*The Changing Economic World (Paper 2) Flashcards
This is a compulsory topic. It cover economic development, closing the development gap, rapid economic development in LICs/NEEs and the impacts and major changes in the UK economy. (83 cards)
1
Q
What does NEE stand for?
A
Newly Emerging Economy
2
Q
What is an Newly Emerging Economy?
A
A country that is going through a period of rapid economic growth
3
Q
Give an example of the NEE you have studied
A
Nigeria
4
Q
Where is Nigeria located?
A
Nigeria is a country located in Western Africa
5
Q
Why is Nigeria an important country globally?
A
- It is the world’s 21st largest economy
- It supplies 2.7% of the world’s oil (12th larger producer)
- It has a diverse economy offering a range of jobs in the tertiary and quaternary sector
- It is a big player in UN global peace keeping missions
6
Q
Why is Nigeria an important city nationally?
A
- It has one of the fastest growing economies in Africa
- High GDP
- High farm output
- Location of TNC, Shell
7
Q
Describe the political context of Nigeria
A
- Gained independence from the UK in 1960
- Has a history of civil war
- Many companies now investing in Nigeria
- It has links with OPEC (Organisation of Petroleum Exporting Countries), UN and the African Union.
8
Q
Describe the social context of Nigeria
A
- Diverse religious beliefs
- Increasing levels of conflict between different groups
- Rise of extremist groups e.g. Boko Harem
9
Q
Describe the cultural context of Nigeria
A
- Diverse and varied culture
- Popular Nigerian cinema: Nollywood
- Range of music and sports events
10
Q
Describe the environment of Nigeria
A
- Northern Nigeria is semi-desert
- Southern Nigeria: high temperatures and high rainfall
11
Q
What does Nigeria export?
A
Crude oil, refined petroleum, natural gas, rubber, cocoa and cotton.
12
Q
What are Nigeria’s main imports?
A
Cars, refined petroleum, rice, wheat and telephones (due to its rising wealth)
13
Q
How has Nigeria’s industrial structure changed over time?
A
- Decrease in agriculture
- Increase in industry
- Increase in services
- Overall more balanced economy
14
Q
Why has Nigeria’s industrial sector changed?
A
- Less agriculture due to increase in machinery
- Increase in industry due to industrialisation
- Growth of communications and retail
15
Q
What products does Nigeria manufacture?
A
Processed foods, leather items, textiles, soaps and detergents
16
Q
What impact is the growing manufacturing sector having on Nigeria’s economy?
A
- More formal work = more population paying tax
- More regular paid work = more employed
- Lots of manufacturing industries are connected so they create work for each other - TNCs are attracted to Nigeria
17
Q
What does TNC stand for?
A
Transnational Corporation
18
Q
Describe the characteristics of a TNC
A
- Headquarters are located in one country
- Production plantations in several others
19
Q
What might a TNC choose to locate in a country?
A
- Access to cheaper labour
- Access to new markets (to sell their product)
- Less environmental laws to adhere to
- Tax breaks
20
Q
Name some advantages of TNCs for the host country
A
- New skills learned by people
- Creates more jobs
- TNCs often invest in infrastructure of the country
- Can reduce poverty
21
Q
Name some disadvantages of TNCs for the host country
A
- Poor working conditions for workers
- Low pay
- Higher skilled/ higher paid jobs often given to foreign workers
- Profits drains from the area
- The financial incentives offered to attract TNCs can often be better spent investing in healthcare etc.
22
Q
Name the case study of a TNC that invested in Nigeria
A
Shell
23
Q
What kind of company is Shell?
A
An oil company
24
Q
What are the advantages of Shell to Nigeria?
A
- Generating a lot of wealth for Nigeria
- Directly employing 65,000 people and 250,000 indirectly
- 91% of all of Shell’s work contracts are given to Nigerian companies rather than foreign companies
25
What are the **disadvantages** of Shell to Nigeria?
Extracting oil creates problems for the natural environment:
* oil spills cause water pollution and are difficult to clean up
* ecosystems are killed off if oil enters water systems; affecting fishing industries
* oil flares give off harmful fumes into the air
* theft of oil is becoming a big problem
26
Name the **two** different types of aid
Emergency aid and development aid
27
What is emergency aid?
Aid that is given directly after a natural disaster e.g. an earthquake. Aid may take the form of water, food, medical supplies
28
What is development aid?
Aid that happens over a longer term. It may be provided by governments or charities and may include providing education or access to safe water wells in order to improve quality of life
29
What **impact** can aid have on the receiving country? (+ and -)
+ Aid can immediately improve a situation e.g. providing medical aid after a disaster
+ Aid can provide people with the means of helping themselves i.e. tools / knowledge
+ Aid can be the trigger to start development i.e. financial support to start a businesses
- Receiving countries can become reliant upon donor countries
- Some forms of aid aren't suitable i.e. some technologies
30
Why is Nigeria in need of aid?
