CHAPTER THE REGION TODAY

Why It Matters continues to adjust to Russia difficult political and economic challenges, including the transi- tion from the Soviet-controlled command economy to a market economy. This transition requires Russia to find a way to balance its need for economic growth with preservation of the environment.

Section 1: The Economy Patterns of economic interdepen- dence vary among the world’s countries. Russia’s transition from a Soviet-controlled economy to a market economy continues as the country builds relationships within the global community. Section 2: People and Their Environment Human actions modify the physi- cal environment. Russia must repair serious damages from the Soviet era while protecting and making the best use of natural resources for economic growth.

Geography ONLINE Chapter Overview Visit the World Geography and Cultures Web site at glencoe.com and click on Chapter Overviews—Chapter 16 to preview infor- mation about the region today. Overlooking the Moskva River, the Moscow Kremlin is the official residence of the president of the Russian Federation. On the right is St. Basil’s Cathedral.

388 Unit 5

José Fuste Raga/zefa/CORBIS RUSSIA 389 Make a Chapter 16 As you read the chapter, write Identifying Information Identifying you identify Four-Door Book to help Chernobyl information about the in the disaster, which took place in 1986. Reading and Writing Imagine your- down details about the Chernobyl disaster. gathering self as a news reporter on the scene in 1986, the causes of details to present a complete report about disaster. the SECTION 1 The Economy Guide to Reading Russians hoped that independence would bring quick and painless economic change. Though the shift Section Preview Russia is making the transition to toward a freer economy has brought hard times and a market economy and attempting many challenges, many Russians are hopeful about the to expand international trade and build political and financial relation- future. A successful Russian company president, ships within the global community. Anatoly Karachinsky, reflects that outlook:

Content Vocabulary • command • market Voices Around the World economy economy (p. 391) (p. 391) “‘There is the old economy of the U.S.S.R., and it has a much tougher road. • consumer • privatization Many enterprises will first have to die to be reborn. Then there’s the resource good (p. 391) (p. 391) economy — oil, gas, aluminum — a large part of the gross domestic product. It’s • black market • kolkhoz (p. 392) making a good profit and moving ahead. Then there’s the new economy, the econ- (p. 391) • sovkhoz (p. 392) omy that didn’t exist ten years ago, and we’re part of that. Academic Vocabulary “‘If you just focus on the old economy, the country looks in terrible shape. . . . But • illegal (p. 391) something entirely new is being born here. Russia is just at the beginning of an • successor (p. 391) economic climb. Overall, I’m pretty optimistic.’” • stability (p. 392) Places to Locate — Fen Montaigne, “Russia Rising,” National Geographic, November 2001 • (p. 393) • Chechnya (p. 393) • Dagestan (p. 393) Reading Strategy Organizing Complete a graphic organizer similar to the one below by listing changes in Russia’s economic system and the effect of each.

Economic System Changes Effect Command Economy Market Economy

A businesswoman in St. Petersburg

390 Unit 5

(b)Richard Nowitz/National Geographic Image Collection RUSSIA 391 Chapter 16 wealth. What economic transi- The Russian economy

— a change to private a change to private —

Regions

Russia’s economy continued to economy continued to Russia’s privatization 71 percent of its value. The international The international 71 percent of its value. eltsin resigned as in 1999. in 1999. eltsin resigned as president of Russia Y unstable foreign debt, A weak banking system, lost tion has Russia been making since the 1980s? the country. Most average Russians neither Russians neither Most average the country. earned nor were spending the new The Transition Continues Privatization fall of the Soviet Union. change after the removed Yeltsin Russian president Boris encouraged 90 percent of price controls and the mass ownership — of state-owned companies. afford to change favored people who could This Rather than reinvest purchase large companies. their profits outside many invested in Russia, inflation, an increase in the number of small busi- inflation, and a growing middle class in Moscow nesses, has however, wealth, This new and other cities. not yet reached many of the provinces. experienced ups and downs throughout the 1990s. the 1990s. experienced ups and downs throughout were available, Although more consumer goods people could not afford and many prices soared, Russia’s 1990 and 1995, Between to buy the goods. — Following a 1998 GDP fell by 50 percent. currency Russia’s — the ruble financial crisis, community made large loans to Russia. inherited an unsta- Vladimir Putin, His successor, ble economy that lacked a strong banking system. The Russian military was also in need of improve- to avoid over- Putin needed However, ments. spending on the armed forces at the expense of overall economic growth. sta- and corruption threaten economic currency, includ- progress has been made, However, bility. ing reforms to balance the budget and cut

in in

goods

or goods or goods

people. illegal in which the black market, black

market economy, market process. When the U.S. economy When the trade.

