Faculty

GEOGRAPHICAL
SCIENCES
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TEACHER TRAINING AND DEVELOPMENT DIRECTORATE

Department of Education a
 NATIONAL ADMINISTRATION OF PUBLIC EDUCATION CENTRAL
BOARD OF DIRECTORS
President: Prof. German Rama
Vice President: Dr. Jose Claudio Williman
Vocal: Lic. Nelly Leites de Moraes
Vocal: Mtra. Rosa Marquez
Vocal: Prof. Carmen Tornaria
TEACHER TRAINING AND DEVELOPMENT DIRECTORATE

Director: Prof. Jenny Barros

Deputy Director of the Teaching Department: Mtro. Milton
Martorell

DISTANCE EDUCATION DEPARTMENT

Director: Prof. Carlos Jones Gaye
Teaching Secretary: Mtra. Irma Paolino
Distance Education Technicians: Prof. Graciela Rabajoli
Mtro. Mario Ibarra
Administrative Helena Schilde
Carolina Arrascaeta

TEACHING TEAM OF THE GEOGRAPHICAL SCIENCES SPECIALTY

Geography of the Prof.: Nora Canaveris
atmosphere Prof.: Ana Dominguez
Human geography Prof.: Wilson Fernandez
Economic geography Prof.: Raquel Tuvi
Didactics I

IE
EDLEACISN
DEPARTMENT
TO
UNSTANDING
First edition 2000
 CONTENT

I. PRESENTATION

II. THE SUBJECT PROGRAM

III. ACTIVITIES

IV. BIBLIOGRAPHIC ANNEXES

Supporting Readings are found in the IFD Libraries

Cover: Jacob Fugger. Important German merchant. He entered business in 1473 at the age of 14. After
an apprenticeship at a German branch in Florence, he set up his own business in the wool, silk and
spice trade. He immediately took up the banking business and would be one of the main financial
supporters of the future Emperor Charles V, to whom he wrote shortly after his assumption of office:
"Something well known and clear as day is that His Imperial Majesty would never have obtained the
crown of Rome without our help."
 ECONOMIC GEOGRAPHY

YO. PRESENTATION

WHAT IS THIS GUIDE FOR?

The matter

The approach with which we address this subject, Economic Geography - a

discipline that corresponds to the Second Year of the Geography Teaching Degree -
places its main emphasis on the elements of continuity and change that, over the
course of the last centuries, in the long term, and of the last decades, in the short term,
have left their mark both on the geographical landscape and on the activities carried
out by men and on their living conditions. This is the result of a permanent interaction
between the physical environment, the actions of men and the techniques available
and used at each historical moment, through which they transform and modify their
living space.

If since the 15th century the world became a finite, perceptible unit, little by
little explored even in its most remote confines, it will be after the Industrial
Revolution that economic, political and social changes - with their territorial impacts -
will accelerate considerably, until reaching the last century of the second millennium
of our Era, in which there has been a multiplication of said acceleration, whose main
instrument is the scientific-technological revolution, which has substantially
transformed the traditional notions of space and time.

At the end of both (century and millennium), humanity is faced with a

political, economic and social reality that is completely different from that which
existed just a hundred years ago, and has been greatly shaken by these profound and
rapid transformations. Geographically, they are expressed in the current processes of
globalization and regionalization that are acting simultaneously on the global,
continental and regional reality. From a disciplinary point of view, these
transformations are also affecting the level and management of information related to
countries and regions, the way in which geographers and geography teachers

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approach their understanding and the way in which we transmit them to our
students.

It is in this context that this course on Economic Geography will have to be

approached - following the teachings of Germán Wettstein and Ángel Bassols Batalla
- taking into account mainly its relations with other related disciplines, attending to
the causes that are at the origin of these political, economic and social phenomena that
leave their mark on the geographical environment, and on the evolution, diversity and
spatial distribution of the same. This forces us to work with a very extensive
bibliography and with a diversity of concepts of varied disciplinary origin, which
must be defined and contextualized in the historical framework in which they arise
and/or are expressed.

This
Guide

to carry out the tasks presented here.

This work guide is intended to
help students from Teacher Training
Institutes in the interior of the country
The material is intended for
study and understand the texts
tertiary level students and, as such, we
corresponding to the Economic
understand that it is not necessary to
Geography course taught in the second
make appeals regarding the
year of the Teacher Training Course at
responsibility and attention with which
the “Artigas” Teachers’ Institute in
these texts should be worked on. For
Montevideo.
any doubts that may arise, the student
Any student who correctly may, as a last resort, turn to the
completes the established readings and professor of the subject, who will
the questionnaires and exercises set out always be willing to answer any
in this guide will be able to take the reasonable questions that he or she
exam in the subject in a similar way to may have. The guidelines
Montevideo students who attend class.
Only enough effort, dedication and
time are necessary to be able to

of the final exam of the subject will

have to be established in due time, for
which reason it is advisable

the
regular communication between the
student and the subject teacher.

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 ECONOMIC GEOGRAPHY

In this guide the student of

Economic Geography will find:
a) the program of the discipline, with its contents
broken down into various thematic units;

b) the explanation of what is important to address in

each of them;

c) the basic bibliography corresponding to each topic;

d) a complementary bibliography;

e) a series of questions – broad or simply specific, as the case may be – and

exercises for you to complete after studying each topic, in order to check
your knowledge;

f) Finally, the indication of the text where you will find the solutions to these
questions and exercises (solution book), so you can see if your answers are
correct. If not, this indicates that you need to revisit the topic.

The criteria that guide the organization of the program has to do with the need for
the IFD student - like the IPA student - to have a command of three fundamental
aspects:

1) The location of the discipline of Economic Geography in the context of

geography and social sciences in general, and the management of concepts
widely used in our subject that come from economics.

2) The conditions of the time and place in which we live, taking into account the
origin of the political, economic and social phenomena that determine the current
phenomena of globalization and regionalization, the evolution of these processes
and the regional diversity that they have, with special emphasis on the situation in
Latin America and our country, in the face of the challenges that both processes
imply.