* It has large amounts of people living in poverty (60+% of the population live on less than US$1 per day.
* Infant mortality rate is high
* Life expectancy is low.
31
What aid does Nigeria receive?
Some money from HICs - UK and USA World Bank funded business start ups Charity work in communities
32
What impact has aid had in Nigeria?
+ Most successful aid has been in small communities
+ World Bank donations helped start up new businesses which reduced over reliance on oil industry
+ Education projects from the USA aim to educate population about HIV/AIDS prevention
+ 'Nets for Life' provide mosquito nets to households
33
Why is aid sometimes difficult to implement?
* Sometimes governments are corrupt which means aid isn't spent on what it is meant to be spent on
* Aid may come with conditions
* Aid is sometimes used to promote interests of the donor country
34
Summarise the Aduwan Health Centre (Nigeria) example
* Previously no health clinic
* High levels of HIV/AIDS in the community
* High infant mortality rate
* ActionAid helped to fund build health clinic
* Trained local people about immunisations
* Tested for HIV and other illnesses
35
How has industrial development impacted the **environment** of Nigeria?
- Lots of illegal industries have developed
- In Lagos, many chemicals enter water systems
- Ecosystems damaged by industrial waste
- Dumping industrial waste on land means some chemicals pollute groundwater
- High levels of deforestation to make room for developments
- Land is becoming drier due to large scale dam developments
36
What are the **impacts** of **urban growth** in Nigeria?
* High proportions of squatter settlements
* Lack of adequate provisions of services
* Difficulty removing waste
* High levels of traffic congestion and pollution
37
What has been the **impact** of **farming** on the environment of Nigeria?
* Lots of water pollution as a result of illegal farming practices
* Building of roads to access farms has led to high levels of deforestation
* Increased CO2 emissions
* Loss of habitats (500+ plants destroyed)
38
What has been the **impact** of **mining** on the environment of Nigeria?
* Digging up the ground in search of minerals can cause soil to erode
* Eroded soil can be irreversible
* Oil spills can cause fires
39
How has economic development affected the **quality of life** in Nigeria?
* Better paid jobs available in manufacturing or services
* Higher disposable income
* Improved access to clean water
* Improved infrastructure
40
Has all of Nigeria benefited from economic development?
* Nigeria has seen one of the world's biggest improvements in HDI
* Many Nigerian's still lack access to clean water Nigeria still depends heavily on oil.
* Nigeria hasn't fully diversified its economy
41
Define '**primary** sector'
Extracting a raw material e.g. mining or farming
42
Define '**secondary** sector'
Manufacturing e.g. ship building, car making
43
Define '**tertiary** sector'
Providing a service e.g. teacher, shop keeper
44
Define '**quaternary** sector'
High tech, knowledge and skills based jobs e.g. IT, research and development
45
How has the UKs **economic structure** changed?
* Increasing numbers employed in tertiary (Services)
* Less employed in primary and secondary
* Increasing number employed in quaternary
46
_What_ has caused the UKs change?
* The Industrial Revolution of the 19th century led to the increase in manufacturing
* Deindustrialization led to the decline of manufacturing as it shifted to Asia
* Globalisation - led to the increase in quaternary sector and decline in manufacturing in some HICs
47
Define **globalisation**
The increasing interconnections between places around the world, made possible by developments in transport, technology. It leads to the increased movement of goods, services and people around the world.
48
Define **deindustrialisation**
The loss of a country's manufacturing industry caused by overseas competition or loss of raw materials.
49
What **government policies** have shaped the UK's economy?
1. **_1945-79_**: Government supported failing industries. A period of strikes and power cuts
2. **_1979-2010:_** Government privatised businesses to create more competition. Old industrial land was changed into new retail parks
3. **_2010+_** : Government aimed to rebalance the economy. They did this by encouraging new businesses through investment in manufacturing and improving infrastructure.
50
What is the **post industrial economy**?
The growth in the tertiary and quaternary sectors that followed the decline of manufacturing industries
51
How has IT led to the development of a post-industrial economy?
* lots of data and information can be stored and shared
* instant communication around the world
* broadband in more remote areas connects more places
* smart phones allow people to work from home
52
Name some jobs in the service sector in the UK
Finance, banking, insurance, security
53
Name some of the UKs research industries?
* Universities
* Ministry of Defence
* NHS
* Charities e.g. Cancer Research
54
Why is the research industry important to the UK economy?
* Lots of highly skilled workers
* Contributes large amount to the economy
* Growing industry
55
What is a **science** **park**?
A group of scientific and technical knowledge-based businesses located on one site.
56
Why are **science parks** important to the UK?
