Early 20th century

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Scotland played a major role in the British effort in the First World War. It especially provided manpower, ships, machinery, fish and money. With a population of 4.8 million in 1911, Scotland sent over half a million men to the war, of whom over a quarter died in combat or from disease, and 150,000 were seriously wounded. Field Marshal Sir Douglas Haig was Britain's commander on the Western Front.

The war saw the emergence of a radical movement called "Red Clydeside" led by militant trades unionists. Formerly a Liberal stronghold, the industrial districts switched to Labour by 1922, with a base among the Irish Catholic working class districts. Women were especially active in building neighbourhood solidarity on housing issues. However, the "Reds" operated within the Labour Party and had little influence in Parliament and the mood changed to passive despair by the late 1920s.

The shipbuilding industry expanded by a third and expected renewed prosperity, but instead a serious depression hit the economy by 1922 and it did not fully recover until 1939. The interwar years were marked by economic stagnation in rural and urban areas, and high unemployment. Indeed, the war brought with it deep social, cultural, economic, and political dislocations. Thoughtful Scots pondered their declension, as the main social indicators such as poor health, bad housing, and long-term mass unemployment, pointed to terminal social and economic stagnation at best, or even a downward spiral. Service abroad on behalf of the Empire lost its allure to ambitious young people, who left Scotland permanently. The heavy dependence on obsolescent heavy industry and mining was a central problem, and no one offered workable solutions. The despair reflected what Finlay (1994) describes as a widespread sense of hopelessness that prepared local business and political leaders to accept a new orthodoxy of centralised government economic planning when it arrived during theSecond World War.

The Second World War brought renewed prosperity, despite extensive bombing of cities by the Luftwaffe. It saw the invention of radar by Robert Watson-Watt, which was invaluable in the Battle of Britain as was the leadership at RAF Fighter Command of Air Chief Marshal Sir Hugh Dowding.

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