Transcript File - Hany Elshamy

Slide 1.1
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall , Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.2
Chapter 1
Changes in the UK economic structure
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.3
• Primary sector
• Secondary sector
• Tertiary sector
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.4
• Primary sector:
Activities directly related to natural
resources, e.g. farming, mining, oil
extraction, forestry
• Secondary sector:
Activities involving all other production of
goods in the economy, e.g. manufacturing,
construction, energy (gas, water, electricity)
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.5
• Production industries:
Secondary sector minus construction
• Tertiary sector:
Activities involving private and public
sector services
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.6
1960
1980
1985
2008
Agriculture
6.0
3.1
2.6
1.8
Industry
41.0
36.5
34.2
28.1
(manufacturing)
(30.4)
(24.7)
(23.2)
(17.4)
Services
53.0
60.4
63.2
70.1
Sources: OECD (2002) OECD in Figures, and previous issues; OECD
(2010c) OECD Factbook 2010
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.7
• Stage of maturity
• Low-wage competition
• The North Sea
• 'Crowding out‘
• Productivity
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.8
Year
France
Germany
US
1991
133(127)
133(117)
113(138)
1995
124(118)
129(114)
124(132)
2000
119(111)
112(104)
119(129)
2004
110(104)
96(106)
116(126)
2008
116(109)
117(108
122(133)
Indices: GDP per hour (per worker) UK=100
Source: ONS (2010b) International Comparisons of Productivity, ICP Data,
February
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.9
1980
US
41.6
France
42.9
Germany
54.6
UK
46.3
1985
50.0
56.0
62.8
59.0
1990
65.9
63.6
69.8
72.8
1995
68.3
75.2
80.6
82.1
2000
89.5
94.0
96.5
93.7
2005
115.1
107.3
107.5
115.5
2008
127.8
115.4
129.2
124.2
Year
Labour productivity in manufacturing (output per
hour), 1980-2008 (Indices = 2002 = 100)
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.10
Year
Whole economy
Manufacturing
Manufacturing
output
1964
58.1
45.3
72.6
1969
67.0
53.8
85.4
1973
76.2
63.4
94.6
1979
81.7
65.8
90.6
1990
100.0
100.0
100.0
2005
136.5
153.2
106.2
2009
135.0
159.5
92.5
Indices: 1990 = 100
Source: ONS (2010d) Monthy Digest of Statistics, September; ONS (2010c)
Labour Market Statistics, September ONS (2006a) Economic Trends, April, and
previous
issues
Griffiths
and Wall:
Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.11
• International productivity components
– Relative labour productivity
– Relative labour costs
– Sterling effective exchange rate
• Relative unit labour costs (RULC)
Relative labour productivity
× Relative exchange
Relative labour costs
rate
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.12
Year
US
France
Germany
UK
1995
116.8
112.4
104.5
69.8
1997
114.3
107.1
103.6
83.6
2000
125.5
96.0
100.1
99.3
2005
100.0
100.0
100.0
100.0
2009
92.3
101.2
96.2
86.0
Note: The figures relate unit labour costs relative to 35 industrial countries.
OECD (2010a) Economic Outlook, No 87 Annex tables
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012
Slide 1.13
• Deindustrialization
• Growth prospects
• Balance of payments
• Inflation
• Industrial relations
Griffiths and Wall: Economics for Business and Management 3rd edition
© Pearson Education Limited 2011
Griffiths and Wall, Applied Economics 12th Edition © Pearson Education Limited 2012