break of bulk points

badwaterreflectiveUrban and Civil

Nov 29, 2013 (4 years and 4 months ago)


Industry and

AP Human Geography

Keys to Economic and Industrial

Some countries develop faster than other

Some urban areas develop faster than other
urban areas

Why? Several reasons for economic success
and failure of countries/urban areas

Industrialization is a major component

Economic Systems are another important

Economic Systems


the competitive market determines
the price of goods. Winners and losers and those
in poverty are ignored. Poverty is a huge debated
issue in capitalist countries


government control of basic items.
Provides no incentive to work because

provides social security for citizens


total government control of all
prices in society. No incentives to succeed,

dictates profession based on assessment
of skills

Economic Success Factors

Environmentally Friendly Activities

can’t put
factories in middle of city to pollute water and air

citizens will complain, fines, etc.

Political Support

local politicians are important
to have on your side

Societal Acceptance

you must sell a product
that citizens approve of

Economic Support Base

worker training and
experience, also capital investment in buildings
and large equipment/vehicles

Geographic Factors

Geographic Factors contribute to industrial development in some
countries and keep others reliant on their agricultural sectors in
other countries.

Site Factors

internal characteristics of a place based on physical

Physical Characteristics

Situation Factors

relationship that a particular location has with
the location around it


ideal for steel because iron ore and coal come from


ideal for cars, can export via Great Lakes and St. Lawrence
River w/ access to Atlantic

Basic Industries

focal point of the economy for a city



secondary businesses that sprout up after the
city has established its basic industry

Industrial Factors

Industrial Factors are probably most important
in determining overall success of country’s

Industrial Costs

Variable costs

fluctuate based on volume of the
order, businesses prefer this to encourage
customers to buy more (usually the more you buy,
the less the price)

Fixed costs

do not fluctuate based on the
quantity ordered

Transportation Systems

Transportation Systems

need low cost forms to ensure product gets to
market quickly

Time space compression

effort to increase the efficiency of time in the
delivery process by diminishing distance obstacles

Five Primary Forms of Industrial Transportation:


highly mobile, efficient but can have weather delays and use fossil
fuels and have high maintenance costs


efficient, cost effective and can haul immense amounts long distances
but have inflexible routes and have
break of bulk points
where cargo
unloaded from one form of transportation to another


fastest way to transport, flexible routes but most expensive and
low fuel efficiency and weather delays


efficient for moving gas/liquid, safe but limited products and
expensive to build


most energy efficient, but slowest method, break of bulk points add
costs and weather dependent

Location of Industry


centralization of features of an
industry for the mutual benefit of the industry as
a whole (shopping malls)

Manufacturing/Warehouse Locations

parks provide companies with tax breaks to
locate their plants at particular locations for
shared services

Cumulative Causation

continued growth due to
positive aspects of the principle


market has become saturated
with a particular industry

Industrial Revolution

Industrial Revolution

mid 1600s, England,
allowed for more mechanization, speeding up
production process and allowing quantity and
quality to improve, major invention steam

Weber’s Least Cost Theory

Alfred Weber

German economist, socialist in 20


described industrial location


company building an industrial plant needs to take
into consideration the source of raw materials and the
market for the product


base consists of two raw materials necessary
for the production of the product

Weight Gaining Industry

finished product weighs more than
the raw materials

industrial production point needs to be
located closer to market to minimize transportation costs
associated w/ heavy product

Weight Reducing Industry

raw materials weigh more than the
finished product

industrial production point will need to be
located closer to raw materials (potato chips)

Foreign Production of Goods


industrial plants located in Mexico that produce good using relatively inexpensive
labor and then sell the products in the US for more profit than if the products were made in the US


jobs from the US to less developed countries where companies can pay employees
pennies on the dollar

New International Divisions of Labor

global division of labor, 1960s, outsourcing jobs from more
developed to less developed countries to take advantage of cheaper labor costs

loss of
manufacturing jobs in developed countries and increase of employment opportunities in less
developed countries

Footloose Industry

company with no allegiance or ties to a country or location, therefore can
move its primary locations at will

done for tax purposes

Transnational Corporations

large companies that have offices or divisions around the world


product is available to consumers at any time and at any location around the world

International Division of Labor

individuals can specialize in their individual production

speed, efficiency, and quality increase thereby reducing costs


each person on the assembly line doing a specific task to speed up the overall process
of production

Labor Intensive

agriculture, textiles


poor working conditions

Manufacturing Exports

global economy of commerce, products being imported from Asia and less
developed countries

Global Industrial Zones

NE US/SE Canada


Central/Western Europe

East Asia

Treaty Ports

international ports that must be kept open for
international trade because of signing a treaty

Export processing zones

export goods made in China efficiently

Special Economic Zone

foreign companies locate their headquarters


areas where trade goods are brought to be reloaded onto
other forms of transportation

Four Asia Tigers (Dragons)

