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changing places unit 1: CHANGES OVERTIME IN THE ECONOMIC CHARACTERISTICS…
changing places unit 1: CHANGES OVERTIME IN THE ECONOMIC CHARACTERISTICS OF PLACES
industry sectors
SECONDARY
manufacturing of goods using the raw materials eg. car manufacturing, construction, steel making
TERTIARY
provision of services to people and industries eg. shops schools or banking
PRIMARY
extraction of raw materials from the ground or sea eg. farming, fishing, forestry mining.
QUATERNARY
knowledge based sector of information, communication technology and R&D
industrial phases
INDUSTRIAL: industrialisation causes secondary and tertiary industry to increase whilst primary sector declines. secondary sector peaks but rarely provides jobs for more than half of the working population eg. NICs such as Mexico
POST INDUSTRIAL: HICs tertiary sector becomes most important. Primary and secondary continue to decline. Quaternary sector begins to develop due to high skill levels and technological advancements eg. UK USA and Japan
PRE-INDUSTRIAL: HICs primary sector accounts for 2/3 of economy and 2/3 of working population. agriculture is most important. eg sub Saharan Africa and Burkina Faso rely on more than 80% of agriculture in their population
how reliable is the Clarke fisher model? some countries have an excellent access to raw materials so will continue to thrive off them eg UAE. the model is based off the UK which took 150 years to move through all 3 phases however many countries are moving through them quicker now.
factors influencing economic restructuring
decline in industries
factors forcing primary industry decline :depletion of resources, cheap imports, mechanisation, government policy.
decline in UK primary industry: coal mines had 1.2 million employed in 1920s but due to exhaustion of resources it became cheaper to import coal. by 2012 96% of our imported coal came from USA, Russia and Columbia, people became concerned about greenhouse gases as coal emits 850kg of co2 every megawatt hour of electricity
decline in secondary industry: globalisation, cheaper production in developing countries, mechanisation
decline of secondary employment in the UK: between 1978 and 2000 manufacturing employment decreased from 27% to 14%, Longbridge car factory in Birmingham closed with a loss of 6k jobs in 2005
factors contributing to the decline of British industry.
EXTERNAL: globalisation- 4 tigers industrialise and have advantages as it has lower labour cost, cheaper sites and latest technology, Multinational companies- shifts production to NICs, mechanisation in production
INTERNAL: loss of competitiveness- Britain has outdated factories with a high labour cost, human resource issues due to unionised workforce , British government with lack of investment and financial factors.
globalisation: processes by which the world is becoming increasingly interconnected in terms of economics, politics, society and culture.
MNCS
BMW, Apple, Nike, McDonalds
Taiwan case study
NIC and one of the 4 tigers
1950s-60s government initiated development and giving land to people so they can make profit by growing food
late 60s-70s government encouraged manufacturing and American companies outsourced Taiwan for cheap labour
1980s- early 90s wages increased along with education, more valuable goods produced eg Acer as IT increased
1990s- present quaternary sector grown, manufacturing less important, lots of jobs in software
