Geography of International Trade

Jinan UniversityDepartment of International

Economics and Trade

Students of Year 2001Autumn, 2004

Course Description

• It provides an international perspective to examine how the goods and services people produce are geographically organized,

• and how the world economy, especially in the production and market sectors, evolves in rapid transition.

• Theme focus:

distribution & economic growth

• Issues discussed:

Population growth,

Resource depletion and Environmental degradation,

Transportation and communications, World industrial regions,

International business patterns.

Course Outline: Part I

A. Introduction1. What is geography?2. The field of geography

3. Geography’s language – map

B. Population and the World Economy

1. Population distribution

2. Population growth over time and space

3. Population structure

4. The debate on the question of whether and how population growth affects economic growth

C. Resources and Environment1. Resources and population

2. Renewable and nonrenewable resources

3. Food resources

4. Nonrenewable resources depletion

5. Environmental degradation

6. Growth-oriented and balance-oriented life-styles

D. Transportation in World Trade

1. Transportation – the key for understanding geographic patterns

2. Transportation cost and its variations for different transport media (air, truck, rail, water, and pipeline)

3. Improved transport facilities

4. Shipping – the most important transport mode in world trade

5. Routes and networks (shipping lanes, railroads, high-ways, pipelines)

Course Outline: Part II

Regional Geography Dynamic regional geography provides a

strong basis for:

*assessing inequalities and changing circumstances around the world;

*evaluating attempts to reduce the inequalities

9 regions with common cultural & historic experiences

1. Africa South of the Sahara

• a tribal culture;

• its religions have an environmental or animistic base with Islamic or Christian overlays resulting from trade or colonization;

2. North Africa & Southwest Asia

• The twin uniting cultural features of Islamic religion and Arabic language;

3. Southern Asia

• Intermingling and clashes among Hindu, Islamic, and Buddhist religions and British colonial influence;

4. Eastern Asia

• The scene of historic civilizations in China, from which religious and linguistic influences have permeated the rest of the region,

• But has had less European colonial intervention than other world regions;

5. Western Europe

• Home of Catholic and Protestant Christianity,

• Home of capitalism,

• Home of modern industrial technology.

6. Eastern Europe, the Balkans, and the former Soviet Union

• Stretch from central Europe across northern Asia,

• The scene of long-term clashes between the Catholic and Orthodox Christian and Islamic faiths,

• Overlaid and subdued for most of 20th c. by the communist political culture,

• Emerging again in the 1990s.

7. Anglo America

• Dominated by culture brought by settlers mainly from northern parts of Western Europe

8. Latin America

• Dominated by culture brought by settlers mainly from southern parts of Western Europe

9. South Pacific

• Includes former European colonies (Australia & New Zealand, the largest),

• Antarctica, the uninhabited continent, is linked to it.

Map of the World

Questions Geography asks

“Where?” questions (descriptive inventory) Where are things located? What is their distribution across the surface of th

e earth?

As an old saying holds, “If you can map it, it’s geography.”

This statement is true, because one uses maps to gather, store, analyze, and present information that answers “Where?” questions.

“Why?” and “How?” questions (analytical approach) Why are things located where they are? How do different things relate to one another at a

specific place? How do different places relate to each other? How have geographic patterns and relationships

changed over time?

Questions take geography beyond mere description; A powerful approach for analyzing and explaining

geographical aspects of a wide range of different kinds of problems faced by those engaged in international business.

What is Geography?

It is concerned with place, • describes the changing pattern of places, • attempts to unravel the meaning of the evolving

of such patterns. It seeks to understand the physical and cultural

features of places and their natural settings on the face of the earth.

• The spatial dimension is central to geography.• It uses a distinctive language – the language of

maps.

Table1.1 – The 6 Essential Elements

and the 18 Geography Standards

Part VI – the most insightful and enlightening

Geography helps us to understand the world, the earth as it was, its past tense, to explore the world as it is, its present tense, and to think of the world as it might be, its future tense.

The Field of Geography

- Geography as

a synthesizing discipline

Slide: Figure 1-6 The Scope of Geography

• Geographers refer to knowledge and insights derived from other disciplines.

• Geography is in a unique position to demonstrate the relatedness of all knowledge.

• physical, urban, rural, social, political, and economic geographers

Carnegie Report on Higher Education (1991)

• The world has become a more crowded, more interconnected, more volatile and more unstable place.

• If education cannot help students see beyond themselves and better understand the interdependent nature of our world, then each generation will remain ignorant, and its capacity to live competently and responsibly will be dangerously diminished. (p.42)

Geography of International Trade

- within scope of

Economic Geography

Trends in Economic Geography

• Concerns: The productive use of the geographic

environment –

the location, productivity, and potential uses of natural resources, including mineral and oil deposits, forests, grazing lands, farmland, and favored sites, such as harbors.

Such studies are vitally important to – manufacturing and service industries, marketing research, and the establishment of facilities and trade routes.

Commercial Geography (old name)

Developed during the era of European exploration and discovery from 15th-19th c.

Purpose of Commercial Geography: Its purpose was seen by British scholar G. G.

Chisholm (1899) as to stimulate intellectual interest in geographic facts relating to trade;

All of his book was an inventory of commodity and trade statistics, which was a more descriptive approach than analytical one.

Influence of 3 major themes of Geography

1. Human-environmental relations flourished until 1930s Geographers then sought to explain

variations in economic development in terms of environmental determinism.

Climates, disease, or even the “colored races” are some of the determinants used to justify economic activities.

• For example: (See: world map – physical feature)

Industrial countries --- stimulating climates

Third World countries --- difficult climatesJustification of economic backwardness in

Africa, Asia, and Latin America caused by unfavorable climates that induced low levels of productivity among local people.

2. Areal differentiation influential from the late 1930s to the

late 1950s The main reaction to the period of

excessive environmental determinism and its underlying preoccupation with race;

Adopt the view that all geographic phenomena were unique and that theory building was of little value;

Its primary focus of concern was areal differentiation – differences rather than similarities – among places.

The unique approach resulted in detailed descriptions of production, exchange, and consumption.

Areal differentiation concept led to some of the great regional writing;

Overlook the need for comparative studies.

Areal differentiation dominated geography at the expense of areal integration.

3. Spatial organization ---

now the dominant approach Concerns:

• how space is organized by individuals and societies to suit their own designs;

• Provides a framework for analyzing and interpreting location decisions and spatial structures;

location theory and analysis:

• What products and services are produced,

• How they are produced (i.e. with what combination of resources),

• Where they are produced and why there?

The theme of spatial organization is particularly valuable in helping us to understand world development problems.

A Marvelous PlanetThe Earth in solar system

Temperature –

mild, & relatively constantPlentiful supplies of clean air, fresh

water, fertile soil generated endlessly and spontaneously by geological and biological cycles

Rich diversity of life

• Species populate the earth;

• Organisms make up complex, interrelated, and meanwhile delightfully diverse, self-sustaining, communities;

We should always remember that, in spite of the challenges and complications of life on earth, we are incredibly lucky to be here.

We should then ask ourselves:

• What is our proper place in nature?

• What ought we do?

• What can we do to protect the irreplaceable habitat that produced and support us?

Understanding our Environment

• We travel together, passenger on a little space ship, dependent upon its vulnerable reserves of air and soil, all committed for sour safety to its security and peace; preserved from annihilation only by the care, the work, and I will say, the love that we give to our fragile craft.

- Adlai Stevenson –- Video: Laponia, the midnight sun

John Muir – American geologist

• He agued that nature deserves to exist for its own sake, regardless of its usefulness to us:

• “The world, we are told, was made for man. A presumption that is totally unsupported by the facts…”

• “Nature’s object in making animals and plants might possibly be first of all the happiness of each one of them…”

• “Why ought man to value himself as more

than an infinitely small unit of the one great unit of creation?”

Thomas Jefferson

• “The earth belongs in usufruct to the living.”

• Roman philosopher Lucretius said:“Life itself is given to us only in usufruct.”

Basic Geographic Concepts

- Location, Direction, & Distance

Properties of Space

• One-dimensional space:

a line between 2 two points;

• Three-dimensional space:

a volume;

• Two-dimensional space:

represented on a plane;

Maps – examples of 2-dimensional space

Distance, Direction, Connectivity

• Spatial elements of point, line, and area used to define the basic geographic concepts:

distance, Direction – Northeast, Southwest, or North-

Northeast… Connectivity – Shanghai is better linked to other places than

Guangzhou, since SH is located at center of China and GZ in southern end of China.

Shanghai has a higher degree of connectivity than Guangzhou.

Language of Maps

• Scale A map is a reducer; The amount of reduction appears on the scale. 1/10,000 --- 1 unit on map represents 10,000 of

same units on the ground Large-scale map portrays a relatively small area

in more detail; Small-scale map portrays a relatively large area

in more generalized terms.

Coordinate system of Latitude (N-S) & Longitude (E-W)

• Equator – a latitude of 0an imaginary line of latitude that circles the

globe in an east-west direction exactly halfway between the North Pole and the South Pole.

dividing the globe into two equal parts:

the Northern Hemisphere and the Southern Hemisphere.

• Latitude of 30 A place at 30 of latitude lies where a line from the surface to Earth’s center intersects the plane of the equator at 30.

• Parallels of Latitude

a circle joining the places of the same latitude at Earth’s surface – a parallel of latitude

• North Latitude & South Latitude45 N – the parallel 45 degrees north of the equator

• North Pole – 90 N; South Pole – 90 S• Pinpoint locations:

each degree is divided into 60 minutes (60')each minute is divided into 60 seconds (60")

*show Guangzhou’s latitude

• Low latitude – places near the equatorHigh latitude – places near the poles

• Tropic of Cancer – 23.5 Nparallel of latitude located 23 27' north of the Equator;

marking the northernmost point at which the sun appears directly overhead.

• Tropic of Capricorn – 23.5 Sparallel of latitude located 23 27' south of the Equator.

marking the southernmost point at which the sun appears directly overhead.

• Arctic Circle – 66.5 Nparallel of latitude located approximately 66 30' north of the Equator.

Portions of Alaska, Canada, Greenland, Russia, and the Arctic Ocean lie within the Arctic Circle.

marks the boundary of the zone where the sun never sets during the June solstice( 夏至 ) and never rises during the December solstice( 冬至 ).

• Antarctic Circle – 66.5 Sparallel of latitude located approximately 66 30' south of the Equator.

marks the boundary of the zone where the sun never sets during the December solstice and never rises during the June solstice.

• Middle Latitude

places between tropic and circle lines

• Meridian of Greenwich or

prime meridian – a longitude of 0runs from the North Pole to the South Pole through the former Royal Observatory at Greenwich, London, England (1884).

• Meridians of Longitude

Straight lines connecting the poles;

30 W – the meridian 30 west of the prime meridian

• Timekeeping the world by longitudes

Earth rotates from west to east at 15 of longitude an hour.

World divided into 24 time zones, each 15 of longitude

(although actual boundaries of each zone are adjusted to fit country and state boundaries.)

• Marker of time – Greenwich Mean Time (GMT) or Universal TimeThe time in the 15 of longitude centered on the prime meridianGMT+8: time zone 8 hours ahead of the markerGMT-3: time zone 3 hours behind the marker

• International Date Line – 180 meridianTravelers crossing it from east to west lose 1 day; those going from west to east gain a day.

Two kinds of Location

• Absolute location (site) Position in relation to a conventional grid system, i.e. the intersection of a line of longitude with a line of latitude provides a unique, or absolute, location for any place on the Earth.

• Relative location (situation) Position in relation to other locations. A measure of connectivity and accessibility, which usually changes over time. Concept of relative location is of greater interest to economic geographers than absolute location.

**show Singapore’s location

Our Globe

Northern Hemisphere 80% of the world’s total land area and

91% of the world’s population land hemisphere

Southern Hemisphereonly 20% of the land and

9% of the populationwater hemisphere

Different maps vs.Different standings

• Center vs. Margin: :Core vs. Periphery

• Near East, Middle East, Far East

• Value-laden maps**Heart of Darkness – a colonist’s

exploration and loot in central Africa

Pocahontas

A Modern Critique of Western Colonization

Natural Environment

• A dynamic system of interacting parts:

the solid earth, atmosphere and oceans, plants, animals and soils

producing regional differences.

Climate of a place

• a long-term character of atmospheric conditions;

• annual range of temperature and precipitation (rain and snow).

Climatic Environments - Tropics

• Between the parallels of latitude at 23.5 N and 23.5 S;

• High temperatures throughout the year

• Weather systems – tropical cyclones( 热带气旋 ):

Hurricanes of North America ( 飓风 )Typhoons of Eastern Asia ( 台风 )

• Variations of the Tropics –

Seasonal differences of rainfall; Equatorial Climate –

Places close to Equator have rain in all year; Seasonal and Monsoon Climates –

Places away from Equator but within the tropics have a marked alternation of dry and wet seasons.Monsoon – Indian subcontinent & West Africa

Arid ClimateDry season becomes so long that climate becomes arid.

Main tropical climates have a north-south distribution.

Climates of Midlatitude Lands

• Between the tropics and polar circles at 66.5 N and 66.5 S

• Marked by seasonal temperature contrasts.

Midlatitude climates have a west-east distribution –

mild and moist west coasts ( 海洋性气候 ),

dry interiors ( 大陆性干旱气候 ),

east coasts with summer rains.

Interior Climate

Greatest temperature contrasts in the centers of North American and Eurasian continents

West Coast and East Coast Climates

winds blowing from the oceans bring winter warmth and summer coolness to the coasts of Europe, Anglo America, and Asia.

Climates of Polar Regions

• Poleward of 66.5 N and 66.5 S• Extreme coldness and long dark winter

Earth’s Interior

• Earth – a multilayered planet with a hot molten core

solid inner core,liquid outer core – produces the earth’s ma

gnetic field,lower mantle ( 地幔 ) – tremendous pressu

res keep the rock material from melting,

upper mantle –

combined with the crust, forms the lithosphere( 岩石圈 ), which makes up the earth’s plates( 板块 ).

Crust ( 地壳 ) – rigid, outermost layer of the earth

Continental crust is made up mostly of granite and rocks.

Oceanic crust, which forms the ocean floor, is composed mainly of basalt( 玄武岩 ).

Plate Tectonics( 板块构造论 )

• Earth’s crust is broken up into rigid plates that move independently of one another.

Plates collide, forcing rock upward to form mountain systems.

Plate forced downward beneath another plate is subducted( 潜没 ), forming volcanoes and earthquakes, concentrating along plate boundaries.

Plate movements produce major feature of

earth surface:

• formation of mountain system,

• building of continents,

• opening and closing of ocean basins.

External Forces

• Atmosphere and Sea’s influence on Earth’s surface by processes of:

Weathering ( 风化作用 )Erosion ( 侵蚀作用 )Deposition ( 沉积作用 )

Relief & Landforms

• Relief ( 地势 )– variations in heights of Earth’s surface

caused by interaction of internal Earth forces and external influences from weather and action of the sea.

• Landforms( 地形 )naturally formed shapes that make up the

earth’s surface – plains, plateaus, mountains, hills, and valleys.

Ecosystem

Ecosystems

Aquatic ecosystem – marine environment & freshwater environment on land

Terrestrial ecosystem Influenced by climate, interact with the soil. Relationship between plants, animals, and thei

r living and non-living environments. Divided into 2 main components:

1. Abiotic elements (non-living):

air, water, heat, nutrients, rock and sediments.

2. Biotic elements (living):

plants and animals, divided into:• Autotrophs (or producers) – 自养生物

organisms capable of converting sunlit energy into food energy by photosynthesis.

• Heterotrophs (or consumers) – 异自养生物 Herbivores – plant eaters Carnivores – meat eaters Omnivores – plant and meat eaters 杂食动物 Detritivores – decomposers 食腐动物 food chain / web (energy transformation)

World Main Ecosystems Natural Vegetation:

Plant cover developing with little or no human interference.

Five Primary Vegetation Cover:1. Forest2. Grassland –

Tall-Grass Prairie & Steppe (Short-Grass Prairie)

3. Savanna – Transition between forest and grassland

4. Desert5. Tundra ( 苔原 )

Tropical Rainforests

Amazon RainforestCongo Basin RainforestRainforests of the Malay Archipelago ( 群

岛 ) and much of coastal South and Southeast Asia

• Paradox of Rainforest –

Despite containing the world’s most luxuriant vegetation, tropical rainforests are found on some of the world’s least fertile soils due to hot, wet conditions.

Fragile Rainforest Environment –

Once the vegetation is removed, nutrients are quickly removed from the system creating infertile conditions, even deserts.

