1. Economic Development & Types of Industries
Unit 7: Economic Geography
Lesson 1

2. Main Ideas of this Unit
What parts of the world perform different economic tasks in the modern global economy, and why?
Who benefits the most from a globalized economy, and why?
Today, we’re just going to cover some basic vocabulary.

3. Economic Development
Process through which a country improves its economy
Can involve diffusion of new technology

4. How can I tell how developed a state is?
Look at economic and demographic indicators:
Economic indicators:
GDP per capita
% of people working in different types of jobs
Social/demographic indicators include:
Infant mortality rate
Level of education
Life expectancy
Literacy rates

5. GDP (gross domestic product)
Value of total amount of goods and services produced in a country in a year
good - Physical product created for people
service - Work or labor created for people

7. per capita GDP / per capita income
The average income of the people in a country
GDP divided by population
A better measure of a country’s standard of living than GDP (think about how GDP is misleading for China)

8. Annual GDP per capita, 2005
Fig. 9-2: Annual gross domestic product (GDP) per capita averages over $20,000 in most developed countries but under $5000 in most less developed countries.

9. Human Development Index
Another way to analyze a country’s level of development.
Combination of life expectancy, education, and income
Every country is given a score from 0 to 1
The closer to 1, the richer the country

11. HDI by province, 2014

12. Review!
Based on old country quizzes, you know what region of the world Uruguay is, so…what stage do you think it’s in?
Based on old country quizzes, you know what region Denmark is in, so…what stage is Denmark in?

13. Levels of Production in Countries
5 Levels: Most countries have all of these levels, but in differing amounts
Different levels of society are involved in different types of production

14. Primary Production Involve taking natural resources out of the ground
Examples: Oil extraction, agriculture fisheries, forestry
Most basic level of production

15. Secondary Production
Taking natural resources and turning them into finished products.
Become more common as a society industrializes
Examples: Clothes manufacturing, turning oil into gasoline, making plastics

16. Tertiary Production Actually selling goods
Examples: Salesmen, shipping industries, education

17. Quartiary Industry Business services
Become more common as an economy advances
Examples: Bankers, advertising, insurance
Tend to be high paying jobs

18. Quinary Sector/Production
Highest paid, intellectual industries
Weird--Also include luxury goods like tourism and recreation
Most common in highly developed states (countries)
Examples: Research, health care, government jobs
Silicon Valley!

19. % of Workers in each Sector MDCs vs. LDCs

20. Review Questions
For each of the following, tell me which level of primary-quinary industries is represented.

21. I work for an investment banking company on Wall Street in New York City.

22. I have a company that develops technology for NASA in Houston.

23. I have a company that picks bananas in Colombia.

24. I have a company that is trying to cure cancer in the Medical Center in Houston.

25. I have a company that makes posters for new movies in Los Angeles.

26. I have a company that makes parts of iPhones in China.

27. I have a company that refines and makes gasoline from oil in Saudi Arabia.

28. This is a measure of a country’s development
This is a measure of a country’s development. It includes per capita GDP, level of education, and life expectancy.

29. Europe countries joining together have caused some changes when they decided to be involved with the European Union. Changes include the countries giving up a little bit of their sovereignty, most countries changing their currency to Euros, and not needing a passport to travel between countries which can ease up on trade and unify the continent with common currency. An example would be that you can easily travel between France and Spain without a passport and do not need to change currency. This is an example of how the supranational organization changed the continent.

30. Supernationalism can help you economically
Supernationalism can help you economically. An example would be the European Union regulating its borders. This will make easy to transport resources within the European Union. Another way it can help you is be a supernation creating their own currency. It will make things easier to export money or to buy resources. An example would be the European Union, because they have their own currency, which are called “euros. Countries also have to give up sovereignty when joining a supernation. For example, when European countries join the E.U., they have to give up part of their sovereignty. Giving up sovereignty will help a country develop because they are being helped by the EU.

31. World Systems Theory (Wallerstein, Core-periphery model)
Since colonialism, relations between countries have been about countries exploiting less powerful countries. Periphery countries will always be exploited by core countries.
Core
Production that involve higher levels of education, higher salaries, and more technology
* Generate more wealth in the world economy
Periphery
Production that involve lower levels of education, lower salaries, and less technology
* Generate less wealth in the world economy
Semi-periphery
Places where core and periphery processes are both occurring. Places that are exploited by the core but then exploit the periphery.

32. Spatial Organization of the World Economy

33. Core periphery on different scales
What would core-periphery look like on the national scale?
Local scale?

34. National Scale Focus on regions of a country
Core—Service based, most affluent regions
Periphery—More agrarian, less advanced/ educated regions

35. Local scale Local scale—Large zoom on an area Cities—core region
Rural areas around cities—periphery areas

36. Long-term Trends in Per Capita GDP

37. Millenium Development Goals
Eight goals established by the United Nations to reduce the gap in development between core and peripheral countries.

38. Go online. Under economic geography, click on lesson 2, “The Dark Side of Valentine’s Day.”

40. Pick up a whiteboard and paper towel on the way in and take out a sheet of paper for some notes.
We’re going to take a lot today…
Put your Millennium Development Goal homework on your desk.

41. UN Sustainable Development Goals

42. On the blank map… Circle and label the 7 continents.
Put a star next to the ONLY continent that is also a country.

43. Circle and label a part of the world that would be on the economic periphery.

44. Circle and label a part of the world that would be on the economic core.

45. Circle the part of the world that has membership in the European Union.

46. Circle and label India and China.

47. These are goals developed to help periphery countries improve their HDI.

48. These are countries that create the most wealth in the global economy.

49. This theory claims that the world can be explained by rich countries exploiting poor countries.

50. These are countries that are usually exploited by developed countries, but also exploit developing countries themselves.