Transcript UNIT 3 Economic Geography WG.7a-b, 8, 9a-d Natural Resources ►Renewable resources will replace themselves over time. Examples would be soil, water, and forests.

UNIT 3
Economic Geography
WG.7a-b, 8, 9a-d
Natural Resources
►Renewable
resources will
replace themselves over time.
Examples would be soil,
water, and forests
►Nonrenewable
resources are
resources that will not replace
themselves. Once they are
used, they are gone.
Examples--fossil fuels (oil,
coal, natural gas), and metals
(gold, iron, copper, and
bauxite)
Human Resources
►Human
resources are man and
his mind
►Human resources depend on
level of education, whether it is
skilled or unskilled labor, and
are entrepreneurial or
managerial abilities needed.
Capital Resources
►Capital resources are resources that
can be used to make more, like
money or tools
►key features of capital are the
availability of money for lending, the
level of infrastructure, the availability
and use of tools, machines, and
technologies
Three levels of economic activity
►Primary Activities--dealing directly
with natural resources (ex.--fishing,
farming, mining, and forestry)
►Secondary
Activities--are
manufacturing and processing of
natural resources (ex.--steel mills,
automobile assembly, sawmills
►Tertiary
Activities--are service
industries (ex.--transportation,
retail trade, informational
technology services)
Energy resources and technology as
it has changed over time
►Wood--deforestation
►coal--pollution,
mining
problems, competition with oil
and gas
►Petroleum--transportation,
environmental considerations
Energy resources and technology as
it has changed over time cont.
►Nuclear--contamination,
waste
►solar or wind--cost, aesthetics
Patterns of land use
►Most
economic activities are
relatively close to the natural
resources they use; ex.coal/steel, grain/cattle,
fishing/ocean, hydroelectric
power/aluminum smelting
Patterns of land use cont.
►Not
all nations are close to the
resources they use: ex.--Japan
has limited natural resources,
but they are a major industrial
power and the United Arab
Emirates (UAE) have lots of oil,
but no major industries
Examples of technology creating
demand
►Some
new technologies have
created a demand for a
particular natural resource-steam engine and coal, internal
combustion engine and gas,
computer chips and skilled
labor
Costs and benefits from using
natural resources
►Costs
►1.
Resource depletion.
► 2. Environmental destruction
► 3. Health problems
Costs and benefits from using
natural resources
►Benefits
►1.
Helps us produce goods and
services.
►2. It creates employment
opportunities
► 3. It helps develop new
technologies
The effects of unequal distribution
of resources
►Because
resources are distributed
unequally around the world, it causes
several things to happen
►1. Interdependence of nations -they must trade with each other to
acquire the goods they do not
possess
The effects of unequal distribution
of resources cont.
►2.
Uneven economic development
(rich and poor countries)
►3. Energy producers and consumers
►4. Imperialism (one country
dominating another)
►5. conflicts over control of resources
Differences between developing and
developed nations
►Developed
nations have better
access to natural and capital
resources
►Developed nations have more
investment in technology and
have created a better
infrastructure
Differences between developing and
developed nations cont.
►Developed
nations have more skilled
labor
►Developed nations have a higher level
of economic development
►Developed nations have a higher
standard of living and a higher quality
of life
What are the indicators of economic
development
►Is
the country more urban or
more rural? Developed nations
are generally urban.
►At what labor level do most
people work? Most people in
developed nations work in
secondary and tertiary areas.
What are the indicators of economic
development cont.
►Is
the Gross Domestic Product for
the nation high or low? Most
developed nations have a high GDP.
►What is the level of the educational
achievement? Most developed
nations have a highly educated
population
Indicators of standard of living and
quality of life
►A
nation has a high standard of living
and a high quality of life if…
 the population growth rate is low
 the population age distribution is
even
 The literacy rate, life expectancy
rate and percentage of urban
people is high
 the infant mortality is low
Why do countries trade?
►To
import goods and services
they need
►to export goods and services
they can sell for profit
What influences economic activity?
►A
country’s access to human, natural
and capital resources.
 Do they have a skilled workforce?
Do they have natural resources?
Are their transportation and
communication networks modern,
outdated or nonexistent? Do they
have access to new technology?
What influences economic activity?
cont.
►A
country’s location and ability
to exchange goods.
Are they landlocked? Are they
an island or coastal nation? How
close are they to shipping lanes?
What is their access to
communications
What influences economic activity?
cont.
►They
are members of a
political or economic alliance
that provides access to
markets.
Examples would be, the
European Union (EU), North
American Free Trade
Agreement(NAFTA)
What is comparative advantage?
►Comparative
advantage means
a country will export goods and
services that they can produce
at lower relative costs than
other countries.
What are the effects of comparative
advantage?
►Enables
nations to produce goods
and services they can sell for profit
►influences the development of
industries (ex. steel, aircraft,
automobile, clothing)
►supports specialization and efficient
use of human resources
Examples of countries and their use
of resources
►Japan--highly
industrialized
despite limited natural
resources
►Russia--has numerous
resources but many are not
economically profitable to
actually develop
Examples of countries and their use
of resources cont.
►United
States--diversified
economy , specialized industry,
abundant resources
►Cote d’Ivorie--limited natural
resources, but they use cash
crops to buy manufactured
goods
Examples of countries and their use
of resources cont.
►Switzerland--has
limited
natural resources, but produces
goods on a global scale
What are the effects of unequal
distribution of resources?
►Unequal
distribution of resources
causes countries to specialize in the
goods and services they produce. It
also encourages countries to trade
with one another for the goods they
can not produce themselves. It
allows some to make a profit
How has economic interaction
changed over time?
►Labor
has moved from
individual homes (cottage
industry) to factories to offices
to telecommunications
►there has been a large
migration from rural to urban
areas
How has economic interaction
changed over time? cont.
►Industrialized
countries now
export labor intensive work to
developing nations
►trade alliances have grown in
number
►service industries (tertiary)
have grown in number
How has economic interaction
changed over time? cont.
►Financial
service networks and
international banks have increased
►products have become internationally
assembled instead of everything
being made in one location. (ex.
Vehicles, electronics)
How has economic interaction
changed over time? cont.
►Modern
transportation networks that
allow for rapid and efficient exchange
of goods and services (ex. Federal
Express, UPS, US Postal Service) have
grown
►Widespread marketing of products
has increased (ex. Fuji, Nike, etc)
Examples of Economic Unions
►EU--European
Union
►NAFTA--North American Free
Trade Agreement
►OPEC--Organization of
Petroleum Exporting Countries
►ASEAN--Association of
Southeast Asian Nations
Advantages of Economic Unions
►They
allow for more efficient
industries
►They have access to larger markets
►They have access to more human,
natural, and capital resources without
restrictions
►They have a greater influence on
world markets
Disadvantages to economic unions
►They
cause some industries to close
►Certain industries become
concentrated in particular countries
while forgetting the smaller ones.
►Agribusiness is replacing the family
farm.
►There is often difficulty in agreeing on
common economic policies.