Unit 5 The UK Economy
Unit 5 The UK Economy
Focal points Absolute decline and relative decline ·Recent history The current UK economy ·The UK Economy in2009 ·UK Economic Forecast
Focal points • Absolute decline and relative decline • Recent history • The current UK economy • The UK Economy in 2009 • UK Economic Forecast
Absolute Decline and Relative Decline ·I.Events in History 1.Dominant in the 1880s (1).Producing one third of the world's manufactured goods. .(2).Producing half of the world's coal,iron,and cotton .(3).Greater shipping amount than that of the rest of the world
Absolute Decline and Relative Decline • I. Events in History • 1. Dominant in the 1880s • (1). Producing one third of the world’s manufactured goods. • (2). Producing half of the world’s coal, iron, and cotton. • (3). Greater shipping amount than that of the rest of the world
Absolute Decline and Relative Decline ·2.Overtaken in1900 By 1900,the UK has been overtaken by both the United States and Germany,losing its dominant place in the world economy. ·3.Decline since194S (1)It's a relative decline. From 1945 until the present,the story of the UK economy is usually thought of as one of decline
Absolute Decline and Relative Decline • 2. Overtaken in 1900 • By 1900, the UK has been overtaken by both the United States and Germany, losing its dominant place in the world economy. • 3. Decline since 1945 • (1) It’s a relative decline. • From 1945 until the present, the story of the UK economy is usually thought of as one of decline
Absolute Decline and Relative Decline ·(2).Reasons: A.Britain has gone heavily into debt in order to finance the World War II,which meant that the UK entered the post-war era with a major economic problem. B.As the era of empire was over,Britain lost its colonies which used to be raw material bases and big markets for British C.During the process of decolonization,Britain spent a higher proportion of national wealth on the military than most of its competitors
Absolute Decline and Relative Decline • (2). Reasons: • A. Britain has gone heavily into debt in order to finance the World War II, which meant that the UK entered the post-war era with a major economic problem. • B. As the era of empire was over, Britain lost its colonies which used to be raw material bases and big markets for British • C. During the process of decolonization, Britain spent a higher proportion of national wealth on the military than most of its competitors
AFRICA 196 INDIAN au1 OCEAN CENTR AME MALAYSIA 1963 ATLANTIC OCEAN Colonial Affiliations Before 1945 ASCAR Belgian Japanese French American 1000 2000 Miles 0 1000 2000 Kilometers British talian Dutch Decolonization
Absolute Decline and Relative Decline D.Failure to invest sufficiently in industry after the war resulted in a relatively lower development in economy than other countries like Germany and Japan,etc. It's a relative decline rather than an absolute one because Britain is still wealthier and more productive than it was in 1945.Since other countries developed more rapidly,it has slid from being the 2nd largest economy to being the 6th
Absolute Decline and Relative Decline • D. Failure to invest sufficiently in industry after the war resulted in a relatively lower development in economy than other countries like Germany and Japan, etc. • It’s a relative decline rather than an absolute one because Britain is still wealthier and more productive than it was in 1945. Since other countries developed more rapidly, it has slid from being the 2nd largest economy to being the 6th
2007世界主要经济体GDP 排名 ·Rank order country GDP GDP(per capita) growth rate ·01USA 137532.87亿美元 45668美元 2.2% ·O2 JAPAN 51034.63亿美元 40055美元 2.0% ·O3 GERMANY 30243.34亿美元 36698美元 2.6% ·O4CHNA 28792.26亿美元 2177美元 11.4% ·05UK 24718.72亿美元 40669美元 2.9% ·35 HONG KONG2045.02亿美元 29298美元 5.8% (CIA statistics,Feb.12,2008)
• Rank order country GDP GDP (per capita ) growth rate • 01 USA 137532.87亿美元 45668美元 2.2% • 02 JAPAN 51034.63亿美元 40055美元 2.0% • 03 GERMANY 30243.34亿美元 36698美元 2.6% • 04 CHINA 28792.26亿美元 2177美元 11.4% • 05 UK 24718.72亿美元 40669美元 2.9% • 35 HONG KONG 2045.02亿美元 29298美元 5.8% • (CIA statistics, Feb. 12, 2008） ２００７世界主要经济体ＧＤＰ 排名
Recent History 4.Privatization in the 1980s ·(l)Background The British economy went through a particular bad period in the 1970s with high rates of inflation and devaluation of the Pound. ·(2)Events A.The conservative party under Margaret Thatcher was in power. B.An extensive programme of privatization was carried out. Many state-owned businesses were turned into private companies
Recent History • 4. Privatization in the 1980s • (1) Background • The British economy went through a particular bad period in the 1970s with high rates of inflation and devaluation of the Pound. • (2) Events • A. The conservative party under Margaret Thatcher was in power. • B. An extensive programme of privatization was carried out. Many state-owned businesses were turned into private companies
Recent History ·(3)Influence Positive consequences: The inflation was under control Companies were more efficient,being able to pay higher wages and make higher profits. Negative consequences: A rapid increase in unemployment The public services became worse. The national economy as a whole continued to grow at lower rates than its competitors
Recent History • (3) Influence Positive consequences: • The inflation was under control. • Companies were more efficient, being able to pay higher wages and make higher profits. Negative consequences: • A rapid increase in unemployment • The public services became worse. • The national economy as a whole continued to grow at lower rates than its competitors