South Americas World Econemy
Essay by 24 • January 2, 2011 • 1,586 Words (7 Pages) • 1,491 Views
South Americas World Economy
The region of the world's land mass called South America has a vast array tropical land and culture to aid the world's economy. The land mass of South America is made up of 12 countries with a population of 379.5 million (World Atlas, 2008). Its land mass makes up 12% of the world dry surface (Nation Geographic, 2008). It ranks 4th in the world in land area and 5th in population. There exist 17.85 million sq/km of fertile soil in the continent (Wikipedia 2008). Most of this area is rich for growing and in the Pampas region of the continent crops are produced to feed the world population as well as their need for organic oils and petroleum based oil for industry. The three largest and most influential players in the world economy of tomorrow are the countries of Brazil, Argentina, and Colombia. These countries are the largest in land mass, water, and trade ports of the region.
The country of Brazil, and the tropical Amazon Rainforest and the Amazon River are the major economy drivers. The country of Brazil is made up of 3,265,059 sq miles and covers nearly half of South America. With a GDP in 2006 of 1.616 trillion Brazil is a major trading allies to almost all players in the global economy. Brazil supply textiles, lumber as well as uranium and petroleum to the world economy in excess of 137 billion (Info Please, 2008). It will be Brazil oil, water, and assets of the Amazon Rainforest that will make Brazil a leader in the world economy in the 25th century.
The oil industry in Brazil is booming at an alarming pace. There will be 18 new oil producing platform produced off shore in Brazilian waters by the years 2010. In 2007 the total production of off shore oil made up 82% of Brazil total oil production. This equates to approximately 2.2 million barrels of oil a day (Info Please, 2008). It will be this oil supply as well as it vast natural gas pockets that countries like the U.S. will be looking to possess as the world supply diminishes.
The fragile ecological system of the Amazon Rainforest makes up over billion acres of land spanning Brazil, Venezuela, Columbia, Ecuador and Peru (Rainforest facts 2008). The Amazon Rainforests have been described as the "lungs of our planet" because of the service pervaded to the earth of recycling the vast amount of carbon dioxide into oxygen. The Rain Forest of the Amazon is in enormous jeopardy over the next 50 years for the destruction of about 1.5 acres a second destroyed by the capitalist empires of the world. They are being destroyed without thought of the damaged done long-term in the search for fruits and vegitation believed to treat life threatening illnesses. The secrets revealed in the Rain Forest hold the key to life itself and the capitalistic greed from the world will destroy this resource before the ones who care can save it.
The Amazon River is in direct competition with the Nile river of Egypt for the title of the longest river in the world. However, the Amazon holds the record for the most volume of any river in the world. The mighty river is responsible for approximately 20% of all the fresh water discharged into the ocean (extreme science, 2008) The Amazon River is also navigable for ocean steamers which allows for deeper delivery of products and equipment directly to the point of use. The trend in global warming lend one to believe that water will be the "oil" of the future and with almost 400 inches of rain annually in the Rainforest regions, The Amazon River basins will be a major part of the changing economy of the future.
The second of the controlling economy countries is Argentina. Argentina is located in the southernmost tip of the continent and has a land mass of 1,056,636 sq miles. With a population of over 40 million one might think it to be well developed throughout its borders. However, the country is one of contrast. The economy is very much dominated by its agriculture and industrial mining but the major economic assets for Argentina are its ports. This would explain the population pattern that make the port town of Buenos Aires form about 33% of the country's population with approximately 13.5 million people (Info Please, 2008). The other major 9 ports are set along the country's Atlantic Ocean coast line. It will be the control of these ports in the international economy of allies, that will decide the pecking order for distribution of the fossil and Bio- fuels that are rich to Argentines economy. The crops produced in the country will play a big role in the bio-fuel world of the future. The Bio-fuel law passed in 2006 provides the framework for investment, production and commercialization of bio-fuels. With the agriculture rich soil of Argentina this law will put Argentina in the driver's seat for global bio- fuel production and distribution. The basis of the law mandate a mix of 5% ethanol in gasoline and 5% of biodiesel in diesel fuel (Gain Report, 2007). With this new law the country has open 2 new ethanol production facilities in the territory of Tucuman. These new plants will produce approximately 150 million liters in 2007(Gain Report, 2007). This will raise the ethanol production in Argentina to approximately 400 million liters. These two new distilleries will surely add to the pressure in the U.S. to renovate or build new distilleries of our own. With the basis of the bio-fuel being a corn crop and byproducts the agriculture economy of the region and the world are sure to profit. With the new export in the making the ports will be vital to the demand for this new and innovative product.
Finally, the country of Colombia dominates from the north. Colombia is very intriguing because of the very central location to the United States through the country of Panama and the Panama land mass. The
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