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Economic Change Revision
  Define primary, secondary and tertiary sectors, giving examples for each sector

 How the importance of the sectors has changed and the reasons for the changes

Why has there been a decline in the numbers employed by the Primary Sector in the
UK? Including: depletion of resources, cheap imports, Mechanisation, social change

     Why has there been a decline in the secondary sector in the UK? including:
 globalisation and cheaper production overseas, mechanisation, government policies.

      Case Study: Growth of the Secondary Industry in China and it’s effects

Why has there been a dramatic growth of the tertiary sector since 1970? Including:
            i. a rise in the demand for services lined to disposable incomes
                  ii. The development of new technologies and services
         iii. Decrease in employment in the primary and secondary sectors
                     iv. Demographic changes, eg the ageing population

  What are the Factors affecting the location of primary, secondary and tertiary
                                    activity

       What are the costs and benefits of de-industrialisation in rural areas
Sectors of Industry
Although there are hundreds of different jobs or
   occupations, they can all be classified into 4 categories:
Primary                       Working with or the extraction of natural
                              resources e.g. Farming, mining or
                              forestry
                              Making things either by manufacturing or
Secondary                     construction e.g Nissan Car manufacturing


                              This type of industry provides services.
                              These include commercial services
Tertiary                      (Shops), Professional (Solicitors), Social
                              (School teacher), entertainment (
                              restaurants), Personal (Hairdressers)

                               This is a new sector and is linked to
Quaternary                     ICT and research development
                               (Genetics Researcher)
The diagram above shows how the sectors change over time
                    over three phases.
 The main type of industry for a country depends upon the
economic status of a country e.g. LIC tends to be mainly the
primary and secondary sector and a HIC tends to be mainly
            the tertiary and quaternary sector.
Reasons for Economic Sector Change
In the UK in 1800AD most people would have        During the industrial revolution, more         Improvements in technology led to
been employed in the primary sector.              people were needed to build ships, work in     increased mechanisation, this means
                                                  steel making and with textiles. All of these   machines were created which meant less
                                                  jobs are found in the secondary sector         workers were needed.
Mechanisation has led to the reduction of         Foreign industries also became more            Since 1900 mechanisation meant that less
agricultural workers .                            competitive and imports such as coal           people were required to work on the land
                                                  became more affordable. As the availability    and in industry, as machines could carry
                                                  of coal declined in the UK, and also became    out most of the work that people
                                                  more expensive to extract more coal was        previously did.
                                                  imported.
The demand for work increased in schools,         By 1900 over half of the workers in the UK     Materials being imported from abroad led
hospitals and retail industries. As people were   were employed in secondary industries.         to a decrease in the number of people
living longer, having fewer children and people                                                  employed from in the primary industry.
have more disposable income.
Jobs in primary industries are often seen to be   An increase in tertiary employment. This was   By the year 2000 over half of the UK
‘dirty’ and to have few career prospects.         gradual but steady until the second world      workforce was employed in tertiary
Workers prefer the better paid and less           war, then this was slightly reversed due to    industries and only a small number were
physically demanding jobs like in the tertiary    increased manufacturing as part of the war     employed in primary industries. This has
sector.                                           effort.                                        changed the work that people do, and also
                                                                                                 where they work.
The manufacturing industries were steady until Many raw materials, for example iron ore          The growth in the tertiary sector increased
a decline in the 1990’s which mirrored the     and coal, have been used up or cheaper to         rapidly in the last decades of the twentieth
growth of the tertiary sector.                 import from abroad.                               century. Most of this was in the new hi-
                                                                                                 tech industries such as micro-electronics
                                                                                                 and research/development.
Quaternary industries are a relatively new Many secondary industries were relocating             In the UK there is more people employed
concept, and it is only recently that they have in different LIC countries linked to labour      by the tertiary and quaternary sector.
been added to these figures. However it is being cheaper, cheaper to locate there etc.           Linked to imports and globalisation the
becoming an important and growing sector in                                                      things we acquire from primary and
the UK as many firms want to carry out                                                           secondary tend to be carried out in LIC
research and development for their products.                                                     countries.
Why has there been a decline in the Primary Sector in
                     the UK?




