Chapter 10 - Energy and Production Flashcards
primary,
secondary,
tertiary activities
1: identification and extraction of the world’s natural resources: mining, fishing, forestry, and agriculture
2: processing, transforming, assembling raw materials into finished products; also called industrial activities
3: sale or exchange of goods and services, referred to as service activities
secondary products
products made from raw materials and used in the manufacture of finished products, such as steel, plastic, flour, and textiles
industrialization
a process of economic and social change that transforms society from agricultural to industrial, involving extensive reorganisation of the economy towards manufacturing and the society towards being urban
what was the primary energy source of the industrial revolution
coal
that’s why factories were located on the coal fields of Northern England
Great Global Divergence
After the 1800s, the US and UK significantly diverged from all other parts of the world for GDP
3 Site Factors of industrial location
Labour: workers with particular skills
Capital: tangible assets (factories) and intangible assets (money and finance)
Land: adequate space for manufacturing processes
situational factors of industrial location (only 2)
distance to inputs and distance to markets
did distance to energy supply affect industrial location (why or why not, and did this change)
Yes it once did, as companies set up shop in North England, BUT as enegry became more ubiquitous it was less of a factor
ubiquitous goods
Ubiquitous Goods: Products or raw materials that are found virtually everywhere; examples include electricity or water in most of the more developed world
least cost theory
firms operate rationally in response to transportation, labour, proximity to other operations, distance from competitors; focuses on transportation, labour, agglomeration and deglomeration
market area analysis
also considers revenue potential
firms locate operations in locations that will result in greatest profit, considering production costs and size of market area the firm could control
behavioural approaches
non-normative theory, rather it seeks to describe why things are where they actually are; the idea of an economic operator is rejected and instead focuses on satisficing behaviour
are smaller or larger firms more likely to make a location decision based on behavioural approaches?
smaller
fordism
Introduced assembly line system and mass production, emerging in the 1920s
Brought broad societal benefits including higher wages and shorter working hours resulting in unprecedented growth in consumer spending
“ a highly organised system of industrial production”
post-fordism
major emphasis on flexibility
flexible production methods; facilitated by transnational corporations and the practice of outsourcing
economic restructuring
In a capitalist economy, changes in or between the various components of an economic system resulting from economic change
This could be changes in the type of capital invested into, like human capital to machines
flexible accumulation
“industrial technologies, labour practices, relations between firms, and consumption patterns that are increasingly flexible” and which “make it easier for companies to take advantage of spatial variations in land and labour costs”
industrialization
deindustrialization
reindustrialization
1: development of new industrial activities
2: loss of manufacturing and related employment
3: emergence of new industrial activity that previously experienced a loss in traditional industrial activity
Liberal International Order
formed system of international relations; introduced in the 1940s under the leadership of the United States, and associated with a period of economic growth and peace
Led to open markets, rule of law, international institutions (IMF, World Bank), collective problem solving
critics of the Liberal International Order
ethnocentric, centered on American values
disproportionally benefits the rich
environmental harm, moves in corrleation with fossil fuel generation
outsource
offshore
paying an outside firm to handle activities previously handled inside a company with the intent to save money or improve quality
the outsourcing of work to another country; typically involves companies in developed countries shifting work to less developed countries
