Economic Stagnation in the 1980s- High spending on health and welfare

Created by: eloise.wroe01
Created on: 27-05-19 16:25

What was the problem with high spending on health and welfare by the 1980s?

It was no longer sustainable- the country could simply not afford it

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Had the conflict between ambitious social policies and economic performance just been noted?

No- economic experts had long argued whether expensive social welfare provision could be maintained. The State planning commission often pointed out this conflict

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Why didn't the SED entertain the idea of reducing high spending on health and welfare?

They thought central planning was effective and powerful enough to address economic problems, they thought improvements in social welfare=improvements in productivity, they believed their own propaganda about the strength of the GDRs economy

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Do the statistics support the idea that improvements in social welfare=improvements in productivity?

It was estimated that in 1980s GDR productivity exceeded that in other COMECON countries by 20%, however in 1985 it was 35% of FRG productivity and the differential was growing

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Did some benefits increase during the 1980s?

Yes- some such as pensions and child benefits - mary fulbrook has spoken of a whole rate of benefits such as subsidies for transport, housing, basic foodstuffs and children's clothing - commitment to social contract

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Other cards in this set

Card 2

Front

Had the conflict between ambitious social policies and economic performance just been noted?

Back

No- economic experts had long argued whether expensive social welfare provision could be maintained. The State planning commission often pointed out this conflict

Card 3

Front

Why didn't the SED entertain the idea of reducing high spending on health and welfare?

Back

Card 4

Front

Do the statistics support the idea that improvements in social welfare=improvements in productivity?

Back

Card 5

Front

Did some benefits increase during the 1980s?

Get Revising

Economic Stagnation in the 1980s- High spending on health and welfare