Reasons:
• Resource depletion is the exhaustion of raw materials within a region.
   Therefore. without the resources the primary industry cannot run.
• Globalisation – The world becoming more interconnected has meant its easier and
   cheaper to transport goods, therefore it is easier for industries to move abroad
   where it is cheap to import and export goods with cheaper land and cheaper
   labour force.
• Cheaper Imports – It can be cheaper to export natural resource from other
   countries e.g. Bananas from Chile.
• Mechanisation – The advancements in technology has resulted in machines being
   built and these resources are replacing the workforce. E.G. A farm that used to
   employ 150 people 100 years ago now employs 10 people linked to the fact they
   now have a mechanised plough.
• Social Change – Some primary jobs are now classed as undesirable linked to the
   fact people perceive the jobs as hard, with long hours and hard manual labour.
Primary industry in the UK has declined in recent years.
Give two reasons for this decline. (4)
Credit references to both primary industry and primary
employment
Max 3 for 1 reason e.g. increased mechanisation (1); longer hours (1), dangerous
conditions (1), coal is getting too expensive to mine (1) and
it’s cheaper to import it (1); resources become exhausted (1)
so they are imported (1)

Explain why the numbers employed in the primary sector in the UK have
declined over the last 50 years. Use examples in your answer. (4)
Why has there been a decline in the
        Secondary Sector in the UK ?

•   Globalisation – The world is not more interconnected meaning it easier
    to transport imports and exports, easier to communicate and is overall
    cheaper as well. Therefore, due to globalisation companies can move
    there factories abroad, however, can still manage their company from
    the country of origin.
•   Cheaper Production Costs – Many factories are closing in the UK and
    moving to other countries, which tends to LIC’s for its a cheaper
    workforce, with no or very little working regulations and cheaper land.
    Overall, cheaper production costs than it would be in the UK, which
    means they can make more money from just selling the product.
•   Mechanisation - Advances in technology has resulted in the creation
    of machines in manufacturing plants which are replacing labourers.
•   Government Policies/Regulations
•   Deindustrialisation – Factories are closing within the UK and moving
    abroad due to various reasons.
Growth of the Secondary Industry in a
                 LIC/MIC - China
Political Change - China has moved from a communist government to a capitalist government.
     Basically more private industries can now thrive and prosper without having to share their
     profits with the whole country therefore a growth of secondary industries can create more
     money, therefore the industry can grow further
Workforce - Linked to the large population there is a plentiful supply of workers, also linked to
     the fact that mechanisation in agriculture means workers are moving from rural to urban
     areas in search of work. Linked to the large population there is a plentiful supply of
     workers, also linked to the fact that mechanisation in agriculture means workers are moving
     from rural to urban areas in search of work.
Globalisation - The shrinking of the world by the process known as globalisation has enabled
     countries in HICs to have good s assembled in LICs at a fraction of the price of the
     manufacturing process in the HIC. Goods can be transported easily around the world from
     where they are produced to where they are sold. China has a large workforce which can be
     employed cheaply.

Natural Resources and Energy - China has a great wealth of natural resources having vast
     reserves of cal, oil and natural gas. These are being used to fuel the industrial development
     of the country. China has also developed a large amount of new hydroelectric and nuclear
     power station to provide even more energy.
Government Policy - There has been a change in government policies,
for example, laws which used to stop people investing in China have
 been abolished. Many companies from foreign countries now have factories
 in China, particularly Transnational Companies
Choose either one LIC or one MIC that you have studied. Explain the reasons for the
                          growth in its secondary sector.
Growth of the Secondary Industry in
     a LIC/MIC – China Effects
You must be able to explain the following effects:
        There has been an unprecedented      Damage to the environment             Better Housing in urban areas.
        growth in the Chinese Economy in     caused by the working of natural
        the last 20 years. With exports      resources,
        exceeding imports.                   such as coal, oil and iron ore

