AP Human Geography Unit 7 ALL vocab

Hearth of industrialization & why

England bc availability of natural resources, flow of money from colonies, invention of the steam engine, building of railroads

Industrial revolution

the rapid transformation of the economy through the introduction of machines, new power sources, and new chemical processes in Europe and the US between 1760 and 1830

Textile

a fabric or cloth woven from the fibers of wool, cotton, or flax

Labor productivity

the average amount of goods or services produced per worker per unit of time

Fossil fuels

natural fuel derived from the fossilized remains of living organisms

Crude oil

a yellowish-black liquid fossil fuel found in geologic deposits

Commercial farmers

farmers who raise crops and livestock to sell in the market at a profit rather than raising them for their own consumption

Wage labor

a socioeconomic relationship in which an employer pays a worker to complete a task, sometimes by the day or by the hour

Working class

the people in an industrial economy who depend on wage labor to obtain the necessities of life

Capitalist class

people who own the means of production and pay the wages of workers

Middle class

people who are either salaried professionals (such as lawyers, educators, and physicians) or office wage workers (such as bank tellers and store clerks)

Labor unions

associations of workers in particular industries established to collectively bargain with capitalists

Mass production

the machine manufacture of large quantities of identical products

Assembly line

A system of manufacturing in which parts and procedures are added one step at a time through a series of workstations until a finished product is assembled

Economic sectors

grouplings of industries based on what is produced and the activities of the workforce

Primary sector

industries that extract natural resources from the environment (ex- Agriculture, oil drilling)

Secondary sector

industries that process the raw materials extracted by primary industries, transforming them into finished, usable forms (ex- Manufacturing, processing, construction, power production)

Tertiary sector

industries that provide services to businesses and consumers, including all the different types of work necessary to transport and deliver goods and resources (ex- Retail & wholesale trade, personal and professional services)

Quaternary sector

the portion of the economy dedicated to intellectual and information services, such as scientific research and development

Quinary sector

the portion of the economy where the highest-level management decisions are made in the areas of business, government, education and science (ex- the CEO of a company)

Base industry

an industry of disproportionate economic importance and on whose existence other industries and employment sectors depend

Semi-periphery

countries or regions whose economies have elements of both the core and the periphery

Break-of-bulk point

a location where cargo is transferred from one mode of transportation to another

Ports

Transfer from barge/ocean going vessel to truck/train and vice versa

Bulk-reducing (resource oriented) industries

When raw materials are heavier than finished product; located near source of raw materials (ex-copper)

Bulk-reducing (market oriented) industries

When products are heavy and or bulky when fully produced; Located near market (ex- soft drinks)

Factors influencing the location of manufacturing

Labor, transportation, break-of-bulk points, resources, markets, least cost theory

Pros & Cons of energy resources

Water power is not mobile (early factories located on rivers); coal can be transported (Factory location no longer tied to rivers, bulky and expensive to transport, factories tended to be located near sources of coal), electricity is very mobile (Location of energy sources no longer that important)

Least Cost Theory

Invented by Alfred Weber in 1909 to predict the location of a manufacturing site relative to location of raw materials necessary to make the product and location where the product will be sold

3 focuses of Least Cost Theory

Transportation (minimize), labor(minimize), agglomeration (maximize)

Assumptions (& realities) of Least Cost Theory

An isotopic plane (Mountains do affect transport costs), sufficient labor is available in certain locations and it is immobile (Labor is mobile), raw materials are only found in fixed locations (Substitution principle allows for alternative inputs), one product is produced for one market in a fixed location (Products are sold in multiple locations & globalization!), transport costs are directly related to distance traveled and weight of items (Tapering principle- cost per mile may decrease as distance increases), economic factors dominate location decision (Emotional factors play a role too)

Location decision using Weber's Theory considers

distances, respective weights of the raw material input, final weight of the finished product, material or market oriented

Rostow’s Stages of Economic Growth

How countries become developed; assumes all countries want to modernize and will; modeled on the US & Western Europe (England)

What are the Rostow’s stages

Traditional Society, preconditions to take off, take off, drive to maturity, high mass consumption

Criticisms of the Rostow Model

Based on industrialized, capitalist, Democratic countries; scale & uneven development, stages of growth are not uniform across one country (ex- India as a whole is stage ¾ but underdeveloped areas are stage 2); Not all countries will progress through the model in the defined order, Wars correction and natural disasters could change a country's stage; Does not take into account major differences between countries (Climate, landforms, access to Natural resources, relative location all could help or hinder development); Does not account for the natural environment, depletion of resources and level of waste that is generated by massive consumption; Doesn't factor in the massive impact of colonialism on lesser developed countries, most countries that reached high level of mass consumption from exploiting resources of lesser developed countries, Countries that are trying to develop today don't have the option to colonize in order to get ahead