3) Finally, the development of what has traditionally been the field of economic
geography, with its basic concepts, its division into sectors of activity, with the
description of the different branches of production and with the transformations
that the scientific-technological revolution of the 20th century has brought about
in global, regional and national economic activity.
As can be seen, the bibliography includes texts of a certain age, such as those
by Pierre George, and others that are much more recent, such as those relating to the
subject of globalization. The criterion for this selection is determined because the
classic works of geography and economic geography, where most of the disciplinary
conceptualization and frequently used typologies are found, are in the classic authors.
But the profound political, economic and social transformations of the last
years of the 20th century are not covered there, nor is the quantitative information
they provide generally significant, except when there are historical series, such as
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those provided by George, referring to the evolution of the world population.
The newer texts, on the other hand – many of which usually appear in the form
of articles or chapters of compiled books and do not even belong to our discipline,
although they help us to understand the geographical reality – do not have that
conceptualization essential for handling in class with secondary school students –
your future students – who are just coming to this type of knowledge. These latest
texts also provide more recent quantitative information, although this is also very
changing in our discipline. It is because of these two elements that the use of these
materials is essential, as is the search - which remains to be carried out by the IFD
student - for new materials and information, updated and updatable year after year.
The course syllabus has been broken down with the comments corresponding
to each topic and the specific Bibliography of each of them.

Finally, this material is a guide and, as such, is the guiding thread for the
study of the subject. We advise you to study the topics in the corresponding order. On
the other hand, you will always be free to incorporate new articles, books, documents,
maps, tables, graphs, etc. that you deem appropriate. Geography is dynamic, and
economic geography even more so, and much data becomes outdated from one
moment to the next. So any initiative in this regard will be welcomed.

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 ECONOMIC GEOGRAPHY

II. THE SUBJECT PROGRAM

TO. INTRODUCTION

1. GEOGRAPHY AND ECONOMIC GEOGRAPHY

THE PROBLEM OF INTERDISCIPLINARITY AND UNDERSTANDING

THE OBJECT OF STUDY OF ECONOMIC GEOGRAPHY.

It is about establishing the multiple relationships that geography, as a science

that encompasses physical and social aspects, has both at a general level and with
economic geography in particular. Texts by Angel Bassols Batalla, Pierre George,
Antonio Carlos Robert Moraes and Milton Santos are analyzed.

BASIC BIBLIOGRAPHY
Bassols Battle, Angel. Geography, Underdevelopment and Regionalization. Mexico:
Our Time Publishing House, 1976. Chap. 1.

George, Pierre. Economic Geography. Madrid: Ariel, 1970. Introduction.

Robert Moraes, Antonio Carlos. Geography. Short Critical History. Sao Paulo:
Hucitec, 1995. Chap. 11.

Santos, Milton. Technique, Space, Tempo. Sao Paulo: Hucitec, 1996. Caps. 2, 3 and
15.

SUGGESTED ACTIVITIES
At the end you will find the activities that we recommend you do after
studying each topic.

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2. ECONOMIC CONCEPTS FOR USE IN ECONOMIC
ENGINEERING.

ECONOMIC CONCEPTS
USUALLY USED IN ECONOMIC GEOGRAPHY

It is necessary to review the most commonly used concepts in economic

geography originating from economics, so that their use is correct: Gross Domestic
Product, Economically Active Population, Balance of Payments, Trade Balance,
Exports, Imports, etc. However, for a better understanding, these concepts will
appear distributed throughout the entire program and the corresponding exercises
will be distributed as they correspond to each specific topic. The text on which we
will base ourselves is by Francisco Mochón and Víctor Beker.

BASIC BIBLIOGRAPHY
Mochon, Francisco and Beker, Victor A. Economy. Principles and Applications.
Madrid: McGraw-Hill, 1998.

SUGGESTED ACTIVITIES
After studying this topic, we advise you to carry out the activities in
order to control your knowledge.

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[Link] PART

1. Background of the current global economic system.

Mercantilist capitalism, liberalism, neocapitalism (periodization of Sunkel and
Paz). The evolution of central and peripheral countries, and the system of
relations established between both sets of countries. Technological change and its
economic, political and social impacts.

Based on the work of Sunkel and Paz, which is consistent with that of other
historians who carry out a similar periodization regarding the evolution of the
international system after 1492, we focus on the system of relations that was
established throughout history between the central countries and Latin America. In
relation to the impact of technological changes on productive activities, land
occupation and social transformations, we analyze a chapter from Lilley's book on
the historical evolution of science and technology, and its effect on society.

BASIC BIBLIOGRAPHY
Sunkel, Osvaldo and Paz, Pedro. Latin American underdevelopment and development
theory. Mexico: 21st Century, 1976. Second Section.

Lilley, Samuel. Men, Machines and History. Madrid: New Science, 1967. Chap. 7.

SUGGESTED ACTIVITIES
Remember that after studying this topic it is advisable
to carry out the activities in order to control your
knowledge.

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2. Economic and social evolution of the post-war world (I) The Central
Countries. The creation of the new post-war order (UN, IBRD, IMF, GATT).
The establishment of a bipolar system and the use of geographical space for
economic, political and strategic purposes. The economic recovery of Europe and
Japan. Economic developments in central countries and the formation of mega-
blocks. The crisis of the countries of real socialism.
The world of the Second Postwar Period is studied, emphasizing: a) the political
and economic institutions that were created at the end of the Second World War and
that characterized the new international system that emerged from it; b) the
emergence of two superpowers and the formation of antagonistic political, economic
and social blocks that would guide global relations during the Cold War period; c)
the use that these superpowers made of geographic space and d) the political,
economic and social evolution that would allow the revitalization of the former
European and Asian powers, which would once again dispute economic hegemony
with the United States and the USSR. The texts to be studied correspond to
Ashworth's economic history, the last part of Paul Kennedy's work and a chapter
from a book on Mercosur by the author of this guide.