Acres Lost Each Year

• Annual loss of rainforest is 40 million acres, the size of England and Wales:Latin America 20 million acresAfrica 11 million acresAsia 9 million acres

• Rainforest is disappearing at the rate of an acre per second.

• Rainforest support up to 90% of all wildlife.• Annual deforestation in 1990s was 50% higher

than in 1980s.• Over 200 million people live in rainforest areas.

Main Conflicts in Rainforest Regions

Cattle ranching South America

Banana plantations Costa Rica,

South America

Coffee plantations Africa

Logging All over

Farming All over

Mining South America, Asia, Africa

Rubber plantations Indonesia

Savannas ( 热带稀树草原 )

• Savanna vegetation is adapted to a strong wet-dry annual cycle;

• Landscape ranging from open woodlands to rich grasslands;

East African SavannaBrazilian HighlandAsian Monsoon Forests Ethiopian Plateau

Temperate Grasslands (steppe) 温带草原（干草原）European Grassland –

Southeastern Europe, RussiaAsian Steppe –

grasses are shorter and more drought-resistant ,known as steppe, suitable for grazing.

Grassland of North America –Tall-grass prairie provides rich soils suited to cultivation and cropping, now known as the heavily farmed American Corn Belt.

Pampas –The tall grasslands of Uruguay and Argentina are known as the pampas.

Temperate Deciduous Woodland温带落叶林地

European Deciduous ForestNorth American Deciduous Forest:

eastern North AmericaEast Asian Deciduous Forest

coastal East Asia:Patagonia Deciduous Forest

a small region of Patagonia, in southern Argentina of Andes Mountains

Temperate Coniferous (Boreal) Forest

温带针叶林（北方生物带） (needleleaf)Siberian Taiga( 针叶林 )

stretches across northern Asia. European Taiga

European Russia and ScandinaviaNorthern Forest of North America

Human Environment

- Language and Religion

Language Historic experiences and traditionsA shared identity for a culture Québécois in Canada, Welsh in Britain, Hispanics in US

6 official languages of UN – English, French, Spanish, Russian, Arabic

and Mandarin ChineseChosen by victorious allies at end of WWII

Geographic Distribution of Languages

Related to major language families that developed in specific regions and diffused to others by historical events like conquest or trade

• Indo-European family- Indian subcontinent;- Slavic languages of Eastern Europe and Russia;- Southern, Western, Northern Europe

Spanish, Portuguese, English, French & Dutch

Spread worldwide with colonization from 1450

Dominate the Americas and Australasia

• Sino-Tibetan family

- Languages of China,

- Southeast Asian area.• Semitic-Hamitic (Arabic) family

- Northern Africa,

- Arabian Peninsula• Niger-Congo family

- Africa South of the Sahara• Malayan-Polynesian family

- Malaysia, Indonesia, the Philippines, & South Pacific

ReligionsReligions

Transferring cultural values from one generation to the next;

Generating cultural loyalties;Religious observances include special

places and days.

4 religions claiming largest adherents

Christianity, Islam, Hinduism & BuddhismChristianity, Islam, Hinduism & Buddhism Southwest Asia – Birthplace of 3 major

religions:

Judaism, Christianity, and Islam. Christianity –

Eastern Orthodox, Protestant, Roman Catholic;

Europe, the Americas, Australasia, and Africa South of Sahara.

Islam – Arab world of North Africa & Southwest Asia; Central Asia;Pakistan, Bangladesh;Indonesia.

Hinduism – Southern Asia

Buddhism – Eastern Asia

Judaism

smaller number of adherents, but has widespread influences, esp. in western countries.

• Christianity, Islam, & Buddhism can be joined by anyone in any country; often seek to extend their membership.• Hinduism & Judaism Closely tied to family and region; Do not encourage conversions.

Religious Faith and Conflicts

Religious difference, linked to inequalities of wealth and power, may result in conflicts.

Conflicts often arose after being fanned by those in power for their own ends.

Some of the basic human conflicts: Christian V.S. Jews, Muslim V.S. Hindus, Christian V.S. Muslims, Muslims V.S. Jews

Conflicts extended:

Catholic V.S. Orthodox (former Yugoslavia)

Catholic V.S. Protestant (Northern Ireland)

Shia V.S. Sunni Muslims (Iraq)

Influence of Economic Globalization

• Economic globalization is accompanied by an increasing secularization based on scientific explanations of phenomena, so reducing religious influences.

Attendance at religious ceremonies and observance of religious rites is decreasing.

Decreasing but still Significant

Science does not provide a system of values or guides to the meaning of life.

Resurgence of Islamic militancy –

a sign of the significance of religious difference after Cold War period of political conflicts

Population & Economic growthPopulation & Economic growth

Population Distribution

75% of world population live within 1000 km of the sea.

85% live in areas less than 500 m above sea-level.

85% live between 20 N – 68 N; less than 10% live in the Southern hemisphere.

Population Density1. Arithmetic density ( 算术密度 ) (where?)• The total number of people divided by total land

area.2. Physiological density( 生理密度 )• The number of people supported by a unit area

of arable land.• The higher the physiological density, the greater

is the pressure that people may place on the land to produce enough food.

Insights into the relationship between population size and the availability of resources in a region.

3. Agricultural density

• The ratio of the number of farmers to the amount of arable land;

• This measure helps explain economic differences between MDC & LDC.

2 & 3 Density:

keys to understand relationship between population and resources in a region.

***see Table projection

Population Change

• Components of Population Change:

Population =

BIRTH – DEATH + IN-MIGRATION – OUT-MIGRATION

Measures of Change

1. Crude Birth Rate (CBR): • The total number of live births in a year

for every 1000 people alive in the society. • A CBR of 20 means that for every 1000

people in a country, 20 babies are born over a 1-year period.

2. Crude Death Rate (CDR):• The total number of deaths in a year for

every 1000 people alive in the society.

3. Natural Increase Rate (NIR):

NIR (%) = CBR - CDR• The percentage by which a population grows

in a year.• NIR = CBR (20) – CDR (5) = 15 per 1000 =

1.5%• “Natural” means a country’s growth rate

excludes migration. Doubling time – • The number of years needed to double a

population, assuming a constant rate of natural increase.

• At the current NIR of 1.5% per year, world population would double in about 50 years.

Population Growth

• This accelerating growth rate is relatively recent phenomena.

• Growth rates doubled 1650-1850, 1850-1920, and 1920-1970.

• It is estimated that population will stabilize at around 12 billion;

95% of growth will be in LDCs.

Population Growth (cont’)

• Large number of children have already been born in LDCs, so even if birth rate falls, population will still grow (population momentum).

• The biggest relative increase will be in Africa (annual rise of 3%).

Demographic Transition & Global Trends

Stage 1 – High Stationary

• Both birth rate and death rate high

• Population fluctuates

• Agriculture revolution around 8000 B.C

• Low growth stage

• No country remain in this stage.

Stage 2 – Early expanding

• Birth rate stays high• Death rate falls rapidly• Life expectancy increases• Population grows very quickly

Industrial revolution in Europe and N. America

Medical revolution in Africa, Asia and Latin America after 1950s

• High growth stage

Stage 3 – Late expanding

• Birth rate falls

• Death rate stays at low level

• Population growth rate rapid at first, then slows.

• Urbanization; education and literacy; women’s status and more employment opportunities

• Moderate growth stage

Stage 4 – Low stationary

• Birth rate and death rate low

• Population stable or grows very slowly

• Low growth stage

Stage 5? – Low declining

• Low birth rate along with an ageing population leads to a declining population.

• close to zero growth rate or even negative growth rate

2 Crucial Difference in the Model

• A circle completed for a country–

From little or no natural increase in stage 1, to little or no natural increase in stage 4.

• Two crucial demographic differences underlying this process –

① At stage 1, the crude birth and death rates are high, while at stage 4 the rates are very low.

② Total population of the country is much higher in stage 4 than in stage 1.

Demographic Transition Model

The above model states that both a population’s mortality and fertility will decline from high to low levels as a result of social and economic development.

Based on the European experience,Also used as a predictive tool to explain ch

ange in developing world.

An Irreversible Process

• The demographic transition is a process with several stages, and every country is in one of them.

• The process has a beginning, middle, and end, and it is irreversible.

• Once a country moves from one stage of the process to the next, it does not revert to an earlier stage.

Global Trends of TransitionGlobal Trends of Transition

• Group 1 – AfricaHigh birth rate, increasing growth rate.Low income;

Low status of women;

Large rural communities;

Lack of infrastructure;

Child workers.

• Group 2 – Asian/Latin America:Declining birth rates and death rates,

stabilizing growth rates.Increased urbanization and

industrialization;

Emancipation of women, at least in the workforce;

Effective family planning measures;

Compulsory education.

• Group 3 – the West:Declining birth rates, declining death rates,

falling growth rates.Ageing population;

Women marrying later;

Consumer society;

Readily available contraception;

“Selfish” society.

Optimum Population Theory

& Population Policy

GD

P p

er h

ead

Optimum

population

Under-

population

Over-

population

Total population

Optimum Population

• The size of population which permits the full utilization of the natural resources of an area giving maximum per capita output and standard of living.

Under-population

• Population is too small to develop its resources effectively.

straining transportation systems

Over-population

• An increase in population or decrease in natural resources which leads to a decrease in standards of living for the population as a whole.

• Carrying capability – The maximum intensity of use which a resource can sustain without an unacceptable deterioration of living standards.

Population–Resource regions

• Optimum population is based on combination of 3 factors:

1. population density

2. Resources

3. technology

• Regions of the world can be classified according to population-resource ratios:

1. USA type

technologically innovative;

low population-resource ratios;

under-population.

2. European type

technologically innovative;

high population-resource ratios;

3. India-China type

technologically deficient;

high population-resource ratios;

overpopulation

4. Brazil type

technologically deficient;

low population-resource ratios

Two opposing views of the effects of population growth

1. Neo-Malthusian

Population Increase

Increased demand for food

Less food per person

Increased mortality

Decreased fertility

Decrease in population growth

Rev. Thomas Malthus (1798)

• “Positive Checks” – solution 1

Diseases or famines to stabilize population;

• “Preventative Checks” – solution 2

Moral restraints are advocated, including late marriage and celibacy until a couple can afford to support children.

Neo-Malthusian

• We are approaching or may already have surpassed the carrying capability of the earth;

• Birth control – the highest priority

Population Policy in ChinaPopulation Policy in China

• China has used concept of optimum population –

to stabilize its population at 1.2 billion by 2000;

to reduce the population to a government-set optimum of 700 million within a century.

• A number of different policies initiated:

Great Leap Forward (1952-60, not really a “policy”)

• Chinese leadership wanted industrialization at any cost.

• Food production ceased to be a top priority.• This coupled with drought led to famine.• Population dropped by 14 million.• An estimated 25 million babies were not

conceived or did not survive.• Infant mortality rate rose to 284/1000

(today the figure is 30/1000)

One-child Policy (late 1970s)

• ‘Only children’ afforded preferential treatment in education, housing, employment.

• One-child families rewarded with salary bonuses.

• Families with two or more children lost 10% of their salaries.

• Compulsory sterilization and forced abortions.

Evaluation of Policy

• Fertility rate have fallen from 2.25 to 1.9• Effectiveness concentrated in the large

cities of north-eastern seaboard• Much foreign criticism of the government’s

aggressively enforced policy• One-child policy giving rise to ‘Little

Emperor’ syndrome – spoilt and overweight only children

• Evidence of resistance, esp. in rural areas

2. Resource optimists

Population increase

Increased demand for food

Improvement in technology

Population growth continues unchecked

Resource optimists

Malthus’ failure to account for scientific progress

• Food supplies have increased faster than population growth over 200 years;

• Technological advances have increased human carrying capability more than once in our history.

Resource optimists

People are the ultimate resource:

• No evidence that population, crime, unemployment, crowding, loss of species, or any other resource limitations will worsen with population growth.

• Through innovation or intensification, humans can respond to increased numbers of population.

The Green Revolution

- Solution to Overpopulation?

The Problem

• Population growth is more rapid than the increase in food production. (e.g.…)

• In India, by 2000, the population reaches 1 billion people;

• And food production will need to increase by 40% to match demand.

• But much of India’s land is of limited potential.

The Solution?The Solution?

• Green revolution – MDCs’ approach of applying science and t

echnology to increase crop productivity has been proposed for LDCs;

Began in 1943; miracle rice was introduced to selected parts of Asia.

Various techniques including –

Genetic engineering

to produce Higher Yielding Varieties (HYVs, 高产变种 )

MechanizationPesticidesHerbicidesChemical fertilizersIrrigation water

Miracle Rice

HYVs – Flagship of Green Revolution

• Up to 55% of India’s crops are now HYVs;• 85% of the Philippines’ crops are HYVs;• 13% of Thailand’s crops are HYVs.

Green Revolution – a major scientific achievement but not a panacea.

The Consequences of Green Revolution

Main benefit:

more food can be produced:

• Yields are higher;

• Up to three crops can be grown each year;

• More food should lead to less hunger;

• More exports create more foreign currency.

Many problems:

• Not all farmers adopt HYVs – some cannot afford the cost;

• As the cost rises, indebtedness increases;

• Rural unemployment has increased due to mechanization;

• LDCs are dependent on many developed countries for the inputs – new seeds, fertilizers, pesticides, herbicides being produced and controlled by multinationals.

• Improper irrigation has led to salinisation – 20% of Pakistan’s and 25% of Central Asia’s irrigated land is affected;

• Soil fertility is declining as HYVs use up all the nutrients; these can be replenished by fertilizers, but this is expensive.

Natural ResourcesNatural Resources

Classification of Natural Resources

Non-renewable (stock) resources:• Those ‘consumed by use’ –

fossil fuels, phosphate fertilizers• Those that are ‘recyclable’ –

metals which can be recoveredThe issueissue is the prospect of running out of non-renewable resources – a significant concern since the 1960s and 1970s.

Q & A

• Is waterwater renewable or non-renewable?

• Is soilsoil finite or infinite resource?

Renewable (flow) resources:• Those ‘not affected by human action’ i.e.

continually available – solar radiation, tidal energy

• Those ‘affected by human action’, i.e. that can be exhausted by over-exploitation – soils, fish, forest ecosystemsThe issueissue is the danger of irreversible damage to the biosphere – a significant concern in the 1980s and 1990s.

Tragedy of the CommonsTragedy of the Commons

• Garret Hardin (1968), American biologist

• Any commonly held resource inevitably is degraded or destroyed because the narrow self-interests of individuals tend to out-weigh public interests.

• Solution would be either to give coercive power to government or to privatize the resource.

Resource BaseResource Base

• Resource scarcity would lead to higher prices, conservation, recycling, or substitution.Proven Reserves – Can be extracted at current prices with current technology.Conditional Reserves –not economic under prevailing conditions of technology and economics.

Speculative resources

might be discovered in areas of favorable geology.

Hypothetical resources

Likely to exist in known mining areas or oil and gas fields which have not been fully explored.

Unconceived resources

rocks and minerals not recognized as having commercial value but may have some future use.

EnergyEnergy

Worldwide Commercial Energy Production

Oi l39%

Coal28%

Natural gas23%

Nucl ear7%

Hydro2%

Geothermal & Wi nd1%

Current Energy Sources

• Fossil fuels provide about 95% of all commercial energy in the world.

• Sustainable or renewable energy resources – solar, hydroelectric, biomass (fuel wood) and other less developed types of power production – currently provide less than 3% of world power needs.

• Nuclear energy provides about twice as much energy as renewable sources.

Producers and Consumers

Top 10 energy surplus countries

• Saudi Arabia, Mexico, Iran, Venezuela, Indonesia, Algeria, Kuwait, Iraq, Libya, Qatar, Nigeria, & the United Arab Emirates (UAE).

Top energy consumers

• Japan, many western European countries, and the US.

Energy Consumption

• The 20 richest countries consume nearly 80% of the natural gas;

65% of the oil;

50% of the coal produced each year.

In general, higher energy use correlates with a higher standard of living.

The linkage is not absolute, however…

• Sweden, Denmark, Switzerland have higher standards of living than does the US by most measures;

but use about half as much as energy as the US does.

• Japan has a far lower energy consumption rate than might be expected for its industrial base and income level.

Effective energy conservation programs in practice for many years.

Oil – Oil – Black GoldBlack Gold

Oil Reserve

• At present rates of production and consumption, known reserves could last for another 40 years.

• Nearly 2/3 of world’s reserves are found in the Middle East.

