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Britain was the cradle of the industrial revolution; and in the nineteenth and early parts of the twentieth century, she was the pacemaker in industrial development. This is no longer the case. Two world wars, fought by Britain to safeguard the liberties of others, drained her wealth and energy. Currently, much of her industrial stock is old and requires replacing. But given low profitability and high taxation, there is little or no prospect of this happening. Hence many firms appear to be trapped in a vicious downward spiral.

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