Critically discuss: economic growth leads to peace in UK

ECONOMIC GROWTH AND RECESSION IN THE UNITED KINGDOM AND THEIR INFLUENCES ON PEACE DURING BREXIT AND COVID-19 Student’s Name Course Professor's Name University City (State) Date Economic Growth and Recession in the United Kingdom and Their Influences on Peace During Brexit and COVID-19 Economic growth and peace are interconnected thoughts essential to societal prosperity and stability. The two concepts usually reinforce each other, making a virtuous pattern of harmony or a vicious cycle of conflict and stagnation. For instance, deteriorating peace performance in a country can impede economic growth and development. Economic growth is evaluated by the change in gross domestic product (GDP) within the economy. It is crucial in eradicating poverty, facilitating good living standards, and creating job opportunities. On the flip side, peace involves more than the lack of war; it also consists of the absence of civil discontent and social harmony. The affiliation between economic growth and peace is challenging. Even though it can promote peace by alleviating disparity and poverty, its efficacy depends on social cohesion, governance, and justifiable distribution. This essay analyzes the relationships between growth and peace in the United Kingdom (UK) context. The paper initially reflects the theoretical part, followed by historical and contemporary frameworks, concentrating on the effects of the Brexit referendum and coronavirus (COVID-19). The paper further examines the limitations of economic growth as a tool for building peace and mentions the benefits of multidimensional strategies for preserving peace in the country. 1 Theoretical Framework Economic growth refers to the surge in the production of economic goods and services over a given period compared with a previous time. Traditionally, gross national product and GDP are the standard tools for measuring economic growth, even though there are other different metrics for measuring it (The Investopedia Team, 2024, n.p). Even though these indicators offer quantitative development measures, substitute metrics stress the benefit of inclusive and sustainable growth essential for long-term development. Conversely, peace involves a lack of conflict, decreased societal disturbances, and social unrest. Peace is based on a social contract, a structural basis that orders social organizations and communities. It also involves the presence of justice and other forms that foster social harmony. Economic growth and peace in society are two solid models that assist in defining the notion of a prosperous society. Traditionally, gross national product and GDP are the standard tools for measuring economic growth, even though there are other different metrics for measuring it (The Investopedia Team, 2024, n.p). Conversely, peace involves a lack of conflict, decreased societal disturbances, and social unrest. Peace is based on a social contract, a structural basis that orders social organizations and communities. It comprises the presence of justice, order, and an appropriate environmental environment to improve desirable reciprocation without creating a sense of hostility. Researchers have debated different associations between peace and economic growth for several decades and offered diverse theories and interpretations. Elaborating on the Kantian ideal of perpetual peace and referring to Adam Smith and David Ricardo, liberal theories argue that economic integration and institutional enmeshment constrain conflict forces and are conducive to peaceful instances (Gonzalez-Vicente, 2018, p.103). From this standpoint, economic growth is the background for peace by alleviating factors that cause inequality, unrest, and unemployment. Alternatively, Galtung's idea of positive peace is another theory where Galtung describes peace as the lack of human violence and war, while positive peace is the absence of structural violence. He divides violence into cultural, direct, and cultural violence (Ercoşkun, 2021, p.2). According to Galtung, structural peace indicates that physical violence is eliminated, although societal violence needs to be removed too. Nevertheless, criticisms of this association pinpoints that economic growth can facilitate disparities if wealth is distributed unequally. Besides, resource exhaustion and environmental degradation associated with undetected economic growth can be the root of conflict. These two theoretical perspectives are integral since they help quickly reflect the current perspective of economic growth and peace in the context of the UK. By reflecting on different case studies, including the effect of the COVID-19 pandemic and the post-Brexit referendum, it is easy to examine the paradoxical affiliation between both concepts. 2 Economic Growth and Peace in the UK: Historical Context The historical chemistry between economic growth and peace in the UK offers critical insights into how economic conditions have alleviated societal unrest over time and maintained peace. From post-World War II to the early 2000s, critical periods demonstrate the compound relationship between the two components. The UK required a total rebuild after the 2nd World War, and the nation's returning soldiers needed extensive medical care and jobs. The economic reconstruction in the country was characterized by factors such as loans and grants. The United States offered loans and grants via the Marshall Plan. The main objective of this plan was to help European nations that had suffered from destruction after the war. The welfare state was another factor that characterized the UK's economic rebuild. The Labour Party established a welfare state comprising the National Health Service (NHS), which provided free healthcare services to all British residents. These initiatives were crucial in reducing poverty and improving standards of living. They played a vital role since approximately 60% of London buildings were destroyed or damaged during the aerial bombardment leaving around 1.5 million people homeless (Wang, 2022, p. 723). This development facilitated a time of relative social stability and peace because citizens encountered noticeable remunerations from economic growth. The UK experienced economic unrest in the 1970s, which included high inflation, currency crisis, recession, and unemployment. By 1972, the unemployment rate had surged to over one million individuals, mainly due to the terminal decline of British industry. By 1973, the inflation rate had skyrocketed to 9%, and the pound struggled after the Bretton Woods fixed exchange rate system collapsed (Watling, 2024. n.p). As the currency crisis exacerbated, the Bank of England slashed interest rates between 1970 and 1971, causing the market interest rates to fall below 5%, saving rates that building societies offered (Watling, 2024, n.p). The failure of the UK government to resolve the wage stagnation and surging living costs contributed to widespread unrest, indicating that the lack of economic growth can aggravate societal strains. The 1990s and early 2000s marked an era of sustained economic growth, improving living standards, and reducing unemployment rates in the UK. These conditions corresponded with the Northern Ireland Peace process whereby economic motivations, including investment in infrastructure and employment opportunities, played an essential role in steadying the area. This time revealed the possibility of economic growth fostering peace when coupled with targeted policies. Economic solidity offered the needed resources to solve grievances and back reconciliation attempts, demonstrating how a mixture of financial investments and policy innovation could generate instances conducive to longstanding peace. This period, however, pinpointed the requirement of continuous commitment to inclusive growth and development to maintain these gains. 3 Contemporary Analysis: Post-2008-Present The 2008 financial crisis, or global financial crisis, was a global financial crisis that began in 2007 and continued into 2008. This was the most dangerous economic crisis since the 1929 Wall Street crash (Michie, 2022, p. 291). The crisis occurred due to several factors, although it was primarily due...