Economies consumer goods, YOU Economy

command economy Russia has faced many challenges in faced many challenges Russia has expanded this

a e d IIdea

N I economy. A When Mikhail Gorbachev came to power in Under Communist leaders, the Soviet Union Under Communist leaders, Since the fall of communism in 1991, Russia communism in 1991, Since the fall of Unemployment was nearly nonexistent, but but Unemployment was nearly nonexistent, By the 1970s and 1980s, many developed coun- By the 1970s and 1980s, MAIN MMAIN The Market The Soviet Command Economy The Soviet political changes have affected Russia’s political changes have its transition from a command economy to a mar- economy to from a command its transition ket AND GEOGRAPHY in urban and rural areas affectedfluctuates, are people to learn how economic andin similar ways? Read Changing Changing 1985, the Soviet economy was in trouble. So he So the Soviet economy was in trouble. 1985, began to move toward a operated as a has faced economic challenges, such as provid- challenges, has faced economic ing jobs and expanding people to start small businesses, and encouraged people to start small businesses, Gorbachev’s Yeltsin, Boris foreign investment. successor, which businesses are privately owned. Gorbachev which businesses are privately owned. allowed reduced some government controls, wages were low in the Soviet Union. Some people wages were low in the Soviet Union. could not afford mines, and transportation systems. The govern- The systems. and transportation mines, to produce, ment decided what and how much and who would benefit from how to produce it, the pricing of most It also controlled the profits. be sold. goods and decided where they would government made key economic decisions. The decisions. government made key economic farms, factories, government owned banks, focused on increased industrial production and As a did not invest in high-technology industries. of and the standard its economy stagnated, result, living declined. an illegal trade in which scarce or an illegal trade in which scarce or however, Most workers, are sold at high prices. prices. could not afford to pay these high tries had turned away from heavy industry to however, The Soviet system, focus on technology. needed for everyday life. Even when people had needed for everyday life. hard to find. such goods were enough money, Some items could be bought on the These sectors suffered because the system did Economic Activities not motivate workers. In 1991 President Yeltsin began restructuring MMAINAIN IIdeadea Russia’s transition to a market econ- state-run farms so they could function better in a omy has transformed agriculture and industry. market economy. However, Russian farmers — accustomed to the stability of Soviet con- GEOGRAPHY AND YOU Where are major manufac- trols — continued to operate many of Russia’s turing industries located in the ? Read to learn about Russia’s major industries. farms as kolkhozes or sovkhozes. Most farmers could not afford to buy land, and they worried that wealthy Russians or foreign investors might Russia’s transition to a market economy has use the land for nonagricultural development. included restructuring agriculture, privatizing Because of these concerns, progress toward a industry, opening markets to foreign investors, market economy for agriculture has been slow, and managing natural resources more efficiently. and crop and livestock production has fallen. In 2002, however, a new land code made it easier Agriculture for Russians to buy and sell farmland, which will help speed up the restructuring process. Recently, Soviet-era farms were organized into state- gains in farm productivity have helped reduce the controlled kolkhozes (kahl•KAW•zehz) and need for agricultural imports. sovkhozes (sahf•KAW•zehz). Kolkhozes were farms worked by farmers who shared, to a degree, in the farm’s production and profits. Sovkhozes Industry were farms run more like factories, with the Russian industry has been transformed since farmworkers receiving wages. However, the gov- the early 1990s. The graph at the left shows that ernment controlled the prices and production in although GDP in the industrial sector fell after both the agricultural and industrial sectors. the collapse of the Soviet Union, it has slowly increased since the late 1990s. For many years, Russia’s state-owned aerospace industry and its Russia’s GDP by Economic Activity military-industrial system were its economic and technical focus. Many of these components have become privately owned and provide export income. Russia has also encouraged foreign investment by selling shares of ownership in some Russian companies and by opening Russia’s markets to Western companies. In general, Russia’s economy is expanding, particularly in the areas of industry and services. Russia’s most important industry is extraction and processing, and the country is one of the world’s largest producers of crude oil. Russia’s domestic oil provides its other indus- tries with vital energy at a reasonable cost. While energy resources dominate Russian exports, minerals also provide important export income. The country is also a major producer of iron ore, manganese, and nickel. Huge forests in Russia produce one-fifth of the world’s soft- 1. Regions Describe the trends in Russia’s GDP from 1990 to 2002. wood, and Russian supertrawlers, or fish- factory 2. Regions Which segment of the economy contributes the least to ships, process catches from both the Atlantic the country’s GDP? and Pacific Oceans. Regions What is Russia’s most Use StudentWorks™ Plus or glencoe.com. important industry?

392 Unit 5 RUSSIA 393 Chapter 16 improvements. phones. At 16.5 percent, At 16.5 percent, phones. The Trans-Siberian Railroad is theThe Trans-Siberian Railroad route fromgreater part of the rail Human-Environment Interaction

