Economy
of Europe
Countries as ranked by per capita GDP
Countries as ranked by per capita GDP
• Major producer and
exporter of steel until 1960s.
• Banking and financial
services now the most
important economic activity.
The European Investment Bank
• Highest per capita GDP in
the world. ($81,800)
An old steel mill in Luxumbourg
Countries as ranked by per capita GDP
• Secure and secret banking.
• Highly skilled workforce.
• Known for precision made
tools, machines, electronics.
• Tourism.
Countries as ranked by per capita GDP
• Timber, hydropower, iron
ore major natural resources.
• Highly skilled workforce.
• Ranked highest in world on
“business creativity.”
• Export-based economy.
The Swedish company Saab makes
jet engines and hot cars.
Polders in the Netherlands
Land reclaimed from the sea
The climate of France is ideal for agriculture.
(Marine west coast climate = plenty of rain.)
French farmers are known for using advanced
techniques. (mixed farming, crop rotation)
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Acid Rain: Results of
unchecked industrial emissions
Air pollution and destruction of forests.
Acid Rain has damaged many
historical statues and buildings.
Areas threatened by air and water
pollution:
Germany (Black Forest)
Venice, Italy
Rhine, Danube, and Seine Rivers
Venice is suffering from severe water pollution
and it is sinking into the Adriatic.
Venice is suffering from severe water pollution
and it is sinking into the Adriatic.
Boats are part of everyday life in Venice, Italy.
Postal boat
Hearse boat
Police boat
Construction boat
Venice is suffering from severe water pollution
and it is sinking into the Adriatic.
Venice, Italy: beautiful but polluted.
The Chunnel
A tunnel under the English Channel
• A tunnel boring machine.
From Dover England to Calais France
The 31.4 mile long tunnel unites Britain with
continental Europe.
The Chunnel
There are two
train tunnels
and a service
tunnel.
The tunnel is in the layer of rock
under the sea.
High speed trains move people and
goods from Britain to France
High speed trains move people and
goods from Britain to France
Mountain Regions:
Tourism, recreation(skiing), and
mineral resources.
Rivers and canals serve as major
transportation links.
Oil reserves in the North Sea.
Economic Characteristics of
European Nations
•
•
•
•
•
Well-educated workforce
Industrial and technological societies
High-tech agriculture
Well-developed infrastructure
Fertile soils
Demographics of Developed Countries:
1. High Per Capita GDP
2. High Life Expectancy
3. Low Population Growth Rate
4. Low Infant Mortality
5. Low % of population under the age of 15
6. High Literacy Rate
Large role of governments in the
economy: Socialism
Sweden and Denmark
Differences in Western vs. Eastern European
economic development
Differences in Western vs. Eastern European
economic development
• Due to the failure of
communist economic systems
• Communism is now being
replaced with capitalism in
eastern Europe
• Eastern European economies
still lag behind.
Eastern European countries are making a
transition from a communist system to a
capitalist economy. Example: Poland
Black, fertile soil that produces high crop yields.
The European Union
An attempt to rebuild Europe economically through cooperation
rather than competition.
* Lower trade barriers, free borders, etc.
* A political/economic force
* A “United States of Europe.”
The European Union
The European Union
The Strasbourg Parliament
meets in Germany.
The European Union
The European Court of Justice in
Luxembourg is the highest authority
on E.U. laws.
The European Union
The Euro is the
common currency of
all E.U. nations.
The European Union
•
Currently the European Union is under stress.
•
The economies of Greece and Spain have been
damaged by excessive government spending.
•
Other countries – such as Germany – will need to
“bail them out.”