The Effect that Thatcherism has had on the British Welfare State - Essay Example

?Like so many of the political movements/ideologies that make a definitive impact upon the policies, politics, and economics of the given region and/or nation, “Thatcherism” has often been cited as playing a pivotal role with regards to the way in which many individuals within the United Kingdom began to reconsider the role of the welfare state. Naturally, as the name implies, Thatcherism is a direct outgrowth of the political thought process and economic ideology of Margaret Thatcher; a dominant force within British politics for the better part of two decades. Whereas Thatcherism necessarily has its compliments and corollaries throughout the world, i.e. Reaganomics within the United States, Rogenomics within New Zealand and Economic Rationalism within Australia and Canada, it was Thatcher that most vocally touted the neo-liberal approach to the way in which she say that markets should be managed and the means through which government deregulation and laissez faire should be practiced. Moreover, as a direct result of the noticeable turn to the right that British politics took during Thatcher’s tenure in Parliament, and subsequent Prime Minister leadership, many critics have argued that Thatcherism played a fundamental role in shifting the way in which the British populace engaged and understood the necessity and role of the welfare state. In seeking to understand this impact, the following analysis will be concentric upon delineating what specifically Thatcherism represents, understanding the way in which Margaret Thatcher’s reforms and changes impacted upon the British system of governance, and delineating the way through which these practices and policies shifted understandings of what the welfare state was defined as what it can be expected to provide (Lister, 2010). It is the hope of this author that such a strong delineation of these factors will provide the reader with a more informed and actionable understanding of how Thatcherism not only impact upon the United Kingdom but also helped to spur similar movements and neoliberal ideology throughout many parts of the Western and developed world. Firstly, before delving into an in-depth discussion of what Thatcherism represents, it is necessary to engage with an understanding of what prompted the popularity and rise of Margaret Thatcher and her Conservative party. As a result of the Second World War, the United Kingdom, in addition to much of the rest of Europe was financially exhausted and industrially drained (Pierson, 1994). Massive amount of manpower had been extended upon seeking to counter the Nazi threat and sizable percentages of entire nation’s wealth had been spent upon defense related activity. Naturally, the United Kingdom was at the forefront of the Allied victory over Nazi Germany and expended a great deal of manpower and wealth as a function of countering the existential threat that it posed. As a direct result of this economic and physical exhaustion of resources, the United Kingdom began to experience a slow but steady retreat from its position as dominant player within the world. This was first evidenced with regards to the fact that the United Kingdom found it necessary to release many of its former colonies to independents (Dorling, 2011). Naturally, the drive for justice, independence, self-determination, and a host of other factors motivated this; however, it must be noted that without the weakened condition of the British Empire, it is doubtful if these changes were taking place at this exact time or indeed at the rate that they in fact occurred. As a direct result of the loss of colony and territory throughout the globe, the United Kingdom sought a drastic reduction in the overall level of international status and wealth that it had to draw upon. It does not take an in-depth analysis into the topic to understand that the colonial Empire was one of the means through which the United Kingdom was able to sustain itself economically and guaranteed low cost trade partners well into the future (Wilkinson & Pickett, 2010). Figure 1 Without involving this particular author in determining whether or not Margaret Thatcher’s approach to the British economy was on the whole helpful or negative, it must be noted that the above figure demonstrates the benefits of fat tourism as well as the drawbacks that were exhibited during her premiership. The shock therapy that was engaged with regards to the economy and the sudden reduction in state benefits cause the economy to briefly convulse between the years 1979 and 1981 (Gamble, 2009). However, once this convulsion had completed, a rapid increase with regards to overall GDP figures was noted. Once again, the overall increase in GDP statistics can partly be attributed to the fact that a great number of state programs and welfare benefits for the population within the United Kingdom were cut. Not surprisingly, the reduced level of taxation that was exhibited on the populace contributed to a market increase in the overall level of profitability and discretionary