Percentage of world oil reserves

Middle East 62.5

Latin America 12.5

Former USSR & Eastern Europe 5.9

Africa 5.9

Asia and Australasia 4.5

North America 4.2

Western Europe 1.8

Mi ddl e East27%

Former USSR & EastEurope

20%Asi a & Austral asi a10%

Af ri ca9%

Lati n Ameri ca11%

Western Europe6%

North Ameri ca17%

Oil Production

(63.5 million barrels a day)

Oil Production

OPEC countries account for a large part of world’s oil production.The Old Industrialized Countries (OICs) provide about 23% of world production, yet

80% of oil refining takes place in the triad of North-west Europe, North America, and Japan.

Refineries are no longer associated with oil fields as in the early days of development.

Oil Consumption (65.5 million barrels a day)

Others14%

Former USSR & EastEurope

15%

Asi a & Austral asi a18%

Western Europe27%

North Ameri ca26%

Oil ConsumptionOil consumption largely reflects levels of economic development.

Consumption is mostly in the OICs (48%) and Asia and Australasia (20%);

Oil consumption in OICs has relatively remained constant in recent years;

Asian demand has been growing rapidly;

• China is expanding oil use 10% per year.

Middle East Oil – Geographic Implications

• Critical importance of Middle East OPEC controls the price of crude oil;Increased dependency upon it by all other

regions;Its increased economic and political power;An incentive for OICs to increase energy c

onservation or develop alternative energy;A need for political stability in Middle East.

Environmental Implications

• Oil slicks from tankers – Torrey Canyon (1967), Exxon Valdez (1989)Braer (1993), Sea Empress (1996)

• Damage to coastlines, fish stocks, and communities dependent upon the sea

• Gulf War damage – Oil wells and storage sites can be targets for destruction, resulting in immeasurable environmental damage.

***Iraq war CCTV news clip***

Exxon Valdez

(1989)

Oil refineries by Mississippi River The incidence of tumors among the population living along the waterway has earned this stretch of the river the unflattering nickname of Cancer Alley

Renewable Energy

- HEP, tidal, wind, solar

& nuclear power

Hydroelectric Power (HEP)

• A renewable form of energy that harnesses fast-flowing water with a sufficient head.

• HEP plants are very costly to build;

• Only a small number of places have a sufficient head of water.

Nuclear Power

Advantages

• A cheap, reliable, & abundant source of electricity.

• Plentiful supply of uranium, enough for it to be considered a renewable energy

Unlike coal and oil, which have reserves estimated to last 300 years and 40 years respectively.

Disadvantages• Uranium is a radioactive material;• The nuclear power industry is faced with

the hazards of waste disposal and problems of decommissioning old plants and reactors;

• Disasters happen, as at Chernobyl in April 1986;

• Rising environmental fears concerning the safety of nuclear power and nuclear testing.

AssignmentAssignment

1.1. Essay Essay Topic – • Implications of Earth Summit in Rio de Jane

iro 1992• Less than 500 words;• A4 paper, 小四字体 ;• Deadline – October 14, 2004

2.2. Reading Assignment –Reading Assignment –

China’s Pollution: A Great Wall of Waste

Transportation & TradeTransportation & Trade

Unit 3

Purpose of Transportation Purpose of Transportation

• "The ideal transport mode would be instantaneous, free, have an unlimited capacity and always be available. It would render space obsolete. This is obviously not the case.

• Space is a constraint for the construction of transport networks. Transportation appears to be an economic activity different from the others. It trades space with time and thus money" (translated from [Merlin, 1992]).

Friction of SpaceFriction of Space • Space Overcoming Human and physical constraints –

distance, time, topography and administrative divisions Jointly, they confer a friction to any movement –

friction of space. • Cost Distance involved and nature of what’s being transported• Goal of Transportation

Transform the geographical attributes of freight, people or information, from an origin to a destination, conferring them an added value in the process.

Economic Importance of Economic Importance of TransportationTransportation

• Transport is both a factor and a consequence of economic activities.

Contributes to the value-added of goods and services;

Facilitates economies of scale; Influences land (real estate) value;Participates in the geographic

specialization of regions.

The Growing Importance of The Growing Importance of Transportation Transportation

The following contemporary trends can be identified:

Vehicle Use Indicators, World, 1950-2002

0

10

20

30

40

50

60

6,000

7,000

8,000

9,000

10,000

11,000

12,000

13,000

Annual car production (millions) (left axis)People per automobile (left axis)Miles traveled per passenger vehicle (USA) (right axis)

1. Growth of Demand

• Since the 1950s, the number of automobiles has considerably increased, especially in developed countries. This process of motorization involved a significant reduction in the number of people per automobile, from 48.2 in 1950 to 11.1 in 2001. There are consequently more vehicles per capita, which is a good indicator of potential mobility.

• In 2002, the global automobile fleet was estimated to be around 531 million vehicles, with an annual car production of around 40 million cars.

• Along with number of vehicles, the distance traveled per vehicle is also on the rise.

Transport and Communication Costs Indices, 1920-1990

0

10

20

30

40

50

60

70

80

90

100

1910 1920 1930 1940 1950 1960 1970 1980 1990

Sea Freight Rates

Air Transport (Average revenue perpassenger-km)Telephone call (3 minutes, New York/ London)Computers

2. Reduction of Costs• Transport and communications costs have considerably declined

during the 20th century, notably through the application of economies of scale.

• In 1960, maritime transport costs were a third of their 1920 level. • Air transportation costs have followed a similar trend, but over a

much shorter time lapse. Air transportation boomed after the WWII with the application of significant technological improvements (such as the jet engine).

• Telecommunications are however the sector where costs have decreased the most. In 1990, an international phone call was on average at 1 to 5% of its 1940 cost. With fiber optic cables and decreased costs for satellite use, telecommunications are accessible throughout the world. The current mass diffusion of cell phones is likely to further decrease costs.

• Another significant wave innovation involves information technologies, as indicated by the excessively rapid decrease of computer costs since their initial introduction in the 1960s.

Transportation Network Density (in km per 100 sqr km), 2000

More than 100 km / 1002 km

60-100 km / 1002 km

40-60 km / 1002 km

20-40 km / 1002 km

10-40 km / 1002 km

Less than km / 1002 km

3. Expansion of Infrastructures

• This map represents the density in kilometers per 100 square kilometers of two major land transportation infrastructures, roads and railways.

• They are obviously correlated with major population concentrations.

• The regions having the highest concentrations of infrastructures (shades of blue) are Western Europe, North America and Japan while shades of gray represents marginally serviced areas.

Transport SystemTransport System- 3 core concepts

The Transport SystemNodes

Netw

orks Dem

and

LocationsTerminals

Flows

Friction

PeopleFreight

Information

OriginsDestinationsIntermediacy

Linkages

Transport system – a set of relationships Transport system – a set of relationships between nodes, networks and demand.between nodes, networks and demand.

• Demand for the movement of people, freight and information is a derived function of a variety of socioeconomic activities.

• Nodes are the locations where movements are originating, ending and being transferred.

• Networks are composed of a set of linkages derived from transport infrastructures.

Derived Demand & Spatial Flows

• What is specific to the purpose of transportation is the fulfillment of a demand for mobility as transportation obeys a derived demand.

• Consequently, any movement has a spatial consideration which in turn is linked to spatial flows and their patterns .

• Urbanization, multinational corporations, the globalization of trade and the international division of labor are all forces shaping and taking advantage of transportation at different, but often embedded, scales.

EuropeanPower

C C C

ab

cd

CityPort

Trade

Hinterland

Hierarchical

Spatial Flow Patterns

Spatial Flow Pattern 1

International (trade) patternsInternational (trade) patterns occur between nations and include

entities such as trading blocks (European Union, NAFTA) or dependent territories (colonialism).

These flows mainly reflects the nature of the transactional environment.

Spatial Flow Pattern 2

Hinterland patternsHinterland patterns generally occur between a service

center (e.g. city or a transport terminal such as a port) and its market area.

They are of regional scale and reflect the organization of markets.

Spatial Flow Pattern 3

Hierarchical patternsHierarchical patterns mostly found within the industrial or

commercial sectors and include distribution-related movements through a supply chain (from suppliers to customers).

These flows reflects the spatial organization of distribution.

Dynamics of Transportation Networks

and Geographical

Specialization & Segregation

Transportation Networks and Geographical Specialization

Geographical SpecializationGeographical Specialization

• Five locations are linked by a transportation network; one hub and four feeders.

• Without trade (left figure), each location has to produce the goods it requires.

• With trade (right figure), a process of geographical specialization becomes possible.

Each peripheral location can specialize in producing one good and imports what is not produced on location.

The hub location can specialize at trading goods produced in the four feeder locations.

Specialization

• Linked geographical entities are able to specialize in the production of commodities they have a comparative advantage at, while importing what they do not produce.

• As a result, efficient transportation systems are generally linked with higher levels of regional specialization.

• The globalization of production clearly underlines this process as specialization occurs as long as the incurred saving in production costs are higher than the incurred transport costs.

Transportation Networks and Geographical Segregation

Geographical SegregationGeographical Segregation• Five locations are linked by a transportation network;

one hub and four feeders. • Without trade (left figure), each location has the same

level of importance. • With trade (right figure), a process of geographical

segregation becomes possible. The hub location may see the convergence of

movements and thus increase its importance, while the feeder locations may experience a decline.

Many urban systems have been affected by such a process, as the largest cities, due to accessibility, economies of scale and agglomeration, grew faster than small and medium-sized centers.

Segregation

• Linked geographical entities may see the reinforcement of one at the expense of others, notably through economies of scale.

• This outcome often contradicts regional development policies aiming at providing uniform accessibility levels within a region.

Geographical specialization and segregation processes often occur concomitantly.

Space / Time RelationshipsSpace / Time Relationships

- its change over history

• One of the most basic relationship

transportation has with space involves how much space can be overcome with a given amount of time.

• Transportation, notably improvements in transport systems, changes the relationship between time and space.

1500-1840 Average speed of wagon and sail ships: 16 km/hr

1850-1930 Average speed of trains: 100 km/hr.Average speed of steamships: 25 km/hr

1950 Average speed of airplanes: 480-640 km/hr

1970 Average speed of jet planes: 800-1120 km/hr

1990 Numeric transmission: instantaneous

Space / Time Convergence of the World Transport System

Historical Evolution of Historical Evolution of TransportationTransportation

- 5 Major Stages

1. Transportation in the Pre-Industrial Era (pre 1800s)

• Any forms of mechanized transportation did not exist. • Transport technology was mainly limited to harnessing

animal labor for land transport and to sailing for maritime transport.

• Waterways were the most efficient transport systems available and cities next to rivers were able to trade over longer distances and maintain political, economic and cultural cohesion over a larger territory.

It is not surprising to find that the first civilizations emerged along river systems for agricultural but also for trading purposes: Tigris-Euphrates, Nile, Indus, Ganges, Huang He

Mail Coach, Great Britain, 18th Century

Early European Sailships

The Silk Road and the Arab Sea Routes

Guangzhou

Xi’an

Lanzhou

Dunhuang

Turpan

Hotan

KashgarSamarkand

Merv Bactra

Bukhara

ReyHamadan

Baghdad

Berenike

Alexandria

Tyre

Antioch

ConstantinopleAthens

Rome

Muza

Aden

Kané

Muscat

Sur

Mogadishu

Mombasa

Barbaricon

Barygaza

Muziris

Calcutta

CHINA

INDIA

PERSIA

ARABIA

EUROPE

EGYPT

JAVA

Indian Ocean

Arabian Sea

Sout

h C

hina

Sea

Mediterranean Ocean

Black Sea

Caspian Sea

Gobi Desert

Taklimakan Desert

Atlantic O

cean

Pac

ific

Oce

anRed Sea

SOMALIA

500 Miles

Malacca

Bay of Bengal

Silk Road

• The Silk Road was the most enduring trade route of human history (being used for about 1,500 years).

• It consisted of a succession of trails followed by caravans through Central Asia, about 6,400 km in length.

• Travel was favored by the presence of steppes, although several arid zones had to be bypassed such as the Gobi and Takla Makan deserts.

• Although it is suspected that significant trade occurred about 1,000 years before, the Silk Road opened around 139 B.C. once China was unified under the Han dynasty.

Silk Road cont’• It started at Chang’an (Xi’an) and ended at Antioch or Co

nstantinople (Istanbul), passing by commercial cities such as Samarkand and Kashgar.

• The Silk Road reached its peak during the Mongolian Empire (13th century) where China and Central Asia were controlled by Mongol Khans, which were strong proponent of trade even if they were ruthless conquerors.

• Since the transport capacity was limited, over long distance and often unsafe, luxury goods were the only commodities that could be traded, including silk, gold, jade, tea and spices.

• The Silk Road also served as a vector for the diffusion of ideas and religions (initially Buddhism and then Islam), enabling civilizations from Europe, the Middle East and Asia to interact.

Roman Road Network, 200 AD

500 km

AtlanticOcean

Red Sea

Black SeaAdriatic Sea

Mediterranean Ocean

Roman Road Network

• The Roman Road network covered most of the conquered provinces, with Rome as the focal point. Thus the saying “All roads lead to Rome”.

• The Mediterranean Ocean provided a central role to support trade between a network of coastal cities (Rome, Constantinople, Alexandria, Cartage, etc.). These cities were serviced by a road network permitting trade within their respective hinterlands.

• Little fluvial (river) transportation took place since the major pan-European rivers, the Rhine and the Danube, were military frontiers, not the core, of the Empire.

• The road served numerous functions, such as military movements, political control, cultural and economic (trade).

Grand Canal System

Hangzhou

Suzhou

Yangzhou

Chuzhou

Jizhou

KaifengLuoyang

Beijing

HuaiyinBian Canal(Song)

Tongji Canal (Sui)

Jizhou Canal(Yuan)

Yangzhou Canal(Song and Yuan)

Jiangnan Canal(Sui, Song and Yuan)

Yongji Canal(Sui and Yuan)

Tonghui Canal(Yuan)

Yongji Canal(Sui)

Jiao-Lai Canal(Yuan)

400 km

Old course ofthe Yellow River(Song)

Yellow Sea

East ChinaSea

Early European Maritime Expeditions, 1492-1522

• Early European maritime expeditions, using caravels, were dominated by Portugal and Spain in the late 15th and early 16th centuries.

• The main goal was to find a maritime route to Asia, which could be done by sailing east or west from Europe:

Early European Maritime Expeditions

Treaty of Tordesillas Line (1494)

Cabot (1497)

Colombus (1492-93)

Gama (1497-99)

Magellan (1519-22)

Cape Verde370 leagues

Eastern maritime route – Portugal

• From 1481, Portuguese ships reached the Cape of Good Hope at the southernmost end of Africa. Vasco de Gama rounded the Cape of Good Hope in his 1497-1499 expedition and reached India. He was the first European to reach Asia (India) by a maritime route.

• Portugal was able to trade with India without the traditional Arab intermediaries and gradually took control of all the trade routes between Europe and Pacific Asia.

• In 1511, Malacca, the most important commercial center in Southeast Asia, fell to the Portuguese.

• In 1513, Portuguese explorers reached Canton in China and were able to use Macao as a trade depot (1557).

The eastern maritime trade route to Asia was thus established.

Early European Maritime Expeditions

Treaty of Tordesillas Line (1494)

Cabot (1497)

Colombus (1492-93)

Gama (1497-99)

Magellan (1519-22)

Cape Verde370 leagues

Western maritime route - Spain

• Columbus tried to find the western route to Asia, but stumbled upon the Americas (in the Bahamas, Cuba and Hispaniola) in 1492.

• Cabot would also try to reach Asia in 1497, but unsuccessfully as the coasts of Newfoundland and Labrador were reached instead.

• In 1519, Magellan embarked in an expedition to find the western maritime route to Asia. He successfully reached the Pacific Ocean by rounding the southern tip of South America (1520) and by going through the strait that will later bear his name. After crossing the Pacific Ocean he was killed in 1521 in Southeast Asia. However, one of his ships made the trip back to Europe through the Cape of Good Hope and completed the first round-the-world journey in history (1522).

• Encouraged by this success, Spain conquered the Philippines between 1565 and 1571 and established their colonial capital at Manila.

By using the isthmus of Panama( 巴拿马地峡 ) as an overland route between the Atlantic and Pacific oceans, the western maritime route to Asia was established.

Colonial Trade Pattern, North Atlantic, 18th Century

0 1,000 2,000 3,000500Miles

North Atlantic Ocean

North America

Africa

Europe

South America

West Indies

Dominant wind

Trade Route

Slaves, Gold, Pepper

Sugar, Molasses, FruitsTobacco, Furs, Indigo, Lumber1) Sugar, Molasses, Slaves

2) Flour, Meat, Lumber

Man

ufac

ture

s

1 2

Colonial Trade Pattern

• By the early 18th century, a complex network of colonial trade was established over the North Atlantic Ocean.

