Transportation Geography

Slides:



Advertisements
Similar presentations
ATHENS UNIVERSITY OF ECONOMICS AND BUSINESS TRANSPORTATION SYSTEMS AND LOGISTICS LABORATORY (TRANSLOG) © Prof. K. Zografos STEPs STEPs Scenarios for the.
Advertisements

1 Introduction to Transportation Systems. 2 PART I: CONTEXT, CONCEPTS AND CHARACTERIZATI ON.
Urban Economics 1 Dr. Adnan A. Alshiha.
Weber’s Model Industrial Location Locational Model What is a model? –Simplified –representative / common key features.
Chapter 5 Urban Growth. Purpose This chapter explores the determinants of growth in urban income and employment.
Chapter 4 City Size.
GEOG 80 – Transport Geography Professor: Dr. Jean-Paul Rodrigue Topic 2 – Transportation Systems and Networks A.Transportation and Commercial Geography.
The Market System Private individuals and organizations own and control their property resources by means of private property. PP, coupled with the freedom.
The Strategy of International Business
1 Productivity and Growth Chapter 21 © 2006 Thomson/South-Western.
Aggregate Demand.
Weber Model Criticisms.
Supply Chain Management
Logistics and Regions. Trends The regions are becoming integrated in large-scale network economies (new markets conditions, reliance on global supply.
Chapter 9 Transportation and Communications Understanding modern transportation and communications systems Point out historically specific nature of these.
Key Concepts of Supply Chain Management
Planning Process ► Early Transport Planning  Engineering-oriented  1944, First “ O-D ” study  Computational advances helped launch new era in planning.
Chapter 4 Marketing.
September 18, 2008 Transport and Economic Change: Background Concepts GE 541.
LOGISTICS OPERATION Industrial Logistics (BPT 3123)
Fault of distribution as primary factor of crisis of liberal capitalism by Janusz J. Tomidajewicz - Poznań University of Economics.
Spatial Interaction & Spatial Behavior. -- Why do goods/people move from place to place? -- Personal examples of your “spatial interaction”? spatial interaction.
The Functional Region Alvin Simms Dept. of Geography.
Chapter 1 Globalization of markets and competition.
Overview of Urban Economics
Begin $100 $200 $300 $400 $500 GraphsSupplyAndDemandPoliciesAndMarkets Economies ImportantKeyTermsGDP.
Production Function and Promoting Growth. The Production Function and Theories of Growth The production function shows the relationship between the quantity.
Lecture 4 Transport Network and Flows. Mobility, Space and Place Transport is the vector by which movement and mobility is facilitated. It represents.
Lecture 1 Introduction- Manifestations of Transport and Tourism.
Economic Geography Part II Interaction Transportation The City, Services and Central Place Theory.
Lecture 10 Work in the Post-Industrial Economy. Social Organization of Work As our society becomes more interdependent, the ways in which we organize.
Footloose Capital and Productive Public Services Pasquale Commendatore Ingrid Kubin Carmelo Petraglia.
INDUSTRY AND SERVICES Chapter 12. Where Did the Industrial Revolution Begin, and How Did It Diffuse? Industrial Revolution: A series of inventions that.
Chapter 12 Global Supply Chain Management. Objectives After reading the chapter and reviewing the materials presented the students will be able to: Explain.
Benefits of Competition Policy and Law for Businesses.
International Business Environment
Distribution and Spatial Interaction Distribution and Spatial Interaction Distribution Distribution – arrangement of feature in space…properties of distribution…
Key Issue # 3 – Why are Different Places Similar?
Localization, Urbanization and Agglomeration Economies
Global Connections: Industry. Objectives Identify the different types of industry sectors. Explore the spatial relationships of trade. Consider location.
Urban Transport: background, problems and challenges
Unit VI. Where did the Industrial Revolution begin, and How did it Diffuse? Key Question:
Special Interest Tourism Nicos Rodosthenous PhD 29/10/ /10/20131Dr Nicos Rodosthenous.
SUPPLY CHAIN MANAGEMENT SYSTEMS Part I. 7-2 LEARNING OUTCOMES 1.List and describe the components of a typical supply chain 2.Define the relationship between.
GE 541 The Economic Geography of Transport September 2, 2008 Introduction to the Course.
Chapter 3 Spatial Interaction and Spatial Behavior The Movement of people, ideas, and commodities within and between areas.
Submission Document went to cabinet … Planning for the Future Core Strategy and Urban Core Plan (the Plan) is a key planning document and sets out the.
Chapter 5 Principles of Spatial Interaction
Everything else you need to know from Unit 1..  Situation identifies a place by its location relative to other objects.  Situation helps us find an.
Managerial Economics. What is Managerial Economics???  It is the integration of economic principles with business management practices  It is essentially.
Economic Geography 1. What Influences Economic Activity? 2. Sectors of the Economy 3. Location Factors in Services.
+ Spatial Diffusion AP HUG. + Diffusion Definition: the movement of a phenomenon (i.e. culture, language, religion, disease) from one location to another.
Chapter 1 Key Issue 3 Why Are Different Places Similar?
Geography’s Unique Perspective: The Spatial Perspective Thinking about the spatial arrangement of places and phenomena (physical and human)
EF310: International Trade and Business Lecture 17 Theories of International Trade.
ECONOMIC GROWTH Mr. Griffin AP Economics - Macro: VI.
IR306 FOREIGN POLICY ANALYSIS INTERDEPENDENCE IN INTERNATIONAL SYSTEM - LIBERALISM.
CONVENTION & DESTINATION MARKETING Prepared by Yooshik Yoon, Kyunghee University
Road Transport as Driver of Peace and Prosperity: An Economic Perspective Kenneth Button University Professor George Mason University.
Logistics/Supply Chain Costing Prof. Costas Panou Lecture #5 in M.Sc New Technologies in Shipping and Transportation.
GLOBALIZATION Lecture 01. Introduction 2 The effects of this trend can be seen in the cars people drive in the food people eat in the jobs where people.
1 1 GEORGES KIRPS, VICE PRESIDENT EUROMETAL THE ROLE OF STEEL TRADE & STEEL LOGISTICS IN BUSINESS MODELS FOR STEEL DISTRIBUTION.
Chapter 6 Help Wanted: The Changing Geography of Jobs.
Chapter 8 Strategy in the Global Environment
Economic Geography – Development Strategies
Topic 6 – Logistics and Supply Chain Management
Chapter 8 Strategy in the Global Environment
The Importance of Transportation Economics
Chapter 8 Strategy in the global Environment
The Importance of Transportation Economics
Presentation transcript:

