Deindustrialization in UK 

Definition Deindustrialization

Deindustrialisation involves a decrease in the relative importance of industry and manufacturing in the economy. It usually involves a decrease in the absolute size of industry or it might just mean that manufacturing industry takes a smaller share of GDP and employs a smaller % of the workforce.

Deindustrialisation will invariably involve an increase in the importance of the service sector to take the place of industry.

For example, the UK has experienced a process of deindustrialisation, most notably since the early 1980s (UK Economy 1979-1984)

Many western economies have seen a decline in their relative importance of industry because they have lost comparative advantage and competitiveness to Asian economies such as China

 

Related Essays and Revision Notes