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their services to the highest bidder however, a ... During the industrial revolution, however, the death rate dropped off due to .... period was high savings rates.

Study Questions: Chapter One_____________________________________________  1. Define “geography,” “economics,” and “economic geography.” What is the central problem of economic geography? -geography examines why things are located where they are located -Economic geography is a sub discipline concerned with the spatial organization and distribution of economic activity -Economics is a social science that studies the use of scarce economic resources to satisfy insatiable human desires 2. What do “location theorists” emphasize? What are the five major assumptions made by location theorists? What are the three major criticisms of location theory made by its critics? -location theorists emphasise the building and use of models derived from neoclassical economics and analyze economic activity under conditions of homoeconomics that assume: -all markets are perfectly competitive -everyone is perfectly rational -everyone has perfect information -all firms maximize profits -all consumers maximize utility - three major criticisms -Emphasize form at the expense of process -Portray geographies as frozen or unchanging -Be silent about historical context, politics, class, gender, ethnicity, struggle, power and conflict 3. What seven things indicate that the globalization of the economy has meant that national borders and differences between financial markets have become much less important? The globalization of the economy has meant that nation borders and differences between  financial markets have become much less important because of: 1. international finance 2. the increasing importance of transnational corporations 3. foreign direct investment from the core regions of the world 4. global specialization in the location of production 5. globalization of the tertiary sector of the economy 6. globalization of office functions 7. global tourism

4. What is “foreign direct investment?” What two trends demarcate foreign direct investment in developing countries? Foreign direct investiment (FDI) indicates investment by foreigners in factories that are operated by the foreign owners of MNCs. Two trends demarcate foreign direct investment in developing countries:

1. the proportion of FDI that core countries are allocating to periphery countries is  declining 2. FDI is becoming more geographically selective 5. Read Holden, W.N., K.M Nadeau, and R.D Jacobson. (2011). “Exemplifying Accumulation by Dispossession: Mining and Indigenous Peoples in the Philippines.” Geografiska Annaler: Series B, Human Geography, 93 (2): 141-161. a). How does Nadeau (2005, p. 334) define “development aggression?” development aggression can be defined as the process of displacing people from their lands and homes to make way for development schemes that are being imposed from above without consent of public debate b). How does the International Coordinating Secretariat of the Permanent Peoples’ Tribunal (2007, p. 186) define “development aggression?” development aggression consists of development projects that destroy a communities traditional economy, community structure, and cultural values. 6. For the world to become “developed,” what two critical issues require attention?  For the world to become “developed” two critical issues require attention 1. the challenge to economic expansion posed by environmental constraint 2. the enormous and explosive issue of disparities in the distribution of income  between the rich (countries and people) and poor (countries and people) 7. What are the four major questions of the global economy? (on exam) 1. what should be produced and at what level or scale of production? 2. how should the output be produced? 3. where should the output be produced? 4. who will receive the output that is generated?

Study Questions: Chapter Two_____________________________________________ 1. It could be said that feudalism was a social order that operated under a system known as “______________,” with three dominant classes in society. What were those classes and what were their functions in society? There are still social classes under capitalism, what two characteristics define capitalism’s social classes? ­ feudalism was a social order that operated under a system known as trifunctionality,  and there were three dominant classes in society: 1. the clergy 2. the land owning aristocracy 3. the peasants of serfs – agricultural laborers that lived on the land owned by the  aristocrats ­ in exchange the peasants had to provide the land owner  1. Rent, ie a percentage of all crops they produced, and  2. Unpaid labour services, called the demesne 3. banal obligations, inheritance taxes, marriage taxes, milling fees  etc

What were the respective reciprocating obligations of the landowners and the serfs in the feudal social order? ­ agricultural laborers that lived on the land owned by the aristocrats ­ in exchange the peasants had to provide the land owner  1. Rent, ie a percentage of all crops they produced, and  2. Unpaid labour services, called the demesne 3. banal obligations, inheritance taxes, marriage taxes, milling fees etc 3. The Black Death of 1348 is often discussed as a crucial event in the history of feudalism. What three characteristics described European civilization before the Black Death of 1348? What three characteristics described European civilization after the Black Death of 1348? Before Plague Land was scarce, labor was plentiful Landowners were powerful, peasants were weak Serfs were basically slaves and were bound to the land

