Changes over time in the economic characteristics of place Flashcards
What are ‘players’ in development of places?
Give examples
Organisations, groups or people who attempt to modify places to make them more productive and attractive places to work/live/use for leisure
e.g. locals, planners, developers, pressure groups, councils, governments
What are the employment sectors?
Primary
Secondary
Tertiary
Quaternary
(Quinary)
What is the primary employment sector?
Give examples
- collection of natural resources
e.g. farmer, miner
What is the secondary employment sector?
Give examples
- processing resources into goods
e.g. carpenter
builder
What is the tertiary employment sector?
Give examples
- providing a service
e.g. teacher
doctor
What is the quaternary employment sector?
Give examples
- research and development
e.g. designer
medical researcher
What is the Quinary sector? Where is it concentrated?
Give examples
The highest level of decision making in an economy
Concentrated in STEM employment
e.g. top business executives, leaders in science; universities; non-profit organisations; healthcare; culture; and the media
What is The Clark Fisher Model?
a graph depicting the changes in employment sectors within an economy as it progresses through 3 stages: pre-industrial, industrial, post-indistrial
What are the characteristics of the pre-industrial stage of a country’s economy?
- people usually employed in primary industries
e.g. agriculture, farming, fishing - lots of subsistence farming
- not paying tax/no money to spend
- no services
e.g. schools, hospitals and associated jobs - little disposable income = no leisure/retail/entertainment
What are the characteristics of the industrial stage of a country’s economy?
- mechanisation = decline in primary jobs
- many jobs created in factories and industries
e.g. steel, textiles, engineering, food - manu./construction increases
- start paying tax = gov can spend more on services (healthcare/education)
- more disposable income = tertiary sector develops due to demand for leisure etc.
What are the characteristics of the post-industrial stage of a country’s economy?
- primary drops: natural resources used up/mechanisation takes jobs, and start to import externally sourced food
- secondary flattens out - still need to manu. some goods e.g. perishable goods
- tertiary doesn’t keep rising as only so many people can work in the tertiary sector
- appearance of quaternary - this sector needs highly educated workforce so the increase in services like edu. means this can happen
Give an example of a country in the pre-industrial stage
ETHIOPIA
65% primary
20% secondary
15% tertiary
(not including cash-in-hand jobs which are big in Ethiopia)
PRIMARY = mainly coffee and a mix of commercial/subsistence farming
SECONDARY = textile and leather factories as a result of foreign investment
TERTIARY = tourism
Give an example of a country in the industrial stage
CHINA
25% primary (7.9% GDP)
28% secondary (40.5% GDP and drives growth of quaternary)
47% tertiary (51.6% GDP)
TERTIARY % GDP:
- transport/storage = 5%
- wholesale/retail trades = 10%
- hotel/catering services = 2%
- financial services = 6%
- real estate = 6%
Give an example of a country in the post-industrial stage
UK
1.3% primary
15.2% secondary
83.5% tertiary
PRIMARY = highly mechanised
SECONDARY = earns 20.2% GDP due to deindustrialisation, offshoring and mechanisation
TERTIARY = dominates UK employment. Finance industry is particularly important, London is second largest financial centre in the world
What are the limitations for The Clark Fisher Model?
- globalisation speeds up the process and changes the sequence
- tourism growth could result in by-passing the industrial phase e.g. Kenya, Jamaica
- we don’t know if every country will move through the model and ‘fulfil its potential’. If so, where does food and manu. products come from?
- could some countries develop further?
- speed of development not equal for all countries
- more than one route to development?
- doesn’t consider technological innovation
- doesn’t take into account national/global recessions which can impact tertiary but not primary e.g. farming
How has the employment structure changed in the UK 1800-present?
Why?
1800: 75% primary
INDUSTRIAL REVOLUTION
1850: 24% P, 48% S, 28% T
1900: 55% secondary
Present: 83.4% tertiary
Industrial revolution
Mechanisation
Tax = rise in tertiary = rise in quaternary
How does the employment structure look UK?
What can influence it?
