A%20Mixed%20Economy?

1
A Mixed Economy?

• Clearly since WWII, the state took control of the
  economynationalization of companies for both
  security and economic reasons (coal, electricity,
  gas, transport, iron, steel, communications,
  broadcasting)
• Keynesian rationale (state intervention to
  guarantee the demand and a virtuous economic
  cycle)
• Accounted for 10 of the GDP in 1979
• Margareth Thatcherprivatizations (reduction to
  the 6 of the GDP 750,000 workers fired)
• -Rationale (Hayek Friedman) expenditure
  generates inflationRestriction of the money
  supply and anti-inflationary (measureshttp//www.p
  bs.org/wgbh/commandingheights/shared/video/real/mi
  ni_p01_13_220.html)

2
The British Welfare State

• Comprehensive Welfare State (Health, education,
  social services).
• From craddle to grave
• The 1942 Beveridge Report
• Reduced by the Conservatives (Thatcher, Major)
  and Tony Blairs New Labour

3
Education System

• Free compulsory education for children 5 to 16.
• Regional Differences
• Schools Public Private Private with state
  subsidies
• Four Levels
• Nursery (3-4)
• Primary (5-11)
• Secondary (11-18)
• Post-Secondary Education (college and
  university)
• Central Gvt (legislative framework) (increasing
  power since the 1980s, introducing a shift
  towards the market)
• Local Gvt. (structure and organization)
• 9 geographic areas (divided into districts, each
  one in charge of a different inspector)
• Funding Central govt (80). The rest is provided
  by local gvts, private foundations, and parents.

4
Education System

• Early 19th century the church
• 1856 creation of the State education department
• 1870 First Education Act (state funding for
  primary education)/School boards with power to
  collect taxes/Fees
• 1902 Education Act creation of LEAs (Local
  Education Authorities) with responsibility for
  education and power to subsidize private
  (churches) schools
• 1918 Fisher Act (standards for elementary
  schools)
• The 1942 Beveridge Report (warned against the
  giant of ignorance). The Labour Party proposed
  state universal provision of education.The
  Conservatives emphasized on individual freedom to
  choose in matter of education.
• 1944 Butler Act Universal education system
  aiming to incorporate the children of the working
  class. Creation of the Ministry of Education
  (control), abolition of all old elementary
  schools, provision of free and compulsory
  education until age 15 (extended until age 16 in
  1973). Grammar, technical, and secondary schools
  (class biased placement)
• 1970s Comprehensive schools

5
Education From Thatcher to Blair

• -1970 Margaret Thatcher, minister of education.
• 1978 Legislation introduced parental intervention
  in governing and controlling schools and in
  school selection.
• 1981 Thatchers minister of education Keith
  Joseph proposed cuts in education
• (Pilot plan for a national voucher
  system). Schools had to compete for clients.
• Weakening of LEAs and introduction of LMS
  (Local Management of Schools) to make schools
  responsive to consumer needsSimilar policy
  followed with secondary schools and colleges.
• Introduction of tests at 6, 11, 14, and
  16 to guarantee national standards
• 1990s Extension of the reach of the market into
  educationLeague tables of performance of primary
  schools, introduction of a voucher system for
  nursery places.
• 1997 New Labour partys policies continued the
  Conservatives. Blairs Zero Tolerance to
  school underperformance.
• Introduction of fees at universities and
  abolition of grants provided by LEAs (now loans)

6
British Public Health

• Universal Access to Health Care for all citizens
• 80 paid through general taxation (plus
  individuals regular contributions plus
  co-payments)
• NHS, internal market made up of purchasers and
  providers. State central control
• DHAs buy services from public, private, or
  semi-private providers
• 2002 Integrated care, groups practitioners in
  local community groups
• Health gap (mostly geographical)

7
British Public Health

• The Poor Laws (workhouses/poorhouses)
• 1911 National Health Insurance (all manual
  workers over 16 earning small salaries). Weekly
  payment
• Until 1948, administered through voluntary
  associations and a few public facilities
  (medicine was mostly private)
• WWII and post-War expansion of the system
• 1942 Beveridge Report recommended the creation
  of a comprehensive national health system
• 1946 National Health Service Act (NHS)
  nationalization of all hospitals, creation of
  health centers, redistribution of physicians
  across the country, teaching facilities,
  physicians could have private practice. Funded
  through taxes.

8
British Public Health

• 1974 Attempt to integrate the national with the
  regional with the local levels. Creation of
  Regional Health Authorities (RHA) and District
  Health Authorities (DHA)
• 1980 NHS becomes more autonomous and specialized.
  More power for RHAs
• 1982 Elimination of RHAs. DHAs become fully
  responsible for the administration of health
• 1979 Margareth Thatcher (inspired by Milton
  Friedman and von Hayek) believed that
  privatization would improve the performance of
  the system
• 1983 Griffith Report, recommended to move to an
  insurance-based health system. Did not work

9
Health The 1990s and New Labour

• 1989 the NHS in crisis
• 1990 National Health Service and Community Act
  (encourages competition within the health
  industry)
• Since 1997 New Labour has maintained the system
• 1990sthe State imposed a Market into the
  state-administered system

10
British Public Health

• The Poor Laws (workhouses/poorhouses)
• 1911 National Health Insurance (all manual
  workers over 16 earning small salaries). Weekly
  payment
• Until 1948, administered through voluntary
  associations and a few public facilities
  (medicine was mostly private)
• WWII and post-War expansion of the system
• 1942 Beveridge Report recommended the creation
  of a comprehensive national health system
• 1946 National Health Service Act (NHS)
  nationalization of all hospitals, creation of
  health centers, redistribution of physicians
  across the country, teaching facilities,
  physicians could have private practice. Funded
  through taxes.

11
British Public Health

• 1974 Attempt to integrate the national with the
  regional with the local levels. Creation of
  Regional Health Authorities (RHA) and District
  Health Authorities (DHA)
• 1980 NHS become more autonomous and specialized.
  More power for RHAs
• 1982 Elimination of RHAs. DHAs become fully
  responsible for the administration of health
• 1979 Margareth Thatcher (inspired by Milton
  Friedman and von Hayek) believed that
  privatization would improve the performance of
  the system
• 1983 Griffith Report, recommended to move to an
  insurance-based health system. Did not work

12
The Health System

• Universal Access to Health Care for all citizens
• 80 paid through general taxation (plus
  individuals regular contributions and
  co-payments)
• NHS, internal market made up of purchasers and
  providers. State central control
• DHAs buy services from public, private, or
  semi-private providers
• 2002 Integrated care, groups practitioners in
  local community groups
• Health gap (mostly geographical)

13
Health The 1990s and New Labour

• 1989 the NHS in crisis
• 1990 National Health Service and Community Act
  (encourages competition within the health
  industry)
• Since 1997 New Labour has maintained the system
• 1990sthe State imposed a Market into the
  state-administered system

14
Social Security

• National Insurance Plan (contributions of
  employers and workers with Gvt. Support, 10)
• Largest area of Gvt. Spending
• Covers unemployment (1 year), sickness,
  maternity, retirement, work accidents, and death.
  Also child allowances, school meals, housing
  subsidies, widower support.
• Social security spending 9 GNP

15

• Great Britain evolved from a monarchy to a
  parliament dominated by an oligarchic elite to a
  democracy.
• Impressive stability (geography? political
  culture? ability to accommodate change?)
• Which kind of explanations does Lanes book
  provide us with? Which one do you find more
  convincing?