Unit 2B - the changing economic world(3. the changing UK economy) Flashcards
1800 employment sector
10% in tertiary sector
15% in secondary sector
75% in primary sector
1900 employment sector
15% in tertiary sector
30% in primary sector
55% in secondary sector
2006 employment sector
2% in primary sector
9% in quaternary sector
15% in secondary sector
74% in tertiary sector
what is the primary sector
involves acquiring raw materials. For example, metals and coal have to be mined, oil drilled from the ground
what is the secondary sector
the manufacturing and assembly process. It involves converting raw materials into components, for example, making plastics from oil
what is the tertiary sector
refers to the commercial services that support the production and distribution process, eg insurance, transport, advertising, warehousing and other services such as teaching and health care.
what is the Quaternary sector
consists of those industries providing information services, such as computing, ICT , offering advice to businesses and research, particularly in scientific fields
why has the economy of the UK changed
de-industrialisation
globalisation
government policies
what is de-industrialisation
The decline in the manufacturing industry. This has happened because:
- machines and technology have replaced employees in factories
- countries, like China, Malaysia and Indonesia, can produce cheaper goods because labour is cheaper
- lack of investment, high labour costs and outdated machinery makes UK products expensive
what is globalisation
the growth and spread of ideas around the world. This can involve the movement or spread of cultures, people, money, goods and information. Globalisation was partly responsible for the growth in the quaternary sector in the UK
UK Government policies 1945-1979
State run industries were brought in state run industries such as National Coal Board, British Rail and British Steel Corporations.
Government money was spent on making declining UK industries better. The 1970s was a decade of strikes and factory closures
UK Government policies 1979-2010
State run industries were sold to private shareholders to create a competitive business environment, this is called privatisation.
New private companies brought innovation and change
UK Government policies 2010 onwards
Rebuilding the manufacturing sector and rely less on the service industries. Improvements to transport and infrastructure, more investment in manufacturing industries, easier access to loans and finance, encouraging global firms to locate within the UK
what is a post industrial economy
Where manufacturing industry declines to be replaced by growth in the service sector and the corresponding development of a quaternary sector
post industrial economy employment
By 2015, 78% of UK employment was in the tertiary sector and 10% in the quaternary sector. Only 10% of employment was in manufacturing compared to 55% in 1900