3.2.3.1 Urban Change Flashcards
Deindustrialisation refers to the
loss of jobs within the manufacturing sector which occurred in the UK in the second half of the 20th century
Before deindustrialisation, the Industrial Revolution and the rise of the manufacturing industry had been a key development in the growth of many urban areas. Cities became known for particular types of industry:
- Manchester = textiles
- Sheffield= iron and steel
- Glasgow= ship building
Industrial revolution and the rise of the manufacturing industry led to
Thousands of jobs created and people migrated into urban areas
By the 1980s, many of the older industrial cities were experiencing severe economic problems associated with the decline of manufacturing. This has been attributed to 3 main factors:
- Mechanisation – most firms can produce their goods more cheaply using machines rather than people
- Competition from abroad – particularly the rapidly industrialising countries of the time e.g. Taiwan, South Korea, India and China
- Reduced demand for traditional products as new materials and technologies have been developed.
Deindustrialisation meant cities in manufacturing heartlands such as ________ and _______ suffered more extensive jobs losses than cities with more diverse economies.
Manchester and Sheffield
Explain how deindustrialisation led to significant variation within cities:
inner city areas=
- contained many of the old types of workplace most likely to be closed- old plants with:
- oldest production techniques
- lowest productivity
- most unionised workforce
- lacked suitable land for expansion of existing manufacturing
Edge of urban areas or more rural locations=
- where new investment was focused
- movement of industry moved away from the inner city and was part of a wider process- decentralisation
What is decentralisation?
The movement of population and industry from the urban centre to outlying areas. The term may encompass the processes of suburbanisation and counter-urbanisation
Decentralisation also affected residential and retail land use in the late 20th Century.
The decline in manufacturing employment in the late 20th Century was accompanied by the rise of the service economy in urban areas. The service economy includes:
- tertiary activities such as financial servicing e.g. banking and insurance, retail, leisure, transport, education and health
- quaternary activities where knowledge or ideas are the main output such as advertising, computer programming and software design
Population growth serves the service sector (tertiary sector) but it has also grown because:
- financial services are needed to support manufacturing industries which are still prevalent in many cities
- as societies become more technologically sophisticated, they need a larger range of specialised services to keep them running
- as societies becomes wealthier they demand more leisure and retail services
The expansion of the service sector has been evident in cities all over the world. For many urban areas there has been a shift in their economic core from
manufacturing to service-based activities
The major financial centres are located in world cities while corporate headquarters cluster in
urban areas where they can access national and international markets, a highly skilled labour force and specialist support services
The growth in the service sector has gone some way to reducing unemployment caused by deindustrialisation in urban areas, but a number of problems still exist:
- Many of those who lost jobs through deindustrialisation have continued to suffer long-term unemployment
- Many of the service jobs created are part-time or temporary
- The number of service jobs has not always made up for the loss of manufacturing jobs
- Inner city locations have been avoided by service industries and newer manufacturing companies leading to continued inner city decline.
What were the economic impacts of deindustrialisation on urban areas?
- loss of jobs and personal disposable income
- loss of tax income to the local authority and potential decline in services
- increase in demand for state benefits
- loss of income in the service sector as a result of falling spending power of the local population
- decline in property prices as out-migration occurs
- deindustrialisation led to the de- multiplier effect in the urban areas affected
What is de-multiplier effect?
Opposite to the multiplier effect, when a withdrawal of income or investment leads to the closure of an activity, such as a factory. The loss of jobs and income for the workers means less money is spent in the economy usually giving rise to more job and income losses in a downward spiral effect.
What were the social impacts of deindustrialisation on urban areas?
- increasing unemployment and higher levels of deprivation
- out-migration of population- usually those who are better qualified and more prosperous
- higher levels of crime, alcohol and drug abuse,
- loss of confidence and morale in local population
