Theme 3 : Geographical Issues on a Continental Scale North and South America

The Americas: fractures, competition & integration – The American Continent between tensions and regional integration

The Americas: Power of the North and Assertion of the South

Challenges of Integration of the Americas

Key questions: To what extent does the American continent portray a model of unequal development? How extensive is North and South American integration? To what extent does Brazil pose a threat to American hegemony on a continental or global scale?

A. North America: Major Pole of the Triad US and Canada - two major powers of North America Trade between the 2 nations has doubled since the creation of NAFTA in 1994 Competition remains strong Heavy industry, automobile, lumber Canadian economy very dependent on US market

Canadian Trade Statistics

2. US economy the most powerful and most diversified in the world On continental scale, the U.S. embodies an attractive model of a superpower giant Top investors in the continent, esp in Canada & Mexico

3. Canada: rich in natural resources and major exporter of raw materials SE Canada contains major metropolises (Toronto & Montreal) Its extensive integration in the US contributed to the emergence of a vast cross-border region referred to as Main Street by French geographers

Canada’s Industrial Heartland Most of Canada’s Industries are Located near the St. Lawrence Lowlands and these 4 cities: Quebec City Montreal Ottawa Toronto Huge labor population Near a great source of water for manufacturing and power 60% of Canada's wealth is located in these areas Services: 83% of people live in cities

Canada’s Huge Heartland agricultural mining (iron, copper, nickel, uranium) Energy (hydroelectricity, petroleum)

B. Integration of emerging countries in globalization Brazil stands out as the regional power of South America 1st country in FDI on the subcontinent, acts as a counterweight to US domination Marked by major social inequalities

2. Mexico, Argentina and Chili sometimes referred to as “Jaguars” 1st foreign investor 2nd recipient of FDI in Latin America Proximity of US asset (exports) & drawback (dependence) Role model of insertion in the world economy Chile (Copper, fruit) & Argentina (Wheat, soy bean) Major exporters of raw materials and agricultural foodstuffs

3. Venezuela, Colombia & Peru dependent on exporting raw materials (rent economies) 7th world petroleum exporter Holds largest oil reserves on the planet Peru GDP tripled from 2000 to 2010 Colombia Exports coffee and coal Video: BBC Latin American boom 0-2’20

GDP of Countries in N. & S. America Country United States Canada Brazil GDP ppp in million $ 18,560,000 1,532,340 3,259,000 GDP per capita 56,116.00 43,249.00 15,941.00 Mexico 2,224,000 18,370.00 Argentina 953,029 22,459.00 Colombia 682,977 14,164.43 Venezuela 550,226 17,430.39 Chile 431,802 24,170.03 Peru 403,322 12,638.84 Ecuador 192,728 11,839.19 Guatemala 125,318 7,704.20 Panama 83,421 21,634.56 Costa Rica 75,138 15,534.03 Bolivia 74,836 6,530.17 Uruguay 73,056 21,387.31 Paraguay 61,587 8,776.30 Haiti 19,576 1,846.12 Source: IMF, World Bank, 2015

GDP of Countries in North and South America Country GDP/capita (dollars) The USA 47,283 Canada 46,214 Uruguay 11,997 Chili 11,827 Brazil 10,817 Mexico 9,565 Argentina 9,138 Colombia 6,273 Bolivia 1,858 Nicaragua 1,126 Haiti 672 Source: IMF 2010

Demographic and Social Indicators 2011 North America Central America Caribbean South America Birth rate (%) 12 21 18 Infant Death Rate (%) 6 17 32 19 Fertility rate (# children per woman) 1.9 2.4 2.1 Life expectancy at birth 79 76 72 74 Proportion of under 15 yr olds (%) 31 27 Source: Population et sociétés, n° 503, INED, September 2013)

HDI (Human Development Index) 2012 USA 0.937 Haiti 0.456 Canada 0.911 World Average 0.693 Latin America and Caribbean 0.740 Source: Human Development Report 2013, UNDP

Gini coefficient Expressed as a number between 0 and 1 (or between 0 and 100) 0 meaning perfect equality of income distribution The higher the number, the more unequal the wealth distribution

GINI COEFFICIENT INDEX CANADA 33.7 10. PARAGUAY 48 2. U.S.A. 41.1 11. MEXICO 48.1 3. URUGUAY 41.3 12. COSTA RICA 48.6 4. EL SALVADOR 41.8 13. CHILE 50.8 5. ARGENTINA 43.6 14. PANAMA 51.9 6. PERU 45.3 15. GUATEMALA 52.4 7. DOMINICAN REPUBLIC 45.7 16. BRAZIL 52.7 8. BOLIVIA 46.6 17. COLUMBIA 53.5 9. ECUADOR 18. HONDURAS 57.4 Source: World Bank, 2012

C. Periphery Countries falling behind in development Several Latin American countries are dominated peripheries Some benefit from price explosions in raw materials & rising demand for exports from Asian markets Trinidad & Tobago – petroleum Majority suffer from weak economies with no added value Tropical fruit, aquaculture in Ecuador and Central America Single export countries – e.g. Bauxite from Surinam

2. Major gap separating countryside from the city Agriculture unequally competitive & often for self-consumption Previously flourishing in Cuba, severely affected by fall of USSR & US embargo (now lifted) Coca crops for cocaine trafficking both an alternative and a blight

3. The Poorest Populations and States excluded from the globalized economy Haiti one of least developed countries Indigenous populations (60% in Bolivia & Guatemala) first people struck by poverty Corruption slows down development Natural disasters add to the vulnerable situation (cyclones, earthquakes in Haiti & Honduras)

Poverty Rates in South America End of 20th C. more than 40% population below poverty rate Since 21st C, been reduced to 33% Chili: poverty rate cut in half, now less than 15% 10 million Latin Americans middle class consumers

Summing it all up Video: 3’24 How are the Americas interconnected?