Unit 7

Key Concepts:

• Sectors: Economy divisions (primary, secondary, tertiary, quaternary, quinary).

• Agriculture: Least valuable sector despite large rural population; includes subsistence, cash-cropping, and commercial farming.

• Commodity Chain: Production networks from local to international scales; profits concentrated at the retail end.

• Natural Resources: Mining/energy (non-renewable, volatile prices), fisheries/timber (renewable, regulated).

• Manufacturing: Value-added processing of resources into durable/non-durable goods.

• Services: Intangible products; low-benefit (hourly) vs. high-benefit (salaried).

• Deindustrialization: Shift from manufacturing to services; impacts employment and investment.

• Technology: Plow (agriculture), steel (industry), computer (services) as transformative technologies.

• Levels of Development: First, Second, Third Worlds (MDC, LDC); Newly Industrialized Countries (NICs).

• Asian Tigers: Old (Japan, Korea) and New (China, India) with rapid industrial growth.

• Industrial Revolution: Began in Britain; driven by population shifts, coal/iron availability.

KNOW THE MATH

• GDP: Goods + Services.

• GNI: Goods + Services + (Exports – Imports).

• Per Capita: “For every head.” GDP/GNI divided by population.

• HDI: UN index combining GDP, literacy, education, life expectancy.

• Gini Coefficient: Income disparity measure.

KNOW THE THEORIES

• Rostow’s Stages: Traditional, preconditions for takeoff, takeoff, drive to maturity, age of mass consumption.

• Dependency Theory: LDCs dependent on MDCs for investment and technology.

• Wallerstein’s World Systems Theory: Core, periphery, semi-periphery nations.

• Industrial Location Theory: Minimize costs; weight-losing (resource-based) vs. weight-gaining (market-based) industries.

• Supply Chains: Networks supporting assembly of finished products; Fordist vs. Post-Fordist.

• Retail/Service Location Theory: Spatial margin of profitability; footloose industries.

• Agglomeration: