Economy of the middle east. Trade has been important in the region since ancient times. videoclip.

Economy of the middle east

Trade has been important in the region since ancient times.

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Sea lanes are the most important trade routes in the region.

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Countries as ranked by GDP

QatarQatar

#4 Israel#4 Israel

#2 United Arab Emirates#2 United Arab Emirates

#1 Kuwait#1 Kuwait

#3 Qatar#3 Qatar

Economic Characteristics

• Heavy reliance on primary economic activity

• Oil drilling• Agriculture: nomadic herding (pastoralismpastoralism)

Bedouin shepherd with sheep.

The Bedouin are a nomadic tribe that live and herd in the Arabian Desert and North Africa.

Def. -- of or pertaining to shepherds or herders.

The Bedouin are a nomadic tribe that live and herd in the Arabian Desert and North Africa.

Economic Characteristics

The Nile delta has fertile farmland.

Economic Characteristics

Cotton is an important product in the Nile River Valley in Egypt.

Economic Characteristics

Egyptian cotton is known for high quality.

Oil revenues: positive and negative effects Positive: High revenuesPositive: High revenues

Negative: Over reliance on one product.Negative: Over reliance on one product.

Economic Characteristics

Organization of Petroleum Exporting Countries

Organization of Petroleum Exporting Countries

An international organization made up of Iraq, Iraq, Indonesia, Iran, Kuwait, Libya, Angola, Indonesia, Iran, Kuwait, Libya, Angola, Algeria, Nigeria, Qatar, Saudi Arabia, the Algeria, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates, and Venezuela. United Arab Emirates, and Venezuela.

An international organization made up of Iraq, Iraq, Indonesia, Iran, Kuwait, Libya, Angola, Indonesia, Iran, Kuwait, Libya, Angola, Algeria, Nigeria, Qatar, Saudi Arabia, the Algeria, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates, and Venezuela. United Arab Emirates, and Venezuela.

OPEC is a cartelcartel, a group of producers of the same product that act together to control the market by regulating production.

Since OPEC countries produce so much oil, they can control the world market and price.

If the price of oil begins to decrease, what do OPEC nations do in response?

Water: the region’s most precious resource. Why?

Water: the region’s most precious resource.

The Ashkelon Desalination Plant in Israel provides for 13% of the country’s domestic water demand.

Water: the region’s most precious resource.

The Jebel Ali plant in Dubai is the largest desalination facility in the world.

Great variation in quality of lifequality of life: ranging from relatively high to poverty stricken.

Regional conflicts, political unrest that affects the tourism tourism industry.industry.

3.5 million people visit Israel every year. 2.4 million travel there for “Christian tourism.”

Regional conflicts, political unrest that affects the tourism tourism industry.industry.

A Palestinian boy holds a toy gun and wears a mask while pretending to shoot at U.S. tourists on a street in Jerusalem’s

old town. August 18, 2006. (REUTERS NEWS SERVICE)

There are more jobs than workers in some areas of the Middle East.

Guest workers Guest workers from other parts of the world (mainly India and Pakistan) are hired to do many jobs.

Guest workers often live in poor conditions in the midst of wealth.

Guest workers in Dubai.

Interpret this cartoon.

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Aswan High Dam

Aswan Power Station

Aswan Power Station

“That’s one high dam!”

Benefits

• Flood control

• Water for irrigation

• Fishing industry

• Generating electricity

Negative Effects

• 90,000 people displaced by Lake Nasser.

•Silt is building up behind dam and not deposited in river plain.

• Poor irrigation practices are ruining soil fertility.

• Nutrients for Mediterranean fish are not reaching the sea.

• Damage to river delta.

• Antiquities covered by water.

Economy of the middle eastSummary

1. Trade2. Pastoralism3. Agriculture4. Importance of oil5. Water6. OPEC7. Quality of life8. Tourism industry9. Guest workers10. Aswan High Dam