Economic Activities Primary Activities Secondary Activities Tertiary Activities

Economic Activities

Primary Activities Secondary Activities Tertiary Activities Quaternary Activities

Primary Activities • Use natural resources directly • Location: at the site of the natural resource being used • Examples: wheat farming, iron mining

Secondary Activities • Use raw materials to produce or manufacture something new • Location: close to the resource or close to the market for the finished product • Examples: processing wheat into flour, manufacturing steel

Tertiary Activities • Provide services to people and businesses • Location: usually near customers • Examples: bakeries, car dealerships

Quaternary Activities • Process and distribute information • Location: anywhere • Examples: plant-genetics research, automotive engineering

Make Your Own Example • • • Milk Fish Petroleum Wood Cotton Other

Create Chart below Economy Motivator Description Location Def.

Economic Systems • The method used by a society to produce and distribute goods and services

Traditional Economy

Traditional Motivator • Survival

Traditional Description • People make goods for themselves or their families with little surplus based on habits, customs, or rituals

Traditional Location • Poor countries and rural areas • Limited today • Inuit of northern Canada, Masai tribe

Traditional Definitions • Subsistence Agriculture – producing just enough food for a family or village to survive • Cottage Industry – small scale industries based in the home

Market Economy

Market Motivator • Profit

Market Description • People freely choose what to buy or sell

Market Location • No country has a pure market economy. • US and others like it have a mixed economy.

Market Definition • Free enterprise/capitalism – the idea that private individuals or groups have the right to own property or businesses and make a profit with only limited government interference.

Market Definition • Mixed economy – the government supports and regulates free enterprise through decisions that affect the marketplace

Command Economy

Command Motivator • Government regulations

Command Description • The government establishes products, locations, and prices

Command Location • Communist countries – Cuba, North Korea

Command Definition • Communism – an economic and political system in which the government owns or controls almost all the means of production.

• Socialism – – equal distribution of wealth; – all major production decisions are controlled; – Public ownership of most land, factories, and other means of production – Politically some are democracies (elect leaders)

Development • HDI- Human Development Index • More Developed Country (MDC)- country that has high levels of human development, economy focused on tertiary and quaternary sectors

• Newly Industrialized Country (NIC)Country experiencing an industrial revolution. Economy focused in secondary sector. High population growth. Standard of living is improving. • India-

• Less Developed Country (LDC)- country has not experienced and industrial revolution. High Birth rate and death rate. Focused in primary sector of the economy • Democratic Republic of the Congo