Resources & Trade Ch. 4 Sec. 4

Resources Natural resources: Come from the earth, not ppl 2 Types: Renewable- cannot be used up Wind, water, sun, forests, animals Nonrenewable- cannot be replaced Minerals, fossil fuels

* Which is more important Resources Nonrenewable MUST be conserved (saved) Use enough to meet ppl’s needs today Need enough for future generations * Which is more important to focus on?*

Alternative energy sources Resources Alternative energy sources Hydroelectric power- energy from falling water Solar energy- power from sun Problem= Too expensive

Resources (Alt. energy cont’d) Nuclear energy- power from a controlled atomic reaction Very clean nrg, powerful Problem= Dangerous waste

Economic Development Countries specialize in activities that fit their resources 4 types of econ. activities Primary Secondary Tertiary Quaternary

Economic Development Primary- taking natural resources directly from earth Farming, fishing, mining Secondary- use raw materials to make goods (combine/change) Manufacturing, pottery, metal working

Economic Development Tertiary- Provide basic services Clerical, retail, business/financial, education, lawyers Quaternary- Management of information, research, processing Computers; science; upper management

Economic Development Developed countries: Lots of technology & manufacturing High standard of living Commercial farming- Raise crops/livestock to SELL

Developing countries: Economic Development Developing countries: Working toward more technology & manufacturing Most are poor Subsistence farming- grow only enough for family

World Trade Countries export goods they produce Countries import goods they need  Trading partners are created

World Trade Trade barriers (see handout) Guess the trade restriction… 2. US farmers are allowed to obtain irrigation water from federal dam projects at very low prices to grow rice in CA desert, if they promise to sell 90% of the rice to buyers in Asia 3. If Congress and the President agree that the Chinese govn’t is guilty of human rights abuses, all Chinese imports wil experience a sharp increase in taxes. 5. Congress passes a law requiring that all foreign-grown vegetables sold in the US must be organically grown (no use of chemical fertilizers and herbicides). 1. US State Dept. officials confirm that the current Administration has decided to continue the prohibition of all US trade with Cuba. 4. Japanese auto firms agree to limits set in Washington D.C. on the number of Japanese automobiles that may be sold in the US.

World Trade Free trade Removal of trade barriers WTO- World Trade Org. (1995- biggest) GATT- Gen. Agreement on Tariffs & Trade (1st one) Some join regional grps. NAFTA- North American Free Trade Agreement EU- European Union Have regional currency (euro)

World Trade Multinational companies: Does business in many places Headquartered in developed countries Build factories & have workers in developing countries (low labor cost)

World Trade Outsourcing: Move production to foreign companies = massive layoffs in U.S. (home country) Middle class is depleting as they move down to lower paying jobs (larger economic gap)

World Trade Globalization- the growing integration of economies and societies around the world

HONG KONG CE Read article & staple into spiral. Using that material and/or outside sources, state AND EXPLAIN your view on the current sticky situation between Hong Kong & mainland China. 1 page minimum Cite other sources, if used