Economy of gb
it has a mixed private- and public-enterprise economy
TRADE HAS BEEN A KEY PART OF THE BRITISH ECONOMY FOR CENTURES
its prosperity has been dependent upon the export of manufactured goods in exchange for raw materials and foodstuffs.
there is no longer difference between import and export and the GB trade focus has shifted from the USA to the EC.
the countrys chief export are manufactured goods (electrical and electronic equipment, , machinery, chemicals, fuels etc) and imports are manufactured and consumers goods , foodstuffs, semi-finished goods, office machines etc.
the GB economy is divided into 3 sectors : primary industries (providing raw materials and food from the land), manufacturing industries ( making finished goods from raw materials), service industries (providing a wide variety of services)
by successfully exploiting oil and gas from the North Sea GB has become self-sufficient in energy.
There are such mineral resources as iron ore, tin, limestone, salt, china clay, gypsum, lead.
The GB agriculture Is known for its high efficiency and productivity .
It is a broad category of output covering production of textiles, wood and metal products, paper, plastics, rubber, vehicles, machinery and equipment, and a host of other produced goods/
Britain has made important advances in electronics and telecommunications equipment, aircraft and aircraft engines, radio-isotopes and new medicines.
Thanks to the increasing use of intensive methods technologies GB remains one of the most highly industrialized countries of the world.
Britain has originated a lot of advanced technologies in microelectronics. The main electronic consumer goods produced are television sets with an increasing proportion of widescreen and digital sets, electronic control equipment.
The bank of England was nationalized in 1946 and is the bank of issue in England and Wales. It is responsible for the monetary policy of the country and also manages the country`s foreign exchange and gold reserves. GB has 17 major commercial banks.
tourism employs about 1.5 milllion of the workforce and contributes about 3.5% to the GDP
Economic systems
They have an economic system or an organized way of providing for the wants and needs of their people
The survival of any society depends on its ability to provide food, clothing and shelter for its people
economic system IS an organized way of providing for the wants and needs of their people
Since these societies are also faced with scarcity decisions concerning What, How and for Whom to produce must be made.
The way in which these decisions are made will determine the type of economic system they have.
There are three major kinds of economic systems: traditional, command and market.
In a society with a traditional economy nearly all economic activity is the result of ritual and custom
The main advantage of the traditional economy is that everyone has a role in it The main disadvantage of the traditional economy is that it tends to discourage3 new ideas and even punishes people for breaking rules or doing things differently.
a command economy — one where a central authority makes most of the What, How and for Whom decisions
The major advantage of a command system is that it can change direction drastically in a relatively short time
The major disadvantage of the command system is that it does not always meet the wants and needs of individuals
In economic term a market is an arrangement that allows buyers and sellers to come together to conduct transactions1.
in a market economy, the questions of What, How and for Whom to produce are made by individuals and firms acting in their own best interests
the main incentive of a market economy is the fact that Since consumers like products with low prices and high quality, producers in a market economy will try to supply such products
First advantage is that a market economy is flexible and can adjust to change over time. The second major advantage of the market economy is the freedom that exists for everyone involved. The third advantage of the market economy is the lack of significant government intervention.