Communications How does Russia’s climate influence transpor- How does Russia’s climate close. The Soviet Union used jet airplanes for passen- The Soviet Union used jet airplanes During the Soviet era, the state owned and the state owned and During the Soviet era, The telecommunications industry is experienc- Why does Russia depend on railroads and water- ways for most of its transportation needs? ger traffic, and the government financially sup- ger traffic, Aeroflot The passenger airline ported air travel. After Union. was once the only one in the Soviet Aeroflot split into the fall of the Soviet Union, The high cost of fuel numerous smaller airlines. to high ticketand reduced passenger traffic due airportsprices have forced many smaller Russian to Mass public transportation remains a practical option public transportation remains a practical how- The systems and equipment, for Russians. and need repair ever, population use cell Internet use in Russia is above the worldwide average of 12 percent. controlled all mass communications systems. systems. controlled all mass communications State agencies reviewed all print and broadcast materials to make sure they contained no criti- Since the fall of the cism of the government. Russians have heard and read new Soviet Union, however, Under Putin, voices and fresh views. the Kremlin exerted greater control over national television networks. Cellular phone service has doubled ing a boom. and nearly 25 percent of the in recent years, Moscow to the Pacific port city of . Moscow to the Pacific Regions tation in the country?

and

cities. impassable. Chechnya communications. make roads How might Russia’s physi- How might Russia’s

People Goods often often YOU

Russia is developing and improving improving developing and Russia is

obstacles. (dah•guh•STAHN), republics in republics in (dah•guh•STAHN), Siberia

a e concern. d IIdea

N Wolfgang Kaehler/CORBIS I ransportation and A Most Russians live in cities, and many do not Most Russians live in cities, In an age of speedy transportation and the transportation and the In an age of speedy transportation systems must move Russia’s Pipelines are effective in transporting petro- Pipelines are effective in transporting Because of its great size and climate extremes, extremes, Because of its great size and climate MAIN MMAIN Transporting Transporting cal geography and climate present obstacles to the cal geography and and communications sys- country’s transportation how Russia is trying to over- tems? Read to learn come these Communications to systems and communications transportation to a market economy. help with the transition GEOGRAPHY AND T own cars. Therefore, public transportation — such — public transportation Therefore, own cars. is common. — and subways buses, as trains, but Private car ownership doubled in the 1990s, resources great distances to reach consumers. consumers. resources great distances to reach Moscow with A major highway system links many roads are in poor but other major cities, Melting snow and the spring thaw in repair. places like Internet, Russia struggles to find funds for new find funds for new Russia struggles to Internet, highways and high-tech climate. Pipelines crisscross Russia, providing providing Pipelines crisscross Russia, climate. Russian cities and parts of western Europe with Minor pipelines run through fuel. large rivers. Millions of tons of goods travel along Millions of large rivers. inland water- thousands of miles of navigable connect seaports and inland which ways, although constructing and main- leum products, taining them can be difficult in areas of harsh Russia depends on railroads and waterways forRussia depends on railroads and boasts Russia most of its transportation needs. longest continuous railroad line, the world’s Major cities are Railroad. Trans-Siberian the Railroad crosses Trans-Siberian found where the control of the area’s oil reserves and pipelines is oil reserves and pipelines control of the area’s a major Dagestan People in these republics southwestern Russia. so are fighting for more self-rule from Russia, its industries, Russia became a member of the Asia- Trade and Pacific Economic Cooperation (APEC) in 1998. In Interdependence 2006, Russia and the United States signed a bilat- eral agreement for Russia’s entry into the World Trade Organization (WTO). MMAINAIN IIdeadea Russia is expanding international trade and is working to build political and financial relationships within the global community. International Relations Russia works to maintain its role in world GEOGRAPHY AND YOU What role do energy affairs. It benefits from occupying the former resources have in U.S. involvement in the global economy? Read to learn about the importance of Soviet Union’s seat in the United Nations Security energy in Russia’s international trade relationships. Council. It has also joined European organiza- tions that support security and cooperation. Russia Russia has focused on becoming a full partner has helped settle conflicts and has supported peace in the global community by expanding trade efforts in several countries. Even as Russia asserts and building international relationships. itself internationally, however, economic problems have drained money from its military. Trade Adequate financial resources are vital to Russia’s stability and progress in the global community. Russia is a major source of energy and fuels, Other countries and world organizations have which account for over 53 percent of its exports. provided loans, and foreign investors have made The , other former Soviet repub- funds available to Russian industry. With such lics, , and are among Russia’s major help, Russia is trying to create secure and work- trading partners. able systems for banking, farming, manufactur- Energy exports are expected to remain Russia’s ing, transportation, and communications. main item of international trade until its manu- factured goods improve in quality and become Place What natural resource more competitively priced. Working to strengthen accounts for the majority of Russia’s total exports?

SECTION 1 REVIEW Vocabulary Critical Thinking 1. Explain the significance of: command economy, consumer good, 6. What is Russia’s economic relationship to the black market, market economy, privatization, kolkhoz, sovkhoz. global community? 7. Identifying Cause and Effect How did the transition from a Main Ideas command economy to a market economy affect the Russian 2. What challenges has Russia faced in its transition to a market people? economy? 8. Analyzing Visuals Study the physical map on page 348 and 3. How is Russia working to improve its transportation and com- the economic activity map on page 352 of the Regional Atlas, munications systems? and the vegetation map on page 363. In what area is the raising 4. What steps has Russia taken to expand international trade and of livestock concentrated? How is this related to the physical build relationships in the global community? geography of the region? 5. Using a chart like the one below, fill in details about agricul- ture and industry in the Soviet command economy and in the Writing About Geography Russian market economy. Then explain how these two sectors 9. Expository Writing Write a paragraph explaining how of the economy have been transformed. Russia’s vast size affects the availability of natural resources and the country’s ability to develop them. Soviet Command Russian Market Economy Economy Agriculture Geography ONLINE Industry Study Central™ To review this section, go to glencoe.com and click on Study Central.

