CP 1.3.6 Flashcards
1.3.6 - 21st century knowledge economy and it’s social and economic impacts
Name three factors that characterises the Quaternary sector
(knowledge economy)
Knowledge economy is characterised by
1. Rise of communications in information
2. Investment into research and development in communications
3. Located in clusters (agglomeration)
The Quaternary sector focuses on knowledge-based economic activities.
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Name 3 main features of a location that make it ideal for a quaternary cluster?
Ideal locations
* Close proximity to a university and research institutions
* Easy access for transporting trade/resources
* In a high influence area
These factors enhance the viability of quaternary clusters.
What does KIBS stand for?
KIBS stands for Knowledge Intense Business Service.
KIBS operations are reliant on professional knowledge and provide intensive support for other organizations.
What is the multiplier effect?
The multiplier effect is when a change in a particular input causes a larger change in an output.
This concept is often applied in economic contexts.
What does intra-industry spillover refer to?
Intra-industry spillover refers to knowledge ideas and skills spread over businesses in the same industry because they are clustered together
This phenomenon can enhance innovation within industries.
What are key components of the quaternary sector?
Key components include:
* Information services
* Research
* Development
The quaternary sector is primarily knowledge-based.
Name the two examples that can be used in an essay to support your knowledge on the social and economic impacts of the knowledge economy
Surrey research park
Silicon Valley
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what are the locational factors specific to the Surrey research park and how it encourages cluster growth
- Close proximity to Surrey Uni- which park is owned by= provides direct access graduate talent and research expertise- Strong intra-industry spill (knowledge-sharing with uni)- Highly skilled workforce
- Gford borough council supports- encourages business growth (18,000 jobs)
- Transport infrastructure- Easy access to the A3 (main road) and train station - a positive social impact as it increases the global connectivity
What are the triggers affecting the growth of Silicon Valley?
Triggers include:
* Easy access to oceans and mountains which attracts the youth
* Stanford University- intra industry spill over (knowledge and ideas of professors and students (Terman- a young entrepreneur developing own ideas)
These factors contribute to the dynamic ecosystem of Silicon Valley.
What is the economic impact of Surrey University?
Between 2013 and 2014, Surrey University generated more than £1.5 billion of the UK economy.
This figure highlights the university’s significant contribution to the economy.
Using Surrey Research Park, what are the social impacts of the quaternary industry clusters on people and places?
Job creation is a positive social impact approx 4,300 jobs due to research park
But increased traffic congestion is a negative social impact
-Demographic change in Guildford- influx of young professional population
The university plays a vital role in the local community.
Using Surrey Research Park, what are the Economic impacts of the quaternary industry clusters on people and places?
The research park has had significant positive economic impacts
1. Annual contribution to regional economy of around £500 million
2. This research park launches collaborative initiatives to help accelerate business growth in Guildford
This can lead to challenges for local commuters.
