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Nomadic Herding
This type is based upon the rearing of animals on natural pastures. This practice is followed by the people of the semi arid and arid regions. They keep moving with their animals in search of natural pastures and lead a nomadic life. The type of the animals reared differ from one region to the other. Northern Africa, parts of Arabia and parts of northern Eurasia are the typical regions of this type of farming. This is a subsistence type of activity.
Shifting Cultivation
This is the type of farming adopted generally in the rainy tropics. Under this system the land for cultivation is obtained by cleared off the forests with the help of slashing and burning technique and it is cultivated for a few years till the fertility declines or the land is overtaken by the weeds etc. Then the land is abandoned and a new plot is cleared for farming. This is a subsistence type of farming done manually without much use of animal power or other types of power. This is the subsistence type of activity adopted by the people living in the tropical forest regions of southeast Asia. Major emphasis is on the grain crops. This type of farming is now on a decline as due to its land spoiling nature it is being discouraged by the government agencies.
Mediterranean Agriculture
The typical rugged relief of the Mediterranean region has resulted in typical livestock and crop combinations in this region. Wheat and vineyards and citrus fruits are the major crops and the small animals the major livestock reared in the region. Horticulture is a major activity of this region and most of the crops other than these plantations are grown in winter with the help of winter rains.
Livestock Ranching
Under this system of farming also the major emphasis is laid on rearing of animals but the farmers live a settled life. This type of farming has developed on a commercial basis in those areas of the world where large areas are available for animal grazing, such as the low rainfall areas of North America, South America and Australia. Animals are reared mainly for meat and wool and they are kept on large scale farms called the ranches. Lianos of Venezuela, Sertao of Brazil, Pampa of Uruguay and Argentina, Chaco of pantagonia, Karoo of South Africa , Arid regions of Australia and New Zealand
This type is commonly known as mixed farming and this practice has originated in the humid areas of the middle latitudes, except in Asia. Its development is closely related to the market facilities, and it is a typically European type of farming where an effort is made to get the best out of crop farming and animal rearing. Great Britain and NewZealand are the examples of areas where it is the common practice.
Specialized Horticulture
This type of farming has also developed to take advantage of a large demand for the products of horticulture and the areas of large scale urbanisation and high density of population in Europe have been favorable for its development. This type of farming has best developed in the vineyard cultivation areas of France, northern Hungary and the Swiss Lakes regions. At present this type of farming has developed near main cities of the every countries of the world.
Merits of Whittlesey's Classification It is based on observable inherent properties of agriculture practiced. It provides a classification & description of the major agricultural systems of world on the basis five most fundamental characteristics. Whittlesey facilitated a comparative study of the agricultural regions by plotting system on the first degree of magnitude on a single map. Either Whittlesey's study undertakes an enquiry into the observable items in the agricultural landscape for which sound data are available or field observations help towards an adequate classification of agriculture. Classification serves as a frame work in which further refinements can be suggested. Constraints of Whittlesey's Classification Institutional, cultural, infrastructural, & political factors that form basis of classification are not static; they have been changing in response to changing local, national, & global situations. These changes are sometimes revolutionary in the developing world but are more like a trend in the developed countries.
Changing Trade Patterns of Developed & Developing Countries With rise of a global trading system at the time of European colonial expansion, a colonial division of labor emerged in which developing countries exported primary products, agriculture & minerals, while Europe & North America exported manufactured goods. Structure of world trade has begun to change since World War II & particularly in the last three decades. Country's share in the world export market represents measure of its participation in the world economy & its purchasing power of imports. Although most developing countries increased their share of exports during the 1990's, the increase was highly uneven. Before 1970's: For reasons mainly linked with customs restrictions & transport costs, commodities (minerals, oil etc.) tended to be the most traded. International trade mainly took place to cope with scarcity, implying that countries were only trading products they did not readily have available. Since during this time the developed countries were mainly importing cheap raw materials & exported expensive finished products, developed countries gained in the share of total world exports, & developing countries lost. Developed countries also became richer because they through manufacturing were doing most of value addition to the final product.
