AP Human Geography Unit 6: Economic Development and Industry

Test: April 25

Historical Context

• Silk Road (late antiquity to the 1500s)

• Colonialism (1600s to 1800s)

• Industrialization (1800s to 1900s)

Periods of “weak” globalization

• Middle Ages

• WWI, Great Depression, WW2

• Cold War (1947 - 1991)

What is Globalization?

The process of interaction + integration among people, companies, and governments worldwide (on a global scale)

Cultural Globalization

Language, religion, values

Economic Globalization

Capitalism / free trade (NAFTA)

Political Globalization

Multilateralism (the principle of participation by three or more parties, especially by the governments of different countries) (UN / EU / NATO)

Global Economy since 1991

• increased globalization + trade

• growth in industry in developing nations

• decline of manufacturing in wealthy nations

• rise of Asian economic power

• rising inequality between richest + poorest people and countries

• environmental degradation + pollution

• rapid technology adoption

Why has Globalization accelerated?

Due to advances in transportation and communication technology.

Who in the Left dislikes Globalization?

• Anti-capitalists (old Marxists, socialists, etc..)

• Environmentalists

• Anti-corporatists (hates Walmart, Target, Amazon)

• Anti-American (America - Globalization)

• Ex - The 99%’ers

Who in the Right dislikes Globalization?

• Economic + cultural nationalists

• Anti-Immigrant groups

• Religious fundamentalists

• Anti-American (America = immoral / decadent place)

• Ex - Trumpies (MAGA)

Who in the Left likes Globalization?

• Human Rights Activists

• “Techies” (Amazon, Google, etc.)

• Pro-multilateralists (UN = great!)

• More government = more democracy, great!

• Ex - Democratic party

Who in the Right likes Globalization?

• Free market capitalists + entreprenuers

• American exceptionalists (USA = special + unique role in world)

• Less government = more democracy, yippie!

• Ex - Republican party (non-MAGA)

Costs of Globalization

• Loss of privacy (data mining online)

• Pressure to conform to global norms

• Rapid raise in costs of urbanization + industrialization

• Problems once containable are now spreading to other nations more easily (crime, drugs, pollution, terrorism)

Benefits of Globalization

• Rapid economic growth (for many, not all)

• Reduction in barriers to trade, investment, makes economic transactions easier, more profitable

• Spread of democracy + human rights for women + minorities

• New advances for political access (social media)

Types of Job Sectors

• Primary

• Secondary

• Tertiary

• Quaternary

• Quinary

Primary Job Sector

• (Barely any education / not a lot of profit)

• Providing raw materials for the economy

• Ex - mining, agriculture, forestry, fishing

Secondary Job Sector

• (Still not a lot of profit, more but not a lot of education)

• Manufacturing things using resources

• Ex - consumer goods, machinery, electronics

Tertiary Job Sector

• (Need a degree (sometimes), more profit)

• Providing services

• Ex - hospitality, personal services, education, healthcare, finance, government

Quaternary Job Sector

• (High-middle class profit / shit ton of schooling)

• STEM jobs

• Ex - engineers, doctors, scientists, computer / software design

Quinary Job Sector

• (People who run the economy, peak profit, REALLY hard to get)

• elite services / business

• Ex - executives/managers, CEOs, politicians, finance, business owners, culture influencer (online, media, sports, entertainment)

Modern Country Job Sectors

• Primary: 2%

• Secondary: 13%

• Tertiary: 60%

• Quaternary: 4%

• Quinary: 4%

Developing Country Job Sectors

• Primary: 40%

• Secondary: 30%

• Tertiary: 30%

• Quaternary: 2%

• Quinary: 4%

Poorer Economy Job Sector Pattern

More ppl in Primary (⬆%) (lower wages + skills)

Developing Economy Job Sector Pattern

Rise in Secondary (⬆%) (lower skilled labor)

Wealthier Economy Job Sector Pattern

High number of people in Tertiary, Quaternary, + Quinary (⬆%) (higher education)

Typical Employment Pattern for Poorer Economy

• Primary: 70%

• Secondary: 15%

• Tertiary: 15%

• Quaternary: 15%

• Quinary: 15%

• Ex - Bangladesh

Typical Employment Pattern for Developing Economy

• Primary: 40%

• Secondary: 30%

• Tertiary: 30%

• Quaternary: 30%

• Quinary: 30%

• Ex - China

Typical Employment Pattern for Wealthy Economy

• Primary: 5%

• Secondary: 15%

• Tertiary: 80%

• Quaternary: 80%

• Quinary: 80%

• Ex - Japan

Who dominates the Primary + many Secondary jobs?