BASIC BIBLIOGRAPHY
Ashworth, William. Brief History of Economics (since 1850). Chap. X.

Fernandez, Wilson. Mercosur: economy, politics and strategy in integration.

Montevideo: FCU, 1992. Chap. 3.

Kennedy, Paul. Rise and fall of the great powers. Madrid: Plaza & Janés, 1989. Caps.
7, 8 and Epilogue.

Remember: after studying this topic, it is advisable to

carry out the activities.

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3. Economic and social evolution of the post-war world (II). The Peripheral
Countries. Origin, description, location and evolution of the Third World: the
decolonization process and the emergence of the Non-Aligned Movement.
Recognition of the Third World in international forums: Non-Aligned Movement,
G-77, UNCTAD. The NIEO and the "Brandt Report". The current international
economic structure: the classifications of the World Bank, the IMF and
UNCTAD.

At this point, the evolution of the peripheral countries after the end of the Second
World War is addressed. To this end, emphasis is placed on the aspects that
characterize the Third World as a unit, the main phases of its evolution as an
international actor, the proposals for change that have emerged from within it, as
well as others that were considered as alternatives to those of the Third World.
Finally, the different classifications used by multilateral organizations to establish the
current international economic structure are analyzed. Due to its synthetic nature, we
refer to the Third World Guide, as well as to the “Brandt Report”.

BASIC BIBLIOGRAPHY
Brandt Commission. North-South. A program for the
survival. Introduction, by Willy Brandt.

Third World Editor. Third World Guide 1988. Montevideo, 1988. (It may be another
version). Chapters on the Non-Aligned Movement and on the classifications
of international organizations.

ACTIVITIES
After studying this topic, we advise you to carry out the activities in
order to control your knowledge.

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4. Economic and social evolution of the world after the Second World War (III).
Latin America. ECLAC proposals and their regional importance. The crisis of
the ISI model: stagnation and recession in Latin America. The social effects of the
crisis. The "lost decade for development" and the current situation in Latin
America according to the ECLAC's vision. New attempts to exit the crisis.

This article analyses aspects related to the evolution of the Latin American
economy based on the import substitution industrialization (ISI) model postulated by
ECLAC. The causes of the stagnation and subsequent failure of this experience are
reviewed and the effects of the “lost decade” in the region are seen, as well as the
proposals that are put forward to get out of the crisis. To do so, we rely primarily on
the analysis of a key document from ECLAC, “Productive Transformation with
Equity” and another chapter from the book on Mercosur by the author of this guide.

BASIC BIBLIOGRAPHY
ECLAC. Productive transformation with equity. Santiago: ECLAC, 1990. Chap. 1.

Fernandez, Wilson. Mercosur: economy, politics and strategy

in integration. Montevideo: FCU, 1992. Chap. 4.

REMEMBER
After studying this topic, it is important that you carry out the
activities in order to control your knowledge.

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5. Globalization and Regionalization, two planetary trends. The world in the 21st
century: Political, economic, technological and social changes at the end of the 20th
century. The process of globalization and the emergence of regionalisms. The new
institutions of globalization.

The situation of the world in the 21st century is analyzed, based on the trends
towards globalization (especially in the economic, financial, technological and
cultural areas) and the response to it of regionalisms. Given the existing
bibliographical dispersion, the work is based on a text that synthesizes various
materials on the subject and that forms part of the author's doctoral thesis.

BASIC BIBLIOGRAPHY
Fernandez, Wilson. Mercosur's relations with the United States
United (1988-1998). A perspective from the South.
Montevideo – Brasilia: unpublished, 2000. Chap. 3.

SUGGESTIONS FOR STUDY

We advise you to work with this Guide by studying each topic and
then completing the activities in order to control your knowledge.

If the answers are not correct, you will need to revisit the topic before
continuing.

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6. Integration attempts. Forms of economic integration: Tariff Preference Systems,
Free Trade Zones, Customs Unions, Common Markets and Economic Unions. The
integrationist models of H. Jaguaribe (Systems Restructuring and Factor
Redistribution). Origin, evolution and trends of the integration process. Mercosur,
NAFTA and FTAA.

This section analyses: a) the different possible forms of interstate economic

integration, according to integration theory; b) the models that Helio Jaguaribe has
detected based on the European experience; and c) the causes, processes and trends
of the integration agreements that are underway in the Americas, with special
attention to the situation of Uruguay in relation to Mercosur and the FTAA. The
author once again resorts to two texts and to the book by Urquidi and Vega-Cánovas,
“Unas y otras integraciones”, which allow us to have a fairly complete idea of these
processes.

BASIC BIBLIOGRAPHY
Fernandez, Wilson. Mercosur: economy, politics and strategy in integration.
Montevideo: FCU, 1992. Caps. 2, 7 and 8.

Fernandez, Wilson. Mercosur relations with the United States (1988-1998). A

perspective from the South. Montevideo – Brasilia: unpublished, 2000. Chap.
4.

Mochon, Francisco and Beker, Victor. Economy. Principles and applications. Madrid:
McGraw-Hill, 1998.

Urquidi, V. L. and Vega Cánovas, G (Eds.). Some and other integrations. Mexico:
The College of Mexico – FCE, 1991.

ACTIVITIES
After studying this topic and before studying the Second Part, we
advise you to complete the activities in order to control your
knowledge.

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C. SECOND

1. Human Resources. Concept, description, evolution, location and distribution of

human resources. The problem of resource training.

In this part of the program, we focus on the more traditional aspects of economic
geography, and review the traditional conceptual aspects regarding this topic,
emphasizing the current problem of intellectual capital as a determining element of
international competitiveness. Texts by CEPAL, Peter Drucker, Pierre George and
Germán Wettstein are analyzed.
ECLAC. Population, equity and productive transformation. Santiago: ECLAC, 1993.

BASIC BIBLIOGRAPHY

Chapters 1, 2 and 4.

