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The Level And Types Of Unemployment That Existed In The Uk In The Post War Decades. How Successive Uk Governments Adopted Economic Policies To Reduce Unemployment.

1881 words - 8 pages

Higher National CertificateBusiness & FinanceModule: Economic Environment1849 wordsC O N T E N T SPage 1 ContentsPage 2 1.0 Causes of UnemploymentPage 4 2.0 Types of UnemploymentPage 6 3.0 Economic Targets of the GovernmentPage 8 4.0 Classical and Keynesian EconomicsPage 9 5.0 Conflict of ObjectivesPage 10 6.0 Supply Side PoliciesPage 11 BibliographyInvestigate the level and types of unemployment that existed in the UK in the post war decades. Explain how successive UK governments adopted economic policies to reduce unemployment, and why the resulting conflict of objectives helped to pave the way to a shift towards "supply side "policies.Unemployment is usually defined by economists as: those who want a job, but who are not currently employed. During the post war eras in the UK many types of unemployment existed.Causes of UnemploymentBetween the years of 1921 - 1939 there was mass unemployment in the UK particularly around 1932 in the year of the great depression when 23% of the population was unemployed. After the 2nd world war many believed the problem was solved.During the war many women had been employed in arms and ammunitions factories which were no longer needed after the war and many industrial factories had been destroyed, coupled with everyone returning from war led to the high levels of unemployment remaining in the UK.Throughout Europe there was widespread destruction after Word War II many buildings including homes and places of work had been destroyed by bombings.The British economy was in a state of devastation. Huge amounts of money had been spent on the war and post war huge sums of money had to be spent rebuilding the country. At this time there was no European Union to help.Recovery took place in the 50's and 60's when many were employed in secondary industries unemployment figures never rose above 600,000. However in the 70's unemployment became a problem again and by the mid 80's figures stood at 3 million. Again recovery took place in the late 80's - 90's unemployment by 1995 stood at 2.5 million.There were many reasons for unemployment in the post war eras such as foreign competition and power of trade unions with the baby boom of the 60's.
Year

Unemployment

Year

Unemployment

1971

649.00

1988

2253.10

1972

719.30

1989

1768.00

1973

511.30

1990

1648.10

1974

514.10

1991

2267.80

1975

789.50

1992

2741.60

1976

1081.90

1993

2876.60

1977

1150.40

1994

2598.60

1978

1133.20

1995

2289.70

1979

1063.70

1996

2087.50

1980

1351.00

1997

1584.50

1981

2152.40

1998

1347.80

1982

2521.90

1999

1248.10

1983

2761.90

2000

1088.40

1984

2887.80

2001

969.90

1985

2997.30

2002

946.70

1986

3066.60

2003

933.20

1987

2779.60

This table shows the UK Claimant count for Unemployment 1971 - 2003
Year

%

Year

%

1984

68.4

1995

71.2

1985

69.2

1996

71.8

1986

69.4

1997

72.7

1987

70.1

1998

...

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