Between and the number of coal mines in Scotland fell by a Professor McCrone's report, in such volatile circumstances, would. This is the McCrone Report on the Scottish Economy in Either read it below or as a PDF file > mccrone oil report. The McCrone Report " top secret reports. What is the McCrone report? The McCrone report was written in , and it looked at whether an independent Scotland would be able to pay its way.
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- Exclusive: McCrone 2, secret report which advised Westminster to set up oil fund | HeraldScotland
- Exclusive: McCrone 2, secret report which advised Westminster to set up oil fund
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McCrone 2, secret report which advised Westminster to set up oil fund LABOUR ministers were repeatedly advised in the s to set up an oil fund to secure a legacy from the North Sea but failed to do so, newly unearthed archive mccrone report 1974 have revealed.
Instead, amid a UK economic crisis, Jim Callaghan's government chose to spend the tax revenues from oil immediately, a pattern that continues to this day, leaving the UK and Iraq as the only oil-producing nations in the world without some form of savings fund. Nevertheless it is obvious that mccrone report 1974 surpluses from North Sea oil would open up new opportunities for a nationalist Government.
The purpose mccrone report 1974 this second part of the paper is therefore to consider in very brief outline some of the policies a nationalist Government could follow to try to bring about the development and prosperity of the country as a whole.
As has been explained, this is a situation which would normally point to devaluation as mccrone report 1974 possible remedy. North Sea oil, however, by giving the country a chronic balance of payments surplus, would rule out any possibility of devaluation.
Indeed, it is hard to mccrone report 1974 how an upward valuation of the currency could be avoided. Obviously this pressure should be resisted as far as possible; but unless there was a remarkable change in the strength of sterling, it must be expected that the Scots pound would rise in relation to it fairly soon after independence, especially if the latter continues its downward slide.
A revaluation would give rise to none of the difficulties mccrone report 1974 were argued earlier to apply to a Scottish devaluation.
Since the effect would be to reduce prices and raise incomes there would not be the same resistance to making it effective in Scotland.
Gavin McCrone backs new North Sea oil fund, but warns of perils | Politics | The Guardian
This exchange rate movement would improve Scottish real incomes; imports would all become cheaper, and GDP per head in Scotland, which would include the value of the oil produced, mccrone report 1974 rise smartly.
The gap between Scottish income per head and English would probably soon be eliminated and might well be reversed.
Thus there would be grave risk that the economy would be driven more and more to depend on the oil industry and other activities would tend to wither. But while oil would give Mccrone report 1974 a good income, it could never be an mccrone report 1974 source of employment with the rest of the economy in decline.
Scotland, therefore, could face the danger of prosperity coupled with continuing or even worsening unemployment and emigration.
To counteract this situation it would be essential to try to keep the surpluses on the balance of payments down and thereby reduce the upward pressure on the exchange rate.
Mccrone report 1974 could involve extensive lending abroad, whether to England, the EEC or under-developed countries. The following paragraphs suggest how this might be done.
McCrone report - Wikipedia
Manufacturing Industry Output per head in most sectors of Scottish industry is well below European levels. This is largely because the British economy has invested much less than other European countries over the last 25 years.
A substantial increase in manufacturing investment is therefore necessary if this mccrone report 1974 to be put right. Only then will Scottish industry be able to compete effectively with other members of EEC at anything other mccrone report 1974 low exchange rates.
Gavin McCrone backs new North Sea oil fund, but warns of perils
Every time investment has begun to rise satisfactorily, as it was doing inthe emergence of a balance of payments deficit has forced the Government to take mccrone report 1974 [PAGE10] deflationary measures with the result that the investment boom has petered out again.
Scotland made good progress inbut ideally from her point of view the 5 per cent growth rate needed to go on for another couple of years. The strength of the currency coupled with the budgetary surplus would help mccrone report 1974 keep interest rates down and there would be no need for sudden increases in taxation or massive cuts in public expenditure.