        There are few laws to protect the    Rising incomes and a higher           China’s status within world power
        workers, particularly the millions   standard of living for its people     is rising therefore they are
        of migrant workers. They are         (at least those                       becoming an influential super
        being heavily exploited and have     living in towns and cities)           power which great influence in
        to live and work in appalling,                                             global affairs.
        overcrowded conditions

        Linked to natural reserves running   In the whole country there are        There has been very little
        out, China is having to invest       760 000 recorded deaths a year        spending on social infrastructure,
        heavily into creating new energy     from air and water pollution, mush    for example government spending
        sources.                             as this is create through industry.   is lower now than the 1980’s.

        Massive rural-to-urban migration     China’s rate of development is        The gap between the rich and
        as people leave the countryside      increasing within each year, with a   poor is widening. With the poor
        for factory                          shift from LIC to MIC.                being amongst the poorest in the
        Job’s in towns and cities. Few                                             world.
        people left to work within rural
        areas.
Choose one LIC or MIC which has experienced growth in the secondary sector. Explain the effects
   of the growth of the secondary sector on this country. (6)
Chosen LIC or MIC .................................................................
Why has there been a dramatic growth of
 the tertiary sector in the UK since 1970?


• More disposable Income – Linked to the fact people are paid
  more, once they have paid off the bills they have more money to
  spend on themselves e.g. Can afford to have a gym membership
  (Tertiary Employer).
• Advances in technology – Technology has created new services
  such as lots of mobile phones shops have opened on the high
  street. Broadband service providers, website designers and the
  servicing of PC’s and laptops.
• Decline the primary and secondary industries – The decline in
  the two sectors has led to more people being employed in the
  tertiary sector
• Demographic Changes – Linked to people marrying later, people
  tend to spend money on entertainment services and personal
  services. Also people live later therefore, the retirees have
  more money to spend on services such as care homes, day
  centres and Saga holidays. The ‘Greying Pound’.
Factors affecting the location of industries
You must be able to explain how the following factors are linked to the location
   of the following industries:

 Primary Industry             Secondary Industry
                                                              Tertiary Industry
 Location Factors:             Location Factors               Location Factors

  • Availability of          • Skilled Labour force        •Modern design to attract
                                      nearby                      potential clients
 Natural Resources              •Other secondary            •Location next industries
                             industries nearby e.g.            which employ a large
  •Demand for the                   For parts                 number of employees,
                                                             therefore have an easy
  natural resource          • Transport links – Very           customer advantage.
                                    accessible            •On the edge of town (rural
 •Transport Links to             •Greenfield sites               areas) , for space
   transfer natural           nearby for potential        expansions and easy access
      resources                     expansion                  •Excellent transport
                            •Government Incentives            system including wide
•Labour force nearby                                         roads, bus routes, cycle
                               – Grants offered to
                                                            and pedestrian lanes for
                             attract businesses to              easy public access.
                              certain areas where            •Location next to other
                                  there might be              tertiary industries, to
                                  unemployment.                   attract custom
Exam Practice
         Study Figure 1b (photograph) in the
              Resource Booklet.
         It shows a retail park (tertiary sector) in the
              north-east of England.
         Suggest reasons why this area is a good
              location for a retail park.
         Use evidence from the photograph in your
              answer. (3)
Due to industries closing down
 Extraction of sand and gravel
                                   this meant that people were
 around Reading in Berkshire
                                      migrating away to find
  left many dangerous water
                                           employment.
         filled quarries.
                                   RURAL – URBAN MIGRATION




 Many rural areas suffered high
levels of unemployment, which      Evidence of environmental
   has had a impact for many        pollution was left such as
 years. Linked to the fact many    polluted waterways, waste
 who were employed only had                 heaps etc
          specific skills.
Many Rural areas after deindustrialisation became regenerated and used for alternative
                   purposes. Look at the example of READING. BENEFITS
                                                                         Madejski stadium, built
                                 Green Park, which is a                  on waste tip which was
                                 science park covering 70                an old gravel quarry. The
   Copthorne Hotel, next to      hectares and employing                  land cost £1
   10 acre lake. The hotel       7000 people
   has many facilities
   including water sports.