Drucker, Peter F. Administration and future. Buenos Aires: Editorial Sudamericana,

1993. Part Two: The People.

George, Pierre. Overview of the current world. Madrid: Ariel, Chapter One.

George, Pierre. Geography of population. Barcelona: Que sais-je / oikos-tau, 1971.

Part Two, Chapters 1 and 2.

Mochon, Francisco and Beker, Victor. Economy. Principles and applications. Madrid:
McGraw-Hill, 1998.

Wettstein, German. Geography and Underdevelopment. Handbook for Latin

Americans. Merida: ULA, 1978. Chap. 5.

Remember: after studying this topic, it is advisable to

carry out the activities.

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2. Natural Resources. Classification. Location and distribution of the main natural
resources. The problems of its exploitation, recycling and replacement. The
effects on the environment of the type of resource management.

In the same vein as the previous item, the topic of natural resources and their
main problems are analyzed conceptually, pointing out some environmental aspects
affected by the type of management carried out on them. For this topic we will use
another text by Ángel Bassols Batalla, and another chapter from the book by G.
Wettstein Geography and Underdevelopment.

BASIC BIBLIOGRAPHY
Bassols Battle, Angel. Natural resources in Mexico. Mexico: Our Time, 1976.
Chapter 1.

Wettstein, German. Geography and Underdevelopment. Handbook for Latin

Americans. Merida: ULA, 1978. Chap. 7.

SUGGESTED ACTIVITIES
Remember that after studying this topic it is advisable
to carry out the activities in order to control your
knowledge. If your answers are not correct, please
study the topic again.

3. The economic sectors. Classification of sectors. The concept of "intellectual

capital" as a new element of economic consideration. The main economic
indicators. New elements to take into account: the

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transnational corporations, international banking, the role of telecommunications

and the computerization of economies, etc.

The following are reviewed: a) the main conceptual aspects related to the
classification of sectors; b) the discussion about post-industrialism or a new industrial
revolution; c) the role of information and artificial intelligence in economic activity;
d) the new transnational economic agents, etc. Texts by George, Fajnzylber and
Martínez Tarragó y Minián are analyzed.

BASIC BIBLIOGRAPHY
Fajnzylber, Fernando and Martinez Tarrago, Trinidad. Transnational Corporations.
Mexico: FCE, 1976. Part Two, Chapter VIII, Summary and Conclusions.

George, Pierre. Economic Geography. Madrid: Ariel, 1970. Chapter II.

Mochon, Francisco and Beker, Victor. Economy. Principles and applications. Madrid:
McGraw-Hill, 1998.

REMEMBER
After studying this topic, it is important that you carry
out the activities in order to control your knowledge.

4. The Primary Sector. Types of agricultural economy. The main agricultural

products and their location and spatial distribution. New technologies applied to
agricultural production. Livestock farming. Fishing. Afforestation. Mining.

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At this point, the aspects relating to the primary sector of the economy are
analyzed. In particular, the following are studied: a) the types of agricultural
economy; b) the main agricultural products; c) livestock products; d) fishing activity;
e) the problems of forestation and deforestation throughout the world; f) mining
extractive activities. Again George and Wettstein are the main authors used.

BASIC BIBLIOGRAPHY
George, Pierre. Economic Geography. Madrid: Ariel, 1970. Third.

Mochon, Francisco and Beker, Victor. Economy. Principles and applications. Madrid:
McGraw-Hill, 1998.

Wettstein, German. Geography and Underdevelopment. Handbook for Latin

Americans. Merida: ULA, 1978. Chap. 9

SUGGESTIONS FOR STUDY

We advise you to work with this Guide by studying
each topic and then completing the activities in order
to control your knowledge.

If the answers are not correct, you will need to revisit

the topic before continuing.

5. The Industrial Sector. Origins and evolution of the industrial sector.

Classification of industrial products: capital goods, intermediate goods, consumer
goods.

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Cutting-edge industries and senile industries. The localization of industries and

new trends in their relocation: “old” and “new” industrialized countries.
“Maquila” as a form of industrialization in the Third World.
Using an analysis similar to that indicated in the previous item, the following are
reviewed: a) the causes that motivated the emergence of industries, their primitive
location and the evolution of the sector; b) the classification of the different types of
industries; c) the location of the main industries and the tendencies to change,
distinguishing between old industrial countries and recently industrialized countries;
d) the "maquila" and its importance for some Latin American countries. We resort
to texts by George, Drucker and Wettstein.

BASIC BIBLIOGRAPHY
Drucker, Peter F. Administration and future. Buenos Aires: Sudamericana
Publishing House, 1993. Part One, Chap. 12.

George, Pierre. Economic Geography. Madrid: Ariel, 1970. Second.

George, Pierre. Industrial geography of the world. Buenos Aires: Eudeba, 1962. Chap.
1 and Conclusions.

Mochon, Francisco and Beker, Victor. Economy. Principles and applications. Madrid:
McGraw-Hill, 1998.

Wettstein, German. Geography and Underdevelopment. Handbook for Latin

Americans. Merida: ULA, 1978. Chap. 10.

Remember: after studying this topic, it is advisable to

carry out the activities.

6. The Tertiary Sector. Trade. Government. Transport. The development of

services (banking, insurance, tourism, business services, etc.). The role of IT in
changes in the sector.

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A review is made of tertiary or “service” economic activities. In particular, a) the
importance of trade -both domestic and international-, government activities
(education, health, public order, administration, etc.) and transport are seen; b)
subsequently the importance of financial activity, insurance and new services are
analyzed; c) the new concepts of quality, productivity and competitiveness according
to the inventor of the Total Quality Control system are reviewed; and d) the new
challenges facing the management of companies and organizations towards the
future. In addition to George's book, it is important to study the texts by Porter,
Deming and Drucker.

BASIC BIBLIOGRAPHY
George, Pierre. Economic Geography. Madrid: Ariel, 1970. Quarter.

Deming, W. Edwards. Quality, Productivity and Competitiveness. Madrid: Diaz de

Santos Editions, 1989. Chapters 1, 2 and 3.

