In this country over the last five years pay has doubled, whereas output has slightly fallen. That is totally different from the position with many of our competitors. Pay in those countries has gone up hand in hand with productivity. Consequently, they have the jobs and we have a larger proportion of the unemployment.
British stateswoman and prime minister (1925–2013)
Margaret Hilda Thatcher, Baroness Thatcher (13 October 1925 – 8 April 2013) was a British politician and stateswoman who served as Prime Minister of the United Kingdom from 1979 to 1990 and Leader of the Conservative Party from 1975 to 1990. She was the first female British prime minister and the longest-serving British prime minister of the 20th century. As prime minister, she implemented neoliberal economic policies of deregulation and privatization that became known as Thatcherism. A Soviet journalist dubbed her the "Iron Lady", a nickname that became associated with her uncompromising politics and leadership style.
Bio from: Wikiquote (CC BY-SA 4.0) · Portrait adapted from: Wikimedia Commons, Rob Bogaerts (Public domain / CC0)
From Wikidata (CC0)
The Labour Party has now been taken over by extremists...The Labour Party is now committed to a programme which is frankly and unashamedly Marxist, a programme initiated by its National Executive and now firmly endorsed by its official Party Conference. In the House of Commons the Labour Left may still be outnumbered, but their votes are vital to the continuance of Labour in office, and that gives them a strength out of proportion to their numbers. And make no mistake, that strength, those numbers, are growing. In the constituency Labour parties, in the Parliamentary Labour Party, in Transport House, in the Cabinet Room itself, the Marxists call an increasing number of tunes...let's not mince words. The dividing line between the Labour Party programme and Communism is becoming harder and harder to detect. Indeed, in many respects Labour's programme is more extreme than those of many Communist parties of Western Europe.
The [Labour] moderates split off and that split of the moderates delayed the realignment of British politics for at least one generation and possibly two, because as a conservative passionately believing in freedom under the law and believing that socialism cannot stand for that, the realignment - you hear me say my job is to stay in long enough so that everyone knows that socialism and the British character do not mix, so socialism has got to go - is to get the fundamental realignment which I think is in keeping with the British character, which is two parties, a free enterprise party, because if you have political freedom under the rule of law you have got to have economic freedom as well. It is to bring about that can only be done really by eventually the Labour Party splitting off the Left and rejecting the Clause 4 and the command economy, and then we really should get a realignment.
We have reached a crisis in world history, a crisis which demands swift and certain action...We believe in the freedom of the democratic way of life. If we serve that idea faithfully with tenacity of purpose, we have nothing to fear from Russian Communism...Communism seizes power by force, not by free choice of the people. The democratic nations must therefore have forces with which to fight it so that choice of government may be free. In the light of these convictions our task is clear. We must firstly believe in the Western way of life and serve it steadfastly. Secondly we must build up our fighting strength to be prepared to defend our ideals, for aggressive nations understand only the threat of force. The situation is already grave, but much is possible for a nation with clear intentions and the ability to carry them into action.
For years there was a widespread belief that we could have inflation and a high level of employment at the same time. For years there was a belief that we could secure more jobs if we were prepared to put up with a little more inflation—always a little more, it was thought. The experience of the past 25 years has taught us on the Government Benches that those beliefs were a most damaging illusion. Inflation and unemployment, instead of moving in opposite directions, rose inexorably together. As Governments tried to stimulate employment by pumping money into the economy they caused inflation. The inflation led to higher costs. The higher costs meant loss of ability to compete. The few jobs that we had gained were soon lost; and so were a lot more with them. And then, from a higher level of unemployment and inflation, the process was started all over again, and each time round both inflation and unemployment rose. In Parliament after Parliament, each new Government had a higher average rate of inflation and unemployment than the preceding Government. It is that cycle that we have set out to break.
If simply printing and spending more money would cure our problems we should by now be one of the wealthiest nations in the Western world.—In the lifetime of the last Labour Government the amount of money in the economy went up by £20 thousand million but the number of jobs did not increase. Indeed, unemployment doubled and prices more than doubled too.—In the last three years (1976–79) the amount of money in the economy went up by 50%; but yet only 4%; went into output, the rest into higher prices and imports. The record is clear, printing money doesn't create jobs, it only creates more inflation. But there is another word for printing money—they call it “reflection”. It is a cosy word but a fraudulent device. It cuts the value of every pound in circulation, of every pound the thrifty have saved. It means spending money you can't afford, haven't earned and haven't got. You would accept that it is neither moral nor responsible for a family to live beyond its means. Equally it is neither moral nor responsible for a Government to spend beyond the nation's means, even for services which may be desirable. So we must curb public spending to amounts that can be financed by taxation at tolerable levels and borrowing at reasonable rates of interest.
We've been working to restore the political system to bring out all that was best in the British character. That's what we've done. It's called Thatcherism – it's got nothing to do with Thatcher except that I was merely the vehicle for it. But it is in everything I do. It's a mixture of fundamentally sound economics. You live within your means; you have honest money, so therefore you don't make reckless promises. You recognise human nature is such that it needs incentives to work harder, so you cut your tax. It is about being worthwhile and honourable. And about the family. And about that something which is really rather unique and enterprising in the British character – it's about how we built an Empire, and how we gave sound administration and sound law to large areas of the world. All those things are still there in the British people aren't they?
The people of the Falkland Islands, like the people of the United Kingdom, are an island race. Their way of life is British; their allegiance is to the Crown. They are few in number, but they have the right to live in peace, to choose their own way of life and to determine their own allegiance. Their way of life is British; their allegiance is to the Crown. It is the wish of the British people and the duty of Her Majesty's Government to do everything that we can to uphold that right. That will be our hope and our endeavour and, I believe, the resolve of every Member of the House.