394 Unit 5 RUSSIA 395 Chapter 16 for natural resources such as oil and for natural resources

oices Around the World oices Around V

June 2002 — Fen Montaigne,

Northern Forest,” “Boreal: The Great er the undulating National Geographic, gray swaths of scorched of scorched swaths gray A Russian timber worker companies to forge ever deeper into the taiga. From the city of Komsomolsk on the city of Komsomolsk deeper into the taiga. From to forge ever companies fiveAmur I drove one of to reach hours Along the closest logging areas. I passed numerous the way — areas of burned forest tree trunks sprawling ov landscape.” People and Their and People Environment Global demand — Russia a difficult challenge for timber has created balance its natural resources and how to manage with environmental conservation. economic growth With Russia’s econ- . in mid-September. . . region “I visited the Khabarovsk when — industry products and its wood after on the rebound omy the 1990s abundant evidence of was there — timber harvesting dropped by 60 percent cars stacked high with lumber rumbled down the Baikal-Amur logging. Train and a near a growing economy much of it bound for China, where Railway, created high demand for Siberian wood. on logging have moratorium timber already been logged, forcing have forests easily accessible Khabarovsk’s 397) (p. • pesticide 2 396) 397) 397) 396) 397) 396) environment. 396) (p. (p. 397) (p. (p. 397) (p. (p. As you read about (p. Vocabulary Locate (p. (p. 396) (p. Vocabulary 398) (p. location. Dean Conger/CORBIS 396) Location Description Concerns SECTION (p. radioactive material Chernobyl Lake Baikal Kamchatka Organizing Russia’s environment, complete a graphic organizer similar to the one below by describing the environ- mental issues and concerns for each • Bering Sea • Bering • Chernobyl Baikal • Lake • Noril’sk • Kamchatka Reading Strategy • contribute • resident • cite Places to Sea • Barents Sea • Baltic • nuclear waste waste • nuclear • Academic serious damages from the Soviet serious damages best use of vast era and making the for economic natural resources further growth without causing damage to the Content Guide to Reading Guide Section Preview environmen- Russia faces daunting repairing tal challenges, including Human Impact Nuclear wastes are the by-products of produc- ing nuclear power and weapons. Some nuclear wastes can remain radioactive for thousands of MMAINAIN IIdeadea The environmental damage caused by years, posing dangers to people and the environ- Soviet-era industrialization continues to pose risks ment. The Soviets placed most nuclear wastes in to natural resources and human health. storage facilities, but some radioactive materials GEOGRAPHY AND YOU How would you describe —material contaminated by residue from the the quality of the water and air in your community? generation of nuclear energy and weapons— Read to learn why pollution is such a major prob- were dumped directly into the Barents Sea, the lem for Russia’s water, soil, and air. Baltic Sea, and the Bering Sea. Chernobyl Past and Present In 1986 a fire in a The Soviets’ disregard for the environmental in the town of Chernobyl (chuhr• effects of industrialization damaged Russia’s NOH•buhl), 60 miles (97 km) north of Kiev, water, air, and soil. , released tons of radioactive particles into Nuclear Wastes Between 1949 and 1987, the the local environment — 400 times more radioac- Soviet Union set off more than 600 nuclear tivity than was released at Hiroshima. Radiation explosions. Soviets developed and then stock- covered tens of thousands of square miles of farm- piled nuclear weapons throughout the Cold War. land and forests in the Soviet republics of , Today, the condition and fate of those weapons Ukraine, and Russia. Because of prevailing winds, concern Russia and the rest of the world. other countries suffered as well. Millions of people were exposed to deadly lev- els of radiation because Soviet officials were The Impact of Chernobyl, 1986 slow to alert the public to the crisis and did not evacuate people soon enough. Thousands of people died as a direct result of radiation poi- soning. Millions more continue to suffer from cancer, stomach diseases, cataracts, and immune system disorders. Approximately 350,000 peo- ple were displaced from their homes. Today there is a tightly controlled exclusion zone sur- rounding the Chernobyl Nuclear Power Plant. After the accident, international pressure prompted Soviet leaders to improve nuclear safety standards and to shut down dangerous plants. Despite concerns, 29 nuclear reactors continue to provide some of the country’s electricity. Experts think that many remaining Soviet-era reactors are poorly designed and unsafe. Russia plans to expand its nuclear power industry by building more reactors and new power plants. In late 2000, the remaining reactor at Chernobyl was shut down. In 2006, twenty years after the explosion at Chernobyl, hazard- ous work began to build a new structure to replace the fragile sarcophagus that entombs the deadly reactor. The new structure will not be a permanent solution. However, it could help pre- 1. Location Which European countries had areas with high or severe levels of radioactivity? vent another Chernobyl disaster if the old struc- ture were to collapse and release radioactive 2. Regions Which subregion of Europe—eastern or western—was dust, or if water leaking into the old structure most affected by radioactivity? were to set off a nuclear chain reaction.

