2. Saudi Arabia

Saudi Arabia’s economy is petroleum-based; 90% of export earnings come from the oil industry. The country gets more from oil than from the private sector. About 24% of the world’s proven total petroleum reserves are in Saudi Arabia. But many experts now believe that Saudi Arabia is greatly exaggerating its reserves and may soon show production declines. The government is attempting to promote growth in the private sector by privatizing industries such as power and telecom. Shortages of water and rapid growth of population may constrain government efforts to increase self-sufficiency in agricultural sector.

To diversify the economy Saudi Arabia launched a new city on the western coast with investment exceeding 26.6 billion dollars. The city will be built near al-Rabegh industrial city north to Jeddah. The new city, where construction work started in December 2005, includes a port which is the largest port of the country. Extending along the coastline of 35 km the city will also include petrochemical, pharmaceutical, tourism, finance and education and research areas. Having been one of the most backward countries of the world even in the 30s years of the 20^th century, nowadays the kingdom rapidly develops not only the oil industry but also hi-tech industries, trade, tourism, especially pilgrimage tourism and some others. In agriculture horse breeding and camel rearing is developed more than growing crops, vegetables and fruit.

Many men and women from oriental countries, east Africa, countries of Middle East seek work in the Kingdom. There are also some people from North America, South America and Europe. Hundreds of thousands of low-skilled workers and skilled workers from regions of the developing world migrate to Saudi Arabia, sometimes only for a short period of time, to work. Although exact figures are not known, skilled experts in banking and service professions seek work in the Kingdom.

3. Argentina

Argentina benefits from rich natural resources, a highly literate population, an export-oriented agricultural sector, and a diversified industrial base. The country historically had a large middle class compared to other Latin American countries, but this segment of the population was decimated by a succession of economic crises at the end of the 20^th century. The country faces a very high level of inflation and unemployment was more that 25%. Since 2002, there has been an improvement in the situation of the poorer sectors and a strong rebound of the middle class. Now the yearly economy growth is about 8-9%.

Among the major export commodities in agriculture are soy, vegetable oil, wheat, maize, oats, sorghum, and sunflower seeds (24%). Cattle are also a major industry. Beef, milk, leather products, and cheese were 6% of total export. Fruit and vegetables made up 3% of exports. They are grown in the Rio Negro valley, northwest plains, Mesopotamia, Gran Chaco. Argentina is the world’s fifth-largest wine producer, and fine wine production has taken major leaps in quality. In fishery, argentine hake accounts for 50% of catches, Pollack and squid follow. Forestry has expanded in Mesopotamia; elm for cellulose, pine and eucalyptus for furniture, timber and paper products.

Industrial petrochemicals, oil and natural gas are Argentina’s second group of exports, 20% of totals. The most important oil fields lie in Patagonia and Cuyo. An impressive network of pipelines send raw product to Bahia Blanca, centre of the petrochemical industry, and to La Plata-Rosario industrial belt. Coal is also mined. Mining is a rising industry. The northwest and San Juan Province are main regions of activity. Metals mined include gold, silver, zinc, magnesium, copper, sulphur, tungsten and uranium. In only ten years export enlarged six times. Argentina manufactures motor vehicles, auto parts, and transportation and farming equipment, iron and steel, foodstuffs and textiles. Other manufactures include cement, industrial chemicals, home appliances, and processed wood. The biggest industrial centres are Buenos Aires, Rosario and Cordoba. The service sector is the biggest contributor to total GDP. Argentina produce energy in large part through well developed hydroelectric resources; nuclear energy is also of high importance. The country is one of the largest producers and exporters (with Canada and Russia) of Cobalt-60, a radioactive isotope widely used in cancer therapy. Telecommunications is extremely strong, with an important penetration of mobile telephony (75% of population) and internet (30%) and broadband services (3%) have been expanding rapidly. Regular telephone (85% of households) and mail are robust.

Tourism is increasingly important, now providing 7% of economic output. Argentines are travelling more within their borders, and foreigners are flocking to a country seen as affordable, safe and incredibly diverse: cosmopolitan Buenos Aires and Rosario, the incomparable Iquaze Falls and colonial Salta; the South American indigenous Jujuy Province and fun-filled Cordoba; the wineries of Mendoza; the ski-suitable scenic Bariloche to the beaches of Pinamar; and Perito Moreno Glacier to legendary Tierra del Fuego. About 4 million tourists visit the country every year.

Answer the following questions.

1. What country has the largest deposits of oil and natural gas? What other countries with rich deposits of oil and gas do you know?

2. What countries have a developed timber industry? Why/?

3. Where in Europe are the centres of metallurgy? What are the conditions for the development of this industry?

4. In what countries is there precise machine engineering?

5. Why is fishery highly developed in Great Britain and Norway but not very much in Sweden and Belgium? What other countries with developed fishing industry can you name?

6. The UK and Japan has no large deposits of natural resources but they are highly-industrialized countries? How have they reached such results?

7. What countries have the most rapidly developing economy in your opinion? Why?

8. Where are the world’s centres of growing of crops, cotton, rubber, coffee, tea, flowers; vine producing, milk and milk product producing, cattle breeding?

9. Life-time employment – is it good or bad in your opinion?

10. What countries have tourism as an important part of the national economy? What are the conditions for flourishing tourism?

11. What branches of industry are developed in Russia?

12. In 1913 agriculture in Russia and the USA was at the same level? Can you compare a current situation in agriculture in these countries?

13. Can you say that agriculture is highly developed in our country?

14. What do farmers rear in different regions of Russia?

15. We can grow practically all kinds of crops, vegetables and fruit, can’t we?

16. Can you consider tourism a flourishing branch of industry?

17. What kinds of handicraft of different countries can you name?

Text IV.