GEOG 1200: Midterm

GEOG 1200: Midterm

GEOG 1200: Assignment, Pt. 2

Assignment 2: Human Geography and the Real World, Part 2

“Brazil and Japan, Human Geography Forces at Work”

            Introduction

            As the world enters the 21^st century, countries rapidly redefine their roles and assume new positions in the world system. New markets emerge with great potential, changing the way of life for billions. Brazil is a prime example of the dynamic transitions taking place around the globe. The unique interconnectedness of Japan and Brazil show the forces of human geography at work. The goal of this paper is to show how human geography has affected both countries and explore the close ties between them. This paper has been organized into three sections each analyzing different human geography concepts; globalization, urbanization, and Brazil’s role in the world system. As Brazil rapidly changes and takes shape in the new world, the forces of human geography play a special role in predicting how Brazil’s development.

            Globalization

            Brazil has been greatly affected by Globalization. The four factors contributing to globalization all are helping to shape Brazil. The international division of labour, internationalization of finance, new technologies and a homogenization of consumer all contribute to the dynamic changes currently taking place in Brazil.

            As investors recognize the potential of the Brazilian workforce, more jobs and labour are being outsourced to Brazil. Brazil offers a relatively stable geopolitical climate and a growing population to meet labor demands.

            Automotive companies are crossing political boundaries and increasing investment in Brazil. Nissan, Japan’s third largest auto manufacturer, announced it would commence building 2 passenger cars in Brazil in 2009. Another Japanese car manufacturer, Suzuki aims to sell 7 000 Japanese cars in Brazil by 2010 (Calgary Herald, 2008). These decisions come as no surprise due to higher wages and cheaper credit increasing car demand in Brazil. It is not only Japanese automotive companies taking interest in Brazil, but also American and European firms. Ford, General Motors, Volkswagen, and Fiat have contributed over 8 billion dollars investment into Brazilian manufacturing operations in the past 10 years (James Brooke, 2005). Although much of the profits from foreign investment are not retuned domestically, the investment in infrastructure and provision of jobs is invaluable. Exploiting the different wage rates of Brazil compared to core countries has shown the effective internationalization of labour.

            The internationalization of finance has been demonstrated through Japan’s investment in Brazil’s economy. Brazil’s contribution to Japanese mutual funds, called Toushin, doubled from 2007 to 2008. The 2007 investment of 484.3 billion yen (4 billion USD) grew to 879.4 billion yen (8.2 billion USD), at the end of July 2008 (Chikako Mogi, 2008). Japanese investors feel that Brazil provides a safe economic bubble, given the current financial crisis gripping the globe. “Brazil puts priority in containing an economic bubble, and its moderate growth rate reflects its will to ensure sustainable and stable growth,” says Japanese economist Shuji Nishimura. Shuji’s comments are reflected in the average 139.4 billion yen invested from 2005-2007, in Brazil (Chikako, Mogi).

An investment-grade sovereign credit rating, earned in April 2008, due to growing economic stability, has removed the stigma of Brazil being a risky investment. To further express the interconnectedness of Japanese and Brazilian finance, Brazil’s largest private bank, Bradesco, signed an agreement with Mitsubishi UFJ financial Group. The agreement, signed in August 2008, outlined the sale of funds, investing in Brazilian assets, to Japanese investors.

Brazil’s technological breakthroughs have earned high acclaim from foreign markets. Brazil’s extensive use of ethanol has provided a template on how to incorporate ethanol into domestic markets. Japan’s is looking towards Brazil for ethanol supply and inspiration on how to incorporate it into society. Japan, an island country with little domestic resources, hopes to mandate 3% ethanol in all its gasoline. Doing so would increase ethanol demand by 1/3 (David Lynch, 2006). Brazil is a leading supplier of ethanol to Japan, and in July 2008 signed an agreement to ship ethanol to Japan. The agreement was signed by Copersucar, a Brazilian ethanol group, and Japan Biofuels Supply.

