Unit 2 Notes Flashcards

1
Q

What was the value of world trade in 1950?

A

$61 Billion.

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2
Q

What was the value of world trade in 2017?

A

$17.7 Trillion.

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3
Q

How much has global trade increased since 1913?

A

600,000 times.

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4
Q

What is containerisation?

A

Using steel containers with standardised dimensions, which can be transported, unloaded, stacked, and transported.

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5
Q

Who had the initial idea for containerisation?

A

Malcom Mclean.

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6
Q

What is break buck shipping?

A

Form of loading before containerisation. Took a week to load and unload a cargo ship.

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7
Q

What were the impacts of containerisation?

A

Port labour productivity went up over 15x following containerisation, number of loading ports decreased.

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8
Q

What are the largest importing countries?

A

USA, EU, China, Germany, Japan, France.

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9
Q

What are the largest exporting countries?

A

China, USA, Germany, UK, France.

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10
Q

What are the choke points of global shipping routes?

A

Panama Canal, Suez Canal, Straits of Gibraltar, English Channel, Gulf of Aden.

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11
Q

What are the largest ports in Europe?

A

Rotterdam, Antwerp, Novorossuv, Hamburg, St. LugWa, Augericus.

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12
Q

What are the largest ports in North America?

A

Los Angeles, Long Beach Port, New York, Savannah, Houston.

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13
Q

What are the largest ports in Asia?

A

Shanghai, Singapore, Ningboj, Zhoushan, Shenzhen.

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14
Q

How many containers pass through the panama canal each week?

A

252.

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15
Q

Why is the panama canal important?

A

It’s a link between the Atlantic ocean and pacific ocean, enabling ships to avoid the travel around the cape horn in South America.

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16
Q

What are the recent trends in container shipping?

A

Overcapacity has reduced profits, periods of economic downturn, protectionist strategies - reshoring.

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17
Q

What is Reshoring?

A

Shortening supply chains to obtain local goods and services, instead of using global offshore locations.

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18
Q

Which other factors may lead to a reduction in global shipping?

A

Weather conditions, war, seasonal demand.

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19
Q

What is an example of weather conditions leading to a reduction in global shipping?

A

Argentinian wine shipments departing from Chilean ports can be delayed in winter if heavy snowfall blocks crossings.

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20
Q

What is an example of war leading to reductions in global shipping?

A

Attacks on the red sea, exports of grain from Ukraine.

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21
Q

What is an example of seasonal demand leading to reductions in global shipping?

A

During south Africa’s peak fruit shipping season, containers are allocated mainly to the fruit trade.

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22
Q

What have major container companies done in recent years?

A

Consolidate in order to cut costs.

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23
Q

What are the three main vessel sharing agreements?

A

2M Alliance, Ocean Alliance, THE Alliance.

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24
Q

What is UNCLOS responsible for?

A

Regulating shipping, particularly the regulation of oil pollution from oil tanks.

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25
Q

How many oil spills occurred between 1960 and 1990?

A

10.

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26
Q

What was the Torrey Canyon disaster?

A

A tanker struck rocks near the isle of Scilly, released 119,000 tonnes of oil, 15,000 dead birds, affected 80km of UK, 120km of French coastlines.

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27
Q

What was the Exon Valdez disaster?

A

1989 - Affected Alaska, had a severe environmental impact, put pressure on the need to regulate oil tankers.

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28
Q

What is an example of UNCLOS regulations applying to oil tankers?

A

Oil tanker construction, Tanker Flushing.

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29
Q

What is an example of UNCLOS regulation of Oil tankers?

A

The ban of single hull tankers, came into effect on 1 September 2003. Only double hulled tankers could transport oil.

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30
Q

What was the number of large oil spills in the 1990’s, and the 2000’s?

A

1990s - 358.
2000s - 181.

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31
Q

What was the total quantity of oil spilled (Tons), in the 1990’s and the 2000’s?

A

1990s - Over 1 Million.
2000s - Less than 200,000.

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32
Q

What is an example of UNCLOS regulations in Tanker flushing?

A

Oil tankers may be required to transport different types of oil, it’s necessary to clean storage tanks.

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33
Q

Which practice was made illegal in 1978?

