-General Election 1979- comfortable majorit. Labour lost due to winter of discontent, 'labour isn't working'
First Term (1979-83)
-Government- few dries, who dealt with prioirty stuff i.e economy. v. important to sort out first
-Monetarism- opposite of Keynes, focus on hign unemployment and reducing inflation. clear breaking of consenus, government no longer prop up industry, focus on service industries and smaller role for state. rejected Beveridge report.
-Geffory Howe and Economy (Dry);
- 1979- rasie interest raes, tax cuts, vat higher. higher unemploymentand inflation still incresed
- 1980- cuts in higher ed., taxed petrol,social security payments reduced (during strikes). Whole areas go bust and higher unemployment
- 1981 (really unpopular)- cuts to spending but, increased taxes. inflation finally dropped and GDP began to increase (3.2% each year for 8 years)
-Fawlands war (1982)- before she was most unpopuar but, gained popularity as they won also, found oil in North Sea…