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1、The Economy of UKThe contentsuBrief Introduction of the Economy of UKuAbsolute Decline and Relative Decline uThe Current UK Economy uCase Study :The aerospace industry Brief Introduction of the Economy of UK the 5th largest in the world in terms of market exchange rates the 6th largest by purchasing
2、 power parity (购买力平价法购买力平价法) the 2nd largest economy in Europe after Germany its GDP per capita in 2007 was the 22nd highest in the world. it is also a member of the G8, the Organization for Economic Co-operation and Development, and the European Union. The United Kingdom is a member ofGroup of Eigh
3、tEuropean UnionCommonwealth of NationsGroup of Eight 八国集团The United States, Canada, France, Japan, the United Kingdom, Italy, Russia and GermanySummit of G8 八国集团峰会 The hallmark of the G8 is an annual economic and political summit meeting of the heads of government with international officials.In 195
4、1, the European Coal and Steel Community was founded.European Union 欧盟In 1957, the Treaty of Rome established European Economic Community.In 1992, the treaty on the European Union was signed.Expansion of the EU In 1951, there were 6 founding members. At present, the EU has 27 member states. The U.K.
5、 joined the EU in 1973.Member states would cooperate more closely on economic policies, remove customs duties, and allow people to travel freely from one country to another.Commonwealth of Nations 英联邦 It is an association of 53 independent states, almost all of which are former colonies of the Briti
6、sh Empire. The Commonwealth GamesCommonwealth DaynThe second Monday in March is celebrated as the Commonwealth Day.A Brief History of British EconomyIn the 18th century, it was the first country to start the Industrial revolution. In the 19th century, it was known as “the factory of the world”. In t
7、he first half of the 20th century, it gave up its economic hegemony. In the second half of the 20th century, it suffered a deep loss of its position of industrial leadership. A Brief History of British EconomyAbsolute Decline and Relative Decline1. British economy position in the globe from the 1880
8、s to 1900 (Victorian Age)-the dominant position a. 1/3 of the worlds manufactured goods.b. produced half its coal and iron; half its cottonc. shipping amount greater than that of the rest of the world put togethercontinues2. From 1900 to 1945 (the Pre-war era) only second to the U.S. in the internat
9、ional economy, this indicated some sort of declinea. having been overtaken by the U.S. and Germanyb. remains one of the Group of 7 large industrial economiesc. steady economic growth and rapidly increasing living standards continues3. During the 2nd world war and post-war era, the UK had experienced
10、 an economic decline since 1945. a. has dropped from being the 2nd largest economy to being the 6th. b. It is a relative decline rather than an absolute one. Britain is more wealthier and more productive than it was in 1945, but other countries developed more rapidly. GDP in 2006RankCountryGDP ($ tr
11、illion)1U.S.A12.4552Japan4.5053Germany2.7814China2.2295U.K.2.1926France2.1107Italy1.7238Spain1.1239Canada1.11510Brazil0.794GDP per capita in 2006RankCountryGDP per capita1Luxemburg$ 69,0562Norway$ 53,4653Switzerland$ 49,2464Ireland$ 46,3355Denmark$ 45,0156Iceland$ 44,1337U.S.A.$ 42,0768Sweden$ 38,45
12、19U.K.$ 36,97710Japan$ 36,486continues4. The reasons for relative decline:a. Britain had gone heavily into debt in order to finance the 2nd World War b. British colonies gained independence c. Britain was heavily burdened with the huge military expenditure d. Britain also lacked the investment in mo
13、dern equipment and new products. ActivityDiscussionnBritish economy has undergone a considerable decline ever since the end of the 19th century and early the 20th century due to the great loss Britain suffered in the two World Wars, the collapse of the British Empire, very high military expenditure
14、and its insufficiency in industrial investment. However, is it an absolute decline?continues5. The privatization in the 1980s: a. The British economy went through a particularly bad period in the 1970s, with high rates of inflation and devaluation of the currency. b. Therefore, in the 1980s, when th
15、e Conservative party under Margaret Thatcher was in power, and extensive program of privatization was carried out. Margaret Thatcher玛格丽特撒切尔n1979-90 Conservative Margaret Hilda Thatcher, Baroness Thatcher (born 13 October 1925) was Prime Minister of United Kingdom from 1979 to 1990 and Leader of the
16、Conservative Party from 1975 to 1990. She is the only woman to have held either post.Thatcherism:is the name given to the laissez-faire policy of Margaret Thatcher (1925-), British prime minister from 1979 to 1990.among Thatchers policies were: reductions in tax; manipulation of the money supply to
17、reduce inflation; privatization of public industry; reduction of trade union power; reduction of governments role in the economy; encouragement of people to save, work and buy property.Results nPositive:RecoverynNegative:Rapid increase in unemploymentTony Blair 托布莱尔尼 (1997.5.2-2007.6.27)The “third w
18、ay”nLabor partyNationalization of the economynConservative partyIndividualismPrivatization Achievements nLimiting government spendingnKeeping inflation under control nReducing unemploymentThe Current UK Economy Brief introduction of the current UK economy The main sectors of the UK economy Agricultu
19、re Energy production The offshore oil industries The manufacturing industry The city of London Brief introduction of the current UK economy (1990-1992) -recession - the economy shrunk by 2.3% (1992- 1996)- steady growth in 1996 - greatly affected by the ban on beef exports resulted from BSE Disease
