CM n°1 ECONOMIC POLICIES

30 janvier

The workshop of the world : the birth and the growth of economic liberalism Industrial revolutIon: term usually applied to the social and economic changes that took place during the mid 18th-19th century. These changes marked a transition from an agricultural and commercial society to a modern industrial society There has been an objection to this term. Some historians feel that “revolution” can not be applied to these changes. Dramatic changes during this period:  economic sector, technological innovations which permited the creation of the factory system and throug the factory system marked the start of economic specialization. Factors of success: men/ machines/ money/ means of communication/ mentalities. MEN -demographic change -the dvpmt of the population was one of the basic factors of growth - if there were no men, there was no one to work on the machines -the growth was partly due to the decline in the death rate but mostly to the increase in the birth rate. -the population of great britain 7 million and half in 1750  10 800 000 in 1801( first census)  23 100 000 in 1861 - this population boom had consequences: there were more mouths to feed, and more people to dress, in general there were more needs to satisfy due to an increase in demand. - The demographic explosion was at the root of victorian prosperity. - More people=> more hands to work in the factories - Rapid growth of pple and towns in the Midlands=< provides great labor force and growth in urbanisation -1801 17% of the pop of england and wales lived in towns(ie: more than 20,000 inhabitants) -1851: 35% in towns 1901: 50yrs later, 55% in towns -MONEY -the dvpmt of the banking system(dpmt of banks) -mid 17th century=> civil war=>merchants and tradesmen afraid for their money=> gave their money to goldsmiths who had storerooms=> goldsmiths started to lend money to pple in need, included interest=> interest was handed out to the goldsmiths -1764: the Bank