396 Unit 5 RUSSIA 397 Chapter 16 (kuhm• today.

Russia? harm. How do economic Kamchatka What environmental issuesWhat environmental Resources because it was close to a

YOU

Threats to salmon in Kamchatka also impact the area’s brown Human-Environment Interaction

residents Russia is trying to repair past damage trying to repair past Russia is a e d IIdea

N I A The World Bank’s Sustainable Forestry Pilot Sustainable Bank’s World The a mining People have come together to oppose MAIN MMAIN Why is forest management important to Why is forest management important Managing Managing natural as manage as well to the environment further without causing resources AND GEOGRAPHY community? Read to learn aboutare important in your challenges Russia faces the environmental possible threat to the area’s salmon spawning possible threat to the area’s industry to grounds prompted the local fishing The mine also caused concern support the effort. among local Project is helping Russia manage its forests. Using Russia manage its forests. Project is helping new planting protecting forests, land more wisely, investment all help and increasing private trees, Increased environment and economy. Russia’s in the forest industryemployment opportunities will be possibleand more stable local economies are taken. only if steps to conserve the forests operation in remote Environmental CHAHT•kuh) in eastern Russia. mining com- groups have demanded that the The standards. pany meet strict environmental protected wildlife area. Even with growing envi- protected wildlife area. pressure con- economic ronmental awareness, . tinues to open other regions to development bears, whose diet depends on the availability of salmon. Human-Environment Interaction development and environmental protection cause conflict in Russia? Sea. Russia? contrib- Noril’sk water. — chemicals

and click on Student World Geography and

pesticides For decades, toxic waste toxic waste For decades, Visit the

Human-Environment Interaction glencoe.com ONLINE Industrialization has polluted polluted has Industrialization

(by•KAWL) is the world’s oldest is the world’s (by•KAWL) Web site at

Quality Quality Klaus Nigge/National Geographic Image Collection/Getty Images to poor water quality. The waters of the waters of the The water quality. to poor

Russian experts believe that during the 1990s Russian experts believe that during and burning vehicle emissions, Industries, However, in response to ongoing protests, the to ongoing protests, in response However, Lake Baikal Lake Geography Student Web Activity Cultures Web Activities—Chapter 16 for an activity about Lake Baikal. What factors contribute to poor air quality in Soil and Air Quality Water Water are all sources of air pollution. In addition to are all sources of air pollution. dioxide into and carbon sulfur, releasing soot, Acid rain burning coal leads to acid rain. the air, and chemical pollution have reduced Russian forests dramatically. only 15 percent of Russia’s urban population urban population only 15 percent of Russia’s Air pollution as lived with acceptable air quality. of far north as the remote Siberian town has been a factor since the time of Stalin. soil. Aging storage containers cracked, and toxic Aging storage containers cracked, soil. pipelines Petroleum wastes leaked into the soil. petroleum to ruin the land. allowing often broke, Overuse of fertilizers and and rodents, used to kill crop-damaging insects, polluted farmland and — other pests dumps and airborne pollution poisoned Russia’s Russia’s dumps and airborne pollution poisoned ute risks. pose health Rivers Volga and Moskva trap contaminated River Volga the Dams along the Caspian also threatens Pollution water. most of Russia’s lakes and rivers. Fertilizer run- Fertilizer and rivers. lakes of Russia’s most all radioactive material and sewage, off, are working to reduce pollution. Pollution levels are working to reduce pollution. low compared in the lake are now relatively with many lakes in Europe. shores. Although this plan was opposed by people this plan was opposed by Although shores. and the ignored, their protests were in the area, This factory and others that factory was built. into the lake. followed dumped industrial waste Others closed. most serious polluters have been and deepest lake. It contains one-fifth of the of the It contains one-fifth and deepest lake. and 1,500 native species of freshwater world’s Pearl“the Calling it animals. aquatic plants and lake a natural Russians consider the of Siberia,” announced a In 1957 the Soviet Union wonder. factory along it’s paper-pulp plan to build a for fish and fish products. Russian officials must Challenges for balance the risk of destroying fish stocks with the Future the need for a profitable fishing industry. Pipelines built to transport oil and gas pass through wilderness areas and threaten the sur- MMAINAIN IIdeadea Russia faces many challenges as the rounding environment and wildlife. In 2006 Russia country’s growing economy and demand for natu- began constructing a highly controversial pipeline ral resources impacts the environment. to carry oil from eastern Siberia to the Pacific GEOGRAPHY AND YOU What impact does the Ocean. It will bring Russia billions of dollars from world’s demand for oil have on the environment? countries in the Asia-Pacific region. The pipeline Read to learn about some of the environmental will pass through a protected wilderness area near challenges in Russia’s future. Lake Baikal. President Putin ordered that the pro- posed route be diverted farther away from the Fish populations are shrinking worldwide, and lake, but environmentalists still fear the irrevers- Russia’s supertrawlers are largely to blame. ible damages that could be caused by an oil spill. Towing huge trawl nets — some large enough to The widespread trend toward global warming scoop up a whale — supertrawlers are floating fish is happening at a dramatic pace in western factories. These ships can catch and process more Siberia. An unprecedented thawing of the world’s than 400 tons (360 t) of fish a day. Because super- largest peat bog could release into the atmo- trawlers want only certain kinds of fish, every- sphere billions of metric tons of methane, a thing else hauled up in the nets gets discarded. powerful greenhouse gas. Where permafrost Millions of fish and other marine animals die once covered the sub-Arctic region of western unnecessarily every year. Since smaller boats can- Siberia, shallow lakes now stand. not compete with supertrawlers, the big ships Human-Environment Interaction threaten traditional fishing cultures. Supporters Why is a new pipeline linking eastern Siberia to the of supertrawlers cite the growing global demand Asia-Pacific region controversial?

