Economic change - change in sectors Flashcards
What are the three economic sectors?
primary - working with natural resources
secondary - manufacturing products
tertiary - providing services
What are the characteristics of the economic sectors in LICs and HICs?
HICs e.g. the USA:
- high teriary
- lower secondary
- low primary
LICs e.g. Central African Republic:
- high primary
- lower tertiary
- low secondary
How do sectors change as a country develops?
pre-industrial:
-primary sector jobs such as agriculture are most common
industrial:
- secondary industry peaks
- primary declines and tertiary increases
post-industrial:
- tertiary becomes established
- secondary begins to decline
- primary continues to decline
What causes the primary sector decline?
cheaper to import raw materials
mechanisation of farms means less workers are required
fishing quotas means less fisherman are required because the amount of fish that can be caught is limited
limited supply of natural resources due to them being used earlier in the countries development
What causes the secondary sector to decline?
cheaper to import products, as labour and land is cheaper in other countries
globalisation has meant companies have moved their manufacturing to cheaper location
improvements in transport and communication means it is easy to operate with companies that are abroad
increase in TNCs that operate worldwide
What are the reasons for the growth in the secondary sector in China?
physical:
- has many natural resources available
- close to other developing countries, good trade routes
human:
- cheap workforce, 40p an hour
- globalisation means poorer countries can manufacture products
- increase in privately owned countries, from 100 in 1979 to 280,000 in 1998
What are the impacts of the secondary growth in China?
positive:
- 10 fold increase in GNP per capita in the last 20 years
- increase in employment
negative:
- few laws to protect workers
- increase in pollution
- pressure on non-renewable energy resources
What are the causes for tertiary growth?
as a country becomes more developed, people have more disposable income to spend in shops
and because of economic improvements, countries can afford schools, hospitals, libraries etc.
increase in IT and telecommunications has led to new jobs, such as call centres and computer repairs
How does an ageing population cause an increase in the tertiary sector?
many HICs have an ageing population, in the UK 16.5% of its population is over 64, used to be 5% in 1911
many elderly people have money to spend on shopping and holidays, this is called the grey pound