6.1 Economics & Development

Its economic geography & central place theory, the minimum market needed to support the supply of a product or service

• Threshold

• Least Cost Theory

• Relative Location

• Range

• Christaller's Theory

Maximum distance people will travel for a good or service (economic reach/hinterland).

• Site Factors

• Range

• Situational Factors

• Relative Location

• Threshold

An industry in which the final product weighs less or comprises a lower volume than the inputs.

• Outsourcing

• Bulk-Reducing Industry

• Footloose Industry

• Bulk-Gaining Industry

• Break-of-Bulk Point

The spatial shift of manufacturing industries from advanced capitalist countries to developing countries - an ongoing geographic reorganization of production.

• Protectionism

• Fordism

• Nationalism

• New International Division of Labor

• Tariffs

A country which is progressing along the development continuum from primary into mostly secondary economic activity.

• Japan

• United States

• Developing Country

• Core Country

• Developed Country

Cost advantages to manufacturers that accrue from high-volume production, since the average cost of production falls with increasing output. Think Costco, Sam's Club.

• Informal Economy

• Commodity Chain

• Primary Sector

• Formal Economy

• Economies of Scale

Telephone service facility set up by companies to handle a large number of (usually) both inbound and outbound calls. Some firms, however, specialize only in calls that are inbound (for assistance, help, or ordering) or outbound (for sales promotion or other messages).

• Call Center

• Export Processing Zone

• Central Place Theory

• Corporate Headquarters

• Hub

A part of most corporations where tasks dedicated to running the company itself take place. i.e., not in the corporate headquarters but in call centers.

• Export Processing Zone

• Back Offices

• Corporate Headquarters

• Commodity

• Cottage Industry

The decline of primary and secondary industry, accompanied by a rise of the service sectors of the industrial economy.

• Deindustrialization

• Dependency Theory

• Developing Country

• Central Place Theory

• Modernization Model

Areas along or near major transportation arteries that are devoted to the research, development and sale of high-technology products. These areas develop because of the networking and synergistic advantages of concentrating high-technology enterprises in close proximity to one another. "Silicon Valley" is a prime example.

• High tech corridor

• Outsourcing

• Maquiladora

• Mechanization

• Modernization Model