The cultural similarities between countries, are a key factor when analyzing the homogenization of the consumer. Immigration into Brazil, and emigration out of Brazil, has resulted in the spatial diffusion and blending of global cultures. Due to increases in transportation technology over the past 100 years, the world has become much more accessible. The relationship between Brazil and Japan extends over 100 years back. In 1895, the Treaty of Friendship, Commerce and Navigation was signed between the Emperor of Japan, and the newly emerged Republic of Brazil. It is believed, pre World War 1, Japanese immigration to Brazil helped stabilize the former slave population and national labour force. The abolition of slavery in Brazil, in 1888, created a shortage of labour on plantations. The result was an inflow of Japanese workers to fill the gap. Over 190 000 Japanese immigrated to Brazil after the abolition of slavery (Suzuki, 1969). In 1942, when Brazil declared war on Japan, 202 000 Japanese lived in Brazil (Kunimoto, 1993). Currently, 1.5 million people of Japanese descent live in Brazil (Japan Ministry of Foreign Affairs, 2008). The extensive population of Japanese living in Brazil creates strong cultural ties, as the two ethnicities become intertwined and interconnected. The diffusion of people into new places spreads their cultural ideas and values, which contributes to the homogenization of people.

Urbanization

Brazil’s ecumene is rapidly shifting from rural areas, to urban areas. Urban areas provide more educational and workforce options, compared to those provided by rural areas. Presently 81.7% of the Brazilian population is concentrated in urban areas, such as Rio de Janeiro and Sao Paulo (Raul Gouvea, 2004). Brazil’s urban development has occurred mainly inland. Of the 31 metropolitan centers in Brazil, with population over 1 million, 19 of them are inland. This inland migration is reflected in business; 40% of Brazil’s top 500 companies now base their operations inland, from 20% in 1970 (Raul Gouvea, 2004).

The shift of people from rural to urban areas is reflected in the decline of agriculture. In the 1950’s agriculture represented 25% of the GPD, currently it is less than 10%. This dramatic decline represents Brazil’s shift from an agrarian society to a manufacturing, resource and serviced based economy (Raul Gouvea, 2004).

The loss of agriculture poses many problems for a rapidly urbanizing society. Brazil’s strategy to reduce foreign imports and achieved sustainability is contradicted by its loss of agriculture. Because the growing urban population does not produce food, it requires food imports more everyday due to diminished domestic product.

Urban development is resource intensive due the vast quantities of materials required for construction. Brazil has been blessed with an abundance of natural resources, which promote the activities of development. The abundance of natural resources at Brazil’s disposal enables the activities of urban development, providing a vast range of materials within close proximity.

Role Transition

Brazil is transforming from a peripheral country into a semi-peripheral country. This transition is partial marked by reduced foreign exploitation of labour and resources, and increased GDP.

The GDP of Brazil in 2001 was 502.5 billion, dominated by the service sector at 56% followed by industry at 35% (Raul Gouvea, 2004). This change in GDP contribution from resource extraction shows Brazil has reduced its exploitation by other countries.

Japan’s imports from Brazil still consist of resource goods, but Brazil’s imports from Japan outweight their exports. Brazil’s exports to Japan valued 4.3 billion, versus their imports of 4.6 billion, in 2007 (Japan Ministry of Foreign Affairs, 2008). The greater value of imports versus exports shows the increase in buying power of Brazil’s economy. Brazil’s relationship with a core countries like Japan show its transformation into an economic power, blessed with resources a growing population.

Conclusion

As the world expands in population, the distance between places becomes smaller. Brazil’s interconnectedness with Japan represents a diverse relationship. Their relationship is characteristic of many countries around the world. Two countries on different sides of the world become connected through trade, migration and cultural identities. Globalization represents the shrinking cultural differences between Japan and Brazil. The urbanization of Brazil represents the progress it has made due to relationships like it has with Japan. Foreign investment has contributed to infrastructure development, and injected jobs and capitol into the Brazilian economy. It the connections Brazil has with countries like Japan that have helped transition Brazil’s role in the world system.

Word Count: 1 400 words

Works Cited

Brooke, James. "INTERNATIONAL BUSINESS; Car Makers Gaining Momentum in Brazil." NY Time: Business. 28 Mar. 2005.New York Times.7 Nov. 2008 <http://query.nytimes.com/gst/fullpage.html?res=990ce7d6143bf93ba15750c0a963958260&sec=&spon=&pagewanted=all>.

Gouvea, Raul. "Brazil: Strategic Approach." Thunderbird International Business Review 46 (2004): 165-89.

Japan-Brazil Relations. Japan. Ministry of Foreign Affairs. Oct. 2008. Nov. 5 <http://www.mofa.go.jp/region/latin/brazil/index.html>.