This network is partially the result of local conditions and of dominant wind patterns.

• It was discovered in the 15th century, notably after the voyages of Columbus, that there is a circular wind pattern over the North Atlantic.

The eastward wind pattern, which blows on the southern part, came to be known as the trade winds since they enabled to cross the Atlantic.

The westward wind pattern, blowing on the northern part, came to be known as the westerlies.

Colonial Trade Pattern cont’• Since sailships were highly constrained by dominant wi

nd patterns, trade followed. • Manufactured commodities were exported from Europ

e, some towards the African colonial centers, some towards the American colonies.

• This system also included the slave trade, mainly to Central and South American colonies (Brazil, West Indies).

• Tropical commodities (sugar, molasses) flowed to the American colonies and to Europe.

• North America also exported tobacco, furs, indigo (a dye) and lumber (for shipbuilding) to Europe.

This system of trade collapsed in the 19th century with the introduction of steamships, the end of slavery and the independence of many of the colonies of the Americas.

2. The Industrial Revolution and Transportation (1800-1870)

• Massive modifications of transport systems occurred with two major phases:

the first centered along the development of canal systems;

the second centered along railways.

• This marked a new era in the mechanization of land and maritime transport systems alike.

Completion of the Transcontinental Railway Between

New York & San Francisco, 1869

Erie Canal, New York, 1829

Lockport, Along the Erie Canal, New York, circa 1900

Clipper Ships

Clipper Ship “Flying Cloud”

Major Canals Built – 1

Year Built Name Extent

540-1320 Grand Canal Beijing-Hangzhou (2,500 km)

11th Century Naviglio Grande Milan-Adriatic (30 km)

1390-97 Stecknitz Canal Elbe-Trave

(11 km)

1604-42 Briare Canal Seine-Loire

(58 km)

Major Canals Built – 2

Year Built Name Extent

1667-81 Canal du Midi Garonne-Mediterranean (279 km)

1732 Ladoga canal St. Petersburg-Volga (110 km)

1759-61 Bridgewater Canal

Worsley-Manchester (16 km)

1784-1833 Rhine-Rhone canal

Strasburg-Mulhouse-Burgundy (319 km)

Major Canals Built – 3

Year Built Name Extent

1810-24 North Sea canal Amsterdam-North Sea (20 km)

1817-25 Erie canal Buffalo-Albany (544 km)

1836-45 Ludwigs kanal Main-Danube (172 km)

1838-54 Rhine-Marne canal

Saverne gap (314 km)

Major Canals Built – 4

Year Built Name Extent

1859-69 Suez canal Mediterranean-Red Sea (112 km)

1894 Manchester Ship Canal

Manchester-Liverpool (64 km)

1887-95 Kiel canal Baltic Sea-North Sea (99 km)

1906-14 Panama canal Atlantic Ocean-Pacific Ocean (80 km)

1905-38 Mittelland kanal Rhine-Elbe (320 km)

3. Emergence of Modern Transportation Systems (1870-1920)

• Global maritime circulation was dramatically improved when infrastructures to reduce intercontinental distances, such as the Suez (1869) and the Panama (1914) canals were constructed.

Geographical Impact of the Suez Canal, 1869

16,000 KM

10,000 KM

Geographical Impacts of the Suez Canal

• Planned by the French but constructed by the British, the Suez Canal opened in 1869.

• It represents, along with the Panama Canal, one of the most significant maritime "shortcuts" ever built.

• It brought a new era of European influence in Pacific Asia by reducing the journey (blue line) from Asia to Europe by about 6,000 km (around Africa; red line).

The region became commercially accessible and colonial trade expanded.

• Great Britain, the maritime power of the time, benefited substantially from this improved access.

For instance, the Suez Canal shortened the distance on a maritime journey from London to Bombay by 41% and shortened the distance on the journey from London to Shanghai by 32%.

Geographical Impact of the Panama Canal, 1914

NORTH AMERICA

SOUTH AMERICA

Panama Canal

21,000 KM

8,000 KM

Pacific Ocean

Atlantic Ocean

Geographical Impacts of the Panama Canal

• The Panama Canal, completed in 1914, considerably shortens the maritime distances between the American East and West coasts by a factor of 13,000 KM.

Pan

ama

Can

al

Gibraltar Suez

Strait of M

alacca

The Geographical Space of Maritime Transportation

The Geographical Space of Maritime Transportation

P A I P

M

Panama

MagellanGood Hope

SuezGibraltar

Malacca

Sunda

Northwest

Rail systems reached a phase of maturity

• This period also marked to golden era of the development of the railway transport system as railway networks expanded tremendously and became the dominant land transport mode both for passengers and freight –

Evolution of the Railway Network (in km), 1850-1913

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1850 1870 1900 1913

Africa

Asia

South America

North America

Europe

This era also marked the first significant

developments in telecommunications.

Telegraph Receiver

, 1844

4. Transportation in the Fordist Era (1920-1970)

• Adoption of the assembly line as the dominant form of industrial production

• Diffusion of the automobile, especially from the 1950s has drastically changed lifestyles and the structure of cities, notably for developed countries.

It created suburbanization and expanded cities to areas larger than 100 km in diameter in some instances.

• The rapid diffusion of the automobile marked an increased demand for oil products and other raw materials such as steel and rubber.

Assembly Line of the Ford T Model, 1913

Ford T Coupelet, 1915

Freight Transport

• With economies of scale, freight transportation was able to move low-cost bulk commodities such as minerals and grain over long distances.

• Oil tankers are a good example of the application of this principle to transport larger quantities of oil at a lower cost, especially after WWII.

Maritime routes were expanded to include tanker routes, notably from the Middle East.

In the 1960s, tanker ships of 100,000 tons became available.

At the beginning of the 1980s, a ship of 550,000 tons is able to transport 3.5 millions tons of oil annually between the Persian Gulf and Western Europe.

19421975Modern VLCC (305 m)

T2 Tanker (153 m)

Comparison between a Contemporary and Second World War Tanker

Air Transport

• The first balloon flight took place in 1783. • The first propelled flight was made in 1903 by

the Wright brothers and inaugurated the era of air transportation.

• The 1920s and 1930s saw the expansion of regional and national air transport services in Europe and the United States with successful propeller aircrafts such as the Douglas DC-3.

• In 1958, the first commercial jet plane, the Boeing 707, entered in service and revolutionized international movements of passengers, marking the end of passenger transoceanic ships.

First Free Ascent of a Hot-air Balloon With Passengers, 1783

Wright Brothers First Airplane

Douglas DC-3

Boeing 707

Telecommunications

• Basic telecommunications infrastructures, such as the telephone and the radio, were mass marketed during the Fordist era.

Bell’s First Telephone

5. A New Context for Transportation : th

e Post-Fordist Era (1970-) • Telecommunications enabled growing information

movements, especially for the financial and service sectors, reaching the era of individual access, portability and global coverage.

• After 1970 telecommunications successfully merged with information technologies –

The information highway became a reality as fiber optic cables gradually replaced copper wire, multiplying the capacity to transmit information between computers.

This growth was however dwarfed by the tremendous growth in processing power of computers, which are now fundamental components of economic and social activities in developed countries.

A network of satellite communication was also created to support the growing exchanges of information, especially for television images.

Diffusion of Telecommunication Services, 1985-2002 (in millions)

0

200

400

600

800

1000

1200

1400

1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

Cellu

lar P

hone

Sub

scrib

ers

0

20

40

60

80

100

120

140

160

180

Inte

rnet

Hos

t Com

pute

rs

Cellular Phone Subscribers

Internet Host Computers

Containers

• In a post-Fordist system, the fragmentation of the production, organizing an international division of work increased the quantity of freight moving at a local, regional and international scales.

• This in turn required increasing efforts to manage freight and reinforced the development of logistics systems.

• Containers, main agents of the modern international transport system, enabled an increased flexibility of freight transport, mainly by reducing transshipment costs and delays:

Containers (cont’) Handling a container requires 25 times less

labor than its equivalent in bulk freight. They were introduced by the American

entrepreneur McLean which initially applied containerization for land transport.

However, the true potential of containerization became clear when interfacing with other modes became possible, mainly between maritime, rail and road transportation.

By early 1980s, container services with specialized ships (cellular containerships, first introduced in 1967) became a dominant aspect of international and regional transport systems.

First Containership, Ideal-X, 1956

Ideal-X being Loaded, 1956

First Generation (1956-1970)

Converted Tanker

Second Generation (1970-1980)

Cellular Containership

Third Generation (1980-1988)

Panamax Class

Fourth Generation (1988-2000)

Post Panamax Plus

Fifth Generation (2000-?)

Post Panamax

Converted Cargo Vessel

Five Generations of Containerships TEULength

135 m

200 m

500

800

215 m1,000 –2,500

250 m 3,000

290 m 4,000

275 –305 m

4,000 –5,000

335 m5,000 –8,000

Draft

< 9 m

10 m

11-12 m

11-13 m

13-14 m

Global Fleet of Containers, 2000 (in TEUs)

0 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000

2000

1999

20 Foot

40 Foot

Other

Remarkable Improvements in Air & Rail Transportation in late 1960s and early 1970s

• The first commercial flight of the Boeing 747 between New York and London in 1969 marked an important landmark for international transportation (mainly for passengers).

• At the regional level, the emergence of high-speed train networks provided fast and efficient inter-urban services, notably in France (1981; TGV; speeds up to 300 km/hr) and in Japan (1964; Shinkansen; speeds up to 275 km/hr).

Boeing 747

TGV Train at Gare de Lyon, Paris, France

Shinkansen

Maglev Train, Shanghai 2003

ULTra (Urban Light Transport) System, Cardiff, UK

1800

1900

1950

2000

Maritime Road Rail Air

Docks

LocksRailsOmnibus

Steam engine

Electric motorBalloons

DirigiblesIronhulls

Internal combustion engineMetro

TramwayAutomobileLiners

Bicycles

PlanesTrucks

Buses

Electriccar

Hydrogencar

Airfoils

Supertankers

TGV

Maglev

Jet engine

Jet Plane

Containerships

Helicopters

Bulk ships

Highways

Jumbo Jet

Evolution of the Transport Technology, 1750-2000

Transportation & World Economy

• Technological evolution in the transport sector is linked with the phases of economic development of the world economy.

• Transportation and economic development are consequently interlinked as one cannot occur without the other.

Phases of Development of the World Economy

  1500-1780 1780-1880 1880-1970 1970-

Mode of Accumulation

Economic system

MercantilismIndustrial

capitalismMonopoly

capitalismCorporate

capitalismSource of

growthTrade in commodities Manufacturing Manufacturing

Manufacturing and services

Production unit

Workshop FactoryMultinational

corporationCorporate

system

World-System Characteristics

Space relations

Trade routes Atlantic basin International Global

Supply system ColonialismColonialism /

ImperialismState imperialism

Corporate imperialism

Hegemonic powers

United Provinces, Mediterranean city states

Britain Britain, USA USA

Reading Assignment

1. Transportation Mode –

Maritime Transportation and Intermode Transport

2. The World Car Industry – 3 articles (Economist)

Transportation ModeTransportation Mode

An Overview

Transport Modes

• Vehicles supporting the mobility of passengers, freight and information;

• Infrastructures supporting their movements.

• Each mode is characterized by a set of technical and operational attributes:

Roman Road (Appian Way)

Road Transportation• Road Infrastructures – Large consumers of space with the lowest level of

physical constrains among transportation modes; Environmental constraints are significant in road

construction. • Road transportation – Average operational flexibility as vehicles can serve

several purposes but are rarely able to move outside roads;

• High maintenance costs – both for the vehicles and infrastructures. Mainly linked to light industries where rapid movements of freight in small batches are the norm.

Car Manufacturers –

Dominant Players in Global Economy  • Even if the car is not an international transport

mode, its diffusion has expanded global trade of vehicles, parts, raw materials and fuel.

• Car production, which used to be mainly concentrated in the US, Japan and Germany, has become a global industry with a few key players.

• This has led the growing mobility but also to congestion and waste of energy –

As of the 21st century begins, the automobile accounts for about 80% of the total oil consumption in developed countries.

Automobile Production, United States, Japan and Germany, 1950-2000 (in millions)

0

5

10

15

20

25

30

35

40

Germany

Japan

United States

World

Global Production per Car Manufacturer, 1996

General Motors14.3%

Ford/Mazda12.6%

Volkswagen10.6%

Toyota10.3%Fiat

6.3%

PSA6.3%

Nissan6.0%

Honda5.4%

Renault5.1%

Mitsubishi3.1%

Others20.0%

Global Production per Car Manufacturer, 1999

GM (Saab, Isuzu,Subaru, Suzuki, Fiat)

23%

Ford / Mazda / Volvo17%

Volkswagen9%

Toyota9%

Renault-Nissan9%

DaimlerChrysler8%

Others25%

Global Production per Car Manufacturer, 1996-2002

0

10,000

20,000

30,000

40,000

50,000

60,000

1996 1998 2000 2001 2002

DaimlerChrysler

Other

Mitsubishi

Renault

Honda

Nissan

PSA

Fiat

Toyota

Volkswagen

Ford/Mazda

GM

Road Transport Density Measures, G7 Countries, 1996

0 5,000 10,000 15,000 20,000 25,000 30,000

Canada

France

Germany

Italy

Japan

United Kingdom

United States

km per million people

km per 1,000 sqr. km

The Interstate Highway System

§̈¦I10

§̈¦I15

§̈¦I90

§̈¦I20

§̈¦I40

§̈¦I25

§̈¦I70

§̈¦I95

§̈¦I75

§̈¦I80

§̈¦I94

§̈¦I29

§̈¦I84

§̈¦I55

§̈¦I5

§̈¦I35 §̈¦I44

§̈¦I81

§̈¦I65

§̈¦I64§̈¦I57

§̈¦I30

§̈¦I91

§̈¦I77

§̈¦I74

§̈¦I8

§̈¦I69

§̈¦I45 §̈¦I49

§̈¦I79

§̈¦I89

§̈¦I76

§̈¦I24

§̈¦I59

§̈¦I16

§̈¦I85

§̈¦I87

§̈¦I26

§̈¦I17

§̈¦I82

§̈¦I71

§̈¦I78§̈¦I88

§̈¦I4§̈¦I37

§̈¦I27

§̈¦I39

§̈¦I43 §̈¦I495

§̈¦I135

§̈¦I35W

§̈¦I96

§̈¦I12

§̈¦I72

§̈¦I435§̈¦I275

§̈¦I390

§̈¦I83

§̈¦I380

§̈¦I66§̈¦I680

§̈¦I405

§̈¦I395

§̈¦I19

§̈¦I285

§̈¦I86

§̈¦I35E

§̈¦I73

§̈¦I270

§̈¦I99§̈¦I280

§̈¦I295

§̈¦I185

§̈¦I410

§̈¦I195

§̈¦I271

§̈¦I610

§̈¦I205

§̈¦I505

§̈¦I155

§̈¦I240

§̈¦I290§̈¦I180

§̈¦I805

§̈¦I210

§̈¦I696

§̈¦I675

§̈¦I440

§̈¦I265

§̈¦I480

§̈¦I181§̈¦I264

§̈¦I110

§̈¦I565

§̈¦I164

§̈¦I526

§̈¦I105

§̈¦I470§̈¦I235

§̈¦I244

§̈¦I229

§̈¦I481

§̈¦I540

§̈¦I430

§̈¦I787

§̈¦I640

§̈¦I520

§̈¦I894

§̈¦I581

§̈¦I515

§̈¦I676

§̈¦I705

§̈¦I44 S

§̈¦I510

§̈¦I129

§̈¦I535

§̈¦I70 L

§̈¦I124

§̈¦I115

§̈¦I94 S

§̈¦I315

0 200 400 600 800100Miles

Rickshaws, Jog Jakarta, Indonesia

Bicycles adapted to transport passengers, provide a low cost and flexible mode of urban transportation, notably in Southeast Asia.

Cycling in LDCsCycling in LDCs

• Cycling is to be considered an alternative to the automobile in urban areas, widely adopted in developing countries, although more for economic reasons.

World Bicycle Production, 1950-2001

0

20

40

60

80

100

120

Mill

ions

World

China

Share of Cycling over the Total Amount of Trips, mid 1990s

0 5 10 15 20 25 30

Japan

United States

United Kingdom

Germany

Danmark

Netherlands

Sweden

Switzerland

Cycling in MDCs out of EnvironmCycling in MDCs out of Environmental Concernsental Concerns

• The reduction of vehicle emissions and the impacts of infrastructures on the environment are mandatory to promote a sustainable environment in many more developed countries.

