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11 Cards in this Set

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Clark`s model of 4 employment types:

- Primary industry is the extraction of raw materials I.e. agriculture: farming, fishing, forestry and mining.




- Secondary industry is the manufacturing of goods using the raw material from primary industry (e.g. a TV or a car) or construction (e.g. a house, a road or new airport)




- Tertiary industry involves the provision of different services to people and to other industries, e.g. schools and hospitals.




- Quaternary industry: New sector mainly found in HICs (high income countries) which is concerned with information and communication technology (ICT) and research and development (R&D). Universities are part of it. (For GCSE, this sector is part of the tertiary sector.)

Agriculture, key words:

- Agriculture: Agriculture is the cultivation of land for effective crop growth and the raising of livestock. Farmers directly handle agriculture by planting and preparing the crops and soil. Later on it will be transported and sold as consumer goods. The farmers also provide the necessary products to raise livestock.


- subsistence: is self-sufficiency farming in which the farmers focus on growing enough food to feed themselves and their families.


- arable: s influenced by human and physical factors.


- pastoral: is a form of agricultureaimed at producing livestock, rather than growing crops.


- mixed: is an agrarian system that comprises farming along with the raising of livestock simultaneously.


- commercial: farming for a profit, where food is produced by advanced technologicalmeans for sale in the market. Often very few workers are employed.


- imports: to bring in a resource from a foreign country.


- market gardening: is the relatively small-scale production of fruits, vegetables and flowers as cash crops, frequently sold directly to consumers and restaurants.


- extensive: is an agricultural production system that uses small inputs of labor, fertilizers, and capital, relative to the land area being farmed. (opposite to intensive)


- agribusiness: The part of the economy devoted to the production, processing, and distribution of food, including the financial institutions that fund these activities.


- dairy: is a class of agriculture for long-term production of milk, which is processed (either on the farm or at a dairy plant, either of which may be called a dairy) for eventual sale of a dairy product.


- cash crops: is an agricultural crop which is grown for sale to return a profit.


- hill: landform that extends above the surrounding terrain.

Types of agriculture:

• commercial farming, e.g. dairy farming in Worcestershire, cereal crops in France and plantation agriculture, e.g. west coast of Malaysia for oil palm and tea




• subsistence farming, e.g. shifting cultivation in the Amazon Basin of Brazil and Sabah and Sarawak in Malaysia




• intensive farming, e.g. market gardening in the Vale of Evesham, flowers and bulb cultivation in the Netherlands and wet rice cultivation on the Ganges Plain of India




• extensive cultivation, e.g. cereal growing in Norfolk, sheep farming in Australia.

Importance of agriculture in the EU:

The importance of agriculture in the EU is mainly due to the goal that the EU should be self-sufficient and independent. By being self-sufficient the EU can decide with whom and with which products it will trade. Therefore, the agricultural subsidies represent a major part of the EU budget. Around 30% goes directly to the farmers. Countries in such continents as Africa and South America, who are able to produce and sell goods at much cheaper prices, do not have free access to the EU market. The EU has a customs union, which limits the competition of cheap external products, by putting high customs duties on them (products like wheat, milk etc.). Thus, the European farmers are able to sell their own products in the EU’s internal market.




The EU agricultural sector covers roughly 11M farms, which provide work for around 22M farmers. However, by including the jobs created in food processing, food retail and food services, the number doubles to 44 million workers, thereby making the EU agri-food sector the single largest employment sector in the European economy.



Organic farming:

Is defined as the production system in which avoids or largely exclude the use of synthetically compounded fertilizers, pesticide, growth regulator and livestock feed additives.

Organic agriculture and importance:

- Sustainability over the long term: Organic agriculture aims to produce food while establishing an ecological balance to prevent soil fertility or pest problems. Organic agriculture takes a proactive approach as opposed to treating problems after they emerge.