SECTION 2 REVIEW Vocabulary Critical Thinking 1. Explain the significance of: nuclear waste, radioactive material, 5. How did the Soviet government’s development of pesticide. heavy industry affect the quality of Russia’s environment? 6. Making Generalizations What generalizations can you make Main Ideas about the relationship between economic development and 2. How is Russia trying to reverse past damage to its natural the environment in Russia? resources as well as manage them responsibly today? 7. Analyzing Visuals Study the economic activity map on 3. Describe the challenges Russia faces as its growing economy page 352. Think about the regions of Russia in which pollution and the demand for natural resources impact the environment. is a problem. Describe the relationship between the location 4. Create a graphic organizer like the one below to explain how of manufacturing centers and pollution. the environmental damage caused by Soviet-era industrializa- tion continues to pose risks to natural resources and human Writing About Geography health. 8. Expository Writing Think about the challenges Russia faces concerning water quality. Write a paragraph explaining why Pollution Russians do not use more water from Lake Baikal to supply Water Soil & Air Nuclear Waste their freshwater needs. • • •

• • • Geography ONLINE • • • Study Central™ To review this section, go to glencoe.com and click on Study Central.

398 Unit 5 Study anywhere, anytime by downloading quizzes and flashcards to your CHAPTER 16 VISUAL SUMMARY PDA from glencoe.com.

T R T

Wednesday Section C An Economic Facelift

COMMAND ECONOMY MARKET ECONOMY • Under Communist leadership, the Soviet Union operated as • Russia shifted to a market economy in a command economy. the 1990s. • The government emphasized heavy industry, making it an • The government encouraged small busi- industrial giant and a world power. nesses and foreign investment. • The country struggled with low wages, poverty, and scarcity. • Mass privatization resulted in a growing • While other countries invested in technology, the Soviet Union middle class. continued to push heavy industry. • Today energy resources, particularly petroleum, dominate Russian exports. RUSSIA

Preserving Russia’s Natural Resources • Russia is a land of abundant natural resources, such as oil and timber. • The World Bank’s Sustainable Forestry Pilot Project is helping Russia protect against deforestation. • The pollution of Russia’s water supply has been reduced thanks to new industrial and pollution regulations. • Nuclear wastes, left over from the Soviet era, are still a problem in some parts of Russia.

Chapter 16 399

(cr)Zinin Vladimir/ITAR-TASS/Landov, (bl)Vasily Melnichenko/ ITAR-TASS/Landov CHAPTER 16 STANDARDIZED TEST PRACTICE

TEST-TAKING TIP

After you eliminate the choice that has nothing to do with Russia or the topic of the question, see if you can eliminate one other choice and thus narrow the possibilities down to two.

Reviewing V ocabulary Reviewing Main Ideas Directions: Choose the word or words that best complete the Directions: Choose the best answers to the following questions. sentence. Section 1 (pp. 390–394) 1. In a economy, the government makes key economic 5. In the Soviet era, Russians endured shortages of . decisions. A heavy industrial goods A command B military hardware B market C space exploration C free D consumer goods D declining

6. What is Russia’s most important industry today? A steel making 2. A sells goods illegally, usually at higher prices than B automobiles regulations allow. C petroleum extraction and processing A kolkhoz D textiles and clothing B fl ea market C black market D hypermarket Section 2 (pp. 395–398) 7. By the 1990s, percent of Russia was under “ecological stress.” 3. Generation of nuclear energy produces polluting . A 10 A heavy metals B 25 B acid rain C 40 C radioactive material D 50 D pesticides 8. After the accident at Chernobyl in 1986, what happened to energy production in the Soviet Union? A All nuclear power plants were shut down. 4. are chemicals used to kill crop-damaging insects and other organisms. B Nuclear power plants were inspected and renovated to a higher safety standard. A Nuclear wastes C Much of the country’s electricity continues to come from B Acids the 29 remaining plants. C Fertilizers D The ruins of Chernobyl were encased in a totally secure D Pesticides structure to prevent radioactive leaks.

