Available online
Description
'When America sneezes Britain catches a cold'. The British economy's dependence on the level of economic activity in the USA is well-known. But, interdependence is just as apparent within economi...es. To illustrate the notion of economic interdependence the programme examines the multiplier impact on the local economy of the establishment of Highlands Fabricator, an oil rig construction company at Nigg on the Cromarty Firth. It also looks at the input requirements of the company and the impact these have had on suppliers of both materials and services.
'When America sneezes Britain catches a cold'. The British economy's dependence on the level of economic activity in the USA is well-known. But, interdependence is just as apparent within economi...es. To illustrate the notion of economic interdependence the programme examines the multiplier impact on the local economy of the establishment of Highlands Fabricator, an oil rig construction company at Nigg on the Cromarty Firth. It also looks at the input requirements of the company and the impact these have had on suppliers of both materials and services.
| Module code and title: | D222, Microeconomics |
|---|---|
| Item code: | D222; 01; 1979 |
| First transmission date: | 10-02-1979 |
| Published: | 1979 |
| Rights Statement: | |
| Restrictions on use: | |
| Duration: | 00:22:35 |
| + Show more... | |
| Producer: | Nigel Houghton |
| Contributors: | Leslie Wagner; John Winton; Fraser Morrison; Chuck Hugh; Bill Dewing; John Winton |
| Publisher: | BBC Open University |
| Keyword(s): | Economics; Highlands; North Sea oil |
| Footage description: | Leslie Wagner introduces the programme. He talks about the benefits to the Scottish economy brought by the discovery of oil. Shots of oil rig production yards in the Nigg Bay area and a map of the area. Leslie Wagner describes the local economy before Highlands Fabricators moved into the region. Shots of local whisky distillery and aluminium smelter. John Winton, Managing Director of Highlands Fabricators, describes the type of platform his company constructs. Shots of welders and work in progress in the yard. He explains how the firm trained their initial workforce and brought people with special skills into the area. Leslie Wagner points out that further sources of skilled labour are other local industries. Fraser Morrison, Managing Director, Morrisons, a local construction firm describes the effect of Highlands Fabricators moving to the area. In particular wage rates increased. Chuck Hugh, Managing Director of Big Three Lincoln, confirms that wages increased after Highlands Fabricator moved to the region. Shots of the distillery; because of the different type of work conducted here, their labour force was little effected by the new job opportunities. Shots of men working at Highlands Fabricators' yards. Leslie Wagner now discusses the firm's effect on housing and services in the area. He describes the new housing built in the village of Alness. Fraser Morrison describes the amount of work his firm contracted in the village and the effects this in turn had on wage rates and housing prices. Turnover in his firm increased rapidly as it did for the sub-contractors they used. Highlands Fabricators were mainly responsible for generating the new building needs in the district. Leslie Wagner looks at the growth generated in the retail trade. Shots of people in local supermarket. Car sales have also increased. Bill Dewing, Managing Director of Monroe's garage, describes his firm's growth in recent years and its dependency on the local oil economy. Leslie Wagner argues that Highlands Fabricators have had effects on other inputs, not merely labour. John Winton describes the needs his firm has for steel and welding materials, also food and spare parts for machines. Chuck Hughes explains his company's link with Highlands Fabricators. Originally they were almost dependent on the company for work, but they have now diversified, Leslie Wagner describes the development of the local bus company in response to Fabricators' needs. John Winton describes other industries that are being attracted into the area, partly due to Highlands Fabricators' success. Leslie Wagner recaps on the benefits Highlands Fabricators have brought to the region and then goes on to describe the plans for an oil refinery at Nigg Point which could start the whole chain of development once again. |
| Master spool number: | VTC/6HT/72882 |
| Production number: | 00525_2441 |
| Videofinder number: | 81 |
| Available to public: | no |
