After WW1 and WW2 the British were running on empty really compared to the past.
About Monarchy I think it depends, the way the Queen has acted is what people expect of Monarch's today and it is why she still remains quite more respected then our poliitcans. Its quite interesting,Support for the the Queen is at its highest levels in Canada, Australia and the UK since the 1980 and before.
I think its because the whole Dianna factor has finally worn off, and the Queen is becoming old and Will-Kate. Plus the media have been more friendly and films like the Queen and the The Kings Speech...
However dark times are ahead with the sucessor...Most of the support is because of the Queen...
In Canada I expect a huge debate over Prince Charles becoming King.