Measuring Economic Growth Economists use different data to study the health of the economy. They look at stock market trading, the cost of living, unemployment rates, and the gross domestic prod- uct (GDP). The GDP measures the total value of goods and services produced within the United States over the course of a year. The gross national product (GNP) takes into account both the GDP and foreign investments. If the GNP decreases for two consecutive quarters during a year, the economy is considered to be in recession. Source: U.S. Department of Labor, Bureau of Labor Statistics. The Consumer Price Index (CPI) measures changes in the cost of living. To calculate the CPI, the U.S. Bureau of Labor Statistics tracks changes in prices in common goods and services—food, clothing, rent, fuel, and oth- ers—each year. The graph shows the CPI in all U.S. cities between 1990 and 2001. To make comparisons between years, the graph uses the years 1982–1984 as a base period (1982–1984 = 100). For instance, if the average urban consumer spent $100 on living expenses in 1982–1984, he or she spent more than $150 on the same expenses in 1995. EXERCISE 9 Using the graph and passage about the consumer price index, answer the following questions. The answers are on page 169. 1. How much would an urban consumer expect to pay in 2001 for an item that costs $50 in 1982–1984? a. $88 b. $100 c. $176 d. $43 e. $131 2. What conclusion can you make based on the graph? a. The CPI tracks price changes for common household expenses. b. The cost of living has decreased in recent years. c. The rate of increase in the cost of living slowed between 1999 and 2000. d. If the cost of living continues to rise, people will move out of the cities. e. The cost of living for city residents steadily increased between 1990 and 2001. Consumer Price Index—All Urban Consumers 1990–2004 180 170 160 150 140 130 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 Index: 1982–1984 = 100 2002 2003 2004 190 – ECONOMICS– 150 T HE GEOGRAPHY SECTION of the GED will cover many areas,including topography (landforms),climate, culture, and population distribution. This section will also test your ability to use and understand maps. Many questions will use a photograph, map, chart, table, or other source to present material. Physical Geography Physical geography studies the features of the Earth’s surface. This branch of geography looks at climate, plant and animal life, bodies of water, and landforms. Maps are the most important tool of geography. Topographical maps give details about land. They show different elevations above and below sea level. Globes and world maps show oceans, seas, and the seven continents of the planet. CHAPTER Geography IN THE geography section of the GED, you will be asked to answer questions relating to both physical geography (the features of the Earth’s surface) and cultural geography (the way humans relate to their physical environment). 17 151 Reading and Understanding Maps Intersecting lines that form a grid help locate specific areas on a world map. Lines of latitude run parallel to the equator, an imaginary line that runs east and west. The equator is at 0° latitude. It divides the globe into two halves, called the northern and southern hemispheres. Lines of longitude run parallel to the prime meridian, an imaginary that runs north and south through Green- wich, England. The prime meridian is at 0° longitude. It divides the globe into two halves, called the eastern and western hemispheres. To find a specific location on the globe, look for the point where its latitude and longitude intersect. For example, you can find the western portion of Brazil if you are given its coordinates as 45° west lon- gitude and 10° south latitude. Climate Climate describes the atmosphere of a region over a long period of time. It includes rainfall, humidity, wind, and other elements. A region’s climate is most affected by its latitude. Broad areas, called climatic zones, lie along lati- tudinal lines between the equator and the north and south pole. The tropical zone includes all land and water that falls between two imaginary lines called the Tropic of Cancer (23.5 north latitude) and the Tropic of Capricorn (23.5 south latitude). The tropics—hot, wet, with little seasonal change—contain the world’s largest rainforests. It also contains savanna and desert climates. Much of Africa, Central America, the Caribbean, South America, Southeast Asia, and India are part of the tropical zone. The temperate zones lie between the tropics and the polar circles. They are characterized by four seasons, usu- ally a hot summer, cold winter, and intermediate spring and fall. Much of North America, Europe, Russia, China, and the Middle East are found in the northern temperate zone. Australia and the southern part of South America fall within the southern temperate zone. The polar or arctic zones are the areas near the north and south pole. This zone is characterized by long, cold win- ters and short, cool summers. The Arctic Circle marks the region near the north pole and the Antarctic Circle marks the area surrounding the south pole. Cultural Geography Cultural geography explores the relationship between humans and their natural environment. It looks at how people both adapt to and transform their physical sur- roundings to suit their needs. Many aspects of culture— a shared way of living among a group of people that develops over time—are influenced by environment. Geographers study the belief systems, language, food, architecture, and clothing of particular regions. They also study population—the size, makeup, and distribution of people in a given area over a period of time. This field, called demography, looks at changes in population through birth rate, death rate, and migration from one place to another. One major factor affecting where people live is a region’s type of economy. In areas that depend on agriculture for their economy, people generally live in rural areas. In places with an industrial economy, urban areas become major population centers. In 1950, 29% of the world’s population lived in urban areas. In 1990, this figure increased to 43%. Today, more than half the world’s population—an estimated 6.2 billion—lives in Asia, with China and India as major contributors. The United States, the third most populous country in the world, makes up less than 5% of the global total. – GEOGRAPHY– 152 Source: Data from U.S. Census Bureau, International Data Base. The U.S. Census Bureau predicts that the world pop- ulation will reach over nine billion people by 2050, with most of the population increase occurring in less devel- oped countries. EXERCISE 10 Use the pie graph and paragraph about world popula- tion distribution to answer the following question. The answer is on page 169. 1. Which of the following is a statement of fact rather than opinion? a. The Chinese government should continue its “one child-one family” policy to curtail its population growth. b. The world population will exceed nine billion people by 2050. c. Three out of five persons on Earth today live in Asia. d. The U.S. population will decline in the next century because it is too expensive to live here. e. Population growth should be a top concern for all nations. Remaining Asia 23% Africa 14% Latin America and Caribbean 8% Europe 12% China 20.5% India 17% North America 5% Oceania 0.5% Distribution of World Population 2002 – GEOGRAPHY– 153 . Index—All Urban Consumers 1990–2004 180 170 160 150 140 130 1990 1991 1992 19 93 1994 1995 1996 1997 1998 1999 2000 2001 Index: 1982–1984 = 100 2002 20 03 2004 190 – ECONOMICS– 150 T HE GEOGRAPHY SECTION of. consumer expect to pay in 2001 for an item that costs $50 in 1982–1984? a. $88 b. $100 c. $176 d. $ 43 e. $ 131 2. What conclusion can you make based on the graph? a. The CPI tracks price changes for common household. water that falls between two imaginary lines called the Tropic of Cancer ( 23. 5 north latitude) and the Tropic of Capricorn ( 23. 5 south latitude). The tropics—hot, wet, with little seasonal change—contain