* They support tertiary industries such as finance
* Employ large amount of people (75,000 across 100 sites)
* Employs skilled graduates
57
What is a **business park**?
An area of land comprising of a selection of businesses usually located on the edges of towns.
58
Why are businesses parks located on the outskirts of towns/cities?
* Close to transport links
* Land is often cheaper to build on
* More land available to expand the business park later
* Businesses can collaborate
59
What **impact** does the car industry have on the **physical** environment?
* Creates air pollution contributing to climate change and breathing problems
* Large amounts of plastic waste created
* Manufacturing cars uses a lot of energy
* Most cars use petrol to run which increases demand for oil drilling
60
What has the car industry done to be more sustainable?
* Move towards electric cars e.g. Nissan Leaf
* Reduce the waste going to landfill
* Use less water and energy in production has reduced Nissan, Sunderland now only produces electric cars.
61
Name the case study example of a place experiencing **rural population decline**
Outer Hebrides
62
Name the case study example of a place experiencing **rural population growth**
South Cambridgeshire
63
Why is South Cambridgeshire's population growing?
Lots of migrants from Eastern Europe
64
What are the **social** impacts of population growth in South Cambridgeshire?
* Increased car ownership is causing more traffic congestion
* Decline in use of services as commuters use facilities in the city
* loss of community spirit in the rural areas
* young people driven out due to high cost of living
65
What are the **economic** impacts of population growth in South Cambridgeshire?
* loss of employment in farming
* lack of affordable housing
* increasing numbers of poor migrants which puts strain on services
66
Why is the Outer Hebrides population declining?
Isolated location, lack of job opportunities for young
67
What are the **social** impacts of population decline in the Outer Hebrides?
* number of school children will fall
* fewer people of working age left
* increasing ageing population puts strain on area
68
What are the **economic** impacts of population decline in the Outer Hebrides?
* loss of fishing industry
* farming jobs don't offer full time employment
* increasing levels of tourism has meant the area can't cope with the high levels of visitors
69
How have the UK's **roads** been improved?
* South-west super highway
* Extra lanes added to motorways
* Development of smart motorways
70
How have the UK's **railways** been improved?
* Making railways electric
* Development of High Speed 2 (HS2) - connecting South with Northern cities
* London's Crossrail
71
What is the **purpose** of the **road and rail** improvements in the UK?
* Boost regional growth in declining areas Increase employment (better infrastructure attracts businesses)
* Reduces congestion and pollution
* Reduce travel time
* Connects Southern and Northern Cities
72
How have the UK's **ports** been improved?
Liverpool2 - doubling the ports capacity to trade.
73
How have the UK's **airports** been improved?
Expanding Heathrow - building extra terminal and increase runways
74
What is the **purpose** of the **port** improvements in the UK?
* Increase trading opportunities
* Reduce the amount of freight on the roads
* Create jobs
75
What is the purpose of the **airport** improvements in the UK?
* Creates jobs
* Boosts the economy
* Supports local businesses
76
What is the **North-South divide**?
The divide between the North and the South of England. Generally, the South earn higher incomes, have a better of standard of living compared with the North
77
What is the evidence for the North - South divide?
* Wages are generally lower in the North
* Health is generally worse in the North
* Exam results are generally worse in the North
78
Why is there a north - south divide?
* North was prosperous during Industrial Revolution.
* The North was impacted heavily after heavy industries, such as ship building and mining, declined after 1970s.
* The South adapted and developed a strong service industry due to its proximity to the capital.
79
How is the government trying to reduce the north - south divide?
1. Devolving power
2. Creating Enterprise Zones
3. Northern Powerhouse - a government plan to attract investment to the North
4. Improving infrastructure (HS2, improving motorways)
80
How does '**devolving power**' to local councils help to close the north - south divide?
Giving councils the power to choose how they spend money to best suit the needs of the area. e.g. transport or regeneration.
81
How does the creation of '**enterprise zones**' help to close north - south divide?
Enterprise zones offer incentives to businesses that locate there, e.g. reduced taxes, access to good infrastructure, less planning restrictions - this encourages more businesses to the area, reducing unemployment.
82
What is the **Northern Powerhouse**? How does it close the north - south divide?
It is a government plan to focus on improving the north of England. It includes specific plans to encourage more investment in the North and improved transport to connect it to the South.
83
In what ways is the UK connected to other countries?
1. **Trade** - the UK trades with the USA, Asia and Europe
2. **Culture** - British TV shows are shown worldwide
3. **Transport** - the UK is well connected by the Channel tunnel, rail and airports
4. **Electronic communications** - most internet and phone cables connect USA to Europe via UK.
5. **EU** - being a member of the EU allows the UK to freely trade with other EU countries
6. **Commonwealth** - the UK is part of the commonwealth with aims to improve the well being of other Commonwealth countries.