Transportation Geography Some Introductory Concepts

Transportation Geography Transport geography separate discipline? Primary concerns: A. Networks- location, structure and evolution B. Flows on networks : describing and predicting C. Significance and impact of liberalization, cost changes, information and other technologies on movements and networks

What is Transportation? Movement? Flow? Physical only? Useful to appreciate the French view Circulation – very broad conceptualization of transportation Means all forms of movement and communications

Transportation Revolution (s)? What comprises such a Revolution? New and improved transport forms Broader access to forms of transport Basic ingredients? Friction of Distance- decline in this value Accessibility- ease and getting to and from places Collapse or Telescoping of Travel Times- concept of time-space convergence

Second Transport Revolution? Why? Transport in advanced capitalist economies entering a new era: technological innovation Advances in info technology are creating fresh opportunities Modernizing infrastructure: ERP and congestion pricing, intelligent systems Rethinking transport policies IT widely regarded as key to change in economy, environment and safety of all modes

Two Revolutions? Electronic revolution in control of vehicles and infrastructure and cargo Revolution in appreciation of assigning uses of space in urban areas (hubs) This next revolution will last well into 21st Century Economic and social institutions must adapt to technological progress Policy makers already seeking guidance and information

Cumulative Modal Contribution to Economic Opportunities Industrial Revolution Mass Production Globalization Telecommunications Air Roads Economic Opportunities Railways Source: adapted from HOP Associates. http://www.flexibility.co.uk/issues/transport/time-mobility.htm Canal shipping Maritime shipping Horses 1750 1775 1800 1825 1850 1875 1900 1925 1950 1975 2000 2025 2050

Economic Benefits of Transportation Direct Supply Direct Demand Indirect Micro Indirect Macro Income from transport operations (fares and salaries) Access to wider distribution markets and niches Improved accessibility Time and cost savings Productivity gains Division of labor Access to a wider range of suppliers and consumers Economies of scale Rent income Lower price of commodities Higher supply of commodities Formation of distribution networks Attraction and accumulation of economic activities Increased competitiveness Growth of consumption Fulfilling mobility needs

The Share of Transportation in the GDP, United States 2000 Source: U.S. Department of Transportation, Bureau of Transportation Statistics, Pocket Guide to Transportation, BTS-02-02, February 2002.

Transport Impacts on Economic Growth Transport Improvements Commodity Market Labor Market Expansion New Activities Source: Adapted from Goodbody Economic Consultants (2003) Transport and Regional Development. http://www.irishspatialstrategy.ie/docs/pdf/Transport%20and%20Regional%20Development.pdf Growth

Employment in Transportation Occupations, United States, 1985-2001 Source: BTS.

Economic Production and Specialization Region A Region B Self Reliance Regional Trade Trade and Transport Trade and Transport International Trade Product A Product B Product C Product D Gateway Product E

Economic Integration and Interdependencies Interdependent Groups of Nations Independent Nations G1 a a h h b b g g c f d d c e f e G2

Effects of Improved Transportation A. Areal specialization promoted by improved transport 1. Allows producers to focus on particular forms of production 2. Creation of larger areas of particular product tied to distant markets- example? B. Improvement in transport is contradictory! 1. Has made places more alike-share products, ideas, and services 2. Simultaneously it has made areas diverse since specialization has been encouraged

