Tuesday, 4 March 2014

Case Study: Sector shifts as seen in 3 countries

Ethiopia- a poor LIC


Ranked 170 out of 177 countries in terms of its level of development. This make it one of the poorest and least developed countries in the world. Located on the sub-Saharan regions of Africa. Few crops are grown for sale and possible export. Most important is coffee. However, recurrent droughts and a long-running war with its neighbour Eritrea have caused coffee production to vary greatly from one year to the next.


Over 75% of Ethiopians live in rural areas. Cities are few and far between. This explains why there is so little employment in the tertiary sector. A poor, largely rural population has little need of urban services, it lacks money. The secondary sector plays little part in Ethiopia's present economy. The country lacks mineral resources and the capital necessary for processing.



























China- a rapidly emerging economy


2nd largest economy in the world. Lower, middle -income country. The wealth created by industry is already beginning to encourage growth in the tertiary sector.



















UK- a post-industry economy


The world's first industrial nation.  It led the Industrial Revolution.  50 years ago manufacturing produced 40% of the country's economic wealth and employed one third of the workforce.  Today it only produces 24% of the wealth and employs 18% of the workforce.  As a result of the global shift in manufacturing the country has experienced de-industrialisation.  Many of the goods once manufactured in the UK are now made in China, India and other countries. 


Tertiary sector provides jobs for 80% of UK workers, it creates 75% of the national economic wealth.  UK farming produces about 60% of the countries food supply.  The low labour percentage reflects the high level of mechanisation while a low GDP percentage reflects the low price of farm products relative to manufactured goods and services.


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