After Plague Labor was scarce, land was plentiful Landowners were less powerful, peasants were less weak Serfs could now move away without fear of being caught and returned

4. What is the single most important institution necessary for the proper functioning of markets? Why? Economists use the term “industrial organization” to describe the extent of competition in a given market. Along the spectrum of competition, from most competitive to least competitive, please list, and discuss, the four major types of markets. Under capitalism, the most important institution is the market. Markets consist of buyers and sellers of commodities which are goods and services bought and sold for a price More competition Perfection competition Monopolistic competition Oligolistic competition Less competition monopoly

5. Compare and contrast the relations between peasants and their landlords under feudalism with the relations between workers and their employers under capitalism. Feudalism The labor obligations of peasants are determined by custom and tradition. A peasant has no choice about who to work for or where to live. However, a peasant can expect the landlord to provide a livelihood.

Capitalism The labor obligations of workers are determined by contractual relationships. A worker is free to sell their services to the highest bidder however, a worker cannot expect an employer to provide a livelihood.

6. Compare and contrast trade under feudalism and trade under capitalism. Feudalism Trade was largely confined to precious goods (spices, silks, porcelain) and precious metals. The consumers were only the aristocrats, who had the means to purchase such luxuries. Long distance trade was peripheral

Capitalism Long distance trade is integral to capitalism. In market based societies, trade occurs in all sorts of goods from luxuries to everyday goods. The expansion of trade networks was a major initiative to the growing networks of land and sea routes that

tied Europe to its colonies.

7. What is a “nation?” What four things demonstrate how the emergence of market  societies facilitated the growth of nation states?  ­A NATION IS A GROUP OF PEOPLE WHO SHARE A COMMON CULTURE, LANGUAGE , HISTORY , AND TERRITORY , OFTEN MANIFESTED IN A COMMON IDENTITY. -THE EMERGENCE OF MARKET SOCIATIES FACILITATED THE GROWTH OF NATIONSTATES IN SEVERAL WAYS 1. RISING WEALTH 2. MASS LITERACY 3. NATIONAL BANKING SYSTEM 4. A NATIONAL CURRENCY

8. Why was Great Britain the preeminent center of emergent nineteenth century  industrialization?  ­ Great Britain was the preeminent center of emergent 19 th century industrialization  because: 1. this was where the steam engine was invented 2. massive amounts of coal 3. iron ore located in close proximity to coal 9. What are “Kondratieff waves?” On average, how long does a Kondratieff wave  last? What happened in each of the five Kondratieff waves and how long did each  one last?  Capitalism is prone to long­term cyclical shifts in its industries, products, labour markets,  and geographis. This is a concept known as kobdratiev waves which are roughly 50­75  years in duration. the textile industry is easy to enter, has few First Kondratiev wave 1770­1820 –  requirements in terms of capital or labour skills and Textile industry Second wave 1820-1880s –heavy industry (steele manufacturing and ship building)

Third wave 1880-1930 – numerous heavy industries appear (steel, rubber, glass and automobiles)

Fourth wave 1945-1973 – lasted until OPEC oil shock Fifth wave 1973-? Electronics industry

this sector has initiated the industrial landscapes of most of the world These types of firms differe markedly from the light industry of textiles in that they require massive capital investment, where difficult to enter, and were oligopolistic in terms of their industrial organization This was a period of massive technological change, including capital intensification and automation of work. As local markets gave way to national markets most sectors experienced a steady oligopolization The primary growth sectors were petrochemicals and automobiles Led by the electronics industry which was powered by the microelectronics revolution and by the explosive growth of product services

