Arizona Economy

Objectives Examine AZ Native, Hispanic and Anglo Historical Economy Describe changes post WWII which allowed AZ to rapidly expand Begin to analyze current economic challenges for solutions C4 PO2gh, C1 PO4,5

Arizona Points of Interest

2000 Year Evolution of Native Trade

Ancient Trade Trade carried by humans over distance Specialization based on local factors of production Trade items included gems, food, tool stones, pottery, baskets, cotton Most permanent settlements in mountains, near water sources Rivers provided routes through rugged terrain, trails cut across valleys.

Hohokam Agriculture Hohokam irrigation techniques greatly increased food yield, allowing for population growth and trade power. The Salt River Valley still preserves many Hohokam canals.

Hohokam Network Hohokam centers like Casa Grande, Snaketown, and Pueblo Grande were abandoned about 1450AD. Their descendants are the O’odtham nations

Alta Pimeria After Spanish conquest, the Alta Pimeria (modern S. Arizona and N. Sonora) was settled by European missionaries, ranchers and soldiers. (Tucson 1776) Mexico’s independence encouraged US explorers to visit and trade for furs and metals After the 1840’s US-Mexico war, Native American, Mexican and Anglo’s both cooperated and fought over access to land and water resources

Arizona Territory The 1853 Gadsden Purchase was made to secure a railroad route to the Pacific ocean. – US gov. still owns 73% of AZ – Bought for 33 cents/acre After the US Civil War, displaced Southerners left the South and established many of Arizona’s towns and cities. (1867 P-ville)

Pumpkinville, Arizona Former prospector and Confederate Lt. Jack Swilling founded Pumpkinville in – Married Trinidad Escalante in Prescott 1864 – Developed a morphine and alcohol addicition after the Civil War He rebuilt Hohokam canals and planted food crops, especially pumpkins, to supply Ft. McDowell.

Central Arizona Project Full scale “reclamation” efforts began in AZ with Roosevelt Dam on the upper Salt River The Central Arizona Project provides Colorado River Water to Central Arizona – Ag, Human Activities – Native Water allotments – Water also shared with CA, NV – az.com/water_quality/ az.com/water_quality/

5 C’s of AZ Economy Copper Cattle Cotton Citrus Climate

Arizona Mineral Wealth Major deposit of porphyry copper in Globe and Bisbee – Large subsidiary yields of gold and silver – Tombstone (silver) was largest city in 1880’s AZ Gemstones include Turquoise, Fire Agate Uranium for medical use Coal Gypsum (for drywall)

Cattle and Cotton Cattle ranching still forms a large part of AZ rural economy – Murder of rancher Robert Krentz was a major influence on the passage of SB1070. Cotton grown in irrigated areas is sold worldwide for clothing, industrial use – Goodyear AZ was founded to provide cotton for auto tires

Citrus Production Phoenix and Mesa were once known nationally for oranges and other citrus production – Lime, lemons, grapefruit also – Citrus was a major source of Vitamin C and natural sugar

Climate After WWII, Arizona exploded as a tourism destination in winter, and air conditioning made summer life bearable – Tourists pay consumption taxes in AZ which provide benefits for Arizonans – Dude ranches offered “cowboy” experiences – Spring training baseball Giants, Cubs, Dodgers, Dbacks, Padres, Angels and 10 other teams – “Indian country” – Canyon Country Grand Canyon is AZ’s biggest tourist attraction with over 5 million visitors per year

Modern Arizona Economics 5 C’s remain active, especially in rural AZ 5 Newer industrial areas have emerged – Major electronics/avionics design and mfg. – Regional distribution hub for retail – Construction powered tremendous growth in economic expansion – Major Drug & Human Smuggling Center – Arizona universities at forefront on solar energy research

NAFTA North American Free Trade Agreement (1994) integrated Canadian, US and Mexican economies by streamlining movement of land and capital resources across borders. Maqiladoras (export factories) along the US border take advantage of low cost Mexican labor to produce retail good for US, while US farm exports led to cheaper food for Mexicans What could have been foreseen as a negative externality of this agreement?

Arizona Future Job Growth Areas Over the next 40 years, AZ is expected to see growth in job demand for – 1) Medical professionals Gerontology and Dermatologists – 2) Hydrology Managers Water Sanitation and Watershed – 3) Bilingual Business Administrators – 4) Solar Energy workers