Wilson economic policy 1964-1970

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British economy under harold wilson was trapped in a cylce of stop-go. the post war boom had stopped producing the high productivity it once was.

wilson also inherited a debt of £800million. the two solutions available were deflation or devaluation (lowering the value of the currency). 

whilst deflation would prevent inflation and keep the value of the pound strong, it was the old 'stop-go' technique for the labour party and wilson wanted to keep away from this. there were also fears that this would stop the labour party meeting its manifesto promise…

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