A Sub continental Region South-West USA
Jan 19, 2016
A Sub continental Region
South-West USA
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Mineral Resources
• Recession of the 1980s• Conservation influence• Nuclear energy• Price of oil dropped for many years
in the 21st century• 2006 crude oil was around $73 a
barrel due to the demand for oil in China and India
Mineral Resources
• Economic horizon clouded:– Oil resources in Texas rapidly
depleting– Off shore oil rigs vulnerable to
hurricanes, as Hurricane Katrina demonstrated in 2005
Primary ActivitiesMineral Resources
Mineral Resources
http://www.youtube.com/watch?v=xxNpz41xSOg
Mineral Resources
• Mineral exploitation has brought settlers to the region for generations
• 1848 California Gold Rush• Helped populate the west coast• Discovery of Silver in 1859 influx of
settlers to the Great Basin of Nevada• Consequent railway boom• Growth of the ‘Wild West’
Mineral Resources
• Scattered deposits of uranium, sulphur, gold, copper, lead and zinc worked today
• Oil and Gas (most important)• Texas has large reserves of both• Texan economy driven by oil for decades• Price increase in crude oil and 1973 oil
crisis brought great wealth to Texas
Secondary ActivitiesManufacturing
• North-East USA has dominated American manufacturing
• In recent years manufacturing in the South-West has exploded
• Concentrated in Texas, San Francisco, and Southern California along the Los Angeles-San Diego axis
Manufacturing
ManufacturingLocational Factors
• Resource-based industries because raw materials are available locally
• Beef cattle for meat packing and vegetables for canning
• Oil and gas for petrochemical industry
• Uranium for the nuclear industry
Manufacturing in Texas
• Diverse but three main fields:– Petrochemicals’: the ‘chemical crescent’
(coastal cities) 30 oil refineries on the coast, numerous chemical works and fertiliser plants
– Aerospace: NASA’s presence in Houston has attracted aerospace industries to Texas. Manufacture aircraft, space-related technology, space station components, satellite equipment and military surveillance technology. Dual-use goods
– IT: Texas Instruments and Dell
Manufacturing in California
• Silicon Valley (250,000)• Best-known centre for
manufacture of IT in the western world
• World war 2, Korean and Vietnam wars
Manufacturing in Silicon Valley
• Why? – Stanford Uni (engineering and science
leader) cutting edge electronics– Gifted innovators excelling in physics,
chemistry and related fields (Bill Hewlett and Dave Packard, Steve Jobs and Steve Wosniak)
– Uni graduates maintain knowledge
Challenges for Silicon Valley
• Competition (far east) similar products• Rapid obsolescence (quality of
researchers and flooding of market)• Market forces (boom and bust)
Recession 1980s • Late 1980s demand for PCs took off• End of the Cold War: cancellation of
defence contracts (early 1990s)• Internet boom 1995
Challenges for Silicon Valley
• Increase of defence spending under George W. Bush (maintained into new century)
Economic Interaction between South-West USA
and Mexico
South West USA and Mexico
• Maquiladoras: A twin plant on the Mexican side supplying cheap products
• 3000km border with Mexico• NAFTA: North American Free Trade
Agreement promotes free trade • Maquiladoras owned by Mexican
subcontractors or are subsidiaries of multinationals that manufacture goods for sale to the USA
South West USA and Mexico
South West USA and Mexico
• Peso weaker than the Dollar• Work for Pesos and sell in Dollars• Subcontractors earn large profits• Physical work, low-skilled and low-
paid done in Mexico by Mexicans• Well-paid office jobs done in twin
plant north of the border in the US
Maquiladoras
• More than 2500 in operation• Up to 1,150,000 workers 70%
women• Part of global sweatshop??• Noise levels and ventilation below
developed world standards• Most workers live in hastily
constructed shanty towns nearby
Maquiladoras
• Affected by international economic forces:– Competition from China, labour costs
even cheaper than Mexico– 500 have closed in recent times
http://www.youtube.com/watch?v=tRdu5qo-htU
Tertiary Activities
Tourism
• Important tourist destination • Climate a major attraction (Sun Belt)• Yosemite, Joshua Tree and Bond
National Parks• San Francisco spectacular bay on the
Pacific Coast• Los Angeles (Disney resort)• Hollywood
Tourism
• Las Vegas Nevada (gambling capital od the world)
• Great Depression 1930s collapse in Nevada’s mineral and cattle industries
• Gambling legalised for revenue• 1940s saw the city become the
home of gangsters (casinos)• Built in Great Nevada Basin
Tourism• Hoover Dam supplies electricity• One million population• Slot machines and casinos• No clocks or windows in a casino
(disorientating)
Tourism
• Some offer free alcohol and cheap buffets
• Great entertainment• Reno (smaller version)• Sedona (Arizona) attracts those
interested in alternate lifestyles (yoga, nutrition, holistic therapies)
http://www.youtube.com/watch?v=zuCge37X0UM
Tertiary ActivitiesTransport
Dallas – Fort Worth Airport
Transport
• Roads: One car for every two people– US interstate connects South-West with
distant markets– Trucks make it east in five days
• Port: Two coasts– Pacific (Long Beach) and Gulf of Mexico
(Corpus Christi)– Major importer of petroleum from
Venezuela and the Persian Gulf
Transport
• Air Transport: Virtually every major city in the South-West has an airport– LA a major hub, Pacific Rim– Business community in Texas served
by Dallas and Houston