10. During the industrial revolution, six things led to a dramatic dropping off of the death rate. What were those six things? During the industrial revolution, however,  the death rate dropped off due to ­ better food ­ less malnutrition ­ lower infant mortality ­ cleaner water ­ public health measures ­ immunology

11. It could be said that the timing of industrialization was significant to individual nations. Please compare, and contrast, early and late industrializers. Early industrializers Early industrializers fared little competition internationally. Their light industries associated with the first wave of industrialization could develop relatively slowly with minimal government intervention. Firms in sectors such as textiles, with few barriers to entry and low infrastructural demands and which were quite competitive internationally were important in national political climates characterized by laissez faire politics and minimal government intervention

Late industrializers Late industrializers faced a significantly different international climate, one dominated by early industrializers. Countries which did not begin industrializing until the late C19 faced significant competition in industries such as textiles. Consequently, these nations tended to experience relatively short periods in which their economies were dominated by light industry and moved rapidly into heavier sectors. In countries where heavy industry dominates, and places significantly higher demands on the state for labor training, infrastructure and trade protection, national political cultures that lack more favorably on state intervention are more likely to develop

12. What was the effect of colonialism on Europe? Please compare, and contrast, the two  major waves of colonialism. What was responsible for the “inter­colonial interlude”  between these two waves? ­ colonialism changed Europe, deepening the formation of capitalist social relations and  markets as well as the nation states of western Europe Before colonialism After capitalism Europe was relatively poor and powerless part of Europe became the most powerful collection of the world, compared with the Muslim world, India societies on the planet or china Wave When Dominant ideology Colonial powers Colonized places First C16 – early C19 Mercantilism Spain and Portugal The new world and parts of Africa Second 1825-1945 Free trade Britain and france Large parts of Africa and asia

The intercolonial interlude: 1774­1825 ­ Following the Napoleonic wars, the European powers were weak (particularly Spain,  which was occupied by France). This opened an opportunity for Latin America  nationalists led by Simon Bolivar to break away and become independent countries

Study Questions: Chapter Five__________________________________________ 1. It can be said that the demand for labor depends upon how labor intensive, or  capital intensive, a given production process is. Define “labor intensive industry”  and provide an example of a labor intensive industry. Define “capital intensive  industry” and provide an example of a capital intensive industry.  Labor Intensive Industry Capital Intensive Industry This is an industry that uses lots of labor  This is an industry that uses lots of capital  and does not use a lot of capital and does not use a lot of labor Example: the Arkansas poultry products  Example: the mining or highly  industry disseminated gold ores 2. In a discussion of the role played by labor in acting as a locational determinant  what is a very common mistake? Why is this very common mistake?  ­ a very common mistake is to assume that all industries seek out low labor costs.  In a highly capital­ intensive industry, labor costs may be irrelevant 3. How can high housing costs affect the supply of labor?  ­ High housing costs can affect the supply of labor in two ways 1. Rising housing costs can cause secondary workers to enter the labor  market to look for additional income thus increasing the supply of labor 2. If housing costs are just too high, people will leave the local labor  market because they cannot find a place to live 4. What will be the effect on industrial location of: weight­losing activities, weight­ gaining activities, ubiquitous inputs, and the break of bulk point?  ­ Weight losing production processes, where the final product weighs less than the  raw material have a locational pull towards the raw material source ­ Weight gaining production processes, where “pure inputs” (inputs that neither  gain or lose weight but are only assembled) are combined with ubiquitous inputs,  and tend to be located at the market ­Ubiquitous inputs (inputs that are found everywhere) have no locational pull ­break of bulk point: loading and unloading costs by be incurred when materials  are transferred rom one transportation mode to another such as from ship to rail. 