Additional Effects of Improved Transport Access to resources and ability to market goods that otherwise would have no market Access to raw materials and the stimulation of supplier development and outsourcing phenomenon Expands settlement spaces City building and supporting Political integration- binding together of diverse political units Social integration- allows stronger interpersonal communication and diffusion of information and ideas “Just as commodities flow over a network so too do ideas and information”

Explaining Spatial Interaction Improvements in transport not alone responsible for interaction What are the conditions under which interaction develops? Three factor model of Edward Ullman still relevant Ingredients: complementarity, intervening opportunity and transferability

Complementarity Interaction is due to areal or regional or spatial differentiation But mere differences do not produce interaction Must be a demand and supply of specific good – specific complementarity Toyota assembly in Georgetown and production of tires in Akron Complementarity so important that relatively low value bulk goods move across the globe: Australian iron ore, Venezuelan and Iraqi oil

Intervening Opportunity Complementarity generates interchange only if no intervening source exists Where alternative source exists flow or spatial interaction will be interrupted Examples: grocery shopping, forest products, etc Occasionally IO might assist interaction by making construction of intermediate transport routes profitable

Transferability Measured in real time and costs If distance between market and supply is too great and/or too costly to overcome, interaction will NOT take place despite perfect complementarity and absence of intervening opportunity Tendency here to use alternate goods Transform product into higher value so it can withstand cost of transport Examples?

Summary Interaction based on three factors: 1. Complementarity 2. Intervening Opportunity 3. Transferability System applies to movement of physical goods but also people Additional Corollaries Make This Concept Richer

Corollaries of Spatial Interaction Place Utility- added economic value of a commodity gained by transporting it from place where it has little value to place where it has more Example: transporting coal from West Virginia or Kentucky into megalopolis Negative place utility or disutility- pay to have something removed – reverse logistics!

Corollaries of Spatial Interaction Time Utility- transport enhances the ability of goods to satisfy human demand-not only WHERE they are needed but also WHEN Some Products have short shelf life –fresh inventories needed periodically- fruits and vegetables; Maine lobsters or Hawaiian fish Computer parts- ICs need air freight and other goods have a very brief product life cycle

Distance Decay Basic geographical concept Tobler’s Law- “Everything is related to everything else but things that are closer together are more related” The negative impact of distance upon the flow of information or goods or services between places Linear and nonlinear functions Spatial Elastic and Non-elastic functions

Reasons for Distance Decay What are impedance factors that cause a variable to decay over distance? Economic reasons- cost and time Non-economic reasons Hold economic factor constant- first class mail- cannot use cost as an explanation Information- more familiar with our immediate surroundings than with distant places Intervening Opportunities

Location and Distance Concepts Geographers view space and location in several ways Absolute Location- position on conventional grid Relative Location- position with respect to other locations, i.e. really situation Absolute Distance- conventional distance in miles/kilometers between places Relative Distance- uses metric other than the above, e.g. cost, social contacts and time between places

Relative Distance Absolute Distance A>>>>B>>>>C Social Contact Distance A>>>>>>>B>C Cost Distance A>>B>>>>>>>>>C Time Distance A>>>B>>>>>>>>>>>>>C Why? Spaces in which people live and behave are much more psychological (relative) than absolute Important to consider what people think is the distance between places Individuals make decisions in context of relative rather than absolute space Therefore time and cost may be better predictors of travel behavior

Time-Space Convergence (TSC) Absolute space has not changed over time But relative space has changed greatly Space adjusting techniques such as transport and communications enable us to restructure space by changing relative distances which separate places TSC is way of measuring relative distance by measuring the rate at which places approach one another in time distance

Space / Time Convergence 6.2 hours A B 2.6 hours A B TT Travel Time (A – B) T2 (2000) T Time

Regional Space / Time Convergence (in minutes) Source: adapted from Janelle, D.G. 1968 "Central Place Development in a Time-space Framework“, The Professional Geographer Vol. 20: pp. 5-10.

Mail Delivery Times between New York and San Francisco, 1840-2000 (in days) Source: SRI International (2002) http://www.sri.com/policy/csted/reports/economics/fedex/

Cost Space Convergence Concept of space convergence can be extended to other contexts Cost space convergence or divergence Divergence indicates that places actually move further apart in terms of cost-examples? Complete time-space convergence- no differences in time required to reach near or distant points Examples? USPS, cellular telephony

Impact of Complete Cost Space Convergence In absence of normal distance cost relationships, activities can agglomerate at one location OR disperse equally throughout a region No incentive for firms to develop a hierarchy of merchandising centers-less costly to distribute direct and save building costs Envision a world where all activities become footloose? True or false?

Space / Time Convergence of the World Transport System 1500-1840 Average speed of wagon and sail ships: 16 km/hr 1850-1930 Average speed of trains: 100 km/hr. Average speed of steamships: 25 km/hr 1950 Average speed of airplanes: 480-640 km/hr 1970 Average speed of jet planes: 800-1120 km/hr 1990 Numeric transmission: instantaneous

The Transport System Nodes Networks Demand Origins Destinations Intermediacy Terminals Locations Friction People Freight Information Flows Linkages Networks Demand