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Lecture 4

Week 4 Lecture 1 GEOG 2200 2013 Notes.docx

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Carleton University
GEOG 2200
John Milton

Page1GEOG 2200 Global ConnectionsJohn Milton Instructor SeptemberDecember 2013Week 4Lecture 1 Going Global Servicing the WorldEmergence of the service sector How many of you have called a help line Do you ever ask where the person lives The growth of the service sector has been an important theme of economic change since the 1960s Originally services were seen as part of the tertiary sector dependent upon either the local primary agriculture forestry fishing or local secondary manufacturing mining construction sectors Today this linkage to local dynamics has been erased Services now dominate the employment structures of most developed economiescountries This is in part due to the processes of deindustrialization that has occurred with the international division of labour that we keep returning to It is also due in part to the changing lifestyles of peopleThe postindustrial society Why this shift to services The growing importance of services particularly in the advanced or developed economies of the global North reflects a shift to what scholars term the postindustrial society In explaining the emergence of the service economy Bell makes three key claims First the rise of services was associated with a shift away from bluecollar to whitecollar employment with professional scientific and technical occupations playing an increasingly important roleSecond and in line with the first claim knowledge and information are the key resources shaping economic and social developmentThird he argued the move to a postindustrial society was liberating freeing people from mundane jobs and the drudgery associated with industrial factorybased labour This shift has been made possibleonce againby increases in productivity and the international division of labour Many scholars have drawn upon the FisherClark thesis to explain this This thesis was originally developed during the 1930s It argued that rising levels of productivity through the development of new technologies in one sector meant that workers move into the next sector This helps to explain shifts in a countrys economic structureCertainly this shift from manufacturing and the primary industries is true for the core economies of advanced or developed countries In these countriesCanada and the United States Western European countries Japan and AustraliaNew Zealandwe have seen various forms of services replace manufacturing Generally the more advanced countries have the highest proportions of service workers with employment in this sector exceeding 80 of the national workforce whereas the least developed countries notably Africa most people work in agriculture and the number of service workers is relatively lowIn recent years there has been a growing acknowledge of the structural shift taking place in BOTH companies and countries as they adapt to the new society Service functions have become increasingly important as research and development design branding advertising financial packages and service agreements have become key sources of profitability BUT at the same time manufacturing and services have become increasingly intertwined and complementary What then are services
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