Quarry still in use.


                                                                      Describe the benefits
                                                                      deindustrialisation has
                                           Former Gravel pit quarry
                                           now agricultural land
                                                                       brought to Reading.
Exam Practice
Explain the benefits and costs of de-industrialisation in rural areas.
Use examples in your answer. (6)

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Economic change revision

  • 1. Economic Change Revision Define primary, secondary and tertiary sectors, giving examples for each sector How the importance of the sectors has changed and the reasons for the changes Why has there been a decline in the numbers employed by the Primary Sector in the UK? Including: depletion of resources, cheap imports, Mechanisation, social change Why has there been a decline in the secondary sector in the UK? including: globalisation and cheaper production overseas, mechanisation, government policies. Case Study: Growth of the Secondary Industry in China and it’s effects Why has there been a dramatic growth of the tertiary sector since 1970? Including: i. a rise in the demand for services lined to disposable incomes ii. The development of new technologies and services iii. Decrease in employment in the primary and secondary sectors iv. Demographic changes, eg the ageing population What are the Factors affecting the location of primary, secondary and tertiary activity What are the costs and benefits of de-industrialisation in rural areas
  • 2. Sectors of Industry Although there are hundreds of different jobs or occupations, they can all be classified into 4 categories: Primary Working with or the extraction of natural resources e.g. Farming, mining or forestry Making things either by manufacturing or Secondary construction e.g Nissan Car manufacturing This type of industry provides services. These include commercial services Tertiary (Shops), Professional (Solicitors), Social (School teacher), entertainment ( restaurants), Personal (Hairdressers) This is a new sector and is linked to Quaternary ICT and research development (Genetics Researcher)
  • 3. The diagram above shows how the sectors change over time over three phases. The main type of industry for a country depends upon the economic status of a country e.g. LIC tends to be mainly the primary and secondary sector and a HIC tends to be mainly the tertiary and quaternary sector.
  • 4. Reasons for Economic Sector Change In the UK in 1800AD most people would have During the industrial revolution, more Improvements in technology led to been employed in the primary sector. people were needed to build ships, work in increased mechanisation, this means steel making and with textiles. All of these machines were created which meant less jobs are found in the secondary sector workers were needed. Mechanisation has led to the reduction of Foreign industries also became more Since 1900 mechanisation meant that less agricultural workers . competitive and imports such as coal people were required to work on the land became more affordable. As the availability and in industry, as machines could carry of coal declined in the UK, and also became out most of the work that people more expensive to extract more coal was previously did. imported. The demand for work increased in schools, By 1900 over half of the workers in the UK Materials being imported from abroad led hospitals and retail industries. As people were were employed in secondary industries. to a decrease in the number of people living longer, having fewer children and people employed from in the primary industry. have more disposable income. Jobs in primary industries are often seen to be An increase in tertiary employment. This was By the year 2000 over half of the UK ‘dirty’ and to have few career prospects. gradual but steady until the second world workforce was employed in tertiary Workers prefer the better paid and less war, then this was slightly reversed due to industries and only a small number were physically demanding jobs like in the tertiary increased manufacturing as part of the war employed in primary industries. This has sector. effort. changed the work that people do, and also where they work. The manufacturing industries were steady until Many raw materials, for example iron ore The growth in the tertiary sector increased a decline in the 1990’s which mirrored the and coal, have been used up or cheaper to rapidly in the last decades of the twentieth growth of the tertiary sector. import from abroad. century. Most of this was in the new hi- tech industries such as micro-electronics and research/development. Quaternary industries are a relatively new Many secondary industries were relocating In the UK there is more people employed concept, and it is only recently that they have in different LIC countries linked to labour by the tertiary and quaternary sector. been added to these figures. However it is being cheaper, cheaper to locate there etc. Linked to imports and globalisation the becoming an important and growing sector in things we acquire from primary and the UK as many firms want to carry out secondary tend to be carried out in LIC research and development for their products. countries.
