1. Intro 1

2. Chapter Objectives
Describe traditional and modern economic activities in Southeast Asia.
Explain the kinds of human–environmental interactions that occur in Southeast Asia, and the challenges that the region faces.

3. Living in South Asia
Section 3

4. Objectives
Explain why rice farming is the most important agricultural activity in Southeast Asia.
Examine why the countries in the region are industrializing at different rates.
Discuss how the economies of Southeast Asia are becoming more interdependent.

5. Terms to Know Paddy sickle subsistence crop cash crop lode
Interdependent
Association of Southeast Asian Nations (ASEAN)
free port

6. A Geographic View

7. Geographic Literacy
Before 1940, Myanmar–then British-ruled Burma–benefited from rice exports. Freedom came in 1948, followed by the military’s seizure of power in the 1960s. The military’s policy of a government-run economy proved disastrous by the 1990s, and market activities were allowed to resume. Harsh treatment of pro-democracy groups, however, has kept foreign investment low, and Myanmar today remains economically poor.

8. Agriculture
Rice Cultivation Rice is the region’s chief crop and a major food source and export.
Farmers grow rice on more than half of the region’s arable land.
Growing rice on terraced farms takes advantage of as much of the limited land as possible.
Flooded rivers and abundant rain provide a climate in which rice thrives.
Many farmers plant and harvest rice by hand.

9. Agriculture

10. Agriculture Other Crops
Yams, corn, bananas, and other food crops are popular in areas too dry for rice farming.
Some Indonesians raise cassava, an edible root easier to grow than rice.
Thailand, Indonesia, and Malaysia lead the world in natural rubber production.
The Philippines is a major producer of coconuts and sugarcane
These cash crops are grown on large plantations.

11. Forests and Mines
The forestry industry is vital to the economies of several Southeast Asian countries.
Malaysia, the Philippines, Indonesia, and Thailand export hard woods from their forests.
Problems resulting from excessive logging and the deforestation present a challenge in the region.
Mineral Wealth
Southeast Asia’s rich deposits of tin, iron, manganese, and tungsten are a major source of export income.
Indonesia and Brunei produce oil, natural gas, and petroleum products.
Indonesia is one of the top 10 producers in OPEC.

12. Forest and Mines

13. Forest Mines
Papua’s Resources Indonesia’s Papua region is a source of timber, gold, natural gas, oil, and minerals.
The Indonesian government allows many international countries to exploit these resources.
Pro-independence groups claim, however, that the government has invested little in improving health, education, and public services.

14. Industry Industrial growth rates vary widely in Southeast Asia.
Although Laos and Cambodia are mainly agricultural, Singapore, Malaysia, Thailand, and the Philippines are major industrializing countries.
Manufacturing industries include textiles, clothing, and automobiles.
Southeast Asia enjoyed an economic boom during the 1980s and early 1990s.
In the late 1990s, debt, political corruption, and financial mismanagement led to an economic crisis.
Since the crisis, some countries have had to balance industrial growth with investment in such traditional economic activities as agriculture and fish farming.

15. Industry

16. Industry Singapore and Malaysia
Singapore has the region’s most developed economy.
Its location and harbors make it a major port and manufacturing center.
Singapore’s government has followed policies favoring economic growth.
Singapore has invested in education so that industries will profit from having skilled and educated workers.
Malaysia, long known for its production of natural rubber and palm oil, has begun to diversify its exports with products such as electronics and electrical products, chemicals, cement, and processed foods.
Malaysia has also developed heavy industry that produces steel and automobiles.
The country is the world’s largest exporter of microchips.

17. Industry Less Industrialized Countries
Indonesia is an exporter of raw materials and an importer of manufactured goods.
Recent political instability and population increases have slowed Indonesia’s economic growth.
Its labor force currently lacks the technical skills and knowledge required for industrialization.
Therefore, Indonesia depends on foreign aid and investment to develop its industry.
The economies of Laos, Vietnam, Cambodia, and Myanmar have grown slowly because of wars and geographic and political isolation.
The lack of a trained work force, up-to-date equipment, and adequate transportation also have hindered economic development in these lands.

18. Interdependence
Southeast Asian countries are beginning to work together more closely for their common good. The Asian Development Bank (ADB) provides loans to member countries to develop their economies. The Association of Southeast Asian Nations (ASEAN) is an economic and political alliance that promotes economic growth and cultural exchanges.

19. Interdependence

20. Transportation
Southeast Asia’s landforms, islands, long coastlines, and many rivers make water transportation the most common way to move people and goods in the region.
As the crossroads of major ocean trade routes, Southeast Asia has major ports such as Jakarta and Palembang in Indonesia, the city of Singapore, and Manila in the Philippines.

21. Transportation

22. Communication
Communications systems depend on a country’s level of industrialization.
In general, people in urbanized or developed areas have access to good communication systems, but people in rural or less developed areas have little access.
Internet and wireless communications have helped Southeast Asian economies.
Governments in the region own radio and television stations.
Most people own radios, but television sets are less common.

23. Communications

24. Section 1 - Summary
Agriculture is the leading economic activity in Southeast Asia.
The countries of the region are industrializing at different rates, which causes great variation in economies, occupations, transportation, and communications.
Through ASEAN and other organizations that were formed to promote regional development and trade, the countries of Southeast Asia are becoming more interdependent.