            Kunimoto, I. (1993) ‘Japanese Migration to Latin America’, in B. Stallings and

G. Sze ́ kely (eds), Japan, the United States and Latin America: Toward a Trilateral

Relationship in the Western Hemisphere, Baltimore: The Johns Hopkins Univer-

sity Press.

Lynch, David J. "Brazil hopes to build on its ethanol success." USA Today: Money. 28 Mar. 2006.USA Today.7 Nov. 2008 <http://www.usatoday.com/money/world/2006-03-28-brazil-ethanol-cover_x.htm>.

"Nissan to Build Passenger Car in Brazil." 23 Aug. 2008.Calgary Herald.3 Nov. 2008 <http://www.canada.com/calgaryherald/news/calgarybusiness/story.html?id=2f31b95d-350f-445e-bef3-bf58700efce4>.

Quan, H.L.T. "Race, Nation and Diplomacy: Japanese Immigrants and the Reconfiguration of Brazil’s ‘Desirables’." Social Identities 10 (2004): 339-67.

            Suzuki, T. (ed.) (1969) The Japanese Immigrant in Brazil, Vol. V. 2. Tokyo:

University of Tokyo Press.

GEOG 1200: Assignment 1

Water As a Human Right

Introduction

Water is priceless. There can be no value great enough, attached to something so essential to life. And therein lies the solution to the problem; water is a human right. Just as people have the right to breath, they have the right access clean water. Unlike the other resources that maintain a fixed location, water is always flowing, ignoring political

boundaries. It is for this reason, water is a publicly owned commodity and no one can profit from its distribution or sale.

Human Dependence on Water

Water is entrenched in every society’s culture as it forms a vital component for life. Water serves two roles in sustaining human life. Water keeps humans hydrated, allowing their organs and internal systems to function, it also sustains plants and animals that humans require for nutrition. Water is the root of life and controlling water represents social and political power, anywhere in the world (Lahiri-Dutt, 2008). Whoever controls the fresh water supply, holds the power to prioritize the use of water.

It is clear that the growing global population will demand agriculture to produce greater amounts of food. This growing need for agriculture will require greater irrigation and water supplies (UN World Water Development Report, ch7, 2006). A conflict arises when water must be negotiated between so many complex political, social and economic sectors, despite water’s fundamental role of sustaining life. The conflict is accentuated when water priorities clash, as different groups fulfill their own agendas.

Through direct displacement, earmarking water supplies to large corporations will deny people something, which is so vital to local economies. Direct displacement means the increase in one use of water reduces or devalues the availability of water to another activity (ECONorthwest 2007). Agriculture, manufacturing and the service sector all depend on access to available water. The needs of a corporation to make a profit should never interfere with people’s rights. While the sale of water may yield a profit in the short term, other economic sectors deprived of water begin to fail. There is little research on the interconnectedness of aquifers (Guelph Field Naturalists, 2008), and therefore poor speculation on the watershed they sustain. The large area of agricultural land, dependant on Guelph and surrounding area’s aquifers, would be drastically reformed if another source of water had to supplement existing well supplies.

Water fills many roles in the sustainability of societies. Globally, water is used as means of sanitation. Clean water is a human right that separates people from a cannon of deadly diseases and pathogens that would otherwise be fatal, without medication (Gleick, 2008). Providing free clean water to the periphery is the first step in ensuring good health, and is often more cost effective than other methods of medical charity. Providing access to clean water is a form of preventative medicine.

The World Health Organization ranks the benefit to cost ratio for supplying clean drinking water and sanitation systems globally; they have found in every case, the return on the investment of intervention was positive. Costs were determined to be the full cost of the intervention and benefits encompassed economic productivity and time saving. For example, the benefit to cost ratio of providing disinfectant at water’s point of use, in South East Asia was 9.41 (UN World Water Development Report, ch 12, 2006). The economic result of providing disinfectant was a 9.41 times return to the economy based on the initial cost of providing disinfectant.

2.78 percent of Earth’s water supply is fresh water, and of that, 99 percent is frozen in glaciers (Marsh and Grossa, 2004). This leaves less than 1 percent of total fresh water, available for human consumption and use. The resulting consequences of freshwater scarcity are magnified when private corporations gain possession of a vital water supply.