  • 5. Why has there been a decline in the Primary Sector in the UK? Reasons: • Resource depletion is the exhaustion of raw materials within a region. Therefore. without the resources the primary industry cannot run. • Globalisation – The world becoming more interconnected has meant its easier and cheaper to transport goods, therefore it is easier for industries to move abroad where it is cheap to import and export goods with cheaper land and cheaper labour force. • Cheaper Imports – It can be cheaper to export natural resource from other countries e.g. Bananas from Chile. • Mechanisation – The advancements in technology has resulted in machines being built and these resources are replacing the workforce. E.G. A farm that used to employ 150 people 100 years ago now employs 10 people linked to the fact they now have a mechanised plough. • Social Change – Some primary jobs are now classed as undesirable linked to the fact people perceive the jobs as hard, with long hours and hard manual labour.
  • 6. Primary industry in the UK has declined in recent years. Give two reasons for this decline. (4) Credit references to both primary industry and primary employment Max 3 for 1 reason e.g. increased mechanisation (1); longer hours (1), dangerous conditions (1), coal is getting too expensive to mine (1) and it’s cheaper to import it (1); resources become exhausted (1) so they are imported (1) Explain why the numbers employed in the primary sector in the UK have declined over the last 50 years. Use examples in your answer. (4)
  • 7. Why has there been a decline in the Secondary Sector in the UK ? • Globalisation – The world is not more interconnected meaning it easier to transport imports and exports, easier to communicate and is overall cheaper as well. Therefore, due to globalisation companies can move there factories abroad, however, can still manage their company from the country of origin. • Cheaper Production Costs – Many factories are closing in the UK and moving to other countries, which tends to LIC’s for its a cheaper workforce, with no or very little working regulations and cheaper land. Overall, cheaper production costs than it would be in the UK, which means they can make more money from just selling the product. • Mechanisation - Advances in technology has resulted in the creation of machines in manufacturing plants which are replacing labourers. • Government Policies/Regulations • Deindustrialisation – Factories are closing within the UK and moving abroad due to various reasons.
  • 8. Growth of the Secondary Industry in a LIC/MIC - China Political Change - China has moved from a communist government to a capitalist government. Basically more private industries can now thrive and prosper without having to share their profits with the whole country therefore a growth of secondary industries can create more money, therefore the industry can grow further Workforce - Linked to the large population there is a plentiful supply of workers, also linked to the fact that mechanisation in agriculture means workers are moving from rural to urban areas in search of work. Linked to the large population there is a plentiful supply of workers, also linked to the fact that mechanisation in agriculture means workers are moving from rural to urban areas in search of work. Globalisation - The shrinking of the world by the process known as globalisation has enabled countries in HICs to have good s assembled in LICs at a fraction of the price of the manufacturing process in the HIC. Goods can be transported easily around the world from where they are produced to where they are sold. China has a large workforce which can be employed cheaply. Natural Resources and Energy - China has a great wealth of natural resources having vast reserves of cal, oil and natural gas. These are being used to fuel the industrial development of the country. China has also developed a large amount of new hydroelectric and nuclear power station to provide even more energy. Government Policy - There has been a change in government policies, for example, laws which used to stop people investing in China have been abolished. Many companies from foreign countries now have factories in China, particularly Transnational Companies
  • 9. Choose either one LIC or one MIC that you have studied. Explain the reasons for the growth in its secondary sector.
  • 10. Growth of the Secondary Industry in a LIC/MIC – China Effects You must be able to explain the following effects: There has been an unprecedented Damage to the environment Better Housing in urban areas. growth in the Chinese Economy in caused by the working of natural the last 20 years. With exports resources, exceeding imports. such as coal, oil and iron ore There are few laws to protect the Rising incomes and a higher China’s status within world power workers, particularly the millions standard of living for its people is rising therefore they are of migrant workers. They are (at least those becoming an influential super being heavily exploited and have living in towns and cities) power which great influence in to live and work in appalling, global affairs. overcrowded conditions Linked to natural reserves running In the whole country there are There has been very little out, China is having to invest 760 000 recorded deaths a year spending on social infrastructure, heavily into creating new energy from air and water pollution, mush for example government spending sources. as this is create through industry. is lower now than the 1980’s. Massive rural-to-urban migration China’s rate of development is The gap between the rich and as people leave the countryside increasing within each year, with a poor is widening. With the poor for factory shift from LIC to MIC. being amongst the poorest in the Job’s in towns and cities. Few world. people left to work within rural areas.
  • 11. Choose one LIC or MIC which has experienced growth in the secondary sector. Explain the effects of the growth of the secondary sector on this country. (6) Chosen LIC or MIC .................................................................
  • 12. Why has there been a dramatic growth of the tertiary sector in the UK since 1970? • More disposable Income – Linked to the fact people are paid more, once they have paid off the bills they have more money to spend on themselves e.g. Can afford to have a gym membership (Tertiary Employer). • Advances in technology – Technology has created new services such as lots of mobile phones shops have opened on the high street. Broadband service providers, website designers and the servicing of PC’s and laptops. • Decline the primary and secondary industries – The decline in the two sectors has led to more people being employed in the tertiary sector • Demographic Changes – Linked to people marrying later, people tend to spend money on entertainment services and personal services. Also people live later therefore, the retirees have more money to spend on services such as care homes, day centres and Saga holidays. The ‘Greying Pound’.
  • 13. Factors affecting the location of industries You must be able to explain how the following factors are linked to the location of the following industries: Primary Industry Secondary Industry Tertiary Industry Location Factors: Location Factors Location Factors • Availability of • Skilled Labour force •Modern design to attract nearby potential clients Natural Resources •Other secondary •Location next industries industries nearby e.g. which employ a large •Demand for the For parts number of employees, therefore have an easy natural resource • Transport links – Very customer advantage. accessible •On the edge of town (rural •Transport Links to •Greenfield sites areas) , for space transfer natural nearby for potential expansions and easy access resources expansion •Excellent transport •Government Incentives system including wide •Labour force nearby roads, bus routes, cycle – Grants offered to and pedestrian lanes for attract businesses to easy public access. certain areas where •Location next to other there might be tertiary industries, to unemployment. attract custom
  • 14. Exam Practice Study Figure 1b (photograph) in the Resource Booklet. It shows a retail park (tertiary sector) in the north-east of England. Suggest reasons why this area is a good location for a retail park. Use evidence from the photograph in your answer. (3)
  • 15. Due to industries closing down Extraction of sand and gravel this meant that people were around Reading in Berkshire migrating away to find left many dangerous water employment. filled quarries. RURAL – URBAN MIGRATION Many rural areas suffered high levels of unemployment, which Evidence of environmental has had a impact for many pollution was left such as years. Linked to the fact many polluted waterways, waste who were employed only had heaps etc specific skills.
  • 16. Many Rural areas after deindustrialisation became regenerated and used for alternative purposes. Look at the example of READING. BENEFITS Madejski stadium, built Green Park, which is a on waste tip which was science park covering 70 an old gravel quarry. The Copthorne Hotel, next to hectares and employing land cost £1 10 acre lake. The hotel 7000 people has many facilities including water sports. Quarry still in use. Describe the benefits deindustrialisation has Former Gravel pit quarry now agricultural land brought to Reading.
  • 17. Exam Practice Explain the benefits and costs of de-industrialisation in rural areas. Use examples in your answer. (6)

Hinweis der Redaktion

  1. Just show video from 1:40 onwards