World systems theory

Wallerstein’s theory of economic development that regards world history as moving through a series of socioeconomic systems, culminating in the modern world system by about the year 1900; A dependency model where countries don't exist in isolation and all countries are dependent on each other, contains political and economic elements

3 types of countries in Wallerstein’s World Systems theory

Core, semi-periphery, periphery

Core countries

economically and politically dominant; ex-england, us, japan, australia, Germany; higher skill, capital-intensive production

Semi periphery countries

middle income countries; in the process of industrialization; aspects of core and periphery; ex- brazil, russia, india, china, South africa, Mexico

Periphery countries

less wealth, lower education than core; export natural resources to core and semi periphery; low-skill labor intensive jobs, low wages semicolon ex-afghanistan, peru, Kenya

Interaction in Dependency Theory

core - by raw materials, pay for cheap labor, cell consumer goods for high prices; periphery - rolls of periphery and core; periphery - pay high prices for Consumer goods, which depletes economic supply and opportunities for investment

Criticisms of Wallerstein’s World Systems Theory

Downplays the role of culture (Pays little attention to influence of American culture around the world), a bit outdated (Based on industry, many countries are post-industrial), Doesn't say how countries can change their status, doesn't recognize role of non-governmental organizations (ex- Doctors w/o borders)

Dependency theory

the theory that the periphery is poor because it was economically dependent on the core in a disadvantageous relationship originally established under colonialism and imperialism

Commodity dependence

occurs when commodities account for more than 60% of the value of a country’s total exports

Gross national product (GNP)

the total value of all the good and services made by a country’s residents and businesses in a specific time period, regardless of the country or location in which they were made

Gross domestic product (GDP)

the total value of all goods and services produced within a country over a specific period, regardless of the producer’s national origin

Gross national income (GNI)

the total income of a country’s residents and businesses, including investment income, regardless of where it was earned, as well as money received from abroad such as foreign investment and development aid

CDP per capita

a country’s GDP divided by its total population

purchasing power party (PPP)

measures how much a common “basket of goods” costs locally in the currency of each country being compared

Gender inequality index (GII)

a statistical measure of gender inequality that combines data on reproductive health, empowerment, and economic status; higher values indicate Hire inequalities between women and men, thus higher loss to human development

Human development index (HDI)

a statistical measure of human achievement that combines data on life expectancy at birth, education levels, and GNI per capita (PPP) population

Social development

focuses on conditions in which people live (wealth, health, education)

Ways to measure Social Development

life expectancy, access to healthcare, literacy rate, fertility rate, infant mortality rate, use of fossil fuels and renewable energy

Informal sector

the part of any economy that is not officially recorded, monitored, or taxed by the government

Formal sector

the part of the economy that is officially recorded with the government

Income distribution

how a country’s total GDP is distributed among the individuals in its population

Gender empowerment measure

a measurement of gender equality that includes the portion of seats held by women in national parliaments, the percentage of women in economic decision making positions, and women’s vs. men’s share of earned income

Gender partiality

a way of documenting progress towards gender equality using measure such as relative access to education, average incomes for women vs. men, and workforce participation

Microloans & their impact

a very small loan to people with little income or collateral intended to help them establish or expand a small business; Provide women with opportunities to create local small businesses which have improved standards of living; Common in South America and South Asia; repayment of these loans is very high; gives women more decision making influence (Decreased birth rate, better nourishment for children, child mortality reduced)

Non-governmental organizations (NGOs)

independent organizations that work to improve global challenges; Help women find jobs outside the home; ex- Grameen Bank

Mercantilism

a theory of trade stating that each country strives to export more than it imports in order to accumulate wealth

Protectionism

trade rules that restrict imports in order to protect domestic industries

Absolute advantage

a country’s ability to produce a good or service more efficiently than another country

Comparative advantage

a country can produce a good/service cheaper than another country (Countries tend to produce more when they have this)

Complementarity

When a country has the goods, services, or income that another country desires; Without it, trade is weighed heavily in One Direction (ex-us/china)

Policies increasing trade free trade policies reduced barriers, neoliberal policies reduce government regulations and Taxation

Policies decreasing trade

Sanctions can be used to pressure countries to reduce human rights abuses, tariffs, health issues (COVID decreased global trade)

Transnational corporation (TNC)

a firm within the power to coordinate and control operations in more than one country, even if it doesn’t own those operations