funding that business owners and individuals had at their disposal. However, prior to stating that the premiership of Margaret Thatcher was a godsend for the economy of the United Kingdom, it must further be noted that Margaret Thatcher’s tenure concluded in the year 1990 (Dorling, 2011). As such, when one references the overall GDP statistics related in the above graph, it is clear to note that new the end of Margaret Thatcher’s tenure, the overall GDP figures for the United Kingdom were in fact lower than they were when she came to her position as prime minister. Naturally, this calls into question the efficacy of Thatcherism and demands that one question whether or not her approach was short-lived due to global financial issues surrounding the crash of 89 or whether or not Thatcherism by its very nature was a short-lived gain followed by a precipitous loss (Saad-filho & Johnston, 2005). Regardless of the level of benefit and/4 change that was referenced during Thatcher’s administration with respect to the welfare state within the United Kingdom, it can definitively be noted that this conservative era was one in which societal attitudes towards the welfare state fundamentally shifted. Whereas the 1960s and 70s had seen the slow yet gradual reduction with regards to the free market nature of the British economy, Thatcherism reinvigorated this element of the nation and all but stopped the degree of industrial flight that was taking place within the United Kingdom. However, the longer-lasting impact of Thatcherism is not with regards to whether or not the economy grew were shrank during her tenure (Krieger, 1999). Rather, it is with respect to whether or not the legacy of Margaret Thatcher left an indelible imprint with regards to the way in which the conservative party within the United Kingdom engaged in political warfare with the other more liberal parties within the parliament. From this particular perspective, it can be stated that Thatcherism, although having a profound impact upon the ideological thought process of the conservative faction within the United Kingdom, has not in fact reverse the course or change the nature through which this particular party engages with the idea of the welfare state. In short, Thatcherism, although a brief and relatively punctuated. In history, proved that it was political suicide for any individual within the political hierarchy of the United Kingdom to seek to alter the way through which the welfare state is able to meet the needs of those that it is intended to engage. Just as within many welfare states throughout the globe, the way in which the voter participation is engaged is contingent upon the benefits that these individuals can have with regards to state subsidies, tax incentives, and support through a litany of other monetary and service oriented approaches (Leitner, 2006). Within such an understanding, seeking to shift the dynamic of the way in which people relate to the government is ultimately an uphill battle; and one that cannot hope to affect a long-lasting change with regards to the way in which individuals view their government in a mere brief period of time. Whereas it is true that Thatcherism had a lasting impact with regards to the way in which conservative elements within the United Kingdom sought to define their own parties and create a platform, the rhetoric that they provide is ultimately harmless due to the fact that since Thatcher time no political leader has been willing to engage in the advocacy or reduction of the benefits that had existed and expanded over the past several decades. This is of course not to say that this will not take place anytime within the foreseeable future; rather, it merely denotes the fact that individual leaders such as Margaret Thatcher are dynamic, rare, and ultimately unwilling to waiver with regards to their rhetoric and/or beliefs. As such, it becomes increasingly unlikely that an individual with the same qualities will be able to rally a population that is ultimately dependent and satisfied with the status quo of being a welfare state. Another reason for why this is unlikely to take place within the current era is due to the fact that the main voting block that propelled Margaret Thatcher and her party to victory so many times during the 1980s was ultimately an older demographic that had a clear and apparent connection with a time gone by; a time that continue to prize the free market and held a many of the ideals of economics that both Thatcher and others clung to. As such, the overall impact that Thatcher was able to effect was short-lived and did not have a lasting impact with regards to the way in which the British citizen integrated with an understanding of the welfare state or the means by which politics within the United Kingdom would take a noticeable shift to the right. References Dorling, D. (2010) Injustice: Why Social Inequality Persists. Bristol: Policy Press. 305 DOR Dorling, D(2011) Injustice: why social inequality persists Bristol: Policy Press Pierson, C. and Castles, F. G., eds. 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