• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

What is meant by the terms core and periphery?

Extracts from this document...


Core and Periphery Essay - Simon Standfast What is meant by the terms core and periphery? The term core refers to the economic centre of the country by which is meant areas that are more affluent and more dynamic i.e. growth rates are higher, there are greater rates of change and innovation. Also education standards are higher and a greater percentage in employment. More generally GDP per person is higher. There is more of a concentration of hi-tech and other lead sector industries. in Britain the core of the country is in London and South East England extending along the M4 corridor including towns such as Reading and Newbury (where the new Vodaphone headquarters have recently been built) The core is also often considered to extend to 'silicon fenn' around Cambridge. Some commentators would see the core extending along the axis of the M1/M6 to Birmingham. The periphery is characterised by lower household incomes, lower employment rates, low levels of inward investment reducing the population as the younger, more active people leave to work in cities that have more opportunities for them. Such areas in Britain have been recipients EU aid such as regional development grants often to assist in the establishment of new service industry sometimes replacing now obsolete primary industry such as coal mining, china clay extraction, or secondary industry such as iron and steal making. ...read more.


Regional prosperity will draw new industry to the area, creating new jobs which increase demand and therefore produces agglomeration and specialisation together with the attraction of more industries. As a result, these higher labour costs will be offset by higher productivity leading to a higher investment rate, higher output giving increasing returns on investment. These pull factors encourage rural in migration. Usually, levels of wealth, economic activity and development decrease with distance form the core so that places form the periphery become increasingly poorer. This development is centred around growth poles, generally with physical advantages such as raw materials. The positive effects of these growth poles mean that greater inequalities grew. Mydral's multiplier model can be used to explain a number of patterns such as the growth of the 19th century industrial regions e.g. South Wales and the Ruhr and also districts cutlery in Sheffield and clothing in Nottingham. The development of growth poles in developing counties such as Sao Paulo in Brazil and Damodar Valley in India where increased economic activity led, in turn, to multiplier effects and an upward spiral resulting in core regions. At the same time cumulative causation worked against regions of the periphery to produce backwash effects which included a lack of investment and job opportunities. The theory also explains the creation of modern government regional policies which encourage the sitting of new, large, key industries in either the peripheral less developed or high unemployment areas in the hope of stimulating economic growth. ...read more.


This area was referred to as the 'sunbelt' mainly due to the climatic characteristics. As this area developed economically, the original core began to loose much of its dominance especially as older industries declined. This is an example of how an area can prosper in the core regions without the expense of the periphery. As it happens, America has not experienced any negative effects from this process. An important note to emphasise throughout the development of core and peripheral areas, is that the periphery grows at a much slower rate than the core due to the decreased demand for skilled workers and there are fewer levels of economic activity. The likelihood is that without a core, overall national economic development would be much lower. In light of the issues discussed in this essay, we have seen that development of the core is not always at the expense of the periphery. Formally a peripheral area, the stretch of land from California to Florida is an example of how the development of new industries together with economic investment can lead to the creation of new growth poles and fundamentally, new core regions. Furthermore, without a core, the overall growth rate within a country would be much lower in comparison to the development of the periphery. We have seen that cores and peripheries can grow or decline overtime and peripheries can become cores so therefore being a periphery is not a terminal condition. 3 Simon Standfast ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level Production - Location & Change section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level Production - Location & Change essays

  1. The Role and Importance of Agriculture In the Carribean. Organisations involved in its ...

    Examples urea, triple super phosphates and murate of potash. Advantages of inorganic fertilizers * The quantity of nutrient is known * Concentrated source of nutrients * Less bulky * Nutrients are in a more available form, to be used by crops Disadvantages of inorganic fertilizers * They have a high crop burn potential due to concentrated salts.

  2. Arthur Lewis's dual-sector model of development.

    At this maximization point, the amount of labor that is hired by the capitalistic sector is OL. In Figure 3, area OBXL represents the total wages paid to the workers while the area BXE1 represents the capitalist sector's surplus, in other words, profits.

  1. Describe what is meant by Industry

    In contrast, many poorer nations still depend for their livelihoods on primary industries such as minerals or agriculture. Historical Developments The first stages of the Industrial Revolution occurred in the middle of the 18th century with the early development of the steam engine and textiles manufacture.

  2. Opportunities in the big emerging markets (BEMs) such as India, Brazil and China.

    ( Chen Chunlai) The transportation framework * Mode of transport used The most commonly used form of transport is truck (89 percent). Rail is next (52 percent), followed by water (25 percent) and then air (22 percent). Pipe (8 percent)

  1. The Multiplier effect explained and with examples.

    According to Lines and Bolwell (1994, p.52), the number of mines has decreased rapidly and famous coal mining areas such as the Rhondda Valleys have lost their industrial base, what created serious problem of unemployment. In this situation only government intervention, which caused the influx of investments, helped to stop the decrease in the economy.

  2. "Can the theories that Alfred D. Chandler developed in his book 'Scale and Scope: ...

    Chandler shows that most industries were lead by companies that acquired first-mover advantages through investing quickly in production, distribution and management - the so-called three pronged investment. Through this investment, firms were able to increase their scale of production and produce at or close to the efficient scale.

  1. What is meant by the term core and periphery?

    However in his third stage the periphery although not as economically important as the original core begins to be invested in and in turn begin to develop thanks to capital made in the core needing to expand and new investments in new area means that the periphery becomes strong.

  2. In what ways are banks in developing countries different from banks in financially developed ...

    The Grameen Bank has pioneered group-lending contracts with joint-liability, reducing problems related to moral hazard and adverse selection (Morduch, p230). Much of the success of the Bank however relates back to its financial structure. It is dependent on subsidies and without them it would incur losses.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work