ABSTRACT
Attlee’s government came to power with a programme of economic and social reforms which embraced a broad commitment to economic planning, centred on a National Investment Board, and a major expansion of the public sector. The goal was increased social security, with full employment, greater state control of private enterprise and the creation of a welfare state. In domestic policy the main consequence of 1947 was the return of wages and prices as major political and economic problems. The Economic Section, using Keynesian analysis, had been calling for cuts in public expenditure almost since the end of the war but without any great influence on Dalton. In foreign economic policy the Conservatives continued to rebuild great power status through a strong sterling area and close Anglo-American co-operation. There were many continuities with Labour’s economic strategy but also differences in emphasis and approach within the broad, shared framework.