Hong Kong, South Korea, Taiwan, and


both sides benefit

Two Views of Economic Development

Optimistic Viewpoint

allowing capitalistic forces the
ability to enter countries and get resources to the areas
that need them, at the same time profiting from their

Pessimistic Viewpoint

inaccessibility of resources as a
serious challenge and addresses three primary concerns

Distribution of resources doesn’t correspond to demand for

Less developed countries may not be able to achieve critical
mass to start a cycle of economic growth

Investment is not allocated equally around the globe but rather
is concentrated in only a few locations

Foreign Direct Investment

a company located in one
country enters the economy of another country

Ways to Describe Development


continued progress of a society in all areas (demographics,
economics, social, etc)

Human Development Index

Pakistani economist,



characteristics of development affect all members of the human race
regardless of culture

Life Expectancy

how long you live, relatively high is 60
70, women live longer
than men

Biologically stronger? Young men engage in high risk behaviors? Men have more stress?


percentage of population that can fluently read and write, ability to
use language to communicate

Developed 99%, many African countries less than 30%

huge stress on


skilled labor inhibits economic growth

Education system is key


workers are more productive, increases productivity of society as
a whole

Brain drain

talented youth in less developed countries receive scholarships to schools
outside the country and don’t come back to initiate development in the area

Standard of Living

measure of wealth or enjoyment that one experiences

Ways to Describe Development

Physical Quality of Life Index

David Morris developed
instead of gross domestic product, puts factors of
Human Development Index on a scale from 0

Determine the literacy rate for country

Subtract infant mortality rate from 166 and multiply the
result by 0.625. this is the indexed infant mortality rate

Subtract 42 from the life expectancy and multiply the
result by 2.7. this is the indexed life expectancy rate

Add together the literacy rate, indexed infant mortality
rate, and life expectancy rate and divide that sum by 3

Economic Data Indicators

Ways to Describe Development

Economic Data Indicators


Gross Domestic Product

selling value, or market
price, of all the goods and services produced within a
particular country’s borders, typically in a given year

Gross National Product

value of the goods and
services produced by that country’s companies,
usually within a year

Gross Domestic Product Per Capita

total amount of
goods and services produced in a country divided by
the total population of that country

end result is the
average person’s production in their country for a
particular year

Ways to Describe Development

Economic Sectors

where the majority of people
work in their economy

Primary Economic Sectors

basic activities

industries extract resources from the earth (timber,
fishing, minerals, soil, etc)

Secondary Economic Sectors

use materials from
primary industries to manufacture a product for

Tertiary Economic Sectors

sell the products from the
secondary economic sectors and provide services

Ways to Describe Development

Expendable income

amount of money left over
after all the bills have been paid

Technology gap

some people have more
technology than others, some people know how
to use it while others do not

Technology Transfer Process

amount of time
that it takes a new technology to leave the
laboratory and arrive on shelves for citizens to

Raw materials

who owns the rights to and the
profit from raw materials

Ways to Describe Development

Demographic Statistics

can determine
whether a country is more developed or less

Gender Balance

equal opportunities for women
and men to succeed

Birth Rate

less developed countries have a much
higher birth rate that more developed countries

Additional Development Theories

World Systems Theory

, coined phrases in

Core Areas

more developed countries, which use the resources of
the periphery to continue their success

Periphery Areas

less developed countries, lack of investment by the
more developed countries continues to keep these countries in

Periphery Areas

gaining in development and have some of the
benchmarks of success but are still lacking the political importance
associated with the core countries

World Cities

major urban centers serve the core area based upon
their financial and cultural importance in their areas

Dependency Theory

some countries are allowing themselves to
remain in poverty as a whole to obtain some other type of economic
power, usually for an elite class

leadership hording economic
resources for themselves while majority of the population is struggling

Additional Development Theories

Core Periphery Model

Industrial core

where the majority of manufacturing
or industrial activities of a nation or a city are located

Upward transition

gaining jobs and attracting
industry, business incentives may include tax breaks
and agglomeration

Downward transition

companies are leaving,
unemployment rates are high

Resource frontier

provide the majority of resources
for the industrial core

Growth Models of Development


Model of Development

Walt Whitman

(Take Off Model)

Traditional society

majority of workforce is involved in
primary sector of economy


Preconditions for takeoff/transitional stage

conditions improve (transportation, infrastructure, etc)


companies become involved in manufacturing

Drive to maturity

technology now being diffused and
integrated into all areas of manufacturing sector

Age of mass consumption

workers become highly skilled
in their professions and are using their strengths for the
overall benefit of the economy

Growth Models of Development

Richard Nolan’s Stages of Growth Model


technology is used sparingly and primarily for data


technology begins to spread


management is more frustrated w/ use of technology
because employees don’t necessarily have the training or hardware to
maximize their productivity with new software


users have come to terms w/ technology and found
practical uses for it

Data Administration

technology is used mostly in the collection and
storage of data


new uses for technology are being integrated into the


less developed countries are still economically
dependent upon the more developed countries