P&S detroit case study Flashcards
example of a positive feedback loop for detroit
the car industry sets up and this attracts more TNCs and FDI to the areas - causing further change
what were the key dates in detroits transition from
1943 - altercation between white and blacks
1967 - african american rebellion for workers union + automotive factories shifted to suburbs along with white populations
1970’s - economic challanges of black population in the centre influenced higher crime rates.
what was the average wage for automobile workers in detroit?
$3
what was the consequence of the ethinic change in detroit
all of the automobile suppliers and manufacturers migrated out to the suburbs - leaving very little employment opportunities for the black population living in the city.
the economic challanges meant that poverty rose and crime rates were influenced by this
the population dropped within detroit significantly - post 4th largest city in USA
term for increased poverty after the shift of industry
urban deprivation
why did TNCs migrate out of the citys
- it is cheaper and easier to begin a new car company than it would be to maintain a car company in a declining market
- motoways are more accesible in the suburbs
- cars are for entertainment - the target market with siposable incomes were usually white middle class.
key term for the migration of white people and why this happened
‘white flight’ - this was the aftermath of the rioting to maintain presumed saftey
‘urban tempural migration’ - the transition from an area of dense urban city to rural suburbs
what were some stats from the crime rates
600 people / year are shot to death
drug smuggling from miami - weak authority
what is the burgess model
this is when inductrial factories are located closer towards the centre of citys as economic hubs, and nicer stately homes are located deep in the suburbs for a better quality of life
what is the structural change that occured in detroit?
mover from the secondary and tertiary sectors to the primary and secondary sectors due to lack of employemnt from their specialised industry.
what was the employment rate in 1980
45%
what were some reasons for the economic structural change?
- racism
- oil crisis - companies are forced to compete to be more fuel efficient to suite consumer demand
- overrelience on one specific industry
- african americans are not supplied with correct skills to support themselves after the shift
- weak planning - inneficient layout
who are the players involved in the shift
government
TNC’s
CUSTOMERS / local political groups - responsible for the TNCs inability to remain active due to the purchase of cars from japan
city governers - reason for bankruptcy due to poor decisions
background knowledge in the population growth of africant americans that caused the altercation between ethinicities
5000 citezens in 1910
120,000 citezens in 1930