- Soil: improving soil formation and structure and creating more stable systems. In turn, nutrient and energy cycling is increased and the retentive abilities of the soil for nutrients and water are enhanced, compensating for the non-use of mineral fertilizers.


- Water: In many agriculture areas, pollution of groundwater courses with synthetic fertilizers and pesticides is a major problem. As the use of these is prohibited in organic agriculture, they are replaced by organic fertilizers (e.g. compost, animal manure, green manure).


- Air and climate change: Organic agriculture reduces non-renewable energy use by decreasing agrochemical needs (these require high quantities of fossil fuel to be produced). Organic agriculture contributes to mitigating the greenhouse effect and global warming through its ability to sequester carbon in the soil.



The CAP:

It is the Common Agricultural Policy of the European Union. It implements a system of agricultural subsidies and other programmes. The CAP absorbs around 40% of the EU budget (as compared to over 60% in 1989). 0.5% of the EU GDP was spent in the beginning of the 2000s on supporting EU agricultural industry and in 2009 the percentage had fallen to 0.45%. Since 2009 the share has decreased even further.




The common agricultural policy allows european farmers ti meet the needs of over 500 million europeans.




Main objectives are to ensure a decent standard of living for farmers and to provide a stable and safe food supply at affordable prices for consumers.




It ensures food security for the EU and also protects the environment by reducing intensive farming methods and encourage organic agriculture.

Advantages and disadvantages of the CAP:

Advantages:


- Farmers receive subsidies to be greener


- Since 2013 CAP financially promotes organic farming


- Encourages farms to continue -> food security in the EU


- Support of farmers under the age of 40 by 2%


- Promotes conservation


Disadvantages:


- Expensive


- Countries will decide on subsidies in the future


- Farmers are overdependent on subsidies


- Money for CAP is payed by the taxpayer


- Unfair trade system

History of the CAP:

- 1957: Thre Treaty of Rome (Eu economic Community) CAP is foreseen as a common policy, with the objectives to provide affordable food for EU citizens and a fair standard of living for farmers.


- 1962: CAP is born - good prices for farmers. Farmers produce more food. Food security has beenmet.


- 1970-80s: Supply management. More food is produced than needed. The surpluses are stored and lead to "food mountains". Measures are put in place to align production with market needs.


- 1992: From market support to producer support. Price support is scaled down and replaced with direct aid payments to farmers. They are encouraged to be more environmentally-friendly.


-Mid 1990s: Focus on food quality. The policy introduces a new policy to support farm investment, training, improved processing and marketing. Steps are taken to support regional an traditional foods. The first European legislation on organic farming is implemented.


- 2000: The CAP centres on Rural Development. More focus on the economic, social and cultural development of rural Europe.


- 2003: CAP reform - cuts link between subsidies and production. Farmers are more market oriented and in the view of specific constraints on EU agriculture, they receive an income aid - return: respect environmental, food safety and animal welfare standards.


- Mid 2000s: The CAP opens to the world. The EU becomes the worlds largest importer of agricultural products from developing countries.


- 2007: The EU farming population doubles, following 2004 and 7 enlargements.


- 2011: A new CAP reform seeks to strengthen the eco and ecological competitiveness of the agri-sector, to promote innovation, to combat climate change and to support employment and growth in rural areas.

Aims and achievements of the CAP:

Aims to promote agriculture throughout the EU by increasing farmers incomes and supporting the provision of public goods such as the environment. Accounts for 40% of the EU expenditure.

Key points - facts - about the CAP

- the CAP 2014-20 must be compatible with develoopment goals


- the CAP is designed to helt EU farmers, but some of its instruments distort markets and damage developing countries


- the CAP's 50 billion budget must be used effectively to reconcile EU policy needs and concerns about food security in developing countries


- Budget remains 50 B, but has fallen from 70 to 30% from 85 to 2009


- high tariffs - average 54% for milk products, 34% for grains and 32% for meat.