5. Given that economies of scale act as a concentrative force, while transportation  costs act as a diffusive force, explain how these two forces produce a “trade off,”  which determines the optimal number of plants. How will an improvement in 

technology affect the optimal number of plants? How will a decrease in  transportation costs affect the optimal number of plants? How will an increase in  transportation costs affect the optimal number of plants?  ­ Economies of scale is a concentrative force in economic geography,  transportation costs are a diffuse force in economic geography ­ The two produce a “trade off” number of plants where production costs are  equal to transportation costs.  ­  A change in technology  that makes production costs per unit cheaper per each  plant (assuming no change in transportation costs) will increase the optimal  number of plants, ie act as a diffuse force. ­  A decrease in transportation costs  will reduce the optimal number of plants ­  An increase in transportation costs , will increase the optimal number of plants. 6. Define, compare, and contrast, “vertical integration” and “horizontal integration?”  How can a “backward vertical integration” effect a firm’s location? How can a  “forward vertical integration” effect a firm’s location? ??? ­ Some firms purchase raw material sources or distribution facilities. This is  called vertical integration in that the firm controls more steps “up and down”  in the production process. ­  Horizontal integration  occurs when a firm gains an increasing market share of  a given niche of a particular industry. This is typically when markets become  oligopolistic ­ ?Backwards vertical integration: when a firm takes over operations that  were previously the responsibility of its suppliers, this can lead a firm into  resource­frontier areas ­ ?Forward vertical integration : when a firm begins to control the outlets for  its products, this can lead a resource­based organization to set up plants in  market locations

7. List, and discuss, three factors which led to the enactment of the 1947 TaftHartley Act. What did this statute create? What was the effect of this statute on the  spatial variations in labor costs in the United States? Why?  ­ three factors that led to the Taft­Hartley Act 1. militant “sit down strikes” of the late 1930s 2. concerns that organized labor was infiltrated by communists 3. concerns that organized labor was controlled by organized crime

­ ­

created the concept of “right­to­work legislation which said that an individual  state could make it illegal to require union membership as a condition of  employment. Unions are substantially weaker than in the closed shop states. This has caused  a substantial relocation of labor intensive industries, such as textiles, from the  closed shop states of the north to the open shop states of the south

8. What was a major reason Japan had such prolific economic growth during the  post World War II period? What facilitated this?  ­ ­ ­

A major reason Japan had such prolific growth during the post world war II  period was high savings rates. Employers would encourage their employees to save in banks they owned by  offering high interest rates. This then created a pool of funds to finance  investment Capital is important as well because firms can substitute capital for labor in a  process of capital intensification

9. List, and discuss, three things the Government of Saskatchewan can do to develop  an agglomeration of mad scientists in the uranium rich northern portion of the  Land of Living Skies.  ­ To encourage the development of an agglomeration, according to Harrington and Warf  this can be done by: Concept

Its application

Careful targeting of taxes

Do not tax the things the mad scientist need  such as lab coat, beakers and test tubes Develop a side kick training program at  SIAST Build mansions for the mad scientists and  provide high speedinernet (so they can  hack into the main­frame at the los Alamos  national laboratory) as well as an  international airport

Labor training Infrastructure

10. List, and discuss, three prominent United States Federal Statutes enacted during  the “New Deal” of the 1930s.  Statue What it did National labour relations act (1935) Gave unions the right to exist and legally  required employees to recognize and  bargain in good faith with unions Social Security Act (1935) Created social security, a government run  old­age pension program Fair Labor Standards Act (1935) Created minimum wages

11. a. Why is it that scholars do not agree upon an exact definition of “violence  ­ An exact definition of “violence” is something scholars do not agree on, partly because  violence occurs along a spectrum ranging form micro­scale acts of immediate physical  violence to the macro­scale of unjust social structures often referred to as “structure  violence” b. How does Pred define “terrorism?”  ­ Terrorism: deeds and statements, material practices and discourses, enacted policies and  pronouncements, which are meant to terrify c. McCamant says that state terrorism emerges from three types of political  struggles; list, and discuss, those three types of political struggles.  1. oligarchic - where an oligarchy is attempting to maintain its hold on power and is resisting calls for wealth redistribution 2. ethnic – where a dominant ethnic group is attempting to control other ethnic groups 3. ideological – where a group of ideologues is attempting to impose its vision on the rest of society

