Mrs Neil

Grade 9
History
February 7, 2024

Economic Revolution

Economic revolution is the development of historical factors culminating in the adoption the
market system.

NOTE: A market system is an economic system in which the production, distribution, and
pricing of goods and services are primarily determined by the interactions of buyers and sellers
within a competitive marketplace.

Characteristics of an Economic Revolution.

1. Technological Advancements: Major technological advancements often trigger
economic revolutions. These innovations can revolutionise production methods,
transportation, and communication. For example, the Industrial Revolution was
characterised by the steam engine's invention and various industries' mechanisation.
2. Increased Productivity: Adopting new technologies and production methods increases
productivity. This means that more goods and services can be produced in less time.
3. Urbanization: As economies transform, there is often a significant migration of people
from rural areas to cities. This is known as urbanisation. People move to urban centres
searching for job opportunities created by the changing economic landscape.
4. Specialization of Labor: Economic revolutions can lead to the specialisation of labour,
where people focus on specific tasks or jobs. This specialisation can increase efficiency
and productivity.
5. Mass Production: The ability to produce goods on a large scale is a crucial characteristic
of economic revolutions. This often involves machinery and assembly lines, as seen in
the Industrial Revolution.