Intro to Geography- Spacial Interaction

Spacial interaction

the connections and movement between different places

Economic specialization

Producing a product more cheaply than other places

Comparative advantage

When a location has an advantage that allows it to specialize in producing something. Locations speciailize because of this

Complementarity

A supply in one region and a demand in another region

Ullman’s Triad

1. Complementarity

2. Transferability

3. Intervening opportunity

Backhaul freight

Cheaper shipping costs for the return trip

Agglomeration economies

Cost savings that result from firms clustering together

Internal scale economies

Cost savings that occur when production increases, causing the fixed cost to be spread across more units

Natural endowments

Natural characteristics of a place that can create an economic advantage, including: Resources, Climate, and Landscape

Transferability

Relative cost of moving something in money, time, and effort

Intervening Opportunity

A more accessible destination that reduces the need to interact with a farther place

Distance decay

As distance increases, interactions decrease

Shrinking space

Technology makes distance less of a barrier to interaction

Intermodal freight

Freight transported using multiple modes

LTL

Less Than Truckload

Backhaul

Using the return trip to transport something