1. Unit 6: Economic Geo Review

2. Human Development Index
economics (GDP per capita), social (literacy rate & level of education), and
demographic factors (life expectancy)

4. Motor Vehicles per Capita

5. Industrial Regions
Industrial Rev. began in England

8. Major Manufacturing Regions of East Asia

10. Balanced Growth through Self-Sufficiency
A country should spread investment as equally as possible across all sectors of its economy and in all regions.
Incomes in rural areas keep pace with urban incomes
Businesses remain independent of foreign corporations
Limit imports through tariffs and quotas

12. Liberal Models by definition
Rostow’s Model
All countries are capable of development
All countries follow the same model of development
For countries that have developed in modern times – only China has followed THE model of development
Economic disparities are a result of short term inefficiencies in local or regional market forces

13. International Trade Approach
Some countries have switched from self-sufficiency approach to international trade

14. International Trade Approach
World Trade Organization (1995) works to reduce barriers to international trade by
Negotiate reductions in trade restrictions, such as quotas & tariffs
Enforces trade agreements

15. IMF:
Lends to countries with balance of payments problems
Pushes for economic reforms
Reports on policies in member states
World Bank:
Aims to help development by advising and lending – with many conditions
Countries encouraged to lift import and export barriers, cut subsidies and remove price controls

16. Models of Development Structuralist Models Dependency Theory
Regional disparities are a structural feature of the global economy
Neo-Colonialism
Things have come to be organized or structured in a certain way and cannot be changed easily
Old method of industrializing is no longer possible because other factors have changed

17. Wallerstein’s World Systems Theory
Core
Processes that incorporate higher levels of education, higher salaries, and more technology
* Generate more wealth in the world economy
Periphery
Processes that incorporate 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.
* Serves as a buffer between core and periphery

18. Four Dragons Aka Four Tigers or Gang of Four
S. Korea, Singapore, Taiwan, and Hong Kong
Lacked natural resources
Strongly influenced by Japan’s success
Concentrated on handful of manufactured goods
Low labor costs
Entrepot - sell to MDCs

19. Millennium Development Goals
Adopted by world leaders in the year 2000 and set to be achieved by 2015, the Millennium Development Goals (MDGs) provide concrete, numerical benchmarks for tackling extreme poverty in its many dimensions. The MDGs also provide a framework for the entire international community to work together towards a common end – making sure that human development reaches everyone, everywhere. If these goals are achieved, world poverty will be cut by half, tens of millions of lives will be saved, and billions more people will have the opportunity to benefit from the global economy.

20. Millennium Development Goals
The eight MDGs break down into 21 quantifiable targets that are measured by 60 indicators.
Goal 1: Eradicate extreme poverty and hunger
Goal 2: Achieve universal primary education
Goal 3: Promote gender equality and empower women
Goal 4: Reduce child mortality
Goal 5: Improve maternal health
Goal 6: Combat HIV/AIDS, malaria and other diseases
Goal 7: Ensure environmental sustainability
Goal 8: Develop a Global Partnership for Development

21. All industries want to maximize profits by minimizing costs so if choose locations based on
Energy
Labor
Transportation
Or Footloose

22. Location Models Weber’s Model Hotelling’s Model Least Cost Theory
Manufacturing plants will locate where costs are the least (least cost theory)
Theory:
Least Cost Theory
Costs: Transportation, Labor, Agglomeration
Hotelling’s Model
Location of an industry cannot be understood without reference to other industries of the same kind.
Theory:
Locational interdependence
Losch’s Model
Manufacturing plants choose locations where they can maximize profit.
Theory:
Zone of Profitability

23. Least Cost Theory
Alfred Weber’s model – owners of manufacturing plants seek to minimize costs through:
1) Transportation, and
2) labor
3) agglomeration
Weight-losing / weight-gaining

24. Hotelling’s Model Harold Hotelling (1895-1973)
Locational Interdependence
Originally locate near customers – but will gravitate to each other to maximize profits
The costs for some customers will be greater if the 2 sellers cluster – further to walk. Also fewer customers aware of service. But can’t move for fear of losing customers.

25. Changing Markets Outsourcing New international division of labor
Moving industry to low-cost labor
Just-in-time Delivery
Post-Fordist system – more flexible, less mass produced (time-space compression)
deindustrialization

26. Break of bulk points
Informal economy
High-tech corridors
agglomeration