Video: Causes of economic change in the UK

﻿Hi, I'm Miss Goacher, and welcome to our first lesson in this unit. This unit is going to focus on the economic change in the UK. And our lesson today is focused around the causes of the economic change. You are going to need a pen and some paper and your brains. So if you need to go and get those, please feel free to pause the video at this point and do so. But before we do anything else today, we're going to have a look at what economic change is. Economic change is the development of a country's economy, and that can be shown as change between the four employment sectors, primary, secondary, tertiary, and quaternary. Primary jobs are those associated with raw materials. Secondary jobs are those associated with manufacturing. Tertiary jobs are those associated with providing a service. And quaternary jobs are those associated with research and development. We can see very clearly from the pie charts at the top of the screen at the changes that the UK's economy has gone through. In 1800, 75% of our jobs were in primary, working with raw materials, the land and the sea. By 2006, only 2% of our jobs were based in that sector. 10% of our jobs in 1800 were tertiary, those service jobs. But by 2006, that had increased to 74%. Britain was named the workshop of the world. For a few decades in the late 19th century and the early 20th century, Britain dominated world trade with our manufactured goods. We can see that in how many of our jobs were secondary jobs. 55% in 1900, were based around manufacturing. Let's see using the figures on the screen what sort of jobs have increased and decreased. We can see in figure B, that the jobs that have decreased are those that are linked to unskilled work and machinery and transport, and those jobs that have increased are our service-based jobs, sales, personal services, professional jobs, and management jobs. Our work today is going to focus primarily around why and how those changes have occurred. Firstly, I want us to look at a skills task. You can see on the screen a graph that shows the percentage change in each of our sectors of work. We can see that it gives us four periods of time: pre-industrial, industrial, post-industrial and current time. Look very carefully at the key to see which of those lines represent each of our four sectors. Our success criteria for this question is to make sure that we're referring to an overall trend for each sector. So is that sector the primary, secondary, tertiary, and quaternary increasing, decreasing or fluctuating? We need to refer to percentage, and that percentage of employment share that we can see down side of our axis on our graph, and we need to refer to time periods. That exam question of a four marker is asking us to describe the changes that we can see in the UK's employment structure over time. So look very carefully at the graph and see if you can pick out some of those trends for each of the sectors of employment. Pause the video at this point to complete the task. Did you get any of these responses? So I've chosen some of those different changes for each of our sectors. I've said that there's been a decrease in primary jobs for one mark, from 70% in 1800 to 10% in 2028, another mark. I've said there's been a fluctuation in secondary jobs, one mark, they increased to 48% in the industrial period, but have decreased to 25% in 2020, there's our second mark. I've also picked out that there's been an increase in tertiary jobs, one mark, from 10% in 1800 to 65% in 2020, our next mark. And finally, I've picked out that there's been an increase in quaternary jobs, one mark, from 0% in the post industrial era to 20% in 2020, there's our next mark. Check that you've refer to each of the four sectors, that you've picked out the trend, and you've used some data to show us what has changed. Pause the video if you need to to double check that you've got these ideas before you resume and we continue the lesson. So how exactly is the UK's economy changing? We know based on that fact at the beginning of the lesson that we were once known as the world's workshop, and our economy was based around manufacturing, using our coastlines to support with our trade. In the 1960s and 70s, this started to change, and a lot of the British manufacturing declined, leading to that change in our employment structure that we saw in those pie charts. As a result, we've seen a huge decrease in secondary employment, and a huge increase in tertiary and quaternary jobs, with the majority of our workforce now being based in those sectors. At this point, I want you to see what you can tell me about the UK's economy. You've got four ideas or four statements on the screen. Which two of these four are incorrect? So based on what we've looked at so far during the lesson, which two of these four are wrong? Pause the video, have a think, pop some ideas down, and we'll go through these together. So our first option that was incorrect was option four, and our second option that was incorrect was option two. The UK has invested heavily in primary and secondary industries is incorrect. We haven't invested heavily in primary and secondary industries. Instead, we've seen huge deindustrialization and a reduction in our primary and secondary jobs. Option two, the manufacturing decline in the 1980s and 90s is also incorrect because a huge decline in manufacturing happened in the 1960s and 1970s. Our work will now move on to look at why this happened. Let's look at three key terms today, deindustrialization, globalisation and government policy. Make sure that you know what these three key terms mean as we move through the lesson. You may choose to pause the video at points to jot down their definitions. So reason number one, factor number one is deindustrialization. We've used that term today already in our lesson, but remind yourself of what that key term means. It means the decline of a country's traditional manufacturing industry due to exhaustion of raw materials, loss of markets, so where we're selling our goods, and overseas competition. Our industry, our manufacturing in the UK is deindustrialized due to these three reasons: Automation, so using far more machines than people. Cheaper goods being imported, and that links to our ability to trade much easier around the world. And the exhaustion of raw materials leading to fewer resources available to manufacture. Factor two that's influenced the economic change in the UK is globalisation. And globalisation is a really key term in geography. It means the process which has created a more connected world with increases in the movements of goods through trade, and people through migration and tourism. You might use a phrase interconnected to help you remember that term globalisation. But globalisation has led to that change in the UK through the increased interconnectivity. We can see that the UK's manufacturing can actually be moved overseas. Some TNCs, transnational corporations, have moved their tertiary and quaternary jobs to the UK. So we're doing more service based jobs. And trade with other countries has increased our GDP, so therefore, we'd like to be able to do that instead of perhaps manufacture our own products. The cheaper labour in other countries, easier access to markets to sell our products, the demand for services has all seen globalisation cause the UK's economy to change quite significantly. And factor three