Economic Change

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Types of sector

Primary sector:

Extraction of raw materials e.g. cotton farmer.

Secondary sector:

Manufacturing of raw materials into goods or products e.g. clothes factory.

Tertiary sector:

Also known as the "service sector". It sells goods or provides a service e.g. Sports Direct.

Quaternary sector:

This sector focuses on information and communications technology and research and development. Universities are part of this sector. E.g. Instagram.

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The decline of the primary sector in the UK

Fishing

Why did I lose my job?

  • Depletion of stocks caused by overfishing. This is because there are larger vessels with modern equipment to help locate fish shoals and then trawling larger nets to catch them.

Impacts:

  • It means you can't support your family, therefore, you can't pay bills or rent. One has to stuggle.
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Why the importance of each sector changes over tim

  • As countries develop, they do not need as many people working in the primary sector because they can import goods cheaply
  • The secondary sector increases due to better pay and there is promoted growth in factories
  • Decreased secondary sector in post-industrial
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Key definitions

Globalisation:

The process of the world becoming more connected through transport, trade and technology.

Deindustrialisation:

Decline in the secondary sector (manufacturing)

Global superhighway:

The name given to the connections created across the world from communications network.

Communications network:

The different ways in which people and places connect across the world e.g. Internet, mobile phones, etc.

Automation:

The use of machines to replace manpower.

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Reasons for the decline of the secondary sector in

  • Laws were put in place to protect steel workers
  • Global demand for steel was low
  • Competition from overseas especially, S.E. Asia
  • Poor management
  • Lack of investment
  • Outdated working practices
  • Expensive workers
  • Cheap labour abroad
  • Companies shut down because they are not successful
  • Other companies have more efficient factories, using better technology
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Impacts on the UK and LEDC's

Impacts on the UK:

  • High unemployment
  • Less exporting/trade from the UK
  • Poor economic growth
  • Tax increase
  • Increase in crime
  • Increase in migration

Impacts on LEDC's:

  • More exporting--good economically
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