The rate at which groundwater is replenished to an aquifer can range from a 100 years to 10 000 years (Marsh and Grossa, 2004). When private corporations plunder aquifers to extract water, there are severe environmental consequences. These consequences then backlash humans, who are dependant on aquifers for water supply. Nestlé Corporation is a prime example showing the environmental and societal damage that can occur very close to home. Nestlé Corporation pumps approximately 4.7 million liters of water from the Galt aquifer (Guelph Field Naturalists, 2008). Due to the global nature of the bottled water market, these bottles of water are shipped nationwide. Currently the city of Guelph draws fourteen times more water than Nestlé (Guelph Civic League, 2008), so there is no direct competition for water, but there is little research on the rate of replenishment for local area ground water. If the rate of depletion exceeds the rate of replenishment, it would be disastrous for local economies. Especially in Guelph, a growing town with an expected population of 169 000 by the year 2031 (City of Guelph, 2008), water resources will be more important in the future.

Water Privatization and the Periphery

The privatization of water has had adverse effects on the poor and disadvantaged; the people in the periphery that cannot afford to pay for something that should be free. The problem arises when the goal of a multinational company conflicts with the needs of the people. It has been shown that lack of planning and conscience on behalf of Suez, a multinational development company, has devastated several communities and the environment. Under pressure by the World Bank, who provided that water privatization be a prerequisite for foreign aid, Bolivia signed an agreement allowing foreign investment into their water infrastructure. The World Bank’s good intentions claimed private companies were better suited to handling water infrastructure, because local municipalities were plagued with corruption (Jim Schultz, 2005). Suez, the French multinational put in charge of La Paz’s water supply, neglected the water needs of approximately 200 000 people, and poisoned the environment. The exorbitant cost of hooking up water resulted in, only a small portion of the population that could afford to pay (Maude Barlow, 2008). This resulted in widening the gap between rich and poor, as a once free water supply was now financially unavailable to an already disenfranchised group. To add further injury to the Bolivian people, the privatization of water caused detrimental environmental damage. To save money on water treatment facilities Suez built a series of canals that emptied untreated sewage, garbage, and slaughterhouse effluent in lake Titicaca (Maude Barlow, 2008). Suez’s conflict of interest between increasing revenue and providing a vital resource showed that water privatization marginalizes people living in the periphery.

The Unknown Consequences of Water Privatization

Water privatization in the form of bottled water passes many externalities on to society. The purchase price does not even begin to encompass the environmental and social costs of producing a bottle of water. Extra costs associated with the consumption of bottled water are transferred to many different sectors in society. One such problem associated with bottled water is the disposal of the container. Empty plastic water bottles decompose over hundreds of year, becoming societies’ problem. Societies expend tax dollars to deal with empty bottles, which often degrade slowly in landfills. The unscrupulous act of selling a public resource is made worse when a society must, collectively, pay for a companies misdoing.

Source pollution of freshwater supplies, in the United States alone, has resulted in millions of tax dollars being spent on environmental remediation, and infrastructure development. In Orange Country, California, ground water pollution of nitrates, selenium and VOCs, resulted in 54 million dollars spent on remediation, enhanced treatment and replaced ground water supply (UN World Water Development Report, ch2, 2006). Corporate activities are hurting the space in which humans live and depend, but also cause millions of dollars in damages. Despite the economic revenue these companies generate, a large amount of capitol must be spent on undoing the damage they exact on the environment.

Conclusion

Water is an essential human right. Just like the air humans breathe, water is vital to sustain life. Since the dawn of humans, water has been interwoven into the fabric of our lives and culture. Humans respect water for its many roles and applications and its ability to heal. But with a respect for water comes many different agendas for its use. The finite supply of water means the negotiation of who uses it must be a shared responsibility. It is a shared responsibility because water belongs to everyone; it is in a constant state of recycle, always shifting, moving, ignoring man made boundaries, following its own agenda. Ultimately, the conflicting interests of water as an economic resource and a human right are intertwined. When access to clean fresh water is free, it has been shown to improve local health and also improve economies. There can be no excuse for the despicable actions of corporations denying people the right to water. Privatizing water is a clear example of how economic greed marginalizes people, and does not benefit the economy as a whole. Water is a fundamental human right and nothing less.