GO ON

400 Unit 5 ASSESSMENT

Critical Thinking Document-Based Questions Directions: Choose the best answers to the following questions. Directions: Analyze the document and answer the short-answer questions that follow the document. 9. The Soviet era left a legacy of environmental pollution because Autocratic governments tend to be very secretive, not even A Soviet scientists were ignorant of environmental protec- distributing full and accurate information to their own people. tion principles. Offi cial Soviet government maps were incomplete and contained incorrect information. In 1989 the government cartographic B foreign countries were uninterested in protecting the offi ce issued the fi rst accurate street map of Moscow to the environment. general public. C industrialization was the main goal, and environmental protection was unimportant to the government. V. Yashchenko [chief of the Main Administration of Geodesy and Cartography] said: “Beginning last year, we have fi nally D the Soviets believed theirs was the world’s best country. begun to get rid of the chronic complexes of spy mania and to get freed from the heavy burden which we had to carry since Base your answer to question 10 on the map and on your knowledge the Higher Directorate of Cartography came . . . to report to of Chapter 16. the NKVD (People’s Commissariat of Internal Affairs). This is Russia: Transportation where it all began. . . .” However, times are changing. Fifty years were needed in order for this truth to become apparent: Why conceal from ourselves something that is no secret for others? So, work on ARCTIC OCEAN declassifi cation began. It appears that the world has not been profoundly surprised. . . . In March or April, a map of Moscow will be released. As Sea of V. Yashchenko says, all streets and lanes of the capital city Okhotsk have never been shown on a map available to the general public so diligently. . . .

Sea of “Broad circles of the public have never seen such maps Japan N (East Sea) before. Believe me, they can rely on them completely,” noted

W E V. Yashchenko. East S China —Jonathan Eisen, The Glasnost Reader Sea Two-Point Equidistant projection 11. Why did the Soviet Union publish incomplete maps? 10. What part of Russia has the most complete transportation network? Extended Response A western Russia 12. Describe the steps that are being taken in Russia to B eastern Russia repair the environmental damage of the Soviet era. C northern Siberia D the Pacifi c coast region STOP

Geography ONLINE For additional test practice, use Self-Check Quizzes— Chapter 16 on glencoe.com.

Need Extra Help? If you missed questions. . . 123456789101112 Go to page. . . 391 391 397 397 391 392 396 397 396 401 401 396

Chapter 16 401 Case STUDY PROTECTING PEOPLE AND THE ENVIRONMENT: How can the environment and indigenous peoples be protected as the oil and industry expands in Russia?

The world is hungry for oil and natural gas, and Russia has about 5 percent of the world’s known oil reserves and more than 20 percent of the known natural gas reserves. Even though Russia uses some of these resources, there is much more in the ground and discoveries of new oil fields are made regularly. As Russia develops its market economy, it looks to oil and natural gas exports as a way to earn income.

Understanding the Issue The balance between using natural resources and preserving the environment and the ways of life of indigenous peoples can be viewed from several perspectives. A Moral Issue Forests are often cut down to tap into the oil fields and transport the oil and natural gas. There is also a high risk for fires as oil may leak and can potentially catch fire, burning even more forests. Animal habitats may be destroyed, and the cultures of indigenous peoples disrupted. At the same time, money from selling oil and natural gas pays for infrastructure and other human needs. It also provides jobs. An Economic Dilemma While oil and natural gas can bring great wealth to the country, Russia’s oil fields are located far from Russia’s population cen- ters and other countries where the products can be sold. These locations also have extremely cold cli- mates, and some are swampy or mountainous, mak- ing access difficult. Russia needs foreign investment to explore, extract, and transport oil and natural gas resources. A Political Problem The United States, Western Europe, China, and Japan look to Russia to supply their growing energy needs. Russia wants to be sure to receive a fair price for their oil and natural gas and that their fragile northern environments are protected. Russian oil and natural gas may encounter further political problems. For example, in December 2005 the Russian government threatened to stop the flow of natural gas to Ukraine because of a political dis- pute. In January 2006, an agreement was reached, but the threat showed the vulnerability of Russian customers.

402 Unit 5 Workers construct a natural gas pipeline near Komsomol’sk–na–Amure Possible Solutions in eastern Russia. Solutions to the problem of using Russia’s oil and natural gas must be approached in several ways. Environmental Protection Monitoring, pollution Russia: Oil and Natural Gas control devices, and high-quality transportation equipment can help prevent spills, fires, and pollu- tion from oil and natural gas operations. However, these measures are expensive to implement and require trained workers. Conservation Russia must keep environmental and conservation measures in mind when estab- lishing new oil fields. Other countries can reduce their dependence on oil and natural gas through more efficient vehicles, better insulation of build- ings, and greater use of public transportation. International Relations Russia wants to sell its oil and natural gas to other countries, and doing so requires that it develop good relations with those countries. Better relations between con- suming countries and other producers would also take some of the pressure off of Russia. This would encourage it to preserve the environment and the ways of life of indigenous peoples.