Drucker, Peter F. Administration and future. Buenos Aires: Editorial Sudamericana,

1993. Part Three (Management) and Part Four (Organization).

Mochon, Francisco and Beker, Victor. Economy. Principles and applications. Madrid:
McGraw-Hill, 1998.

Porter, Michael E. The competitive advantage of nations. Buenos Aires: Vergara,

1991, Chap. 2.

On the following pages you will find the Complementary

Bibliography and then the Activities to be carried out for each topic.

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ADDITIONAL BIBLIOGRAPHYI

ECLAC. Productive transformation with equity. Santiago:

ECLAC, 1990.

ECLAC. Population, equity and productive transformation. Santiago: ECLAC, 1993.

Costa, Wanderley Messiah. Political Geography and Geopolitics. Sao Paulo: Edusp,
1992.

Deming, W. Edwards. Quality, Productivity and Competitiveness. Madrid: Diaz de

Santos Editions, 1989.

Drucker, Peter F. Administration and future. Buenos Aires: Editorial Sudamericana,

1993.

Fernandez, Wilson. Mercosur: economy, politics and strategy in integration.

Montevideo: FCU, 1992.

Gilpin, Robert. The political economy of international relations. Buenos Aires: Gel,
1992.

Third World Institute. World Guide 1997/98. Montevideo, 1998. (It may be another
version).

Krasner, Stephen D. Structural Conflict. The Third World against global liberalism.
Buenos Aires: Gel, 1989.

Lilley, Samuel. Men, Machines and History. Madrid: New Science, 1967.

Porter, Michael E. The competitive advantage of nations. Buenos Aires: Vergara,

1991.

Santos, Milton. Technique, Space, Tempo. Sao Paulo: Hucitec, 1996.

Suarez, Luis. The Non-Aligned Countries. Mexico: FCE, 1975.

I Some of these titles already appear, only to be partially worked on, in the specific bibliography.
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III. ACTIVITIES

Here you will find four types of tasks to perform:

!fill in the blanks
! answer questions
! explain and analyze diagrams, charts and graphs
! say if it is true or false
You must then:
# Read the instructions for each exercise carefully.
# Study the content of the chapters or sections of chapters, the glossary and the final
summaries of each chapter of the book Economics. Principles and Applications,
by Mochón and Beker. (Answer key: MB).
# Study the topics of other recommended authors, for example, Michael Porter
(Answer Key: MP), Pierre George (Answer Key: PG 1, PG 2, PG 3, PG 4, PG 5),
etc. In the proposed activities, some answers are of a broader nature and, unless
otherwise indicated, you will find them in the chapters or sections suggested for
reading.
# Regarding the true or false exercise, you will find the solution at the end of it.
Key to Solving these exercises: The answers that
We suggest checking after completing the activities, they are following the reading
order established for each
topic, according to the following key:

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• ABB1: Ángel Bassols Batalla, • PG 3: Pierre George,

Geography, Underdevelopment and Population Geography
Regionalization. • PG 4: Pierre George,
• ABB2: Ángel Bassols Batalla, Natural Industrial Geography
Resources of Mexico • PG 5: Pierre George,
• F-MT: Fernando Fajnzylber and Trinidad
•
Active Geography
RM: Carlos Robert Moraes
Martinez Tarrago
• GW: German Wettstein • SL: Samuel Lilley
• IB: Brandt Report • SP: Osvaldo Sunkel and Pedro Paz
• MB: Francisco Mochon and Victor Beker • U-VC: Victor Urquidi and Gustavo
• MP: Michael Porter Vega-Cánovas
• MS: Milton Santos • WED: W. Edwards Deming
• PS: Peter Drucker • WF 1: Wilson Fernandez,
• PG 1: Pierre George, Mercosur: economy.
Economic Geography • WF 2: Wilson Fernandez,
• PG 2: Pierre George, Relations... (unpublished)
Overview of the Current World • WA: William Ashworth

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QUESTIONNAIRE

Point 1. ECONOMIC GEOGRAPHY

1) How does A. define? Bassols Battle against Geography? (Read ABB1,

Chap. 1)
2) What is the definition given by P. George of Economic Geography in his
book of the same name? (Read PG 1, Introduction)

3) What other geographical disciplines does Bassols Batalla mention? (Read

ABB1, Chap. 1)

4) Comparing Bassols' definition of geography and George's definition of

economic geography, develop your own definition that incorporates elements
from both authors.

5) Describe, in no more than two pages, the importance that, according to

Robert Moraes, the thinking of Yves LacosteII, Pierre George and Milton
Santos have within geography (Lea RM, Chap. 11).

6) Read chapters 2, 3 and 15 of Milton Santos' book and describe:

a) What does Santos understand by:

! time, space and world?

! relationship between space and globalized world?

b) For this author, what do the global dimension and the fragmented
dimension consist of?

PART ONE

Point 1
1) The periodization of relations between the Center and the Periphery developed by
Sunkel and Paz establishes three large historical-economic periods, each of them
subdivided into various subperiods characterized by dominant powers, relations of
domination and clearly differentiated events (in the central countries and in those
of the periphery). Describe, in your own words and in no more than two pages, this
periodization of Sunkel and Paz (Lea SP, Second Section).
2) Pierre George presents data on the evolution of the world population, in global
II
Remember that Yves Lacoste was previously studied in the subject EVOLUTION AND METHOD OF GEOGRAPHY,
see the Exam Guide for this subject (Page. 24).

