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419. Britain in 1974: Countdown to a Coup (Part 3)
The Rest Is History
Negotiating Pay Settlements and Inflation
Trade union leaders in the past used personal relationships with government officials to secure significant pay settlements for their members. Despite outward resistance from the government, these agreements led to inflation spikes, especially in Western European countries including Great Britain, due to the impact of oil price increases. Within a year of the Wilson government taking office, the inflation rate rose significantly as a consequence of these pay settlements.
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