d. Since the collapse of the Soviet Union, what ideology is likely to constitute the  ideological basis of repression?  • Since the collapse of the soviet union, aggressive capitalism has become ideology  gripping the faithful and it is as likely to constitute the ideological basis of  repression as was communisms e. How do Ward and England define “neoliberalism?” • Neoliberalism refers to a set of economic polices emphasizing free trade,  privatization, deregulation, and the retreat of the state from matters of wealth  redistribution and social service provision f. How does Harvey define “neoliberalism?”  • neoliberalism is a theory proposing the advancement of human welfare through  the liberation of entrepreneurial freedoms within an institutional framework  characterized by strong property rights, free markets, and free trade g. Why is the prefix “neo” added to the word “liberalism?” • adding the prefix “neo” to “liberalism” indicates that neoliberalism is a revival of  the teachings of the classic liberals such as Adam Smith, who saw social order  emerging as the consequence of everyone seeking their own interest  h. Who were the original proponents of neoliberalism? • Lidwig Von Mises, Friedrich Von Hayek, and Milton Freidman i. What was “stagflation?”  • high inflation concomitant with stagnant growth j. How did stagflation provide these early neoliberal economists with an  “interpretive moment” allowing them to persuade the broader discipline of  economics (and a significant part of the policymaking elite) that Keynesian  economics was rife with fundamental structural deficiencies?  • they argued that Keynesian economic theory, developed during the high  unemployment of the 1930s, could do a reasonable job of explaining how to  address high unemployment but it encountered substantial difficulty explaining  how to address high unemployment occurring simultaneously with high inflation k. Why was neoliberalism highly attractive to the traditional holders of power? 



To the traditional holders of power, neoliberalism’s rejection of income  redistribution as inefficient, and its view of the poor as failing to give their lives  proper entrepreneurial shape, appearedhighly attractive l. Why would Hoffer regard neoliberalism as an excellent example of a “revolution  by the privileged?”  • Neoliberalism is often described as “ an international project to reclaim,  reconstitute, or establish capitalist class privilege and power, dating from the  1970s m. Is neoliberalism a “progressive” movement seeking social equality?  • Neoliberalism is by no means a progressive movement seeking social equality, but  is instead, a variant of traditional conservative political views augmented with a  hyper­capitalist perspective on wealth’s production and distribution n. It can be said that neoliberalism is a project with a substantial propensity for  violence. How does neoliberalism generate structural violence? How does  neoliberalism generate direct violence?  Killings in the Philippines of those activism against neoliberalism demonstrate the  connection between structural violence and direct violence; the former leads to social  movements opposing neoliberalism and the latter emanates from the state acting to  destroy these social movement.  o. In what three ways do the extrajudicial killings in the Philippines exemplify the  link between neoliberalism and violence? (unsure of answer) • these killings exemplify neoliberalism’s propensity for violence and they  epitomize state terrorism; they demonstrate that “terrorism” must be examined not  just from the perspective of amorphous non­state groups seeking to disrupt the  world order, but also from the orthogonal perspective of states acting to impose a  given world order upon those unreceptive to it. 12. Who are two prominent Latin Americans which have challenged the intellectual  hegemony of neoliberalism?  • Venesuela and bolivia 13. Please list, and discuss, the four main ways in which the state can affect the  economy?  The four main ways in which the state can effect the economy are 1. through the creation and enforcement of a legal system, without the right to buy and sell, to have assets. Secured against forcible appropriation, markets simply would not exist 2. through taxing and spending with fiscal policy – government expenditures, which are uneven across the landscape, have huge impact on local areas, generating jobs, subcontract revenues and profits 3. through controlling the money supply. When the central band increases/decreases the money supply, it causes interest rates to go down/up. The purchase of new equipment will be cheaper/more expensive and this will be a diffusive/concentrative force 4. through the provision of infrastructure – without bridges, roads, tunnels, the circulation of people, goods and ideas that are fundamental to markets would be impossible

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