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numbers and in its distribution by continents (Read PG 1 and PG 2). Make them
compatible with Sunkel and Paz's periodization.
3)The Industrial Revolution is a fundamental milestone in the change of the
economic, political and social conditions of humanity. It is based on the changes
brought about by new scientific and technological discoveries, the fundamental
driving force behind the transformations that have occurred. Read the selected text
from S. Lilley and summarize, in no more than half a page, what are, in the period
covered by that chapter, the most significant technological innovations (Lea SL,
Chap. 7).
Point 2
1)The dollar standard system came to replace the gold standard system in 1944. Based
on Ashworth's text, explain what each one consists of (Lea WA, Chap. X).
2) The new international system that emerges from the Second World War will be
made up of several political and economic institutions, among which the following
stand out: UN, IMF, World Bank, OEEC and GATT. Explain how it was
integrated and what functions each of them would fulfill, and whether or not they
were still valid. For this purpose, refer to the texts of Ashworth, Kennedy and
Fernández.
3) Find, in a Universal History text from this century, how the world's geographic
space was divided into areas of influence of the great powers, after the Yalta and
Potsdam meetings between the rulers of the United States, Great Britain and the
Soviet Union. Please also indicate which countries formed the capitalist and
socialist blocs at the beginning of the Cold War. To this end, in addition to
Kennedy's book, you can refer to - in the library of your Institute - the "History of
the 20th Century" (Editorial Siglo XXI), "The Brief 20th Century" by Eric
Hobsbawm, or some text of a similar nature.
4) Based on the same texts, briefly outline the central aspects of the political,
economic and social evolution of Western Europe and Japan, in order to explain
the role they play today in the international system.

Point 3

1)Explain what the Third World is. Use the “Third World Guide” for this.

2) Based on the same material, describe the causes that gave rise to the Non-Aligned
Movement, and its evolution from Bandung to the end of the 20th century, with
special emphasis on the first five meetings of the Movement.

3) Review the statements of the “Brandt Commission” Report and compare them with
the objectives of the NAM meeting held in Algiers in 1973. List the similarities
and differences between each program. To the above material, add for this point
the referred Report (IB).

Point 4

1) Describe the causes of the failure of the import substitution industrialization model
(ISI model) that was carried out in Latin America. (Read WF 1, Chap.
4).
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2) Summarize in no more than two pages the main characteristics of the “lost decade”
in Latin America (Read CEPAL, Chap. 1).

Point 5

1) Using Chapter 3 of the unpublished text by W. Fernandez,

say:

- What is meant by globalization.

- What are its main current manifestations in the various dimensions of human
activity (political, economic, social and cultural).

- It is said that globalization creates “opportunities and risks.” List each one,
and explain the reasons why they are considered as such.

Point 6

1) Using the two texts by Fernández (Read WF 1 and WF 2) say:

- What are the forms that economic integration between states can take?

- What do the models of factor redistribution and productive restructuring consist

of?

- What integration agreements have been processed or are being processed in the
Americas?

- What is Mercosur.

2) Summarize, in no more than one page, the central arguments of the free trade
advocates and those of protectionism (Read WF 1, Chap. 2; MB)

3) Complete the sentence:

Economic integration involves..............................................................

4) Explain what tariffs and quotas, non-tariff barriers and export subsidies are (Read
MB).

5) Analyze the text on pages 605 to 607 of the book (MB) and say what the current
trade regimes are and what each of them consists of (Read MB).

6) What is the Most Favored Nation (MFN) Clause? (Read MB, WF 1, Chap. 4).

7) Complete after reading (Read WF 2, Ch. 3).

Integration schemes are classified as:

1 Tariff preference systems

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2 .................................................

3 ..........................................

4 Common Markets

5 ..........................................

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SECOND

Point 1. HUMAN RESOURCES

DO THE FOLLOWING ACTIVITIES:

1) The force of job

is...................... (Complete
the phrase after reading MB)

2)The economically active population

(PEA) is (Complete the sentence after reading PG 1,
MB)

3)The union arises as a consequence of.......................................................................

(Complete the sentence after reading MB)
4)The union's objectives are:...................................................................................
(Complete the sentence after reading MB)
5) Define what is salary, real salary, minimum salary and subsistence salary (Read
MB)

6) What is income? (Read MB)

7) Define human capital and physical capital (Read MB)

8) What is return on capital? (Read MB)

Point 2. NATURAL RESOURCES

1) Define what natural resources are and classify them according to the criteria
commonly used in geography. (Read ABB2)

2) On a mute planisphere, locate the main mineral resources existing on the planet.
For this, use atlases and commonly used texts.

3) List the main natural resources existing in our country, and classify them in order
of importance according to your own criteria, arguing the cause of such ordering.

4) Based on Wettstein's text, explain what problems are found in Latin America in
relation to the management of natural resources (Lea GW, Chap. 7).

Point 3. PRODUCTIVE SECTORS

DO THE FOLLOWING ACTIVITIES:

1) Summarize the central elements of the theories that explain economic growth
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(Lea MB, Chap. 27).

2) Analyze diagram 1.1. "Human needs" and describe it in your own words (Read
MB, p. 4).

3) Do the same with diagram 1.2 "Types of goods" which you will find on the next
page. (Read MB, page 5).

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4) Describe the factors of production. (Read MB).

5) Answer: What are the productive sectors? (for

answer read MB).

6) Analyze charts 15.4 and 15.5 “Global Supply and Demand” on the next page.
State which sectors produce goods, which ones produce services, and how the
GDP is composed. (Read MB).

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7) Explain the following equation:

GDP = C + I + G + X – M

(or aggregate demand)

8) Answer: What is demand function? (to answer read MB).

9) Answer: What is supply function? (to answer read MB).

10)Explain the following concepts: excess supply,

excess demand, equilibrium situation (Lea MB).

11) Complete the sentence:

Economic agents are divided into.................................................................... and (for

................................................................................................complete read MB).

12) Complete the sentence:

A company is........................................................................................ and a
businessman is.............................................................................................. (for
completeness read MB).

13) Answer: What is the public sector? (to answer read MB).

14) Answer: What do we mean when we talk about public spending and income? (to
answer read MB).

15) A government can use different types of economic policies depending on the
goals it pursues. These include trade, industrial, fiscal, monetary, etc. policies.
State what each of them consists of.

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16)There are many types of taxes. Some of them may be “ad valorem” or constant,
direct or indirect, progressive, regressive, proportional, to personal income, to
added value, to inheritances, etc. Explain what each of the aforementioned
consists of.

