g UNIT 6: THE SPANISH ECONOMYg UNIT 6: THE SPANISH ECONOMYmenos IMBALANCES IN THE SPANISH ECONOMY - Imbalances between sectors: like other developed countries, the service industry or tertiary sector, creates the most jobs and contributes the most wealth to our country's economy. Industry, construction and agriculture account for a much smaller share of the economy. - Territorial imbalances: the different autonomous communities have unequal levels of development in terms of GDP, For example, Castilla-La Mancha, Extremadura, Murcia and Andalucia have a GDP per capita far lower than the national average and higher unemployment rates. Let's build a grap! use the information in page 92. Between 199 considerable constructionLITTLE GLOSSARY Rationalisation Recession Offshoring Exports ImportsAGRICULTURE, LIVESTOCK FARMING, MINING AND FISHING Today, the primary sector employs 4% of the workforce, whereas in 1960 it accounted for 40%. Despite this decrease, its productive capacity has increase as a result of... + Modernisation: in recent decades, the sector has become highly mechanised and industrial. + Spain's entry into the European Economy Community (EEC): since 1986, European policies have accelerated the transformation of the sector.AGRICULTURE In Spain, water used has determined the two predominant types of farming systems: + Irrigated farming: is found along the Mediterranean coast and in the Guadalquivir, Ebro and Guadiana river valleys. The main crops are fruits and vegetables, industrial crops (which require processing before they are used, such as cotton), fodder crops (for animals) and rice. Dryland farming: is found in the inland areas. The main crops are cereals, grapes, olives and legumes. These crops are farmed extensively using little technology. In our general agriculture, the mains crops are called “the Mediterranean trilogy” PeeEvolucién del sector primario en Espafia 0 10 20 30 40 50 60 70 80 Poblacién ocupada en el sector primario (%) Fuente: MABMLIVESTOCK FARMING Spanish livestock farming has a strong presences in European markets and around the world, as a result of two types of production: - Extensive: methods required large amounts of land and have lower productivity. Include: - Cattle (for milk and meat) - Sheep on the Meseta Central - Pigs on the south-western grassland. - Goats in inland montains, the southern part of peninsula and the Canary Islands. + Intensive: methods use more technology and have higher yields. They provide a regular supply of food to urban markets. Including: pigs and chickens.MINING Mining is becoming increasingly less important. In the late 90s, coal mining provided work for some 20.000 people; today it only employs 8.000. Nevertheless, this figure would be even lower if the state don't support this sector in regions that would be several paralysed by the total closure of mines. Changes in mining regions (Asturias): former industrial and mining spaces have been refurbished in order to convert them into major cultural centres. cs s7 Tube} CumFISHING Because of the lenght of our coastline, fishing has traditionally been an extremly important activity in our economy. Since our entry into the European Union in 1986, there has been a considerable drop in catch volume. From an environmental and economic perspective, it's necessary to set strict fishing quotas. This has resulted in a restructuring of the fleet, reducing and modernising it. In addition, alternative methods such as aquaculture are being encouraged.INDUSTRY, CONSTRUCTION AND ENERGY industry began to evolve when it experienced the Industrial Revolution, that happened in the 19th century and between the 20th and the first 21th century the industrialization lived five periods: (En sobre la poblacn activa ttl) + 1950s and 1960s: industrial development 36 begins in major cities (Madrid and “4 Barcelona). 2 + 1970s: there's a major industrial crisis 22 throughout the world, causing energy 2 I a 2 z prices to rise. + 1980: possible to recover from the crisi the Spain's entry into the EEC. +1990s: new industrial growth. The t ? Innovation and investment in technology Aso 1960 1965 1970 1875 1980 1985 | 1990 1995 2000 2008 industries are strengthened industrial restructuring makes it aided by The evolution of industry employment in Spain + 21st century: the globalisation of the economy has encourage offshoring, which involves closing factories in Spain and moving production to countries with a lower labour costs. This has combined with the effects of the international crisis.- THE LOCATION OF INDUSTRY: there're significant imbalances in the territorial distribution of industry: + Decl Vasco. + Subsidised industrial areas: are located in various parts of the coast of Andalucia and inland regions such as Valladolid or Ciudad Real. In these areas, industrial development used to receive aid through government plans. + Inland industrial gaps: has very little industrialization although there're some agri-food precessing pland. + Dynamic industrial areas: are located along the Mediterranean such as Catalufia, Comunidad Valenciana and Murcia and in the Comunidad of Madrid. ing industrial areas: are located around the Bay of Biscay in Galicia, Asturias, Cantabria and Pais - ENERGY DEPENDENCE + Spain has no oil or other non-renewable energy sources, make it necessary to import most of its energy from abroad. + Most electricity production is still primarily obtained from non-renewable energies: nuclear and thermal power. + Spain currently has seven nuclear reactors that produce around 20% of all the electricity consumed. + In recent years, renewable energy production has increased significantly: wind, solar, hydroelectric and biomass.Evolucién anual del peso de la industria de la construccién en el PIB de Espafia desde 2005 hasta 2015 11% 10.4% 10.4% 101% 10.1% 9.9% om & 8% 2 om om 51% o % 200s 2006 ©2007-2008 -«2009-«2010«2011«2012-«2012,-«2014" 2015 hate tonal oration Ne pata; s de meCONSTRUCTION 2 YoutlDTOURISM Tourism is extremely important to the Spanish economy. It creates a lot of employment, although they are generally low quality jobs with temporary contracts. Spain has been a global power in tourism for several decades. The quality and diversity of its attractions form the basis of a well-respected international brand. + Beach holidays: Spain's coasts are the main attractions for both foreign and Spanish tourists. Itis highly developed along the Mediterranean coasts, Andalucia, Canary and Balearic islands. + Winter tourism: centre around winter sports. It requires high mountains areas, months with winter weather ski resorts. + Rural tourism: for people to spend time in the outdoors, often just for weekends. It can contribute positively to the economy of the destination areas. + Business tourism: these are considered tourism when travellers use the industry's services. It's predominantly urban + Conference tourism: these events generates a lot of wealth in cities. + Cultural tourism: they're usually marketed in the form of tours and can act as a complement to beach holidays.‘Wall HOW TO COMMENT A GRAPH... Introduction - Title - Source - Type of graph (lines, horizontal or vertical bars) Commentary - Description of the elements - Commentary Conclusion - Country or region - Future of the phenomenong UNIT 6: THE SPANISH ECONOMY