How is Nigeria's economy changing?
- Created by: westanrevision
- Created on: 24-10-22 18:18
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- How is Nigeria's economy changing?
- sources of income
- traditionally primary products such as cocoa and cotton were the main source of income
- now oil accounts for 95% of export earnings
- traditionally primary products such as cocoa and cotton were the main source of income
- more balanced economy
- industrialisa-tion and economic growth has increased employment in oil production, manufacturing etc.
- the growth of communications, retail and finance in the tertiary sector
- employment in agriculture has fallen, due to increasing use of farm machinery and better pay and conditions elsewhere
- manufacturing
- was previously hindered by the dependence on the export of raw materials
- now accounts for 10% of Nigeria's GDP
- economic development
- regular paid work = secure income = large home market for products manufactured in Nigeria such as cars
- manufacturing industries stimulate growth for other companies
- e.g supplying parts to make cars
- increased employment = increased revenue from taxes
- thriving industrial sector attracts foreign investment
- oil processing = growth of chemical industries incl. soaps and plastics
- MULTIPLIER EFFECT
- was previously hindered by the dependence on the export of raw materials
- sources of income
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