Unit 7:

Industrializati
on and
Economic
Development
Economic Geography DEMAOSA

• is the study of how people earn their living, how livelihood

systems vary from place to place, and how economic
activities are spatially interrelated and linked.

The Changing Roles of Energy and Technology

• technology being used commercially and personally is

dramatically increasing the global demand for electric
power.
• one is already close to consuming more electricity than one
can generate or distribute.
• energy storage technology comes in as a key change
accelerator to help us use the electrical power we have
now more efficiently.
Three Dimensions of Technology
1.) Technological tools, instruments, machines, gadgets
• are used in accomplishing a variety of tasks. These material
objects are best referred to as apparatus, the physical devices of
technical performance.

2.)The body of technical skills, procedures, routines

• all activities or behaviors that employ a purposive, step-by-step,
rational method of doing things.

3.)The organizational networks associated with activities and

apparatus.
 METERIO
Industrial Revolution

• arose in England during the late 18 th century and then rapidly

spread to other parts of Europe and North America.
• modern factories, mass-produced goods, and modern forms of
capital investments are all products of this period.
• was a “Great Transformation.” – (Karl Polanyi, 1994)

Key Elements of Great Transformation

• Goods, land, and labor were transformed into commodities .
• A producer hired laborers.
• The business firm or corporation are the dominant economic
institution.
• Rural people began selling their labor for wages in factories and
commercial firms in the cities.
• created more open stratification systems.
Models of Economic Development

Five Economic Sectors

Primary Economic Activities
• involved with the harvest or extraction of raw materials. Fishing,
agriculture, ranching, and mining are all examples of primary
economic activities.

Secondary Economic Activities

• generally associated with the assembly of raw materials into goods
for consumption. Heavy industries, manufacturing, and textile
products are all examples of secondary economic activities.
Tertiary Economic Activities
• involve the exchange of goods produced in secondary activities.
Retailing, restaurants, and any other basic service job occur in the
tertiary sector of the economy.

Quaternary Economic Activities

• includes research and development, teaching, tourism, and other
endeavors having to do with generating or exchanging ideas.

Quinary Economic Activities

• generally considered as the subset of quaternary activities and are
those that involve high-level decision making and scientific
research.
 BALBUENA
Five Stages of Growth

Stage 1. Traditional Society:

• this initial stage of traditional society signifies a primitive
society having no access to modern science and technology.

Stage 2. Preconditions or the Preparatory Stage:

• this covers a long period of a century or more during which the
preconditions for take-off are established. These conditions
mainly comprise fundamental changes in the social, political and
economic fields.

Stage 3. The “Take-Off’ Stage:

• this is the crucial stage which covers a relatively brief period of
two to three decades in which the economy transforms itself in
such a way that economic growth subsequently takes place more
or less automatically.
Stage 4. Drive to Maturity – Period of Self-Sustained Growth:
• this stage of economic growth occurs when the economy
becomes mature and is capable of generating self-sustained
growth.

Stage 5. Mass Consumption:

• in this stage of development per capita income of a country rises
to such a high level that consumption basket of the people
increases beyond food, clothing and shelters to articles of
comforts and luxuries on a mass scale.
 CEBALLOS
Location Principles
• The location a company chooses must provide easy access to the
materials necessary for production.

• The location must have an adequate supply of labor.

• Proximity to shipping and markets is also a key factor.

• The site should be chosen to minimize production costs.

• Natural factors, such as climate, may limit the geographical

distribution of certain types of firms, such as agribusiness
corporations.

• The firm’s history and its leaders’ personal inclinations may also
influence the final.
Least-Cost Theory (Alfred Weber)
• the theory that an industry will be located where the transportation costs of
raw materials and the final product is at the least. A decision making model
of the best location of a particular industry given the material, amount
shipped and transport costs. Example is the google industry because they
are located in a place with agglomeration ,causing a lot of customers to
emerge.

Agglomeration
• concentration of businesses in one particular area Agglomeration happens
when there is a demand for services that a population needs. Generally this
benefits businesses because it pools talents and services. Typically this
results in lower prices.

