- Industrialization & Economic Development - The Industrial Revolution Industry Distribution Northwestern Europe Eastern Europe East Asia Eastern North America Distribution factors Changes since the industrial revolution Expanding industry

Industrial Revolution A series of inventions that brought new uses to known energy sources, new machines to improve efficiencies and enable other new inventions. e.g. steam engine, iron smelting, water pump, and more.

Beginning of Industrial Revolution When and where did the industrial revolution begin? In Great Britain in the mid to late 1700s Why Great Britain? Flow of capital ($$$) Mercantilism (What is it? Well, see next 2 slides…) Resources: coal, and water power

What is mercantilism? (1/2) A 1700s, European, economic theory, that says that the prosperity of a country depends on: 1. its supply of capital (available $) 2. international trade being "unchangeable“ 3. one party (gvt, elite, businessmen) may/will benefit at the expense of another. 4/20/2017

What is mercantilism? (2/2) 4. increasing a nation's wealth by government regulation of all of the nation's commercial interests . 5. In commerce: transactions (sales and purchases) having the objective of supplying commodities (goods and services). 4/20/2017

Diffusion to Mainland Europe Early 1800s, innovations diffused into mainland Europe. Location criteria: 1. proximity to coal fields 2. connection via water to a port 3. flow of capital Later Diffusion Late 1800s, innovations diffused to some regions without coal. Location criteria: 1. access to RRs 2. flow of capital

Where is industry distributed? Less than 1 % of the Earth’s land is devoted to industry (25% to agriculture) ¾ of industrial production is concentrated in four regions: Northwestern Europe Eastern Europe Eastern North America East Asia

Home of the Industrial Revolution Western Europe 1. The UK Home of the Industrial Revolution 4/20/2017

Western Europe 2. Rhine-Rhur Valley and Mid-Rhine First place industrial revolution diffused to Proximity to large coal fields, access to iron and steel Acess to major rivers (Rhine and Rhur) Mid-Rhine Center of Europe's most important consumer market

Western Europe 3.Northern Italy Large number of workers willing to work cheap Inexpensive hydroelectricity from the Alps

Eastern Europe’s Districts Moscow District access to large markets St. Petersburg District proximity to Baltic Sea Volga District large petroleum and natural gas fields close to rivers Ural District Minerals in the Ural mountains

Eastern Europe’s Districts Kuznetsk District coal and iron-ore Eastern Ukraine District coal, iron, gas, etc. Silesia District coal

North America (1/2) New England Historically populated Abundant, cheap immigrant labor Middle Atlantic Largest Market (close to New York) Main ports Mohawk Valley (NY) Inexpensive abundant hydroelectricity (Niagara Falls) 4/20/2017

North America (2/2) Pittsburgh-Lake Erie Coal and Iron in the Appalachians Steel production attracted more industry Western Great Lakes Automobiles Transportation St. Lawrence Valley Close to Canadian Markets Close to Niagara Falls Close to Great Lakes 4/20/2017

East Asia Isolated from world markets Access to ports Large labor force working for cheap Grew based on production of cheap exports 4/20/2017

The distribution of Industry Situation factor Proximity to markets Site Factors (see next slides) Labor Land Capital

Site Factors: Land Climate Topography Recreational opportunities Cultural facilities Cost of living Cost of land

Site Factors: Capital ($$$) Which institutions will lend the money and where are they located?

How has Industry changed since the industrial revolution? Henry Ford and the assembly line: dominant mode of mass production during the 20th century, production of consumer goods at a single site.

Post-Fordist More flexible set of production practices Post-Fordist: Current mode of production More flexible set of production practices Production is accelerated and dispersed by multinational companies that shift production, outsourcing it around the world.

Time-Space Compression (1/2) Through improvements in transportation and communication technologies, many places in the world are more connected than ever before.

Time-Space Compression (2/2) Just-in-time delivery Rather than keeping a large inventory of components or products, companies keep just what they need for short-term production and new parts are shipped quickly when needed. Global division of labor Corporations can draw from labor around the globe for different components of production.

Where is industry expanding? Southern and Western U.S. Lack of unions Cheap labor Opening of western ports From Cities to Suburbs Cheap land Factory layout 4/20/2017

Outsizing Contracting out of a business function – previously performed in one area - to another geographic area (within/outside of a country). A business “outsource” to suppliers outside the nation, sometimes referred to as off shoring. Example: problems with Internet provider? 4/20/2017

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The End Child Labor