that's influenced the UK's economy is government policies. Government policies will be the different things that are put into place by the government to control the economy and boost the economy. Firstly, in the 1980s, much of our manufacturing was privatised, and this means they were sold off to private companies rather than the government leading on it. We saw some of our industries such as steel and shipbuilding be privatised, which led to increasing unemployment. Other government policies linked to membership of trade agreements and organisations has made it much easier for us to trade overseas. And that means there's less reliance on our own industries when we're trading. We can buy cheaper products. And finally, sometimes government policies have led to different decisions on the taxes that are paid, the tariffs and the quotas. Tariffs is the money that is paid to import or export. And quotas are the limits that countries might put on products. If the UK government was to make a decision on reducing the amount of tax paid, or reducing how much money was charged to import and export through our tariffs, or they reduced the quotas of limits on products, then that might encourage other companies in other countries to actually produce products and trade with us, rather than us manufacture our own goods. Some companies like Nissan and Toyota have hugely benefited from these decisions and have based their manufacturing plants in the UK, but that takes away the British companies. And although it increases employment, it doesn't mean that the UK is necessarily still that workshop of the world based on their own British companies. It's really important that you know about these three key factors. Factor one, deindustrialization, and the fact that automation, the fact that raw materials have been exhausted, and the fact that it's easier and cheaper to import goods from elsewhere, has led to our change. Factor two, globalisation that increased connectivity around the world leading to lots of our manufacturing moving overseas. And factor three, that idea linked to the government's decisions and the government policies that may have boosted other types of trade and other sectors of employment rather than manufacturing. All three of these have led to that change within the UK. So it's a perfect point in the lesson to pause and to see whether we can put each of these different factors under their three correct headings. You've got eight key ideas here that have all led to change in the UK's economy. And what you need to do is you need to decide which of these factors is linked to deindustrialization, globalisation, and government policies. What would be really great during the lesson is that you've made a note of those key terms so you know what they mean. Go back to those key terms and see whether you can identify some of these key ideas. Pause the video at this point, and let's put these factors under their correct headings. So did you get them in the correct boxes? Deindustrialization was linked to automation, cheaper goods being imported from overseas, and the exhaustion of raw materials. Globalisation was linked to some TNCs moving their tertiary and quaternary jobs to the UK, and trade with other countries becoming easier. And government policies were link to decisions on tariffs, quotas and taxes changing, privatisation of our manufacturing industries, and the membership of trading agreements and organisations. Check that you've got these correct to this point. Pause the video again if you need to to do that, before we go on to our last part of the lesson. So our main task today is a six mark question. And it asks us to explain two causes of economic change in the UK. I popped some ideas on the screen there of what you might want to refer to. I would really encourage you to talk about deindustrialization, globalisation and government policies. Choose two of those causes to focus your answer on and think very carefully about how they have led to that economic change. You're going to need to use connectives in your writing to develop your ideas. So I'd encourage you to use phrases like "this means that", "which means that", and "this leads to" and double check that you are where you can double developing your ideas. Can you really link it back to why or how economic change is being paused? Pause the video, give yourselves eight minutes or so to write a response to this, and when you resume, we'll go through the idea together. So I've popped on the screen here three ideas. You should have chosen two of these, but you may want to borrow some ideas from one of them if you didn't look at it. Idea one I've suggested one cause of economic change in the UK was deindustrialization. There's my first mark, I've picked up the change. The automation of manufacturing lead to job losses, second mark, meaning that there was a decline in UK manufacturing. You can see that I've given two reasons why deindustrialization has led to economic change. Idea two, another cause of economic change in the UK was globalisation, there's more reason. Companies were able to easily locate jobs in the UK, meaning that there was an increase in tertiary and quaternary jobs. I've clearly explained why globalisation has changed the UK economy. And the third idea that you may have gone for or you may want to borrow. A final cause of economic change in the UK was government policies, one mark. The increase in trading agreements meant that products could be purchased from other countries, there's our second mark, leading to fewer products being manufactured in the UK, and there is our final mark. So check the you've got those ideas popped in your work. You may choose to highlight or underline where you've developed your ideas, where you've talked about a specific cause, but make sure that you've done as much as you can to double develop your ideas. That brings us to the end of today's lesson. Well done for working so hard. There are three ideas that we've looked at today and double check that you know what those three key terms and ideas were. Deindustrialization, globalisation and government policies. All three of those have led to that change that we've seen in the UK's economic structure. Make sure that you really know what primary, secondary, tertiary and quaternary job sectors are. Can you define them? Can you give examples of jobs in those sectors? And finally, can you make sure that you know how that has changed in the UK. How our secondary jobs have decreased, and our tertiary and quaternary jobs have increased. Well done for a really great lesson. Make sure that you do the quiz that's associated with this lesson, to show yourself what you've learned, but also to show us what you've learned. And you could ask a parent or carer to share some of your work on one of our social media platforms if you wanted to. If you join us next lesson, we're going to move on to look at what the UK's economy looks like in the post-industrial era after our manufacturing has decreased. But well done for today's lesson.

Exit Quiz: Causes of economic change in the UK

Completed: Causes of economic change in the UK

In this lesson we will look at the causes of economic change in the UK, linked to three main factors: deindustrialisation, globalisation and government policies.

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Causes of economic change in the UK

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