Regionalization
• is the process by which specific geographical areas acquire characteristics
that differentiate them from others within the same country. In economic
geography, regionalization involves the development of dominant
economic activities in particular regions.
 AVANCE
Social and Economic Measures of Development
Gross Domestic Product (GDP)
It is the total market value of all final goods and services produced annually
within the borders of a country.

Gross National Income (GNI)/Gross National Product (GNP)

It is a measure of all goods and services produced by a country in a year,
including those generated from its investment abroad.

Purchasing Power Parity (PPP)

It is a new measure which accounts for what money actually buys within
different countries.

Net National Product (NNP)

It is a measure of all goods and services produced by a country in a year,
including production from its investments abroad minus the loss or
degradation of natural resources capital as a result of productivity.
Human Development Index (HDI)
It calculates development not only in terms of money or
productivity, but in terms of human welfare. It evaluates human
welfare based on three parameters: life expectancy, education, and
income.

• Energy Consumption per Capita

• Percentage of Workforce Engaged in Agriculture
• Food Security and Nutrition
• Education
• Safe Drinking Water and Sanitation
• Health
• Technology
• Gender Equity
 PATROCINIO

Contemporary Patterns and Impacts of Industrialization and

Development

World System Theory (Immanuel Wallerstein)

Peripheral countries generally provide labor and materials to core

countries. Semi-peripheral countries exploit peripheral countries,
just as core countries exploit both semi-peripheral and peripheral
countries. Core countries extract raw materials with little cost.
Variations in Levels of Development

Physical factors
• Climate
• Natural hazards
• Lacking minerals/poor soil and drainage

Human Factors
• Population
• Economy
• Political System
 VALENTIN
Deindustrialization
• is the reduction of manufacturing within an economy. It is a
central process in uneven geographical development, unfolding
differently in cities and regions internationally. The biggest
example of deindustrialization in the United States is in what's
known as the Rust Belt, the region in the upper Northeastern
United States and Midwest that was once home to booming
industry, but is now full of abandoned or rusted industrial
factories.

Globalization
• is the idea that the world is becoming integrated on a global scale
such that smaller scales of political and economic life are
becoming obsolete. As the world becomes fully globalized, they
say, location will lose its meaning, and people everywhere will
have the same access to standardized goods, services, and
information.
 ROSBERO
Sustainable Development
• is an attempt to address the issue of social welfare and environmental
protection within the context of capitalism and economic growth.
• is basically the idea that people living today should be able to meet their
needs without prohibiting the ability of future generations to do the same.

Sustainable Development Goals

• were adopted by the United Nations in 2015 as a call-to action for people
worldwide to address five critical areas of importance by 2030: people,
planet, prosperity, peace, and partnership.
• in 2015, the 193 countries that make up the United Nations (UN) agreed to
adopt the 2030 Agenda for Sustainable Development.
• the historic agenda lays out 17 Sustainable Development Goals (SDGs) and
targets for dignity, peace, and prosperity for the planet and humankind, to
be completed by the year 2030.
• the agenda targets multiple areas for action, such as poverty and sanitation,
and plans to build up local economies while addressing people's social
needs.
Women in Development and Gender Equity in the
Workforce
• women represent around 70% of the health workforce, but earn on average
28% less than men. Even when considering “equal work” an “equal pay” gap
of 11% remains.
• the trend of increasing participation of women in highly paid occupations is
predicted to narrow this gap by 4% in the coming 20 years. There is a
window for policy to harness this momentum and take concrete action to
accelerate participation of women in highly skilled health occupations. To
achieve equal pay for equal work, the 11% gap needs to be addressed.
• in line with International Labor Organization (ILO)’s Convention No. 100
(Equal Remuneration), ratified by 173 countries, labor rights against sexual
discrimination should be enforced to ensure equal remuneration for men and
women workers for work of equal value.

Gender Inequality
• occurs when there is incoherence between the levels of gender equity within
different social institutions.
• is not only embodied in national-level institutional policies, but there is also
household-level gender inequality.
 GROUP 4:

THANK AVANCE
DEMAOSA
METERIO
ANATA

YOU!
CEBALLOS
PATROCINIO
BALBUENA
ROSBERO
VALENTIN