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Resource value and it's effect on connectivity capacity - Coggle…
Resource value and it's effect on connectivity capacity
Type and value of resources
High value, low bulk goods
uranium, gold, rare metals.
cheaper to transport -> high end profit
More investment from FDI
Economic diversification
The country es able to shift from primary > secondary > tertiary production
low value bulky goods
grains, livestock, basic agriculture
expensive to move -> less competitive
Creates vulnerability
Niger, landlocked and low resource value
Uranium exists, but prices fluctuate and deposits are inaccessible.
Low-value exports (livestock, basic agriculture) dominate.
Many resources are low value per kilogram → expensive to export.
why connectivity stays weak
Limited revenue → cannot build/maintain roads or rail to ports.
Highly dependent on neighbours (Benin, Nigeria) for port access.
Narrow export base → little bargaining power in global trade.
Political instability increases trade risk.
Niger’s resource base does not generate enough value to overcome the cost of being landlocked, keeping the country isolated and economically constrained.
Human capital and financial resources
Ability to finance infrastructure
High value exports
more revenue -> more railroads, transport links, etc.
Low value exports
small tax base -> weak infrastructure -> isolation increases
Attractiveness to FDI
Little investment, fewer trade routes
Trade Integration
If a country has something the world really wants, it becomes connected despite geography, or landlockedness
Switzerland landlocked integration
Human capital
:
engineering, finance, pharmaceuticals.
High-value exports
:
watches, medical tech, chemicals → small, lightweight, high price.
Capital
:
wealthy banking sector.
Advanced infrastructure
:
tunnels through the Alps, rail networks.
Strong institutions & regional agreements with EU.
Switzerland is not only land locked but it is resource poor, however, Switzerland is wealthy and extremely connected because it exports high-value goods and services that overcome geographic barriers.