Men

Who makes up the majority of Tertiary jobs in wealthy economies?

Women

Women preform well in TQQ jobs, what does this increase?

Overall societal wealth

Are women still a large % of the unofficial job sector (untaxed) and unpaid labor (housework)?

Yes

How many hours do women in wealthy economies often spend a week more on domestic chores more than men?

15-20

More and more, jobs are being outsourced + automated, who does this place strain on?

Low skilled workers, especially in wealthier economies

What do poorer economies want their people to do?

To stop farming and to get into greater wealth generating jobs.

Site Factors

Physical features that relate to the cost of production and transportation

Situation Factors

Features of a surrounding area that are related to the cost of production and transportation

Basic Industry

The main focus of a region’s economy

Ex) Detroit = Cars, LA = Film, SanFran = Tech, DC = Gov

Non Basic Industry

Businesses that support the work of the ‘Basic Industry’

Ex) Steel + Rubber = supports Car manufacturing

What happens if the main business’ (Basic Industries) go out of business?

Everything suffers (The Non Basic Industries), a domino effect

The Multiplier Effect

How basic + non basic industries operate to grow the economy

Fixed + Variable Costs

Business have to balance the costs of things, a budget of sorts

Fixed Cost

Costs that do NOT fluctuate, stays the same

Ex) Rent

Variable Cost

Costs that DO fluctuate, changes, harder to predict

Ex) Energy bill, Tips, (Servers), Gas prices

Transportation Systems

Modern manufacturing tries to compress time and space (decrease time and distance obstacles)

Greater Distance + Weight

More cost, how to overcome?

Friction of Distance

The farther you have to get something from point A to point B, you get issues

Trucks

America, big national highway system, popular but expensive

High mobility + flexibility, high fuel cost + wear and tear

Trains

More efficient in transporting lots of things long distances

Low mobility + flexibility, very efficient over long distances, dependent on break of bulk points

Break of Bulk Points

Changing the way somethings transported (Cargo must be loaded + unloaded to a different transportation)

Airplanes

Fast, flexible, high cost + limited weight carrying

Can land lots of places, not as flexible as trucks, need an airport, not cost effective, VERY efficient to move lots of heavy things, not efficient for SUPER heavy things

Pipelines

Great for fluids, bad for everything else

Not flexible for moving gases

Ships

Low cost, slow, need port

MOST cost effective way of transportation globally, not as fuel efficient as trains, needs a port, not easy to unload

Agglomeration

When the clustering of similar businesses that can provide assistance and efficient labor and skill management

Occurs when a basic industry begins to draw in similar businesses

Advantages of Agglomeration

• Shared Infrastructure

• Labor + Workers

• Shared Knowledge

• Shared Supplies

Cumulative Causation

The continued growth due to agglomeration

Deglomeration

When a market becomes too saturated with similar businesses

What’s a problem because of deglomeration?

A market becomes too saturated with too many businesses, causes business to suffer

Weber’s Least Cost Theory

Think of it as a triangle

You want to be closer to the heaviest material

According to Weber’s Least Cost Theory, what is the location of a factory dependent on?

• Raw materials cost (least expensive, least control)

• Labor cost (most expensive)

• Transportation cost (most under your control)

Weight/Bulk Gaining

Finished good weights more than the raw materials, located closer to the market

Ex) Cars, the car weighs more than the steel + rubber that goes into it

Beverages + processed food = you want to be closer to the market where you’re going to sell

Weight/Bulk Reducing

Raw materials weigh more than the finished good, located closer to materials

Ex) Potato chips, potatoes weigh more than the chips

What are the Major Industrial Zones in North America?

• Ontario (Canada)

• Northeastern USA (Boston-DC)

• Great Lakes (Rust Belt)

• Southeastern I-85 Corridor

• Seattle-Portland

• San Francisco Bay

• Los Angeles/San Diego

• Northern Mexico

• Mexico City.

Which Canadian region is a Major Industrial Zone?

Ontario (including Toronto, Ottawa, Montreal)

What U.S. region is known as the "Rust Belt"?

The Eastern and Western Great Lakes area

What is the Industrial Corridor in the Southeastern U.S.?

The I-85 Corridor through North Carolina, South Carolina, and Georgia

Which Mexican regions are Major Industrial Zones?

Northern Mexico and Mexico City

What are China's SEZs?

Beijing, Shanghai, and Hong Kong

Focused on export processes

What is the major industrial region of Japan?

The Kanto Plain, including Osaka, Kyoto, and Tokyo.

