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Spatial Interaction.docx

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Western University
Geography 3422A/B
Milford Green

2143 Intro 9/11/2012 11:42:00 AM Does Geography Matter?  The cliché is that instantaneous global telecommunications, television and computer networks will soon overthrow time and space o Companies will no longer need headquarters, everyone can work from anywhere  Social interaction still matters, even though we are now in a digital world o Global strengths must be matched by a local feel and a jet- lagged visit of a few days every so often does not provide one o From the start of the industrial age, companies in fast- growing new fields cluster in small regions  Silicon Valley in California  Futures trading in Chicago  Insurance in Hartford, Connecticut  Movies in Los Angeles  Currency trading in London  New technologies will soon overturn some of this, but not by much o Modern technologies will supplement and perhaps reinforce, not displace the original creation of these geographical areas Spatial Interaction  Systems of spatial interaction have two components: o Places that serve as origins o The flows themselves between these places  Internets, servers  System’s spatial structure – understanding of a system of spatial interaction requires consideration of the interconnections among places o Increased interaction between rich and poor countries is required to improve conditions for the poorer countries, and maintain the prosperity of the richer ones  Core-periphery hierarchy o Core areas – more economically advanced  Either the driver of the industry, or the fault o Periphery – less economically advanced  Globalization – varies greatly from place to place  Technological developments in communications and transportation systems o Can provide jobs o Can be seen as a method of exploitation when it comes to comparing wealthy and poor Trans-National Corporations  The study of economic geography can take place at a number of scales ranging from local to global, the national scale is focused upon for 2 reasons: o Countries are the immediate building blocks of the international economy o Most national economic policies that affect and are effected by international flows can be viewed as having a uniform distribution across the space of national states  TNCs are essentially only created to make a profit  Majority of trade actually takes place within corporations  North-south problem – characterized as an antagonistic relationship between the northern hemisphere and southern hemisphere o Most developed nations are in the North (Australia and New Zealand are exceptions) Gross Domestic Product  GDP – sum of all the economic activity that happens in a country  Classical economists – say if given enough time, the countries of the world will come into balance  Spatial geographers – say the world will not become equal at some point, things won’t just fall into place  Gross National Income (GNI) – GDP less taxes  Foreign Direct Investment – money invested in another country with the intent of control o Dominant source in the core o Flow of FDI is constantly increasing but the flow of goods and services is still the most prominent method of trade Trade  Trade between regions vary between core and periphery  Trade manageme
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