Word count: 1, 501 words

References:

1. Human Right to Water. Water Policy [1366-7017] Gleick yr: 1998 vol:1 iss: 5 pg 487 -503
2. Water Warriors: Declaring Water a Right, Not a Commodity, a Global Water Justice Movement is Growing. The Nation [0027-8378] Barlow yr: 2008 vol: 286 iss: 14 pg 18-22
3. The 2nd UN World Water Development Report: 'Water, a shared responsibility' Rep.No. 2. United Nations Educational and Scientific Cultural Organization, United Nations. 2006.
4. The Quest for Water: Rethinking Water Scarcity. Development [1011-6370] Lahiri-Dutt yr:2008 vol:51 iss:1 pg. 5-11
5. Lee, Kristan, Cleo Neculae, Ernie Niemi, and Sarah Reich, comps. The Potential Economic Effects of the Proposed Water Bottling Facility in McCloud. Rep.No. ECONorthwest. Eugene, OR: ECONorthwest, 2007. 12-12.
6. "Guelph Field Naturalists respond to Nestle’s Water Taking." Ward 2 Guelph. 12 May 2007. City of Guelph. Sept. 2008 <http://ward2guelph.wordpress.com/2007/05/12/guelph-field-naturalists-respond-to-nestles-water-taking/>.
7. Marsh, William M., and John Grossa. Environmental Geography : Science, Land Use, and Earth Systems. New York: John Wiley & Sons, Incorporated, 2004.
8. "Water: The BIGGER Picture." Guelph Civic League. Sept. 2008 <http://www.guelphcivicleague.ca/archive/20070510-1.html>.
9. "City Council Highlights - June 23, 2008." City of Guelph. 23 June 2008. City of Guelph City Council. Sept. 2008 <http://guelph.ca/cityhall.cfm?itemid=75822&smocid=2167>.
10. Schultz, Jim. "The Politics of Water in Bolivia." The Nation. 28 Jan. 2005. Sept. 2008 <http://www.thenation.com/doc/20050214/shultz>.

GEOG 1200: Assignment 2, Pt. 1

Assignment 2: Human Geography and the Real World

Part 1. Outline

Article Title: Japan retail cash seeks Brazilian bliss

Author: Chikako Mogi, Reuters

Published: Globe and Mail, Sept 11, 2008

Article Summary:

Global economic turmoil is causing Japanese investors to explore markets that will cushion economic downfalls. Brazil’s economy is believed to have great potential that will outweigh the risks of a global financial crisis. Brazil’s booming market leaves great potential for self-sustainability, as it has a vast supply of natural resources and arable land. Despite recent currency depreciation, Brazil’s outlook remains positive due to a growing global population, urbanization and robust domestic demand. In today’s global economy Japanese companies are ramping up invest in Japan; Copersucar, a Brazilian sugar and ethanol company, are beginning to ship products into Japan, Japanese steelmakers are purchasing Brazilian iron-ore factories, and Japanese automakers produce more cars in Brazil every year.

Human Geography, Key Issues:

1) Globalization

a) Japans investment in Brazil is a prime example of how markets around the world are consolidating, and how political boundaries are being traversed everyday by international business and investment.

b) Brazil’s export of goods worldwide shows how accessible world markets have become

2) Ecumene

Brazil’s ecumene is rapidly shifting to an urban environment. Brazil’s abundance of resources compliments this and gives in a greater chance of success.

3) Transitioning Roles

Brazil is transforming from a semi-peripheral country into a core country. This is shown through their increased productivity, a recent development of this is there investment grade sovereign credit.

Bibliography

1) Title:  Brazil: the outlook for Brazilian equity markets over the next four years.

Source: Futures [0016-3287] yr:1998 vol:30 iss:7 pg:20 -23

This peer-reviewed journal provides insight on Brazil’s emerging economy into the 21^st century. It contains evidence supporting investment in Brazil, and the increase in its equity returns.

2) Title: Doing business in Brazil: A strategic approach

Source: Thunderbird international business review [1096-4762] Gouvea yr:2004 vol:46 iss:2 pg:165 -189

This journal article elaborates on the foreign aspects of investing in Brazil; it covers the challenges and opportunities faced by Brazil as an emerging economy.

3) Title: Race, nation and diplomacy: Japanese immigrants and the reconfiguration of Brazil's 'desirables'

Source: Social Identities [1350-4630] Quan yr:2004 vol:10 iss:3 pg:339 -367

This journal analyzes the impacts of Japanese immigration to Brazil, and how this has affected Brazil’s growth. It looks at the goals of both countries to achieve “capitalist expansion and domestic tranquility”. It also provides information on investment relations.