Unit 5 403

Savin Oleg/ITAR-TASS/CORBIS Understanding the Case

The primary sources below will help you understand the environmental prob- lems of Russia’s oil and natural gas industry. Use these resources, along with what you have learned in Unit 5, to complete the activities on the next page.

The Situation Primary Source 1 Excerpt from “Thirst for oil threatens a fifth of the world’s fresh water,” by Jeremy Page, The

Times [London], March 8, 2006. Sources Primary Long pipelines crossing fragile environments are used to carry Russia’s oil and natural gas to market. These projects pose great environmental threats. . . . , the state pipeline monopoly, is proposing to build the $11 billion (£ 6 billion) pipeline from Eastern Siberia to the Pacific Coast, via the Chinese border, to supply oil-thirsty Asian markets. The proposed route comes within 800m of Baikal, a Russian national treasure and a Unesco World Heritage Site that contains 20 per cent of the world’s unfrozen fresh water. Environmental activists said that they would fight the decision in the courts and organise protests in defence of Baikal, which is home to hundreds of species and revered by local ethnic minorities. . . . Transneft says that the pipeline will be com- Russia: Pipelines pleted within three years and will pump up to 1.6 million barrels a day to China and the Pacific coast. Most environmental activists say that they do not object to the pipeline, only its proposed route. “Even if billions of dollars are at stake, the Russian Government cannot put Lake Baikal at risk,” said Andrei Poyarkov, a member of the expert panel and a biologist at the Institute of Ecology and Evolution in the Russian Academy of Sciences. “They do not have the right.” One Effect Primary Source 2

Excerpt from “Indigenous Russians Unite Against Oil and Gas Development,” by Mariana Budjeryn, Cultural Survival Weekly Indigenous News, April 11, 2005. When oil and natural gas companies move in to extract resources, habitats are changed, and plants and animals are destroyed. These changes may lead to the interruption and destruction of the ways of life of indigenous peoples. Indigenous leaders of the island of in the far east of Russia have joined forces as a new wave of oil and gas development on the island is encroaching on their traditional lands. . . . Despite their small numbers, the Sakhalin aborigines are standing up to multina- tional energy companies that are developing oil and gas deposits on the island. . . .

404 Unit 5 LATINRUSSIA AMERICA 405

Unit 5 Unit result? Russia? Write a one-page A representative of the Sakhalin people protests A representative of the in eastern Russia. an oil project on Sakhalin technologically. peoples? fishing. • What are the possible effects for indigenous Writing About the Case essay in which you answer one of the questions listed in #3 above. Russia should continue to develop its oil and natural gas and build pipelines: • What benefits can result for • What environmental problems can technology. 4. development. . . . projects. . . . 3 Review the information Use the following ques- one has only to think of safety nets for the ill and unemployed as well as for one has only to think of safety nets for the ill and unemployed as well If Russia pumps its oil and — resources? With growing world oil prices, companies are currently receiving export “super With growing world oil prices, companies The future use of revenue derived from oil and gas exports is hotly debated The future use of revenue derived is needed to fund economic and techno- Some argue that a high level of exports Sakhalin aborigines claim that the oil and gasSakhalin aborigines The indigenous congress created a council which which a council created congress indigenous The Russia hopes to earn considerable income from the sale of oil and natural gas Russia hopes to earn considerable Primary Source logical development, while others fear that Russia’s role as raw-materials provider to logical development, while others fear become permanent and will hinder the country’s industrially developed nations will advancement. . . . of economic transition, it is necessary to use at profits.” Particularly during this time society as a whole. Oil and gas, after all, [are] least some of this revenue to benefit ways this money could be used for the struc- national property. There are countless tural transformation of the economy and transition to technological develop- ment economic and technological Excerpt from “Oil and Gas Exports in Russia and the Transition to Technological Development,” Excerpt from “Oil and Gas Exports in Russia and Security, April 2000). by Vladimir Voloshin (Economists for Peace the multitude of opinions on how to resolve among Russians today. Notwithstanding on fuel exports will have a profound impact the debate, one thing is clear: decisions to develop on Russia’s economy and its ability peoples. This independent study would also evalu- study would also This independent peoples. financial compensation that ate the appropriate indigenous peoples for any should be given to from the damage resulting their traditional lifestyleprojects are threatening pollution, and by endangeringthrough deforestation, central to their livelihoods. Manythe species that are still sustain themselves throughindigenous islanders salt- and fresh-water reindeer herding and Possible Solutions will represent the island’s indigenous population in population indigenous the island’s will represent and Russian with the oil companies negotiations council will advocate authorities. The government to assess the cultural study for an ethnographic on indigenous the oil and gas projects impact of to other countries. If invested well, this income can pay for social services and for this income can pay for social services and If invested well, to other countries. and the upgrade of Russian industry

Conducting a Debate tions to conduct a class debate on whether in the primary sources above. What are the major problems involved in developing Russia’s oil and natural gas Making Predictions natural gas for export, what consequences might it face? Drawing Conclusions Tatyana Makeyeva/AFP/Getty Images Primary Sources Primary Analyzing the Case 3. 2. 1.