A

Using hot seawater jets to clean tanks, and discharge them into the sea.

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34
Q

Why are chokepoints important in global ocean trade?

A

It’s important to maintain the flow of shipping through these areas for economically essential commodities.

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35
Q

What % of oil production moves via oil tankers?

A

60%.

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36
Q

Why has the rise of piracy become a concern?

A

The strategic importance of chokepoints such as the Suez and Panama canals.

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37
Q

What is the risk of piracy hotspots?

A

Many criminal groups have hijacked oil tankers and shipping containers.

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38
Q

What was the cost of stolen property and ransom payments in 2011?

A

$10 Billion.

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39
Q

What is the case study of piracy?

A

Somalia.

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40
Q

What are the political factors of Somalian piracy?

A

Somalia’s political vacuum, following collapse of government in 1961. Created an enablement of illicit activities.

40
Q

What is the Socio-Economic status of Somalia?

A

Somalia is situated along a key trade route, making it more lucrative. Many deprived people, meaning there is a high reward available.

41
Q

What are the economic rewards of piracy?

A

Ransom costs accounted for $177 Million in 2009, and $238 Million in 2010.

42
Q

What are the first two steps of operation ocean shield?

A

NATO vessels conducted intelligence, surveillance, and reconnaissance missions. This verifies the activity of shipping on the coast of Somalia.

43
Q

What are the last two steps of operation ocean shield?

A

NATO boarding teams could board a suspect vessel to determine if pirates were on board. Could use force to stop a pirate vessel.

44
Q

What security measures are found on ships, for anti piracy?

A

Long range acoustic device, fire hose, boat trap, robot anti pirate boats, dazzle gun, active denial system, optical laser distractor.

45
Q

How many piracy attacks were there in 2009, 2011, and 2015?

A

2009 - 535.
2011 - 679.
2015 - 306.

46
Q

What has happened to Piracy in Southeast Asia since 2009?

A

Piracy has increased, and Piracy in this area makes up 70% of global piracy.

47
Q

What has happened to Piracy in all other areas?

A

Has reduced in all other areas, except West Africa.

48
Q

What is Illicit Trade?

A

Moving goods and services deemed illegal as they threaten communities as a whole.

49
Q

What are annual profits of Illicit trade estimated to be?

A

$870 Billion - 1.5% of global GDP.

50
Q

What are the impacts of illicit trade on health and safety?

A

Narcotics, fake medicine, defective materials.

51
Q

What are the impacts of illicit trade on the environment?

A

Endanger wildlife and rainforests through illegal environment crimes.

52
Q

What are the impacts of illicit trade on exploitation?

A

Forced human trafficking, prostitution, and slavery.

53
Q

What are the impacts of illicit trade on terrorism?

A

Financing criminality and terrorism.

54
Q

What are the impacts of illicit trade on government?

A

Reduction of tax revenue.

55
Q

What is the value of human trafficking?

A

Third most valuable type of smuggling, occurs from the gulf, and middle east to Europe.

56
Q

What is the value of drug trafficking?

A

Drug trafficking is the second most valuable type of smuggling occurs from Asia to North America.

57
Q

What is the value of lost revenue from illegal tobacco?

A

$40 Billion.

58
Q

What is the value of illegal wildlife trade?

A

$50-150 Billion.

59
Q

What is the value of human trafficking? ($)

A

$150 Billion.

60
Q

What is the value of counterfeiting?

A

$460 Billion.

61
Q

What is the value of drug trafficking?

A

$320 Billion.

62
Q

What is human trafficking?

A

Movement and exploitation of a person into forms of modern slavery.

63
Q

What is migrant smuggling?

A

Illegal movement of a person for a fee.

64
Q

What % of migrants crossing the Mediterranean use criminal networks?

A

90%.

65
Q

How much revenue did migrant smuggling generate in 2015?

A

Over €3 Billion.

66
Q

What are the reasons for trafficking?

A

Demand for cheaper labour, services and sex.

67
Q

What are the reasons for smuggling?

A

Taking advantage of people who want to find a better life, who are sold a lie, Poverty, Lack of education.

68
Q

What is the case study for people smuggling?

A

Mediterranean crisis.

