ap hug chapter 11

acid rain

rain containing acids that form in the atmosphere when industrial gas emissions (especially sulfur dioxide and nitrogen oxides) combine with water

agglomeration

a process involving the clustering or concentrating of people or activities

air pollution

concentration of trace substances such as carbon monoxide, sulfur dioxide, nitrogen oxides, hydrocarbons, and solid particulates at a greater level than occurs in average air

aluminum industry

U.S. companies are the largest single producer with plants in 35 states producing about $39.1 billion in products and exports 

assembly line (fordism)

industrial arrangement of machines, equipment, and workers for continuous flow of work pieces in mass production operations, each movement of material is made as simple and short as possible

bid rent theory

geographical economic theory that refers to how the price and demand on real estate changes as the distance towards the Central Business District (CBD) increases

break of bulk point

the point at which a cargo is unloaded and broken up into smaller units prior to delivery, minimizing transport costs

canadian industrial heartland

Canada has a sizable manufacturing sector centered in Central Canada with the automobile industry especially important

carrier efficiency

refers to the positive or negative aspects of each type of transportation

comparative advantage

the ability of an individual, firm, or country to produce a good or service at a lower opportunity cost than other producers

cumulative causation

cumulative causation is the economic principle that multiple changes are set in motion by a single event

deglomeration

the process of industrial deconcentration in response to technological advances and/or increasing costs due to congestion and competition

economic sectors

in modern economics, there are three main sectors of economic activity (and two subsectors of the third): primary, secondary, tertiary (quaternary, quinary)

economies of scale

the cost advantage that arises with increased output of a product; may also reduce variable costs per unit because of operational efficiencies and synergies

ecotourism

responsible travel that does not harm ecosystems or the well-being of local people

energy resources

the opportunities an area offers to generate electricity based on its natural conditions and circumstances

entrepot

a trading center, or simply a warehouse, where merchandise can be imported and exported without paying import duties and often at a profit

fixed costs

an activity cost (as of investment in land, plant, and equipment) that must be met without regard to level of output; an input cost that is constant

four tigers

the highly developed economies of Taiwan, Singapore, Hong Kong, and South Korea which were the first newly industrialized countries

greenhouse effect

process in which the emission of infrared radiation by the atmosphere warms a planet’s surface

industrial location theory

Alfred Weber’s attempt to rationalize why industry is located where it is in relation to the cost of that location, how the location will maximize profits, and the influence of other local enterprises

industrial revolution

a series of improvement in industrial technology that transformed the process of manufacturing goods; began in England (1760)

infrastructure

the basic structures and facilities (such as buildings, roads, and power) needed for the operation of a society or business

labor-intensive

labor costs comprise a high percentage of total expenses or a lot of labor is needed

least cost location

the location where a balance between lowest land costs and lowest transportation costs is achieved

major manufacturing regions

Locations known for a concentrated amount of manufacturing; the world’s major manufacturing regions are found in North America, Europe, East Asia, though other manufacturing centers are also found elsewhere

maquiladora

factories built by U.S. companies in Mexico near the U.S. border to take advantage of much lower labor costs in Mexico

market orientation

a company’s alignment of strategies with business intelligence derived from assessing customer needs and competitor data

multiplier effect

an effect in economics in which an increase in spending produces an increase in national income and consumption greater than the initial amount spent

NAFTA

North American Free Trade Agreement between USA, Mexico, & Canada, effective 1/1/1994. Importance: Largest trade block in the world in terms of combined GDP.

outsourcing

a practice used by different companies to reduce costs by transferring portions of work to outside suppliers rather than completing it internally

ozone depletion

thinning of Earth’s ozone layer caused by CFCs leaking into the air and reacting chemically with the ozone, breaking the ozone molecules apart

postindustrial

an economy with less emphasis on heavy industry and more emphasis on services and technology

resource crisis

a crisis in which needed resources are not available to the consumers that need them

resource orientation

tendency for an industry or other type of economic activity to locate close to its resources (Ex. coal industry)

special economic zone

specific area within a country in which tax incentives and less stringent environmental regulations are implemented to attract foreign business and investment

threshold / range

the size of the population required to make provision of services economically feasible (minimum market); the maximum distance people are willing to travel to use a service (central place theory)

time-space compression

overcoming of special barriers, especially in technology such as telephone, the internet, transportation, etc.

trade

exchange between two or more parties of one entity or another

topocide

the deliberate killing of a place through industrial expansion and change, so that its earlier landscape and character are destroyed

variable costs

costs that vary with the quantity of output produced

Alfred Weber

creator of the model that states that the optimum location of a manufacturing firm is explained in terms of cost minimization

weight gaining

industry in which the final product weighs more or has a greater volume than the inputs

weight losing

industry in which the final product weighs less or comprises a lower volume than the inputs

world cities

huge urban areas that are the most important centers of economic power and wealth

situation factors

transporting materials to and from a factory; location that minimizes the cost of transporting inputs to the factory and finished goods to consumers

site factors

result from the unique characteristics of a location; land, labor, and capital are the three traditional production factors