Rail Transportation

• Average level of physical constrains linked to the types of locomotives and affected by the gradient.

Heavy industries are traditionally linked with rail transport systems.

Containerization has improved the flexibility of rail transportation by linking it with road and maritime modes.

Geographical Settings of Rail Lines

Penetration LinesLocal / Regional NetworksTranscontinental Lines

Nation A

Nation B

Penetration Lines• Their main purpose is to link a port city with its

hinterland, particularly in order to access natural resources such as minerals, agricultural products and wood products.

• It also represented one of the initial stages of rail development, notably in the US, which later became regional networks linked by transcontinental lines.

• This type of system is today mainly found in developing countries (Africa and Latin America) and was partially the result of the colonial era.

• Transporting freight is the dominant function of this type of network, although passenger traffic can be significant.

Local / Regional Networks

• They are servicing high density population areas of developed countries with the goal to support massive shipment of freight and passengers.

• Regions with the highest rail density are Western Europe, the Northeastern part of North America and Japan.

Transcontinental Lines

• These lines were mainly established for territorial conquest and the establishment of a national sovereignty.

The most relevant examples are in the United States, Canada, Russia and Australia, which have built rail systems of this scale.

• Today, transcontinental rail lines are being established to attenuate the discontinuity of maritime transportation by transporting containers. They are a chain in the global intermodal transport system.

2 Main Transcontinental Bridges (or Landbridges)

In Euro-Asia & North America

The world’s longest continuous train route from Moscow to Vladivostok, Trans-Siberian Railway cross 7 time zones and cover more than 9,300 kilometers (more than 5,779 miles), constructed from 1891 to 1904.

Trans-America Railway

Nature of Rail Transport

• Rail transportation is characterized by a high level of economic and territorial control since most rail companies are operating in situation of monopoly, as in Europe, or oligopoly, as in North America.

Operating a rail system involves using regular (scheduled), but rigid, services.

World Rail Passenger Traffic, 1980-2002

0.000

0.200

0.400

0.600

0.800

1.000

1.200

1.400

1.600

1.800

2.000

Bill

ions

of p

asse

nger

s-km

Asia

America

Africa and Middle East

Europe

Total Passengers-km

World Rail Freight Traffic, 1997-2002

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

1997 1998 1999 2001 2002

Billi

ons

of to

ns-k

m

AsiaAmericaAfrica and Middle EastEurope

Domestic Rail Passenger Travel and Freight Activity, G7 Countries, 1996

0 50 100 150 200 250 300

Canada

France

Germany

Italy

Japan

United Kingdom

United States

Passenger-kms (billions) Ton-kms (billions)

1979.7

Geographical Differences in the economic preference o

f rail transportation among MDCs

• Rail freight dominates in the US and Canada while passengers are a residual function.

This is mainly related to the geographical scale of their respective rail systems along with a preference on road and air transportation for inter-urban passenger movements.

This confer an advantage for the flow of rail freight as it is uninterrupted by passenger flows.

• Western Europe and Japan have a reverse situation where rail transportation tends to be dominated by passengers.

As a result, rail freight flows are often marginalized and constrained to use the system during the night.

Development of High Speed Train to Improve Rail Popularity, Europe and Japan, 1965-2000

0

20

40

60

80

100

120

140

Bill

ions

of P

asse

nger

-km

s

Europe

Japan

• “Whosoever commands the sea commands trade;

Whosoever commands the trade of the world commands the riches of the world,

and consequently the world itself.”

Sir Walter Raleigh (c1610).

International Seaborne Trade and Exports of Goods, 1955-2001

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

Seaborne Trade (billions of tons of goods loaded)

Exports of Goods (trillions of $US)

Maritime Transportation and International Trade

• The growth of maritime transportation is strongly correlated with the growth of international trade:

From about 800 million tons loaded in 1955, maritime traffic has almost reached 6 billion tons in 2000.

Major fluctuations in export values in the 1970s and 1980s were mainly linked with oil price variations.

More recently, the development of containerized maritime transportation was linked to a growing trade of value-added commodities.

Maritime Activities Divided in 2 Major Categories:

• Interior Waterways: 1.Western Europe, 2.the Volga / Don system, 3.St. Lawrence / Great Lakes system, 4.the Mississippi and its tributaries, 5.the Amazon, 6.the Panama / Paraguay,7.the interior China.

Fluvial Transport System, Lower Yangtze Delta

Shanghai

Nanjing

Suzhou

Wuxi

Changzhou

• Transcontinental Waterways: The Atlantic Ocean –

Very important maritime space 78% of the global trade; 68% of its value;75% of the maritime trade.

Trade over the Pacific has experienced very strong growth: - Dependence of developed countries for energy, minerals and agricultural products: - Increased importance of large maritime companies as well as a division of labor and capital in the maritime industry. - Markets, technology and capital are provided by developed countries and labor by developing countries.

Maritime Routes and Strategic Locations

SuezHormuz

PanamaMalacca

Magellan

Good Hope

Gibraltar

Bab el-Mandab

Capacity of Key Strategic Passages

Standard Capacity Depth TEU

Panamax 65,000 dwt 12 meters (40 feet)

4,000

Suez-max 120,000 dwt

16 meters (58 feet)

12,000

Malacca-max

300,000 dwt

21 meters (68 feet)

18,000

Oil Transited at Major Strategic Locations, 2001

13.0

10.3

3.3

3.8

2.0

0.6

0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0

Strait of Hormuz

Strait of Malacca

Bab el-Mandab

Suez Canal & Sumed Pipeline

Bosporus

Panama Canal

Million barrels per day

Panama Canal: Gatun Locks (Atlantic Ocean access)

Panama Canal: Miraflores Locks(Pacific Ocean access)

Containership on the Suez Canal

Suez Canal• "For over 80 years the Canal was essentially a foreign

enclave. The Suez Canal Company, which owned and operated the Canal was an Egyptian cooperation, but practically all the share capital was held abroad. Foreigners controlled the board of directors and constituted the great bulk of the managerial and technical staff. Only a fraction of the profits went to Egypt.

• In 1949, the Suez Canal Company concluded an agreement with the Egyptian Government establishing new conditions of administration more favorable to the country, including an increased share of the profits and a provision enlarging the countries representation on the board of directors."

• "Presumably the agreement of 1949 would forever satisfy the Egyptians. However, in 1956 the Nasser regime seized control of the canal and claimed its sovereign right to govern its use. Thus the Suez canal remains to this day, a national treasure to the Egyptian people, making the country millions of dollars daily."

Shipping Lanes and Strategic Passages in the Middle East

IranIraq

Saudi Arabia

Egypt

Turkey

Indian Ocean

Hormuz

Bosporus

Bab el-Mandab

Suez

123

Oman

Yemen

Pakistan

1) United ArabEmirates2) Qatar3) Kuwait

Red Sea

PG

PG: Persian Gulf

Shipping Lanes and Strategic Passages in Pacific Asia

Hormuz

Malacca

Sunda

Lombok

Makassar

China

India

Tsugaru

Sout

h C

hina

Sea

Pacific Ocean

Indian Ocean

Japan

Indonesia

0 200 400 600 800100Miles

The Strait of Malacca

IndonesiaIndonesiaM

alaysia

Malaysia

Thailand

Indian Ocean

Strait of Malacca

Gulf of ThailandIndian Ocean

Pacific Ocean

Singapore

Strait of Sunda

South China Sea

Port of Singapore

increasingly specialized in container traffic

40 0 4020 Miles

The Dardanelles and Bosporus Passages

Black Sea

MediterraneanOcean

Marmara Denizi

Dardanelles

Bosporus

Istanbul

Turkey

Turkey

Greece

Maritime Transportation

• High terminal costs

Port infrastructures are among the most expensive to build, maintain and improve.

• High inventory costs

linked to heavy industries more than any other mode, e.g. steel and petrochemical facilities adjacent to port sites

Types of Maritime Routes

Port-to-Port Pendulum Round-the-World

• Port-to-port. Involves a more or less regular service

between two ports, often moving back and forth, but very likely the flow of freight is unidirectional. This system has the disadvantage of offering limited connectivity and mainly represents movements of raw materials, notably oil and minerals, between zones of extraction and industrial regions.

• Pendulum. Involves a regular itinerary between a sequence of ports, often serviced by geographical proximity. A set of ports along one seaboard are serviced and then an ocean is crossed and the process is repeated along another seaboard. This is notably the case between Western Europe and the Eastern Seaboard of the United States. This type of route is more characterizing cargo, notably containerized cargo.

• Round-the-World. Involves servicing continuously a sequence of ports, often in both directions, so that sequence enables a round trip around the world. A limited amount of ports per continent are serviced. This type of maritime route strictly concerns container shipping.

Evergreen Round-the-World Route, Westbound

Round-the-world routes• Introduced in 1984 by the Taiwanese container

shipped Evergreen. • This route takes about 69 days and is serviced

by about 104,000 TEUs ships in each direction (Westbound and Eastbound). Each port was thus called twice a week.

• However, by early 2002 this service was replaced by two pendulum services offering higher service frequencies:

1. North Europe, North and Central America and East Asia;

2. North Europe, Asia and the Pacific North West

Pendulum Route: OOCL Container Services on the North Atlantic, 1997

Pendulum Route: OOCL Container Services on the North Atlantic, 1997

• The Hong Kong based shipper Orient Overseas Container Line (OOCL) maintains several pendulum services over the North Atlantic.

• The North Atlantic Express (NAX) routes are such examples where two maritime facades are linked by pendulum services:

The NAX-1 route linked US North Atlantic ports (Boston, New York and Norfolk) with Western European ports (Le Havre, Rotterdam, Bremenhaven and Felixstowe).

The NAX-2 route focused on US South Atlantic ports (Savannah, Jacksonville, Houston and Miami).

Maritime Enclaves and Accessibility

Less than 700 km

More than 700 km

Maritime Enclave

Maritime Enclaves• Not every territory has a direct access to the

ocean.• Maritime enclaves are such countries that have

difficulties to undertake maritime trade since they are not part of an oceanic domain of maritime circulation.

• Every continent, except North America has maritime enclaves.

• Major enclaves include Bolivia, Switzerland, Austria, and Mongolia.

• This requires agreements with neighboring countries to have access to a port facility through a road, a rail line or through a river.

Maritime Enclaves cont’

• However, being an enclave does not necessarily imply an exclusion from international trade, but substantially higher transport costs which may impair economic development.

Landlocked countries have transport costs which are on average 50% higher than countries that are not.

The median landlocked country has less than 40% of the trade volume of the median coastal country.

Maritime freight is usually considered in two categories: • Bulk cargo – 散装货 / 统装货 Refers to freight, both dry or liquid, that is not pa

ckaged such as minerals (oil, coal, iron ore) and grains.

It often requires the use of specialized ships such as oil tankers as well as specialized transshipment and storage facilities.

Conventionally, this cargo has a single origin, destination and client.

It is also prone to economies of scale.

• Break-bulk cargo – 杂散货 Refers to general cargo that has been packaged

in some way with the use of bags, boxes or drums.

This cargo tends to have numerous origins, destinations and clients.

Before containerization, economies of scale were difficult to achieve with break-bulk cargo.

Maritime shipping is dominated by bulk cargo, which roughly accounted for 72.6% of all the ton-miles shipped in 2000. But the share of break-bulk cargo is increasing steadily, mainly because of containerization.

The maritime shipping industry offers two major types of services:

• Charter services (also known as Tramp)租船业务 :

a maritime company rents a ship for a specific purpose, commonly between a specific port of origin and destination.

notably used in the case of bulk cargo, mainly petroleum, iron ore, grain or coal, often requiring specialized cargo ships.

• Liner shipping services 班轮运输业务 : Involves a regular scheduled shipping service oft

en calling several ports along a pendulum route. To insure reliability, frequency and a specific lev

el of service, many ships can be allocated to a single route.

These shipping services are available to any freight importer of exporter, implying that the cargo being carried on any given ship belongs to different interests.

A growing share of liner services is containerized.

Governments Intervention in the Maritime Transportation

• Governments have intervened, often massively, in the maritime sector to fulfill different goals such as economic development, national defense, prestige, and the protection of the national industry.

Cabotage ( 沿海航行权 / 国内海运权 ) regulations have been one of the privileged measures to protect the national maritime transportation industry.

Cabotage and Pendulum Service

• Since many container shipping services have a pendulum structure, cabotage imposes some restrictions on these services:

• A pendulum service must be specifically structured in order not to infringe national cabotage laws that prevents a foreign maritime company to carry freight between domestic ports.

• For instance, in a pendulum service D-A-B-C-D, a maritime company registered in country 2 has the right to unload or load freight at ports A, B or C in country 1 as long as this freight is coming from or bound to a foreign port (port D in this case). Moving freight from port A to port B or C would not be permitted since it would be considered cabotage. That same maritime company would however be able to carry freight between ports D, E and F (cabotage) since it is registered in country 2.

Flags of Convenience 方便旗 / 方便船籍 / 权益船籍

• The maritime industry is now more deregulated than before because of technical changes, mainly containerization, and open registry ships operating under flags of convenience.

• By 1998, about 46% of the ships and about 62% of the global tonnage was registered under a flag of convenience.

Tonnage by Country of Registry, 2003

• The usage of a flag of convenience refers to a national owner choosing to register one or more vessels in another nation in order to avoid higher regulatory and manning costs.

• The above graph shows that the countries having the largest registered fleets are offering flags of convenience (Panama, Liberia, Greece, Malta, Cyprus and the Bahamas) have very lax regulations. Ship registry is a source of additional income for these governments. Even the landlocked country of Mongolia is offering ship registry services.

Air Transportation

• Air routes: Practically unlimited; • Denser over the North Atlantic, inside North America and

Europe and over the North Pacific. • Air transport constraints:• Including the site (a commercial plane needs about 3,300

meters of track for landing and take off), the climate, fog and aerial currents. Air activities are linked to the tertiary sectors, notably finance and tourism that require movements of people.More recently, air transportation has been accommodating growing quantities of high value freight.

World’s 10 Largest Passengers Airlines, 2000 (in 1,000

passengers)

0 20,000 40,000 60,000 80,000 100,000 120,000

Delta Air Lines

American Airlines

United Airlines

Northwest Airlines

US Airways

Lufthansa

Continental Airlines

All Nippon Airways

Air France

British Airways

World’s 10 Largest Freight Airlines, 2000 (in 1,000 tons)

0 1,000 2,000 3,000 4,000 5,000

Federal Express

United Parcel Service

Korean Air Lines

Lufthansa

Japan Airlines

Singapore Airlines

Cathay Pacific

Northwest Airlines

British Airways

Air France

Pipelines

• Pipeline routes are practically unlimited. The longest gas pipeline links Alberta to Sarnia

(Canada), which is 2,911 km in length. The longest oil pipeline is the Transiberian, exte

nding over 9,344 km to Western Europe from the Russian arctic oilfields in eastern Siberia.

• Pipeline construction costs vary according to the diameter and increase proportionally with the distance and with the viscosity of fluids (from gas to oil).

• Pipeline terminals are very important since they correspond to refineries and harbors.

Globalization and International Trade Patterns

A Macro View

Trade and the Global Economy

Economic Rationale of Trade

• The economic benefits of international or regional trade are numerous.

Without trade, each unit must produce a set of basic goods to satisfy the requirements of the national economy. In the above example, four countries are each producing four different goods. National markets tend to be small, impairing the potential economies of scale leading to higher prices and often monopolistic or oligolopolistic situations. Product diversity also tends to be limited because of the market size and standards (such as safety or component size) may even be different.

With trade, competition increases and a redistribution of production often takes place as comparative advantages are being exploited. In the above example, the outcome of trade liberalization involves a specialization of production of one good in each country and the trade of other goods between them. Greater economies of scale that are achieved through specialization result in lower prices. A situation of interdependencies is thus created.

Major Global Trade Routes, 1400-1800

Mexico Havana

PeruBrazil

West Africa

WesternEurope

Manila

PacificOcean

PacificOcean

IndianOcean

East Africa

IndiaChina

Southeast Asia

Baltic

Hormuz

Aden

Aceh

North America Central Asia

Canton

Malacca

Caribbean

AtlanticOcean

Trade Route

Dominant Capital Flow

Major Global Trade Routes

• From 15th to 19th century a pattern of global trade flows emerged: China, India and Southeast Asia have been for centuries the origin

of trade flows mainly involving luxury goods (spices, silk, tea, porcelain, etc.).

This involved a positive flow of capital as their trading partners did not have much to offer in exchange except cash (silver).