69
Q

What were the largest migrant groups in Europe, %, in 2015?

A

Syria - 49%
Afghanistan - 21%.
Iraq - 8%.

70
Q

What are the main routes across the Mediterranean for Syrian migrants?

A

Eastern Mediterranean, Central Mediterranean.

71
Q

What are the push factors for Syrian migrants?

A

Civil war, unemployment, lack of food, lack of access to clean water, forces migration.

72
Q

What are the pull factors for Syrian migrants?

A

Reliable source of safe shelter, food and drink, access to public services, opportunity for safety, better standard of living.

73
Q

Why are Syrian migrants vulnerable to people traffickers?

A

They’re not able to meet basic needs, and people promise them a better life.

74
Q

What was the political response to the migrant crisis in the EU?

A

Increased funding for border patrol operators in the Mediterranean, devised plans to fight migrant smuggling, propose a new quota system to relocate asylum seekers among EU states.

75
Q

What was operation Sophia?

A

Established in 2015, combines the resources of several EU member states to save stricken migrant vessels, combat illegal crossings.

76
Q

Has operation Sophia been successful?

A

Migrant deaths have reduced overall, but in 2022, they were at their highest since 2017.

77
Q

Which seafloor cable do Microsoft and Facebook own?

A

The Marea cable - a 6600km cable, linking the USA with Europe.

78
Q

Which seafloor cable does Google own?

A

The ‘faster’ cable between the USA and Japan/Taiwan. Can transfer 60 Terabytes per second.

79
Q

What has happened to the number of submarine cables since 2012?

A

They have increased from 150 to 400.

80
Q

How many km of seafloor data cables are there?

A

Over 1.2 Million km.

81
Q

What % of intercontinental data traffic is transmitted via seafloor cables?

A

99%.

82
Q

What is happening to demand for global bandwidth?

A

It’s growing by 40% per year.

83
Q

What is more likely to happen to place with large seafloor cables?

A

They’re more likely to be well connected digitally, furthering economic development.

84
Q

What are the physical factors determining the distribution of cables?

A

Avoiding areas with tsunamis and landslides, not in subduction zones, concentration of cables through canals.

85
Q

What are the human factors determining the distribution of cables?

A

Ocean governance, Political factors - North Korea, China.

86
Q

How have many MNC’s reduced operational costs?

A

Outsourcing service jobs to developing economies.

87
Q

What are the examples of outsourcing jobs transferred to India?

A

Teleradiology, Scanning, IT, Engineering, Corporate R and D, Quaternary Sector.

88
Q

Which other factors have favoured outsourcing to India?

A

Cheaper labour, land costs, work ethic.

89
Q

What would happen to productivity is there was an internet outage?

A

It would decrease, as communications satellites would go down.

90
Q

What are the risks to communications cables?

A

Accidents linked to fishing vessels and ships dragging nets anchors account for 2/3 of all cable faults. Environmental factors, underwater components, deliberate sabotage.

91
Q

What are the examples of environmental factors affecting cable damage?

A

Tonga Volcano - 2022.
Taiwan Earthquake - 2006. Eight submarine cables were cut. Hurricane lima - 6 cables were cut.

92
Q

How have cables been damaged through fish and sharks?

A

Predatory fish are attracted to electrical impulses passing through cables.

93
Q

How have cables been damaged through sabotage?

A

Limited modern day sabotage - telegraph cables were cur during world wars. 2013 - Egyptian military arrested 3 divers.

94
Q

When was protection of sea cables established?

A

In 1884, under the convention of the protection of submarine cables, provided an international agreement to protect cables.

95
Q

How does UNCLOS manage sea cables?

A

Data cables are internationally recognised as critically important, countries can establish no fishing and no anchoring zones around important cable locations. All countries have the freedom to lay and maintain submarine cables.

96
Q

Why has the USA criticised UNCLOS?

A

For inadequate provision of vessels responsible for damage, under the automatic identification system.

97
Q

What is the role of the international cable protection committee?

A

Formed in 1958 - Promote safeguarding of international submarine cables against man made and natural hazards. Has over 155 members from 60 nations.

98
Q

What does UNCLOS mean for international law?

A

Data cables are internationally organised, submarine cable networks are subject to international law.