20、in Cattle industry.英国内生产总值增长率英国内生产总值增长率 GDP英国内生产总值增长率英国内生产总值增长率 消费价格指数消费价格指数consumption price index 失业率失业率 The main sectors of the UK economya. primary industriesb. secondary industries c. tertiary (or service) industries Structure of National EconomyNational EconomyPrimary Industryagriculture, fish
21、ing, forestry, miningSecondary Industryenergymanufacturing constructionTertiary Industry insurance, tourism, banking, education National EconomyGDP Composition by Sector in 20051st Industry 2nd Industry 3rd IndustryU. S. A.0.9%20.4%78.7%U.K.1%26.5%72.6%China15%53%32%Somalia65%10%25%Labor Force by Se
22、ctor in 20051st Industry 2nd Industry 3rd IndustryU. S. A.2.5%23.7%73.8%U.K.1%25%74%China46.9%22.5%30.6%Somalia71%29%AgricultureTwo features of British agriculture:1. The small proportion of population engaged in agricultural activities2. High degree of mechanizationAgriculturen74% of land in Britai
23、n is used for agriculturen30% of the land is devoted to cropsn70% of the land is for stock raisingchief agricultural productsnWheat nOats Barley Sugar beetsStaple Food in UKWheat and potatoes are the staple food of the British people. Foot and mouth diseaseBSE disease: Bovine Spongiform Encephalopat
24、hy (BSE) is a transmissible, neurodegenerative, fatal brain disease of cattle. Cod 鳕Haddock黑线鳕Herring 鲱Plaice 欧蝶Turbot 大比目鱼Sole 鳎目鱼Structure of National EconomyNational EconomyPrimary Industryagriculture, fishing, forestry, miningSecondary Industryenergymanufacturing Tertiary Industry finance, touri
25、sm, banking, education National EconomyEnergy production It is an important part of the UK economy, accounting for 5% of the national wealth. Britain is a major oil and gas producer, and the abundance of energy resources means that the UK has become an overall exporter of energy.Energy productionnCo
26、alnOilnNuclear powerElectricity Production CompositionNuclear 20%Hydro 1%Others 5% 74%The Energy Industry Most of coal fields in the United Kingdom are located in Central Scotland, Central England and South Wales, particularly around such big cities as Glasgow, Manchester, Sheffield, and Newcastle.T
27、he Energy Industry Oil has been discovered in the 1970s under the North Sea. The U.K. changed from an oil importer to an oil exporter.The offshore oil industriesThe technology required to extract oil from the difficult offshore conditions has given UK companies a strong position in the offshore oil
28、industry around the world. Three of the biggest ten companies in Britain are to be found: Shell (half Dutch), British Petroleum, and British Gas. The Energy Industry The first nuclear power plant was built in 1956 and now there are 16 nuclear plants in the U.K. Royal Dutch Shell: is a multinational
29、oil company of British and Dutch origins. It is one of the largest private sector energy corporations in the world, and one of the six supermajors (vertically integrated private sector oil exploration, natural gas, and petroleum product marketing companies). The companys headquarters are in The Hagu
30、e, Netherlands, with its registered office in London, United Kingdom (Shell Centre).Shell 壳牌石油公司nShell is a global group of energy and petrochemical companies. British Petroleum (BP) 英国石油公司nBP is the holding company of one of the worlds largest petroleum and petrochemicals groups. Their main activit
31、ies are exploration and production of crude oil and natural gas; refining, marketing, supply and transportation; and manufacturing and marketing of petrochemicals. They have a growing activity in gas and power and in solar power generation. BP has well-established operations in Europe, North and Sou
32、th America, Australasia and Africa.British Gas Services is the largest domestic central heating and gas appliance installation company in the UK, providing care for the customers central heating, plumbing, drains, home electrics and kitchen appliances and install domestic appliances and monitored ho
33、me security systems. The manufacturing industryThe manufacturing industry produces 22% of the UKs national wealth. British companies are particularly strong in pharmaceuticals, chemicals, aerospace and food and drink. Glaxosmithkline(葛兰素史克) nICI is now part of Akzo Nobel, the worlds largest coatings
34、 manufacturer, the number one in decorative paints and performance coatings, and a leading supplier of specialty chemicals. nFordnGMnPeugeotnNissanRoverFormula OneAmerican Indycar seriesStructure of National EconomyNational EconomyPrimary Industryagriculture, fishing, forestry, miningSecondary Indus
35、tryenergymanufacturing constructionTertiary Industry insurance, tourism, banking, education National EconomyFinancial Service Bank of England ncontrolling of monetary policy; ngiving directives to commercial banks; nissuing banknotes in England and Wales;1.keeping the exchange rate English currency:
36、u Pound and pencePound = 100 New pence / 20 shillings Shilling = 12 pence u Notes and coinsNotes: 5 pounds, 10 pounds, 20 pounds and 50 poundsCoins: 1p, 2p, 5p, 10p, 50p, 1 pound1 pound = 10.0289yuanFinancial Service London Stock Exchange, founded in 1801, is one of the worlds largest centers for st
37、ock dealings. World Exposition 世界博览会1851 Great Exhibition of the Works of Industry of All Nations1862 International Exhibition1908 Franco-British ExhibitionTrade The most important trade partners are the United States, Germany, France. Foreign TradenThe UK remains the top investment location in Euro
38、pe nThe UK is the top European investment location for research, development, headquarters operations, software, electronics, pharmaceuticals, financial services and telecommunications, including call centres nIt has also increased its market share - the UK won 23 per cent of investment into Europe in 2003, compared to 19 percent in 2002 nInternational investment projects into Europe rose by two per cent in 2003, halting the decline seen since investment last peaked in 2000The city of London It refer
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