- SE employs most people
- all regions have highest percentage of workers in tertiary
- SE has lowest proportion of workers in primary and secondary sectors in UK, highest tertiary in UK
- midlands have highest percentage of secondary in UK
HOWEVER: influenced by changes within places
e.g. market town compared to industrial centre compared to holiday resort compared to conurbation
How can employment structures be used as an indicator of development?
Give examples
- richer, more industrialised, more economically developed countries (MEDCs/HEDCs/NEEs/HICs) have a high percentage in tertiary and secondary but low in primary
e.g. USA, UK
- poorer, less industrialised, less economically developed countries (LEDCs/LICs) have a low percentage in tertiary and secondary but high in primary (mostly farmers)
e.g. Kenya, Sierra Leone
What is location quotient?
What do the results show?
A statistical method that measures a regions industrial specialisation compared to (for example) the rest of the country
=/~ 1.00 = national/local patterns are similar with no particular specialisation
> 1.00 = a concentration of specialised employment type locally
What is a Kondratiev Wave?
Graph referring to the cycles of expansion and depression lasting about 40-60 years
- thought to be the result of technological innovation
- results in long periods of prosperity followed by recession, depression, then recoving following another technological innovation
What are the stages in a Kondratiev wave?
Expansion/recovery
Boom/prosperity
Recession
Depression
What is the definition of
a) recession
b) depression
in a Kondratiev wave?
a) economy isn’t growing for 2 consecutive years
b) economy is shrinking e.g. job losses etc
What happens during expansion/recovery in a Kondratiev wave?
Give an example
- after rock bottom, economies rebound
- governments implement ways to stimulate growth
- businesses adaot to new market conditions
- new tech grows
e.g. 2008 financial crisis, governments implement central banks, who then cut interest rates by 0.5%
What happens during boom/prosperity in a Kondratiev wave?
Give an example
- economic growth
- high employment
- increased consumer spending
- businesses thrive
- investment
- innovation flourishes
- profits soar
e.g. 1990
- dot-com boom lead to stock market prosperity as investors pour money into web companies
What happens during recession in a Kondratiev wave?
Give an example
- GDP growth/employment rates decrease
- businesses face challenges: demand and consumer confidence decreases
- decreased credit availability
- decreased investment
e.g. 2008 financial crisis
- when housing bubble burst there were economic downturns worldwide
What happens during depression in a Kondratiev wave?
Give an example
- deep economic contractions
- high unemployment rates
- deflationary pressures
- pessimism about future prospects
- long lasting effects on society, requires significant government intervention to stimulate recovery
e.g. The Great Depression, 1930s
- devastated economies worldwide
- subsequent implementation of New Deal policies in the US
How many Kondratiev Waves have there been, what were they and what dates
5 definite K-waves, are we entering a 6th?
K1: Water power
- 1770/80 - 1830/40
K2: Steam engines
- 1830/40 - 1880/90
K3: Electrification
- 1880/90 - late 1940s
K4: Cars
- late 1940s - late 1990s
K5: Information technology
- late 1990s - now
K6? AI
- now onwards
How do Kondratiev wave cycles affect places differently?
Give examples
- some places move faster than others, depending on a number of factors
- growth of quaternary sector has been greater in some parts of country than others, which affects the development of tech etc e.g. cities
e.g. power: dependent of coal power so associated industries would be located near them
e.g. location: ship building needs to be near the coast
What are some of the controversial aspects of work?
- gender gap: men paid 10% more
- Zero-hour contracts - ‘piece work’/’on-call work’ so there are no obligations by employer/employee
- NLW increasingly popular: McDonalds etc
- 2015, gvnmt made illegal working criminal offense: illegal migrant workers work in low pay and poor conditions
- temporary/seasonal work = low pay e.g. tourism
What is GVA?
contribution to the economy of each individual producer/industry/sector
- used in calculating GDP
What does ‘overheated South’ mean?
- the South East had a lower relative importance of manu. for the economy, so less affected by deindustrialisation and recessions.
- economic boom 1997-2007: SE generated 37% UK’s growth output
- 2008 onwards: 48%
- every other region except Scotland has experienced relative decline
= about a quarter of the pop generates about half the UK’s economic growth
Give a case study of economic restructuring
Ebbw Vale
