Economic Activities Primary Activities Secondary Activities Tertiary Activities
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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 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 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 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