17) Answer: What is production? (to answer read M-

B).

18) Complete the sentence: complete read MB).

Economic recession is (for

19) Answer: What is the relationship between personal income and personal
savings? (to answer read MB).

20) Answer: When is there imperfect competition? (to answer read MB).

21) Define the following concepts: monopoly, oligopoly, cartel (Read MB).

22) Briefly explain what the causes of monopolies are (Read MB).

23) Answer: What is a natural monopoly? (Read MB).

24) Complete the sentence:

Perfect competition occurs when there is........... ....................................................

................................................................(for complete read MB).

25) Analyze Table 11.1 "Basic Market Forms" on the next page and write a
summary explaining it in your own words (Lea MB, p. 211).

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Point 4. PRIMARY SECTOR

1) Based on Economic Geography by P. George:

- Explain what the Primary Sector is and the of the economy and what
activities that comprise it.

- Describe in no more than two pages the different types of agricultural

economy found on the planet.

- Explain the importance of cereals, which are the four most important and how
their production is distributed worldwide, indicating the first five producers of
each of them.
- Explain what other agricultural food products have a relevant economic
importance, emphasizing the situation in Latin America in general and in our
country in particular.

2) Explain:

- What is livestock farming.

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- What are the different types of livestock farming exploited by man

worldwide?

- Find out what animal varieties are worked in our country, what forms of
exploitation are applied in each of them and what are the main livestock
breeds and for what purpose they are exploited.
Point 5. SECONDARY SECTOR
Answer the questions:
1) What is the industrial sector? (Read PG 1, Part 2, and PG 4.)

2) Summarize the causes of its origin, the determinants of its location and the
main stages of its evolution and territorial expansion (Read PG 1 and PG 4).

3) What is the relationship between urban and rural environments since

industrialization? (Read PG 1).

4) How are industrial goods classified? (to answer read PG 1 and MB).

5) What are capital goods used for? (to answer read MB).

6) What are the characteristics of the industry in Latin America? (Read GW,
Chap. 10).

7) The last decades of the 20th century have seen processes of industrial
relocation to and from Third World countries. Read PD and explain this
process.

Point 6. TERTIARY SECTOR

1) What is the tertiary sector, and what activities does it comprise? (Read PG 1, Part
Four).
2) In recent decades, the tertiary sector has become a fundamental element of the
global economy, having undergone major transformations that have considerably
improved the competitiveness of nations. Summarize in no more than two pages
what the main changes that have occurred and what the fundamental
characteristics are today in this sector (Read PD, Part Three, WED, Chapters 1 to
3 and MP, Chapter 2).

TRADE
ANSWER THE QUESTIONS:

1)What is barter? (to answer read PG 1, Part Four and MB).

2) What is the use of money in commerce? (To answer, read MB).

DO THESE ACTIVITIES:

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1) Analyze diagram 2.2 "Exchange in an economy with money" and summarize the
main concepts included there (Lea MB, p. 35).

3) Explain what market and market system are (Read MB).

FINANCE
DO THESE ACTIVITIES:

1) Explain the differences between money, legal money and bank money (Read
MB).

2) Answer: What is the relationship between inflation and deflation? (Read MB).

3) Answer: What is interest rate? (Read MB).

4) Please review supplementary notes 18.4 and 18.5 and Table 18.6 on
intermediation, markets and investment in the financial sector (Read MB. Page
394-396).

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 ECONOMIC GEOGRAPHY

Cuedre 18.6. The most common means of financial investment

Artiones tolizack en bohn Fondos commes
A) It A ri hi variable de irwersón Sociedoden de corhera

Bon os obligations covered in actions

Bonds with variable interest rate
with/without FWCDL tax relief with/without Slovak tax relief/

of Eshodo companies/
of private companies/
from non-slalom/mortgage banks
Bonds denominated in inflation and the dollar, to the ekcaloral oil [eventually

not available in many countries].

Imposkciones Ipréslamca) on compalilas
linancleios.
Bonds from financial companies, businesses, feasing
B] Fixed
income
Another popel of the Eshodo Pogars of the Treasury Certificates
Pogarés bonds of h banking
of deposits in

Short-term medical service

Empress fogarés (public popelcomertial
/privodus

lelmis bineeiriais y de emprma hpeinikin cunlz rl» enhuartes.

hbuie iinw nimnunn

ecinn, pomlicipinzcienesenumprertenn na caliradkin un
helsn
PrrymeIn • ompremniim cofirncke
Haeyumnña 12 wiikk Y rh> ruinnI IH
Diinr

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 ECONOMIC GEOGRAPHY

INTERNATIONAL TRADE
1) Define what each of these concepts is: balance of payments, trade balance, balance
of services, balance of transfers, capital account balance, exchange rate (Read
MB).
2) Analyze and then describe in your own words Table 21.1 "Balance of Payments
of the Argentine Economy" that you will find on the following page. (Read MB.
P. 462).

3)Do the same with diagram 21.1 "The Balance of Payments" You will find this
diagram on the next page. (Read ibid. Page 463).

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4)Analyze the composition of Argentina's imports and exports. Supplementary note

21.3. (Read MB. P. 467).

5) Define deficit, surplus and equilibrium, applied to a country's trade balance. (Read
MB).

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 ECONOMIC GEOGRAPHY

6) Answer: What are comparative advantages? (Read MB and MP, Chap. 2).

7) Answer: What about a country's competitive advantages? (Read MP, ibid.).

8) Complete the sentence:

Another way to classify capital is in real capital (which is composed of ),

capital................................................................. (funds for the purchase of

real capital or................................................................) and human capital

) (Read MB).
TRUE OR FALSE?

To check your answers once completed,

you will find the key at the end of the activities.

1) Currency appreciation = currency devaluation?

2) A tariff is a tax charged on exported products.

3) Monopolistic competition implies the existence of a single company that

dominates the entire market.

4) A contingent import measure is one that occurs when limits or quotas are placed
on the import of a product.