This pattern would last until the 19th century when India was incorporated in the British Empire, the Chinese trade fell in the hands of Western powers (England, France, US) and Southeast Asia was colonized (Dutch, English, French and Spain).

• The colonial involvement of Western European countries, starting in the 16th century, created new trade flows as well as insuring European control on existing ones (especially the Asia trade).

Spain and Portugal, the first European maritime powers, controlled much of the global flows in the 16th century through a system of colonial exploitation.

Much capital thus flowed back to Europe.

Economic Integration and Interdependencies

• International trade consequently demonstrates the extent of globalization with increased spatial interdependencies between elements of the global economy and consequently their level of integration.

• Interdependencies imply numerous relationships where exchanges of capital, goods, raw materials and services are established between regions of the world.

• Trade has also been facilitated by growing levels of economic integration that have been established by processes such as the European Union or the North American Free Trade Agreement.

a

b

c

d

e

f

g

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b

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G1

G2

Independent Nations Interdependent Groupsof Nations

Economic Integration and Interdependencies

Impacts of Integration Processes on Networks and FlowsN

etw

ork

Flow

s

Before Integration After Integration

International border

Impacts of Integration Processes on Networks and Flows

• Prior to integration processes, the development of national transportation networks supporting national flows was privileged.

Transborder linkages and flows tended to be not well developed.

• Integration obviously promotes transborder flows, which may be accompanied by the development of new linkages to support them.

The Canadian / American border is a good example of the impacts of economic integration (NAFTA) on transborder trade flows, with the north / south component growing substantially.

Levels of Economic Integration

Free trade between members: NAFTA, Mercosur, ASEAN (partial)

Free Trade

Common external tariffsCustoms Union

Factors of production move freely between members

Common Market

Common currency, harmonized tax rates, common monetary and fiscal policy: EU (partial)

Economic Union

Common governmentPoliticalUnion

Leve

l of i

nteg

ratio

n

Complexity

Major Economic Blocs, 2000

NAFTA

Andean Pact

Mecosur

Caricom

EFTA

EU

Europe's Associates

ASEAN

World Trade Flows

• The liberalization of trade, as confirmed by the implementation of the World Trade Organization, has given a strong impetus and a positive trend in the growth rate of world trade and industrial production.

• This can be further exemplified by the amount of world trade flows since the last decade where trade within regions accounts for a greater share of total trade than trade between regions.

World Trade Flows, 2001 (billion $US)

Western Europe(1,677)

North America(391)

Asia / Pacific(722)

Rest of theWorld(285)

376

207

312

333

195

252

205

287

188

255

174

96

Trade by Major Economic Bloc

0 5 10 15 20 25 30

Intra EFTA

Intra EU

Intra NAFTA

EU-NAFTA

NAFTA-EU

Percentage

1995

1990

World Trade Flows, 2001 (billion $US)

• The last three decades have seen important modifications in international trading flows:

The bulk of international trade occurs within economic blocs, especially the European Union and NAFTA;

Other significant flows are between Asia / Pacific and the North America (esp. US), between Europe and North America,between Europe and Asia / Pacific. For several reasons, such as geographical proximity (Eastern Europe), energy (Middle East) and colonial (Africa), the European Union has significant trading linkages with the "rest of the world".

World’s 10 Largest Exporters and Importers, 2002

0 200 400 600 800 1000 1200

United States

Germany

Japan

France

China

United Kingdom

Canada

Italy

Netherlands

Hong Kong, China

Billions of $US

Imports

Exports

World’s 10 Largest Exporters and Importers, 2002

• The above graph underlines two geographical aspects of international trade:

Market size. Imports are a good indicator of the size of a national market as well as the flows of merchandises servicing the needs of an economy. The United States, Germany and Japan are the world's largest importers and consequently the world's largest economies. The integration of China to the global economy has been accompanied by a growing level of participation to trade both in absolute and relative terms, making China the 7th largest exporter in 2000 and the 5th largest in 2002.

Trade imbalances. Some countries, notably the United States, France, the United Kingdom and Hong Kong, have significant trading deficits. This aspect is dominantly linked with service-oriented economies that have experienced a relocation of labor-intensive production activities to lower costs locations. On the other hand, countries having a positive trading balance tend to be export-oriented with a level of dependency on international markets. Germany, Japan, Canada and China are within this category.

Geography of International Trade

• The graph also reveals a dominance of a small number of countries, mainly in North America and Western Europe:

The United States, Germany and Japan account for about 30% of all global trade (28.5% of exports and 32.1% of imports);

G7 countries account for 45.7% of all global exports and for 49.0% of all imports;

A growing share is being accounted by the developing countries of Asia, with China accounting for the most significant growth.

• Those geographical and economic changes are also reflected over trans-oceanic trade with Trans-Pacific trade growing faster than Trans-Atlantic trade.

Trade by Ocean, 1995

0% 20% 40% 60% 80% 100%

1990

1995Pacific

Atlantic

Other

Share of Asia in World Trade, 1980-2002

10

12

14

16

18

20

22

24

26

28

1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002

Exports

Imports

Share of Asia in World Trade

• Over the last 20 years, the contribution of Asia to global trade has increased substantially, notably its exports.

From about 16% of global exports in 1980, this share climbed to about 27% in 2000.

This trend can partially be explained by substantial investments that went into new export-oriented production facilities using the advantages of low production costs, notably in terms of labor.

The gap between exports and imports have also substantially increased, especially since 1997 when currency devaluations made the region more competitive.

Value of Chinese Exports and Received FDI, 1983-2002 (Billions of $US)

0

50

100

150

200

250

300

35019

83

1984

1985

1986

1987

1988

1989

1990

1991

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1993

1994

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1996

1997

1998

1999

2000

2001

2002

Expo

rts

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10

15

20

25

30

35

40

45

50

FDI

Exports

FDI

Value of Chinese Exports and Received FDI

• China has experienced a fast integration to the global economy and has become one of the world's leading manufacturing center.

• This integration was accelerated through foreign direct investments, bringing capital, technology and access to foreign markets.

FDIs boomed in the early 1990s to stabilize in the early 21st century. The outcome was an export-oriented manufacturing structure, centered around development zones, and a spectacular growth of exports in the late 1990s that endured in the early 21st century.

By 2002, China was the world's 6th largest trader. This FDI / export growth synergy substantially increased the demand for international transportation and port development along the Chinese coast.

FDI going on par with international trade

• Trade flows of merchandises have also been accompanied by a substantial growth in foreign direct investments.

• There is thus a remarkable reallocation of direct foreign investment following changes in comparative advantages around the world.

Global Inflows of Foreign Direct Investments, 1991-2001 (in millions of $US)

0

200000

400000

600000

800000

1000000

1200000

1400000

1600000

1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001

Developing countries

Developed countries

Changes in Global Trade Flows

Industrial Pole

Before 1970 After 1970

Developed Countries

Developing Countries

Developed Countries

Developing Countries

Flows of merchandises Flows of raw materials

Changes in Global Trade Flows

• Prior to the 1970s, global trade flows were dominated by three major poles, North America, Western Europe and Japan.

A dichotomy was observed between developed and developing countries as raw materials were flowing north and finished goods were flowing south.

This situation can mainly been explained by differences in levels of development as well as by a the domination of the majority of developing countries by colonial powers.

• From the 1970s, this situation changed as industrial development took place in many developing countries in Latin America (Mexico), Southeast Asia (Malaysia, Thailand, Indonesia) and East Asia (China, South Korea, Taiwan).

Many industrial processes which initially took place in developed countries, were relocated in new locations offering lower production costs, namely because of cheaper labor.

Consequently, global trade flows are now characterized by significant flows of merchandises from developing to developed countries.

Global Exports of Merchandise, 1963-2000

0%

20%

40%

60%

80%

100%

1963 1975 1990 1994 2000

Manufactured products

Mineral products

Agricultural products

Global Exports of Merchandises, 1963-2000

• Conventionally, international trade was dominated by raw materials such as iron ore, oil and wheat.

• Over the last few decades, manufactured products have taken a growing share of international trade:

While they accounted for 53.2% of all exports in 1963, this share climbed to 74.9% in 2000.

Several factors can be associated to this change – Technological innovations in the transport sector have

enabled a fast and efficient handling of manufactured goods. Containers are a good example of this trend.

The globalization of production is increasing trade of manufactured goods with a fragmentation of consumption and production functions.

Major changes occurred in the organization of production

• Noticeable increase in the division of labor concerning the design, planning and assembly in the manufacturing process of world economies.

• Interlocking partnerships in the structure of manufacturing have increased the trade of parts and the supply of production equipment around the world:

One-third of all trade takes place among parent companies and their foreign affiliates.

International Standards• A part of this dynamism of production organization

resides in the adoption of standards, a process which began in the late 19th century to promote mass production.

It permitted the rapid development of many sectors of activity, including railways, electricity, the automobile and the telecommunication industry more recently (Internet, Electronic Data Interchange – EDI).

• In the realm of globalization of economic activities, the International Standards Organization developed the ISO norms that serve as comparison between various enterprises around the world.

These norms are applicable to the manufacturing and services industries and are a necessary tool for growth.

Trends in International Standards by Technical Fields, 1980-1990

0

500

1000

1500

2000

2500

Mechanicalengineering

Basic chemicals Non-metallicmaterials

Ores and metals Informationprocessing,

graphics andphotography

Agriculture Others

1985

1990

Trends in International Standards by Technical Field

• The constant quest of certified quality by ISO generates a domino effect:

If an enterprise fulfills ISO norms, obviously the competitors in the same sector will attempt to reach the same level of quality. As a result ISO standards are increasing.

This situation affects all economies as major public and private contractors and purchasers around the world require that their suppliers fulfill the ISO norms of quality.

Contemporary Production Systems

A Micro View

Elements of an Economic System

Economic System

Consumption (demand)

Production(supply)

Manufacturing

Regulation

Circulation Distribution

Labor

Land Capital

Production factors

Production & Consumption

• Production and consumption are the two core components of economic systems and are both interrelated through the conventional supply / demand relationship.

• Basic economic rationale underlines that what is being consumed has to be produced and what is being produced has to be consumed.

• Any disequilibrium between the amount being produced and the amount being consumed can be considered as a market failure:

On one hand, insufficient production involves shortages and price increases, while on the other, overproduction involves waste, storage and price reduction.

Main Production Systems

• The increasing capacity and efficiency of international and regional transportation systems has led to a decrease of the friction of distance and a spatial segregation of production.

• Consequently, the spatial distribution of production systems is integrated to the spatial distribution of transport systems.

• Among the main sectors of integration between transportation and production systems are:

1. Agricultural production systems

• They include fertilizers and equipment as inputs and cereal, vegetable and animal production as outputs.

• Several transportation modes are used for this production system, including railcars, trucks and grain ships. For perishable foods, modes often have to be adapted to these specific constraints.

• Ports are playing an important role as points of warehousing and transshipment of agricultural commodities such as grain.

2. Energy production systems

• Include the transport of energy products (oil, coal, natural gas, etc.) from their sources to their transformation and consumption places.

• Linked to massive movements of bulk raw materials, notably by railway and maritime modes, but also by pipeline when possible.

3. Metal production systems

• Similar to energy production systems, these systems include the transport of minerals from the extraction sites, but also of metals towards industrial sectors using them (shipbuilding, car making, etc.).

4. Chemical production systems

• Include several branches such as petrochemicals and fertilizers.

• This production system has linkages with the energy and agricultural sectors, since it is at the same time a customer and a supplier.

5. Wood and paper production systems

• Include the collection over vast forest zones, namely Canada, Northern Europe, South America and Southeast Asia, towards production centers of pulp and paper and then to consumption markets.

6. Construction industry

• Implies movements of materials such as cement, sand, bricks and lumber.

7. Manufacturing industry

• Involves a very diversified set of movements of finished and semi-finished goods between several origins and destinations.

• It increasingly leans on containers.

Themes in Manufacturing in MDCs

• A number of themes are influencing the location and distribution of manufacturing industry in most developed countries in the 1990s.

• These include rationalization and restructuring, internationalization, just-in-time and flexible production, environmental issues, and urban-rural shift.

Rationalization & Restructuring

• Rationalization and restructuring involves the drive to improve competitiveness and productivity.

• This often means reducing workforces, closing inefficient plants, and changing the way products are made.

Unilever’s manufacturing base in Britain was rationalized from 13 factories down to 4 between 1973 and 1989.

Internationalization & Globalization

• Internationalization represents the global expansion of a company:

It starts from a point where a company begins to export from its home base;

through overseas location of branch plants, to overcome trade barriers and benefits from cheap labor;

to a point where a company finally decides to rationalize its global location in areas of comparative, competitive, or strategic advantage, with concentration of activities in the best locations.

Just-In-Time & Flexible Production

• The essence of JIT is a reduction of stored parts by arranging the provision of parts when they are needed to go into a ‘parent item’, with delivery on the same day or even every hour.

• This suggests a shift from Fordist (mass production) to Toyotist (lean production) methods.

• Lean production is more flexible.

Environmental Issues

• During the past 3 decades environmental issues have become an increasingly important part of industrial decision-making.

• One result is that polluting industries migrate to peripheral or developing world locations.

Urban-Rural Shift

• There has been an urban-rural shift of industry over the last 40 years. A number of explanations have been suggested:

1. Planning policies –

regional policy, new towns, and green belts have encouraged rural shift;

2. Counter-urbanization –

industries follow the middle class workforce who have moved to small towns and villages;

Urban-Rural Shift cont’

3. Non-unionized labor –

Rural areas do not have a history of industrial action like some urban industrial areas;

4. Transportation costs –

Advances in transport technology and telecommunications have eroded the advantages of cities;

Urban-Rural Shift cont’

5. Constrained location theory (shortage of industrial land in cities):

Greenfield sites – rural areas offer new purpose-built sites;

Availability of sites – small towns and rural areas have more land available;

Size of sites – rural areas can accommodate large industrial estates;

Land prices – land prices are lower in rural areas because of less competition;

Better environment –rural areas offer a better working environment.

Post-industrial Society

• In the period since WWII, western European countries have entered a new industrial phase.

• The characteristics of this post-industrial society are:

A shift away from agriculture and manufacturing industries toward service industries;

The growing importance of large, multinational corporations;

A spatial division of labor within the growing economies of South-east Asia;

The decline of the older ‘smokestack’ industries.

Deindustrialization

• One of the results of post-industrial change has been deindustrialization.

• Deindustrialization is the long-term absolute decline in the manufacturing sector with respect to jobs and production.

• The more mature industries like textiles, iron and steel, and shipbuilding are most likely to deindustrialize.

• The results can be plant closure, job losses, and regional decline.

Regional Geography

1. Africa South of the Sahara2. North Africa & Southwest Asia 3. Southern Asia4. Eastern Asia5. Western Europe6. Eastern Europe, the Balkans, and the

former Soviet Union7. Anglo America8. Latin America9. South Pacific

Core / Periphery Division of the World

Core

Semi-PeripheryPeriphery

Explaining Inequalities in Development

- Different theories

Rostow’s Model of Development

• In 1950s, Walter Rostow, US economist, defined the process of development of an economy on the basis of the historic experience of Western countries.

• His model is a useful starting point in describing and understanding levels of development.

1. Traditional Subsistence Economy

• Traditional economies based on subsistence agriculture and rigid social stratification of feudal social system involved little trade and experience little or no growth:

• Struggling to balance food production and population growth:

Low level of population growth (stage 1 of demographic transition model – DTM)

• This stage is no longer present in the developed world.

2. Preconditions for take-off

• Trading economies bloomed by 14th century and a major leap forward (“takeoff”) occurred:

External links are developed; Resources are increasingly exploited, often by colonial

countries or by multinational companies; The country begins to develop an urban system (often

with primate cities), a transport infrastructure;• Inequality between the growing core and the

underdeveloped periphery begins to grow.• The population continues to increase (stage 2 of the

DTM)• This level has disappeared from developed countries.

3. Take-off to maturity (sustained growth)

• The economy expands rapidly, esp. with manufacturing exports;

• Regional inequalities intensify because of multiplier effects;

• This growth can be “natural” (as in the case of most countries in the developed world), “forced” (as in the former socialist countries of Eastern Europe), or planned (as in the Newly Industrializing Countries).

4. The drive to maturity

• Diversification of the economy;• The development of the service industry

(health, education, welfare, etc.);• Growth spreads to other sectors and to

other regions in the country;• Population growth begins to slow down and

stabilize (late stage 3 or early stage 4).• Ireland, Greece, Spain, Portugal and etc.

are at this level.

5. The age of high-mass consumption

• Advanced urban industrial systems, with high production and consumption of consumer goods, such as kitchen equipment (white goods) and electronic home entertainment equipment.

