• Left-wing local councils

• The Bank of England

Thatcher was a supporter of....

• Command side economics

• Supply side economics

• Demand side economics

• Control side economics

What did Lawson do in 1986?

• Abandon state unemployment benefits

• Increase taxation

• Monetarism

• Abandoned spending targets

Which industry was not privatised?

• British Railways

• Jaguar

• British Aerospace

• British Steel

What were the attractions of privatisation?

• Anti-socialist

• It rolled forward the frontiers of the state

• Brought revenue for the government

• Public sector was more efficient than the private sector

What measures were put in place to help start-up companies?

• The Consumer and Customer Economic Growth Act 1987

• Loan Guarantee Scheme

• Enterprise Allowance Scheme

• Private Finance Initiatives

What did the Big Bang create?

• Big Bang Theory

• Yippies

• Computer Screen Trading

• The Bank of England