5) Economic growth is a sustained process over time in which levels of economic

activity constantly increase.

6) Unemployment, according to neoliberal theory, is the option for leisure (not

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working) that individuals choose at the current wage price.

7) An economic merger is a union of two or more companies under a single control,

through purchase, exchange of shares, etc.
8) A merger always means the creation of a monopoly

9) Investment is the use of a portion of capital gains to increase the capital stock.

10) Investment can be divided into gross investment (buildings, equipment, etc.) and
net investment (gross investment less depreciation).

11) Petrodollars are dollars issued by oil-producing countries.

12) Central planning is the centralized management of the economy's resources.

Decisions are made by the state planning agency. It was used mainly in socialist
countries.

13) A final product is a good purchased for consumption and not for processing or
resale.

14) An intermediate product is a good that is used in the processing of another or for
the completion of another.

SOLUTIONS FOR “TRUE – FALSE?”

1 (F); 2 (F); 3 (F); 4 (V); 5 (V); 6 (V); 7 (V); 8 (F); 9 (V); 10 (V); 11 (F); 12 (V); 13
(V); 14 (V).

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 ANNEXES

ECONOMIC
GEOGRAPHY

Middle Ages
The beginnings of banking. "The Banker and His Wife" by Marinus Reymerswael, Museo
del Padro (Madrid). The progress of transport and the development of business were closely
linked to the movement of money. In the 13th century, Florence launched florins, magnificent
gold coins. Then the coats of arms in France and the duchies in Venice emerged. The coins had a
stable value and were used for international trade. Because of the different currencies, it was
necessary to have reference units such as the pound or the penny, which are not coins, but are
references of value. The banker's role was to determine the value of foreign coins in local pieces
and the purchase value.
 ECONOMIC GEOGRAPHY

III. BIBLIOGRAPHIC ANNEXES

BIBLIOGRAPHIC ANNEX I
Annex I
MOCHÓN, Francisco and BEKER, Victor. 1997. Economics, Principles and Applications.
Pages 461 to 657. Mc Graw - Hill Publishing House.
Annex II
MOCHÓN, Francisco and BEKER, Victor. 1997. Economics, Principles and Applications.
Editorial
McGraw-Hill. Pages 672 to 700.
Annex III
MOCHÓN, Francisco and BEKER, Victor. 1997. Economics, Principles and Applications.
McGraw-Hill Publishing. “Current trade regimes”. Pages 605 to 607.

BIBLIOGRAPHIC ANNEX II
Annex I
PIERRE, George. 1970. Overview of the Current World, Part 1 (The concepts of Development
and Underdevelopment). Chapter 1, Pages 15 to 33. Ariel Publishing House.
Annex II
PIERRE, George. 1970. Economic Geography. Pages 11 to 424. Ariel Publishing House.

BIBLIOGRAPHIC ANNEX III

Annex I
SANTOS, Milton. 1996. Technique, Space, Tempo. Chap. 2, 3 and 15. Hucitec Publishing
House.
Annex II
MORAES, Antonio. 1995. Geography, Little Critical History. Chap. 11. Hucitec Publishing
House.
Annex III
SUNKEL, Osvaldo and PAZ, Pedro- 1986. Latin American Underdevelopment and
Development Theory, Part (The Historical Framework of the Development Process and
2

Underdevelopment). Pages 43 to 78. Twenty-first Century Publishing House.

Annex IV
LILLEY, Samuel- 1965. Men, Machines and History. Chap. 7. New Science Publishing House.
Annex V
1988. Guide to the Third World. Pages 20 - 28 and 494 - 503, Tercer Mundo Publishing House.

BIBLIOGRAPHIC ANNEX IV
Annex I
KENNEDY, Paul- Rise and fall of the great powers. Pages 545 to 838. Plaza & Janes Publishing
House.

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BIBLIOGRAPHIC ANNEX V
Annex I
MOCHÓN, Francisco and BEKER, Victor. 1997. Economics, Principles and Applications.
McGraw-Hill Publishing. Abstracts. Chapters 2, 3, 4, 7, 10, 11, 14, 15.
Annex II
WETTSTEIN, German. 1978. Underdevelopment and Geography, a handbook for Latin
Americans. Chap. 5, 7, 9 and 10. University of the Andes / Faculty of Forest Sciences.
Institute of Geography and Conservation of Natural Resources.
Annex III
BASSOLS BATTLE, Angel. 1977. Natural resources of Mexico. Pages 18 to 51. Our
Time Publishing House. Mexico.

BIBLIOGRAPHIC ANNEX VI
Annex I
DRUKER, Peter. 1993. Administration and Future. Pages 129 to 234. Sudamericana Publishing
House.
Annex II
DEMING, Edwards. 1989. Productive and Competitive Quality. Pages 1 to 113. Diaz Santos
Publishing House, S.A.

BIBLIOGRAPHIC ANNEX VII

Annex I
FAJNZYLBER, Fernando. 1976. Transnational Corporations. Global expansion and projection
in the Mexican industry. Editorial Fondo de Cultura Económica.
Annex II
PORTER, Michael. 1991. The competitive advantage of nations. Pages 238 to 319. Vergara
Publishing House.

Annex III
ECLAC. 1990. Productive Transformation with Equity. Pages 21 to 39. Books by ECLAC.

BIBLIOGRAPHIC ANNEX VIII

FERNANDEZ, Wilson. 1988-1998. MERCOSUR relations with the United States. A Perspective
from the South. Chap.3 and 4. (unpublished)

FERNANDEZ, Wilson. 1992. Mercosur: Economy, politics and strategy in integration, FCU,
Chap. 4.

BIBLIOGRAPHIC ANNEX IX
BASSOLS BATALLA, Angel (YEAR) Geography, Underdevelopment and Regionalization.
Chap. 1 URQUIDI, Victor and CANOVAS, Gustavo. 1991. Some and other integrations. Pages
27 to 65. The College of Mexico and the Economic Culture Fund. Mexico

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