Who are the "Asian Tigers" in global industrial zones?

South Korea, Taiwan, Singapore, and Hong Kong.

What are the major industrial countries in Western Europe?

Britain, France, and Germany

What region includes Moscow and other major cities in Eastern Europe?

Russia and Ukraine

What does GDP stand for?

Gross Domestic Product

What does GDP per capita measure?

The average economic output per person in a country.

What are common measures of development?

1) GDP/GDP per capita

2) Life expectancy

3) Education levels

4) HDI

5) GDI.

What does HDI stand for, and who created it?

Human Development Index; created by the UN in 1990.

What indicators are used in the HDI?

Life expectancy, education (literacy and school years), and income (GNI per capita)

What is the purpose of the Human Development Index (HDI)?

To measure a country's overall development, not just economic output

What does GDI stand for?

Gender Development Index.

What does the Gender Development Index (GDI) measure?

Gender gaps in human development achievements (life expectancy, education, income)

Which measure of development considers income, education, and health?

HDI (Human Development Index)

Why is life expectancy used as a measure of development?

It reflects the overall health and well-being of a population.

Why are education levels important in measuring development?

Higher education levels usually correlate with better job opportunities and quality of life.

Immanuel Wallersteins’  World Systems Theory- 3 Level Global Hierarchy

1) Core

2) Semi-Periphery

3) Periphery

• Can be used at smaller scales to look at economic differences within countries and regions (Ex: USA, Core: Coasts, Semi-Periphery:  Great Lakes,  Periphery: Appalachia) - Solution:   Wealth transfers and fairer trade deals

Immanuel Wallersteins’  World Systems Theory: Core Hierarchy Level

Ex) USA, W. Europe, Japan, (most developed, MDC)

• They “rig the system” and exploit

• Make the rules

• Make the most profit globally

Immanuel Wallersteins’  World Systems Theory: Semi-Periphery Hierarchy Level

Ex) China, India, Latin America (developing)

• Exploited by Core, but also exploit periphery

• Have ‘Core’ elements, but are still mostly poor, provide most technology

Immanuel Wallersteins’  World Systems Theory: Periphery Hierarchy Level

Ex) Africa (least developed)

• Exploited by Core and Semi-Periphery

Walt Rostow’s Model “Ladder” of Development

Societies progress through the 5 Stages of Development:

• Traditional Society

• Precondition for Takeoff

• Takeoff

• Drive to Maturity

• Mass/Highest Consumption

Walt Rostow’s Model: Traditional Society

• Most Jobs are Primary

• Poorest developing nations

• Ex) Niger, South Sudan, Laos

Walt Rostow’s Model: Preconditions for Takeoff

• Transitional phase to early industrialization

• Ex) Nigeria, Kenya, Bangladesh, Guatemala

Walt Rostow’s Model: Takeoff

• Rapid growth

• Agriculture changes to large scale and industrial

• Huge industrial/tech growth

• Most jobs are in the secondary sector, but growth in the tertiary sector

• Ex) China, India, Vietnam, Brazil

Walt Rostow’s Model: Drive to Maturity

• Rapid tech growth

• Jobs moving out of secondary

• Ex) Russia, Poland, Saudi Arabia

Walt Rostow’s Model: Mass/Highest Consumption

• Most jobs are in TQQ sectors: high energy + tech use

• Outsourcing of industry and increased automation

• Ex) USA, Japan, Australia, South Korea

Global Resource Land Use

• Oil (Ex: Petroleum)

• Natural Gas

• Coal

• Forestry and Timber

• Fishing

• Alternative Energy Producers:

  • Hydroelectric

  • Solar

  • Wind

  • Nuclear

  • Blomass

  • Geothermal

  • Pollution

Global Resource Land Use: Oil

• Most important energy resource

• Main Producers: USA, Saudi Arabia, Russia, Iran

• Main Consumers: USA, China, EU

OPEC: Organization of Petroleum Exporting Countries

Cartel of developing nations formed in 1960 with large oil reserves; mainly from Middle East but now some African states and Venezuela.  Try and control supply and demand (set price for oil)

Natural gas

• Heating cold regions

• Main Producer: Russia, Canada, USA

• Main Consumers: EU, USA

Coal

• Cheap energy source, but very polluting

• Main Producers: China, India, USA

• Main Consumers: China, India, USA

Forestry and Timber

• Building resource

• Main Producer: Canada, Russia, USA, Brazil, China

• Main Consumer:  China, USA

Fishing

• Food Resource

• Main producer: China, Indonesia, India, Vietnam

• Main Consumer: China, Vietnam, Japan, USA