1970's to 1990's ( East Asia ): Through 1970's new circumstances started favoring a higher mobility of the factors of production, particularly through foreign direct investments & diffusion of containerization. Much of the international trade framework was liberalized with lower duties & simpler custom procedures. In the 1980's & 1990's a group of developing countries in East Asia significantly increased their manufactured exports, & this increased their share of the world trade, 1990 to 1995: From the 1990's, global production networks started coming into play. These systems permitted the manufacturing & production of various components & raw materials going into product in various countries. It allowed these countries to achieve economies of scale & specialization. 1995 Onwards: World trade underwent dramatic changes in the decade 19952005. Globalization has created a world market where goods from different countries compete based on quality, cost etc. With the focus now on reducing the cost of production, many western countries are unable to compete with Asian countries with cheap labor. Thus, the manufacturing focus is slowly shifting back from developed countries to developing countries. Trade between developing countries now dominates world trade & is growing faster than before. In addition, a clear regional pattern has emerged in that manufacturing is concentrated in Asia, agriculture in the Americas & resource based production in Africa. Intra-regional trade dominates global trade with the emergence of regional hubs. Asia is where African exports have shown maximum growth. These exports are probably fuelling the manufacturing sectors in Asia.
Recession of 2007-09: World went through a major recession from 2007-09. Main difference between this recession & earlier cyclical disturbances is that, for the first time, both outputs & prices fell globally. The world was clearly in a Keynesian mode not seen since the 1930's. Yet world production & hence trade did decline substantially. It is via world trade that the impact of recessions is transmitted globally. Thus, some degree of separating of the developing countries from the developed world has taken place that is why the severity of the global recession was not seen in most developing countries, Other Important Trade Patterns: Following are some other patterns in world trade Latin America's share fell substantially from 1950 through 1990, & then began to increase slightly There has been a historic decline in the exports of the Sub-Saharan continent. Its share of the world total has dropped from over 3% in 1950 to barely 1% in 1996. This has been largely because Africa has not changed the products it exports, & that the prices of these products have tended to fall.
Trade Blocs Alternative to globalized free trade is the creation of trade blocs that is used manage & promote trade within geographic regions. Trade bloc is a type of intergovernmental agreement, often part of a regional intergovernmental organization, where regional barriers to trade are reduced or eliminated among the participating states. Some developing countries that are skeptical( doubt ) of free trade prefer to participate in regional trade blocs that offer some protection against larger & more aggressive global trading partners. Advocates of worldwide free trade are generally opposed to trading blocs, which, they argue, encourage regional as opposed to global free trade. Depending on level of economic integration, trade blocs can fall into different categories, such as, preferential trading areas, free trade areas, customs unions, common markets, economic & monetary unions. Regulation of International Trade Regulation of international trade is done through WTO at the global level, & through several other regional arrangements such as MERCOSUR in South America, North American Free Trade Agreement (NAFTA) between USA, Canada & Mexico, & European Union between 27 independent states. Traditionally trade was regulated through bilateral treaties between two nations. In 19th century, starting in UK, free trade became the dominant thinking among western nations. In the years since Second World War, controversial multilateral treaties like General Agreement on Tariffs & Trade (GATT) & World Trade Organization (WTO) have attempted to promote free trade while creating a globally regulated trade structure. These trade agreements have often resulted in discontent & protest with claims of unfair trade that is not beneficial to developing countries.
Challenges in World Trade Entities doing international business face many risks like Buyer insolvency (purchaser cannot pay) Non-acceptance (buyer rejects goods as different from the agreed upon specifications) Intervention (governmental action to prevent a transaction from being completed) Political risk (change in leadership interfering with transactions or prices) Credit risk (allowing the buyer to take possession of goods prior to payment results in a credit risk for the seller) Regulatory risk (e.g., a change in rules that prevents transaction) War & other uncontrollable events Risk of unfavorable exchange rate movements
Major Challenges in Energy Future Limited reserves of coal & oil are nearing exhaustion & alternative approaches need to be developed There is a high cost barrier for large scale generation of renewable energy making it's generation prohibits developing & undeveloped nations a Generation of large energy market to utilize (costlier) electricity from renewable resources which are not that cost efficient Social adaptation of conservation techniques is an important issue. Success of the conservation projects largely depends on the general population, Accurately accessing the environment impact of using fossil fuels & its impact Reducing scientific & political conflicts & working together to for cause of energy conservation