What have been the major components of the Alaska economy during the American period of 1867-present?
Since the discovery and purchase of Alaska, the state has witnessed several changes in what components drive the economy. Early in Alaska's history, fur trade, fishing and whaling, mining and mineral development, logging, and agricultural endeavors were the driving forces in economy. Later, tourism was added as a piece of the Alaskan economy. As a result of reading the Alaska History and Cultural Studies text over the past week, it is apparent that the advancements in technology and an awareness of over-harvesting has changed the economy in the state of Alaska in the past 50-60 years. Let's take a brief look at the components of the Alaskan economy over the past 140 years.
Mining and Mineral Development -
The first search for mineral resources was conducted by the Russians as they searched for coal. Later, the search for gold began in Alaska in the late 1800's in and around the areas of Sitka and Juneau. Many precious metals were found in various sites throughout the state. Early mining was limited in production because of tool availability. Because of the advanced tools available, mining is now conducted on a much larger scale today. Several mines are currently in operation around the state, contributing to the economy of the Alaska.
The impact of oil development in Alaska has had lasting and far reaching affects. What began as a small discovery in the 1900's, oil now contributes around 88% of the state's revenue, providing jobs for 1/3 of the state's residents. Oil is the natural resource that took Alaska from one of the poorest states in the nation to one of the wealthiest.
Trans-Alaska Oil Pipeline
Fotopedia.com
Fur Trade-Fotopedia.com
Early in the history of the Alaska territory, fur trade was the dominant economic activity. Each year thousands of fur-bearing animals were killed and processed for their fur. These activities were conducted with no restrictions on species and numbers harvested. Over time, traders realized that the resources were dwindling in numbers. When the numbers of the fur-bearing animals declined, those who depended on fur trade for income suffered.
In the 1920's the federal government became involved in conserving the fur-bearing animals. The Alaska Game Commission was formed to regulate the numbers being harvested and the methods of harvest. Many special regulations were created to help the Natives continue to live the subsistence lifestyle that had supported them for centuries. After Alaska became a state in 1959 all management of fur-bearing animals was turned over to the Alaska Department of Fish and Game.
Currently, some citizens harvest fur-bearing animals for income. It is a small enterprise with very few people in the state solely dependent upon fur-trade as income.
Fishing and Whaling-
Commercial fishing in Alaska began before 1867, cod being the species targeted. Over time, other species were harvested. Salmon, halibut, herring, shrimp, and crab were targeted as money makers. Commercial fishing created a need for processing plants or canneries which created jobs throughout the state. The increase in available jobs brought immigrants from various countries for the seasonal jobs available. Eventually, because of overfishing, fish numbers declined. Therefore, the fishing industry experienced fluctuating successes and failures due to resource availability.
Whaling was very profitable in the late 1800's and early 1900's. Technology advancements made it possible for whalers to harvest large numbers of whales. Eventually whaling suffered much like the other economic sectors because of the over-harvest of the resource. Those in search for whales turned their interest to walruses. Over time, walrus numbers declined as well. Due to decreasing numbers, whaling and walrus hunting became highly regulated or eliminated altogether.
Commercial Halibut Vessel
Public Domain
Logging-
Because of the growth in the fishing and mining industries, the demand for lumber increased. Another opportunity to make money presented itself. Lumber mills began to develop in order to meet the needs of the growing industries in the state. Logging has contributed to the economy of Alaska, and is still prevalent throughout the state. Due to conservation efforts, logging is highly regulated, creating a limited supply and preserving the resource for the future.
Agricultural Endeavors-
Many agricultural endeavors were attempted in Alaska in the past 140 year. Many of these attempts were the result of the need for food of citizens in the state. Many attempted to farm crops that would help sustain the growth and development throughout the state. Also, attempts were made at raising cattle, sheep, fox, and reindeer. Several attempts ended in failure. It was discovered that certain regions of the state could sustain these endeavors but few resulted in significant economic contributions.
Tourism-
Tours of Alaska became available in the ate 1800's. These vacations were very expensive, resulting in few visitors. A boom in tourism occurred after World War II. The development of the Alaska Railroad, the Alaska Marine Highway, and the Alcan highway created more opportunities for tourists to visit the state. Today, tourism creates many seasonal jobs and brings many tourists with wallets of money to spend in the Alaska.
Examine Question:
What has been, over time, the pattern of development for Alaska's fur trapping and trading, commercial sealing, whaling, and fishing?
It is obvious that fur trapping, sealing, whaling, and fishing were heavily impacted by over-harvesting in the early years of the industries. In the early years, trapping and trading were leading in economic importance in the state. Large amounts of money was made during large harvest years. Although much money was made in the industry, the resource availability was unpredictable, causing trouble for Natives and others who depended on the fur market.
Because of over-harvesting numbers dwindled, thus impacting the availability of resources in the following years. Results of the mass slaughters were devastating to the industry. Regulations were imposed on fur trapping, sealing, whaling, and fishing. The need to protect these animals from extinction eliminated this market altogether.
Extend:
What is the economic base for your area of Alaska? Also, share any current issues confronting the local residents.
The economy on Prince of Wales island is driven by logging and commercial fishing. Prince of Wales island is home to the first American shore-based saltery in the state which is located in Klawock. Many relics of the past exist due to the fact that the fishing industry is not what it was in the past. That being said, the industry does continue to provide some economic stimuli. Logging is also an economic pursuit. Although highly regulated and restricted, jobs are still created because of the industry.
Evaluate:
Again, a busy week with much information to cover. I found the information quite intriguing. It is taking me much time to cover the information. I still struggle with formatting and getting images for my blog. I find it especially frustrating to cite where images come from. I will be working on that over the week.
Colleague Reviews for Module IV:
Gary's Alaska Blog
I enjoyed Gary's summary of Russian America. I also thought he had great pictures as well.
Robin's Surveying Alaska History
I felt that Robin had great insights on the Russian Orthodox church. I also connected with her as she is struggling with photos and captions on her blog.
Heather's Alaska Exploration
Heather also presented a great summary of Russian America. Her layout, pictures, and cited resources were fantastic.
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