• Population growth slows considerably (stage 4).

• UK, Germany, etc. characterize this level.

Formula for Modernization

• The sequence of stages – through primary, secondary, and tertiary economic sectors – that occurred in the countries of Western Europe and Anglo America in the 19th and 20th century (150 years taken) was seen by Rostow as a formula for modernization:

• The recipe of an automatic progression in development through economic sectors proved partially effective:

Japan rose to join the most affluent countries only after reconstruction funded by the US following WWII;

South Korea took an even shorter time with huge foreign investments in early 1950s;

Other countries that attempted to apply this wisdom did not produce the same results and some found it difficult to start.

Defects of Rostow’s Model

1. It is anglo-centric, based on experience of North America and West Europe – The circumstances of mid-20th C. were different from those of mid-19th C.:

When Western Europe and Anglo America experienced the economic growth that made them the most affluent parts of the worlds, they dominated the world politically and could draw in cheap food and raw materials;

The newly independent countries after 1945 had to work within a global system in which the world core countries and their multinational companies were already the dominant influences in markets and in the setting of trading terms.

Defects of Rostow’s Model

2. It is aspatial and does not look at variations within a country:

Usually there are great disparities in the levels of development between different regions in the economy – Rostow’s model fails to pick this out.

Dependency Theory – a valid critique of Modernization

• During 1960s and 1970s, the countries of the Soviet bloc and China denounced western approaches to development by emphasizing that the world economic system itself causes some places to be more underdeveloped than others:

The prosperity of the core countries is based on transfers of wealth from the peripheral countries;

The core countries exploit the peripheral countries by making them dependent on core markets.

“the development of underdevelopment”

• Andre Frank (1971) described the effect of capitalist development on many countries as ‘the development of underdevelopment’:

• The problem of poor countries is not that they lack the resources, technical know-how, modern institutions, or cultural developments that lead to development, but that they are being exploited by capitalist countries.

Inadequacy of Dependency theory

• Dependency theory – more development in one place necessarily involves less elsewhere.

• It provides few hints as to how peripheral countries may attain core status; they are locked into dependency:

The prospect of working class revolutions breaking out in the capitalist world was never realized;

Both the authoritarian embodiment of communist ideas and the breakup of the Soviet Union in 1991 made that very unlikely.

Modern Colonialism • Much of the basis of dependency arose out of earlier poli

tical colonialism.• A modern form of colonialism is less political and more e

conomic, but has similar results of causing differences between rich and poor by exploiting cheap labor in peripheral countries:

A new international division of labor resulted from the growth of multinational corporations (MNCs) and their establishment of production units in peripheral countries.

MNCs take advantages of cheap labor around the world through technical developments, such as the containerized transportation of goods and easy communications links that reduce other production costs.

Myrdal’s Model of Cumulative Causation循环累积因果效应

• The core-periphery model, based on the workd of Gunnar Myrdal, adopts a spatial outcome.

• Myrdal argued that, over time, economic forces increase regional inequalities rather than reduce them.

• He believed that development was caused by:

Initial comparative advantages 先天相对优势 / 禀赋• e.g. resources such as location, minerals, or lab

or.• These create the initial stimulus for an industry t

o develop in a particular location;• In turn, a process of cumulative causation (mul

tiplier effect, 循环累积因果效应 ) occurs as acquired advantages ( 后天优势 ,such as improvements in infrastructure, skilled workforce, and increased tax revenues) are developed and reinforce the area’s reputation;

• Thereby attracting further investment, ensuring that it grows and stays ahead of other regions.

Increased spatial interaction

• i.e. skilled workers, investment, new technologies, and new developments gravitate to the growing area, the core;

• While the peripheral areas are inundated by manufactured goods from the core (the backwash effect, 回波效应 ), preventing the development of a local manufacturing base.

• As the core expands it may stimulate surrounding areas to develop due to increased consumer demand (the spread effect, 扩散效应 ).

3 major stages identified in Myrdal’s model:

1. A traditional, pre-industrial stage, with few regional disparities (Rostow’s stage 1);

2. A stage of increased disparities caused by multiplier and backwash effects as the countries industrializes (Rostow’s stage 2 and 3);

3. A stage of reduced regional inequalities as spread effects occur (Rostow’s stages 4 and 5).

Myrdal’s ideas in regional planning

• Myrdal’s ideas have been used extensively in regional planning.

• In particular, they have been used in growth pole policies:

places or districts favored by their location, resources, labor, or market access are economically more attractive and are therefore developed by planners to form natural growth poles, expanding faster than other districts.

Africa South of Sahara

- Extreme Periphery

Sahara Desert

• A physical break that interrupts continuous settlements;

• An economic and cultural break between the Arab-speaking Muslim countries along the Mediterranean Sea and the rest of Africa.

Extreme Periphery

• The cradle of the human species• The poorest of the 9 major world regions:Civil wars, faminethe least integrated into the world

economic system;the least able to take advantage of

prospects for increasing its status within that system;

Most countries depend on external aids.

Natural Environment

• Dominant tropical climates – plenty of sunshine but suffering from a lack of water or from uncertain rains:

Tropical arid Sahara and Namibia deserts; Equatorial climatic environment in Zaire River

basin in Central Africa; restricted by the presence of high plateau in Eastern Africa;

Monsoon climatic environment along the coast areas of Western Africa with contrasting wet and dry seasons;

Tropical climatic environments with seasonal rains prevalent in most of this region;

African Landscapes

• The Rift Valleys crossing Eastern Africa from north to south and the associated groups of volcanic mountains along the red sea;

• The Ethiopian Highlands;• Mount Kilimanjaro (5895m) and Mount

Kenya in Eastern Africa are the highest mountains in Africa;

• The Cameroon Highlands on the Nigeria-Cameroon border.

Central Africa

• Burundi• Cameroon• Central Africa Republic• Chad• Congo• Equatorial Guinea• Gabon• Rwanda• Zaire

Economic Development

• Small amounts of minerals produced: Southern Zaire – one of the world’s major

copper mining regions; Gabon possesses the world’s largest

unexploited iron ore deposit.• Shortage of energy sources• Poor development of commercial agriculture;

most farming is for subsistence• Small population and small internal markets• Lack of internal transportation• Low level of external investmentManufacturing industries poorly developed

Western Africa

• coastal countries:

Benin, Ivory Coast, The Gambia, Ghana, Guinea, Guinea-Bissau, Liberia, Mauritania, Nigeria, Senegal, Sierra Leone, Togo

• Landlocked countries:

Burkina Faso, Mali, Niger• The most populous subregion – 40% of the total

of Africa South of Sahara;• The first area in Africa to be penetrated by slave

traders from 15th century;

Economic Development

• Agriculture remains main source of employment and income for most countries;

• Commercial agriculture has been developed in coastal countries (palm oil, cacao, rubber, tropical fruits, rice and coffee:

Ivory Coast is the 2nd largest producer of rubber in Africa, after Nigeria.

Liberia is also major producer of rubber.

Economic Development cont’

• Mining resources: Guinea has 1/3 of the world’s reserves of high-g

rade bauxite( 铝土矿 ) and is the world second largest producer.

Ghana also has bauxite mining linked to local smelting of aluminum – a major output for Ghana.

Nigeria is now a major world producer of oil and its products – representing 90% of its exports

Eastern Africa

• Strategic significance increased after the opening of the Suez Canal in 1869.

• Countries - Djibouti, Eritrea, Ethiopia, Kenya, Somalia, Tanzania and Uganda

Economies marked by a lack of mineral resources and a greater dependence on farm products.

Ethiopia, Somalia and Tanzania are among the poorest 6 in Africa.

Kenya has experienced most economic development and has a diversified economy based on agriculture, tourism and service industry.

Southern Africa

• Countries:Angola, Botswana, Lesotho, Madagascar, Malawi, Mozambique, Namibia, South Africa, Swaziland, Zambia and Zimbabwe.

• Civil wars devastated Angola and Mozambique;• South Africa was isolated by its apartheid policy and san

ctions over a crucial period.• Still the subregion has the potential for leading the rest of

Africa into sustainable human development: Over 1/3 of Africa’s rail mileage; 20% of population of Africa South of Sahara, but produc

es over 50% of the total GDP, largely because of the economic dominance of the Republic of South Africa.

Republic of South Africa – “engine” of Southern Africa

• 1/3 of Southern Africa’s population• 3/4 of Southern Africa’s GDP• Through its ports (Cape Town, Durban

and Port Elizabeth), the other countries are mostly linked to the rest of the world.

• In 1994, South Africa joined Southern Africa Development Conference (SADC) which aimed to strengthen trade links and regional cooperation.

Economic Development • Mining dominates the economies of Angola, Bot

swana, Namibia, South Africa, Zambia and Zimbabwe:

South Africa – the world’s top producer of platinum and one of the major producer of gold and diamonds.

--- 40% of world’s gold reserves;--- 68% of world’s platinum reserves – strategic im

portance in aerospace constructions and in pollution control (catalytic converters)

--- together with chrome 铬 , manganese 錳 , vanadium 钒 , minerals make up 2/3 of the country’s exports.

Economic Development cont’

Namibia – world’s major producers of uranium;

Botswana – diamonds make up 80% of its exports;

Zambia – a major world producer of copper

North Africa and Southwest Asia

- In the Middle

Physical and Human Junctions

• “In the middle” politically and economically – Located in the middle of four other major world regions – Africa, Western Europe, Eastern Europe and Central Asia:

Global chokepoints with the world’s trade routes – Strait of Gibraltar, Dardanelles and Bosporus, Suez Canal, Strait of Hormuz

2/3 of world’s oil reserves under the lands bordering the Persian Gulf – a great concern to major world users in core countries of Anglo America, Western Europe and Japan.

Physical and Human Junctions

• “In the middle” culturally – A source for the diffusion of ideas and people:

Dominance of the Islamic religion and Arabic languages

Exception of Turkey and Iran speaking Kurdish, Turkish and Persian languages, and Israel with both distinct Hebrew language and Judaism religion.

Natural Environment

• Common features:Dry climates, water shortages, and natural resource of oil.

• Major river valleys – world’s earliest civilizations:

Tigris-Euphrates River system supplying water to Turkey, Syria, and Iraq;

Nile River system supplies water to Sudan and Egypt

North Africa

• Closest to Europe; many past political ties and present economic links are northward:

Morocco and Tunisia retain close ties with France and strong links to European markets;

Libya sells much of its oil to Italy; Algeria• Dominance of Islamic religion and Arabic as the

official language• The Atlas mountains dominates the northern

parts of Morocco, Algeria, and Tunisia.

Economic Development

• Phosphate exports are significant to Algeria and Tunisia, but particularly so to Morocco (half exports to EU).

• Oil and natural gas dominate the economies and exports of Algeria and Libya (supplying a quarter of EU’s oil and natural gas), both of which are also major world producers with refining and petrochemical industries.

Nile Valley- Egypt and Sudan

• Egypt – the largest Arab country in population; Control over Suez Canal, Sinai Peninsula and

the land route from Africa into Southwest Asia; Aswan Dam completed in 1964 aims to secure

its water supply to support farming expansion and industrial power supplies.

World major exporter of cotton• Sudan – Cotton and sugar are its major exports.

Arab Southwest Asia• The heart of the Arab world consists of the Arabian Peni

nsula, the fertile crescent from the Tigris-Euphrates Basin to the Lebanon coast.

• 11 countries – Bahrain, Iraq, Jordan, Kuwait, Lebanon, Oman, Qatar, Saudi Arabia, Syria, United Arab Emirates (UAE) and Yemen.

• Mecca and Medina – the world centers of Islamic religion and Muslim pilgrimage

• Sunni and Shia – the main ethnic distinctions between groups holding contrasting Islamic beliefs

• Israel among Strongly Muslim Countries

Economic Development

• A major economic contrast between oil-rich countries and those producing little or no oil –

Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and UAE sit on huge oil reserves, have small populations and rely on immigrant labor.

Lebanon, Jordan, and Yemen have more available labor and some capacity for agriculture.

Iraq and Syria have both oil revenues, significant water resources and agriculture, and large labor forces.

Israel, Gaza, and West Bank• Israel – a major anomaly in the region, being

both non-Arab and non-Muslim• An economic development level similar to

Southern Europe, with diversified structure: Self-sufficient in food, apart from grains; Manufactures make up 44% of exports, including

diamonds, machinery, military equipment, and chemicals, mostly based around Tel Aviv and Haifa.

From 1990s became a major center and leader of high technology development in telecommunications, electronic printing, diagnostic imaging systems for medicine, and data communications.

Turkey and Iran, the Northern Tier

• Overwhelmingly Islamic in religion, Arabic is replaced by the Turkish and Persian languages.

• Different countries:Iran’s Muslims belong to the Shia group;Turkey’s are of the Sunni group;Oil income for Iran and water resources for

Turkey.

Southern Asia

- Periphery with Some Promise

Indian Subcontinent

• The India Peninsular and its north rimmed by the Himalayan mountain ranges

• Southern Asia consists of countries:

India, Pakistan, Bangladesh, Afghanistan, Myanmar (Burma), Nepal, Bhutan & Sri Lanka

Poor region; High density

• The world’s 2nd poorest region after Africa South of the Sahara

• Total population of 1,200 million people (1/5 of world population)

• The largest number of very poor people

22% of the world’s population live on only 4.3% of the land and produce only 1.4% of world GDP.

Better Prospects

• Malnutrition but no famines for decades;• Wars between India and Pakistan yet not

disrupted economic progress;• Major examples of economic growth – The farming region of northwest India,The high-tech region around Bangalore in

southern India.Legacy of infrastructure as the basis of

further development

Coexistence of New & Old• New high technology –

Nuclear power plants, nuclear bombs, electronics and software research, aerospace (aircraft and satellites)

• Urban poverty and subsistence farming• Contrast of university graduates and low literacy

rate among the rest people• Old religious issues e.g. bride-burning,

demolishing buildings of other religions• Feudal land ownership in Pakistan, ethnic

violence in Sri Lanka, & a military dictatorship in Myanmar – holding back economic development.

Diverse Cultures

• Ancient civilization along the Indus River Valley

• Hindu and Buddhist religions flourished in the isolated ages

Battle for supremacy between Buddhism and Brahman Hinduism, which ousted Buddhism and established its caste system.

• Muslims dominated the region after 12th c.• British Indian Empire became the

dominant force after mid-18th c.

Colonial Impacts

• Portuguese explorer Vasco da Gama arrived at India in 1498 –

the new route to get Indian products (cotton, cloth, rice) to Europe without traveling through the Muslim countries in Southwest Asia.

• The Portuguese and Dutch soon established trading stations around the coasts of Southern Asia.

British Indian Empire

• During 17th century, the British ousted their Portuguese and Dutch rivals:

established East India Company in former Portuguese port of Bombay,

built a new port in Madras, began trading with the populous Bengal area

around Modern Calcutta.• In 1857, the British government took full political

control of Southern Asia, which became the British Indian Empire; the East India Company was abolished.

British Imperial Rule• A strong core-periphery relationship established between

the industrial ‘mother country’ and its raw-material-producing colonies during 19th century.

• British rule’s massive effects on the geography of the peninsula:

Cotton was grown in the Indus and Upper Ganges River basin;

Cities of Calcutta, Bombay, Madras, and Delhi grew as the foci linking internal communications with overseas trade;

Rice-growing in the south of Burma and port of Rangoon (now Yangon) built to export rice;

Plantations of tea, rubber, and coconuts set up in Ceylon (now Sri Lanka), traditional rice crop ignored, relying on import of rice.

Natural Environment

• Contrasts between high mountains and broad plains; between hot dry and hot wet seasons typical of Monsoon Climate.

• Tropical cyclones occur in the Bay of Bengal in summer, flooding the Ganges-Brahmaputra( 即中国境内的雅鲁藏布江 ) Delta in Bangladesh.

• Himalayan Mountains with its peak Mount Everest (8,848m)

• Indus, Ganges and Brahmaputra River systems

India – locally dominant presence

• Diversifying economy with farming decreasing and manufacturing increasing;

• A watershed year 1991– 1947 – 1991: inward-looking economy avoided

close links with the core countries and multinational corporations, but established mutually beneficial trade with Soviet bloc;

After 1991, economy in crisis after much of its trade with Soviet bloc counties ended, encouraged by the West to open borders to trade and to export; FDI and export rose quickly.

Green Revolution

• High-yielding varieties of wheat and rice introduced in 1966 as part of Indian agricultural policy;

• Up to early 1990s, India became the world’s 4th largest wheat producer and 3rd largest exporter of rice (after US and Thailand).

Commercial Crops

• Tea continues to be an important plantation crop in northeastern India; its marketing in still controlled by the multinational corporations which process, package, and distribute the tea in core countries.