Competitive advantage

a firm’s relative ability to outperform other TNCs in its industry

Neoliberalism

a range of pro-market and anti-government positions on the economy, such as reducing government ownership and regulation and promoting privatization and market based solutions

International monetary fund (IMF)

international organization that seeks to foster global monetary cooperation and achieve financial stability, facilitate international trade, and promote sustainable economic growth

World bank

an international financial organization that provides funding and expertise to promote sustainable economic growth in developing countries

World trade organization (WTO)

an international organization that regulates trade among 184-member states, providing a framework for negotiating, trade agreements, and resolving trade disputes; Also supports the needs of developing countries and helps companies follow similar policies; 164 member countries account for 98% of world trade

Free-trade agreement

a treaty between two or more countries that reduces tariffs and promotes foreign investments

Tariff

tax on imported goods and services

Customs union

a free trade agreement among two or more member countries, combined with a single, common external trade policy for non-members

Free trade agreements

Groups of countries that agree to a common set of trade rules; May cover only two or more countries; usually the result of detailed negotiation over time; the EU has a free trade agreement with about 70 countries; the US, canada, Mexico have the North American Free Trade Agreement

Mercosur

Spanish acronym for the southern common market, a South American customs union that includes Argentina, Brazil, Paraguay, and Uruguay as its full members

Organization of the Petroleum Exporting Countries (OPEC)

an international trade agreement designed to regulate that output of oil

Trade embargo

an official ban on trade with a specific country or of a specific good

Financial market

market where financial instruments are traded, stock markets, bond markets, and foreign exchange markets are all financial markets

Debit crisis

occurs when a government's debits exceed its tax revenues to the point that it cannot meet it’s loan payments

Import substitution industrialization (ISI)

an economic development policy intended to replace imported goods with domestically produced goods as a way to spur industrialization and reduce dependence on other countries

Fordism

the economic and social arrangement based on the mass production of standardized goods, high labor union membership rates, stable and full time manufacturing employment, and high factory wages that enable mass consumption

Corporate disinvestment

a process which companies stop investing in factory construction, equipment improvement and begin selling off assets such as machinery, buildings, and land

Offshoring

When companies move their operations to countries where the cost of doing business are lower; ex-apple products manufactured in China

Outsourcing

Contracting work out to other companies or to non-company employees; done to save money and increase efficiency; company to whom work is outsourced may specialize in that work and or pay their employees less

Deindustrialization

the decline and sometimes complete disappearance of employment in the manufacturing sector in the core industrial centers; These countries have shifted to services and information processing; landscaped impacted - brownfields, corporate parks (low-rise office buildings in a park like setting at edge of cities where land is less expensive)

Economic restructuring

refers to the shift from an Economy based on industry (secondary) to one based on services (tertiary & above); Most common in urban areas in developed countries

Results of economic restructuring

deindustrialization

Results of growing interdependency in the world economy

new manufacturing zones- special economic zones, free trade zones, export processing zones

Special economic zone (SEZ)

specific area within a country’s borders where business and trade laws are different from those in the rest of the country; Tax and investment in incentives are implemented to attract foreign and domestic businesses and investment; Often located near airports, seaports and international borders for ease of export finished goods; ex- silicon slopes, Utah

Export processing zone (EPZ)

industrial zone with special incentives to attract foreign investment to places where imported materials undergo processing or assembly before being re-exported; Designed to create jobs, expand the countries industrial base, introduce technology; has Resources to attract investment like natural resources, cheap skilled labor, logistical advantages; ex- Maquiladoras in Mexico (Raw materials used enter into Mexico without tariffs and Export a finished product )

Free trade zone (FTZ)

specially designated duty free area that provides warehousing, storage, and distribution facilities for goods intended for trade or re-export; All trade barriers between countries are eliminated; these zones generally focus on manufacturing labor intensive Goods like textiles and electrical equipment; environmental and labor controls are often lacking; ex- EU

New international division of labor

the spatial shift of manufacturing from developed countries to developing countries, including the global scaling of labor markets and industrial sites; ex- iPhone production & sale

Post-Fordism

the shifts from manufacturing centers to spatially dispersed production sites, from standardized mass production to specialized batch production and from a permanent work force to a temporary and contract workers; outsourcing, automation, demands skilled labor (a site factor)

Just-in-time manufacturing (JIT)

the production of small batches of goods as needed by customer demand

HIgh-technology industry

an industry that develops and uses the most advanced technologies available and has the highest levels of research and development

Agglomeration economies

occur where firms cluster spatially in order to take advantage of geographic concentrations of skilled labor and industry suppliers, specialized infrastructure, and ease of face-to-face contact with industry participants

Multiplier Effects

the creation of new business and jobs in other industries as a result of investment in a different industry