• Jute is a commercial fiber crop on western margins of the Ganges-Brahmaputra Delta.

Diverse Manufacturing• Mineral resources of iron ore, bauxite (world’s 5th largest

reserves), aluminum;• Large-scale, heavy industrial sector of steelworks, che

mical works, and alumina works.• Car and vehicle assembly – India’s major parts of man

ufacturing diversity, with links to major multinationals like GM, Ford, Chrysler, Volvo, Hyundai, and Volkswagen.

• Textiles retain a major part in its manufacturing – textiles and garments make up 1/4th of its exports.

• Modern high-tech industry is increasing its presence around Bangalore ( 班加罗尔 ) with main new industries like electronics, computer engineering, software and services, telecommunications, aeronautics, and machine tools. Bangalore became India’s first “electronic city” in the 1980s.

Major Cities and Ports

• The main geographic concentration of manufacturing in India is around Bombay, which is India’s main trading and financial center.

• Calcutta remains the headquarters of jute( 黄麻 ) manufacturing.

Bangladesh and Pakistan

• From partitioning in 1947 until their separation in 1971, Bangladesh and Pakistan formed a single country. They share much of the same cultural heritage as the Republic of India. They also remain largely agricultural, although Pakistan has a long-established cotton textile industry.

• Karachi, Pakistan’s largest port; • Islamabad( 伊斯兰堡 ), its capital.• Dhaka, Bangladesh’s capital.

Mountain and Island Rim

• Afghanistan(Kabul, 喀布尔 ), Nepal (Kathmandu, 加德满都 ), Bhutan (Thimphu, 廷布 ), and Myanmar (Yangon, 仰光 ) are mountainous countries on the northern margins of Southern Asia.

• They have restricted involvement in the world economic system and most of them have been subject to wars and political tensions.

• Sri Lanka (Clolombo, 科伦坡 ) and the Maldives ( 马累 ) produce plantation crops and fish for sale on world markets.

Eastern Asia

From Periphery to Core

A Major World Significance

• Huge population, resources, and economic production –

1/3 of world’s population on 1/10 of world’s land• Contrasts in geographic and economic diversity: between empty desert and mountain areas and

world’s highest densities of urban and rural populations

between richer countries and poor regions

Pacific Rim

• East Asia – the hub of the evolving regional phenomenon the Pacific Rim, diminishing the contrast between Japan and its neighbors:

Japan – the leader in East Asia’s Pacific Rim development;

South Korea challenges Japan on international markets;

China remains the colossus of east Asia.

Progress from periphery to core

• Japan rose to the core from 1950 to 1970s

• Asian dragons into semi-periphery and almost into the core –

South Korea, Singapore, HK, Taiwan

• Little tigers following behind –

Thailand, Malaysia, Indonesia, & the Philippines

• China more integrated into world economy

Natural Environment

• Equatorial climatic environment:Malaysia, Indonesia, and the southern parts of the Philippines

• Monsoon climatic environment: The northern Philippines, Indochina mainland, a

nd southern China Northeastern coastal China, the Koreas,& Japan Midlatitude continental interior climatic envir

onment The western parts of China and the whole country of Mongolia (Gobi Desert)

Major Rivers

• The Mekong – the Danube of Southeast Asia - flows from southern China ( 澜沧江 ) and through the 5 countries of Indochina to its delta in Vietnam.

• Northern Vietnam has the Red River. • In China the three major rivers are the longest in

the region: from north to south they are the Huang He (Yellow), the Chang Jiang (Yangtze), and the Xi Jiang (Pearl).

Country Boundaries

• Boundary disputes: disputes between Thailand and its neighbors in t

he south; between China and Russia in the north; the Spratly Islands in the South China Sea are

claimed by all the surrounding countries, including Taiwan, but mainly by China and Vietnam.

• Buffer states between the major powers: Mongolia along the boundary between China an

d Russia. The Koreas and Taiwan have experienced fluctu

ating dominance by China and Japan.

China’s Geography of Development

• Rostow’s development model in use – 1. A traditional society engages mainly in subsistence far

ming, is locked in a rigid social structure, and resists technological change;

2. In 2nd stage, preconditions for takeoff, progressive leaders move the country toward greater flexibility, openness and diversification. Workers move from farming to manufacturing, and transport improves;

3. Takeoff stage – the country experiences industrialization – sustained growth takes hold, industrial urbanization proceeds, and technological and mass-production breakthroughs occur.

4. Drive to maturity stage brings sophisticated industrial specialization and increasing international trade.

Core-periphery Contrast within China

• In china, takeoff condition (stage 3) exist in much of the Pacific Rim:

The most fertile land lies along the Pacific, where China has a history of contact with foreign countries, where is most open to the world.

• But other major areas of the vast country remain in stage 1 or 2.

Japan

• Four Main Islands:

Hokkaido, Honshu, Shikoku, Kyushu

1. Hokkaido Hilly with poor accessibility; Manufacturing – wood processing,

shipbuilding, oil refinery Tourism expanding – Sapporo (1972

Winter Olympics)

2. Honshu Northern Honshu –

leading rice producer; fishing; forestry Central Honshu – heart of population and econ

omy Kanto Plain :Tokyo (financial center), Kawasa

ki ( 川崎 center of heavy industry), & Yokohama ( 横滨 biggest port) around the Tokyo Bay

Southern Honshu – Kansai District: Industrial ports of Kyoto, Osa

ka, Kobe( 神户 ) on Osaka Bay

Economic Development• Agriculture remains a significant sector of the

economy because of government subsidies and tariff protection.

• Manufacturing is the basis of modern Japanese growth:

First developed by importing cheap raw materials and exporting manufactured goods – Heavy industries along the Pacific coast of Japan – steelmaking, petrol chemicals, shipbuilding

Diversified into automaking and high-tech goods.• Service industry in retailing and financial sectors: Tokyo – world’s 2nd largest financial center

Countries of China’s Buffer Zone

• South Korea, North Korea, Hong Kong, Macao, Mongolia, and Taiwan.

The 3 wealthier regions of HK, South Korea, and Taiwan saw rapid economic growth (the latter two received aid and trading status from US to resist the advance of communism).

Mongolia and North Korea received aid from the Soviet Union (ended in 1989) and were excluded from trade with western core countries.

Mongolia

• A steppe- and desert-dominated vacuum between the world’s most powerful countries:

It seized independence in 1911 while China was in revolutionary chaos;

In 1920s, it became a People’s Republic on the Soviet model, with the Soviets guided its development for 70 years;

Political changes began, with Mongolian alphabet reinstated, and rising nationalism and democratic reforms.

South Korea• Its industrialization was based on local raw materials, ple

ntiful and capable labor, ready overseas markets (esp. US), and continuing foreign assistance.

• Its growth resulted from state capitalism rather than free-enterprise capitalism, but with impressive results:

It managed to sustain rapid growth, which by late 1980s placed itself among the world’s top 10 trading powers.

The world’s largest shipbuilding nation; Automobile, iron and steel, and chemical industries are t

hriving. Seoul – the anchor of huge industrial complex; Pusan – the center of its 2nd largest manufacturing zone; Kwangju – the center of 3rd industrial area.

Southeastern Asia

• Brunei, Cambodia, Indonesia, Laos, Malaysia, the Philippines, Singapore, Thailand, and Vietnam.

• This subregion was influenced by Chinese expansionism in the past, succumbed to Western colonial expansion, and are now increasing influenced by Japanese investment and Chinese economic activities.

• Their private economies are today largely controlled by minority groups of Chinese merchants and industrialists.

Overseas Chinese In Southeast Asia

• Southeastern China – the source of Chinese emigrants to Southeast Asia over the past 6 centuries.

• The Chinese had become an influential class of middlemen and controlled more commerce toward the end of colonial rule.

• During WWII and post-colonial period, Chinese in this region were persecuted and excluded.

• This region today contain 30 million Chinese (over half of world total overseas Chinese) and many have become successful.

• Overseas Chinese invested heavily in the special economic zones and open cities in mainland china, playing a large part in stimulating the economic growth there.

Colonial Influences

• The region’s incorporation into world economic system began with the European intrusions:

The Dutch took Indonesia – Dutch East India Company;

The Spanish took the Philippines – the only largely Christian country in Eastern Asia; The US took control of it from end of 19th century;

The British took the Malay States; Brunei and Singapore became independent from the states in 1950s and 60s.

The French took Indochina (now Cambodia, Laos and Vietnam).

Economic Development

• Contrast of the mainly noncommunist ASEAN countries and the communist countries (Cambodia, Laos and Vietnam):

By late 1980s, ASEAN began liberalizing trade among themselves and admitted Vietnam in 1995.

Singapore (smallest, no natural resources, but richest), the regional hub, stands out in this subregion with its strategic control over Malacca Strait, its port facilities, and a well-educated population.

• Agriculture: Rice production affected by Green Revolution; Cash crops plantations established under

colonial regimes; Malaysia – world’s largest producer of palm oil

and large producer of rubber; Indonesia – coffee, spices, tea, rubber and oil

palm constitute 13% of its exportsThe Philippines – coconut, sugarcane,

pineapples, bananas and coffee make up 16% of its exports.

Timber production of Malaysia and Indonesia dominates world markets of tropical rain forest products.

• Mining:Indonesia – major oil producer and world’s

major tin producer;Malaysia – world’s largest tin producer;Brunei – oil rich country

• Manufacturing:All the countries in Southeastern Asia are switching to export-oriented manufacturing industries with their governments playing involved roles in industrial and trading policy.

Western Europe

First World Core

Small but Habitable Continent

• Europe is more a peninsula of a massive Eurasian land mass than a free-standing continent, even though convention marks Europe as one of the world’s continents;

• In terms of political, economic, and social significance, however, it is very much a continent.

• In Europe from the Air, German scholar Salvador Madariaga writes that the continent has a “landscape of quality, not of quantity, rich in nuances and tensions…where humanity has achieved clear definition not only in the individual but also in the nations.”

Western Civilization• Western civilization refers to the values,

practices, and achievements that had roots in ancient Greece, Rome, Mesopotamia, and Palestine; that subsequently flowered in Europe.

• Among the core conceptions of modern western civilization are strong commitments to education, experimental science, technological progress, economic development, democratic representative government, and explicit protection of individual rights and liberties.

• Experiments in communism, socialism, and fascism during the 20th century were also witnessed here.

Current Status

• 19th century – the first world economic core

• 20th century – even losing dominance to the US, the former Soviet Union, and Japan, the region remain among the world’s most affluent:

In the 1990s the countries of Western Europe account for over 40% of world trade.

Historical Position & Influences

• Worldwide spread of its culture and political systems:

Languages of Spanish, Portuguese, French, English, and Dutch spread to the Americas, Africa, Asia, and Australia;

Roman Catholic and Protestant varieties of the Christian religion became established on a world basis.

Democratic political systems or state capitalism took hold in some countries on gaining independence from European colonial powers – the basis of both systems originated in Western Europe.

Maritime Orientation & Geographic Exploration

• The Vikings from Northern Europe in 9th century invaded the British Isles and colonized Iceland and reached as far as Greenland.

• Roman influence continued in south Europe, cities like Genoa and Venice developed trading links with the Arab world and northern Europe:

Marco Polo traveled across Asia to China in 13th century.

• Overseas expansion initiated in 15th c. by Portugal and Spain (Vasco da Gama, Christopher Columbus); the Dutch in 17th c.; British empire in 19th c.

Industrial Revolution’s Mark on Regional Geography

• Expansion of urban industrial centers (textile, steel, heavy engineering & chemical industries) on coalfields in Britain, northern France, Belgium, and the Ruhr area of Germany, with devastating effects on local environments;

• Worldwide trading and colonial expansion resulted in the development of huge port facilities along the estuaries of major European rivers:

Along the Thames River below London; Along the lower Rhine River in the Netherlands around

Rotterdam; Industrial ports of Glasgow and Liverpool (Britain); Marseilles (France); Antwerp (Belgium); Bremen and Hamburg on the Elbe river (Germany).

Post War Era

• Reconstruction Period: Through Marshall Plan, the US helped to

reconstruct the destroyed cities and transportation links and revive the economies of Europe.

• Europe was open to investment by the growing multinational corporations, first largely by American parentage.

Japan targeted Britain for the largest part of its overseas investment by 1980s.

New Industries in mid-20th Century

• The older, heavy industries located on coalfields in Western Europe, were replaced by motor vehicles, consumer goods, and light engineering products around the expanding consumer markets of major cities and in new regions.

• Primary and secondary industries gave way to new service industries that further increased the emphasis on urbanization.

Regional Contrasts in Western Europe

• The wealthiest and most economically active Manchester-Milan axis;

• The poorest marginal areas are its western, northern and southern margins, including Brittany (France), Northern Ireland, Wales, northern England, Republic of Ireland, Scotland, Portugal, and southern Italy.

Regional policies adopted to reduce geographic differences in living standards and employment opportunities;

EC regional policy took over regional policies from 1970s and invested hugely in infrastructure construction in the lagging regions.

Moving toward a Postindustrial Society

• Two Features marking its human geography – 1. Geographic Inertia: Although new industrial areas grew at places m

ore suited to the needs of developing technologies and industries, production continued in the older areas, of which original locational advantages were reinforced as agglomeration economies( 聚合经济 ).

2. Deindustrialization: In which the numbers of jobs in manufacturing f

ell rapidly and old factories became derelict when older industrial areas suffered from decline.

Natural Environment

• Geologic Varieties: Ancient shield areas around the Baltic Sea – Nor

thwestern highlands; Uplands of central Europe; Mountains of the Alps (its peak – Mont Blanc); Lowland plains around the North Sea.• Midlatitude West Coast Climates: Oceanic atmospheric influences affecting the wh

ole region; Southern variant – Mediterranean climate.

Long Coastlines & Navigable Rivers

• Peninsulas: Scandinavia, Denmark & Brittany in north; Iberia, Italy & Greece in south.• Oceans: The Baltic, North, Mediterranean, Adriatic and

Aegean Seas.• Rivers: The Rhine (longest, busiest in Europe) and Elbe

Rivers in Germany; The Rhone, Seine, & Loire Rivers in France; The Thames River in England; The Po River in Italy

Subregion – Industrial Heartland

• Countries – Belgium, France, Germany, Luxembourg, the Netherlands, the Republic of Ireland and the UK.

• Significance: 60% of the region’s population; Cradle of Mercantile and industrial capitalism; British Empire in 19th century; Germany dominates in early 20th century and

regained its power in late 20th century despite defeats in two world wars.

Major Industries

• Automobile industry

• Aerospace industry:Cooperative manufacture of Airbus –

Toulouse as its final assembly place

• ElectronicsPhilip (Netherlands) & Thomson (France)

• Pharmaceuticals led by Germany and Switzerland

Subregion – Northern Europe• Countries – Denmark, Finland, Norway &

Sweden, together with former colonies of Denmark in Greenland and Iceland.

Demark remains a major agricultural country; Sweden has agriculture in the south, while the

north has major timber and iron-mining industries – Sweden has one of world’s great deposits of high-grade iron ore;

Finland is another major wood-producing country;

Norway has fishing and shipping industries. Oil and gas reserves beneath the North Sea brought new wealth to Norway from the 1970s.

Major Cities and Ports• Oslo of Norway – capital and major port.• Reykjavik – capital of Iceland.• Copenhagen of Denmark – entrepot in history, now a m

ajor service and manufacturing center • Stockholm, Sweden’s capital and manufacturing center; • Goteborg, another industrial center. A diversity of manufacturing enterprises in central Swede

n in the zone between Stockholm and Goteborg includes stainless steel products, ships, automobiles, electronics, furniture, and glassware.

• Helsinki, capital and center of metal, machinery, and shipbuilding industries;

• Oulu, ( 奥卢 )has become the center of high-tech manufacturing, and based around the Nokia mobile telephone factory.

Subregion – Alpine Europe

• Austria & Switzerland – landlocked, and dominated by the Alps.

Switzerland developed strong manufacturing industries (watchmaking industry , pharmaceuticals, precision machinery, and instruments), significant financial institutions, and a major tourist industry.

Zurich (the largest city, major banking & finance center) Basel – the main industrial cities Bern ( 伯尔尼 ,capital) Geneva is the home of a number of United Nations agen

cies and other international organizations

Mediterranean Europe

• The poorest in the region – Italy, Greece, Portugal, and Spain

Northern Italy with major cities of Turin, Milan and Genoa, is the only part as prosperous as other parts of western Europe.

After their incorporation in the EU in 1980s, they are now developing their manufacturing and service industries, and all rely heavily on income from tourism.