7.2 Flashcards
Primary Sector
Extracting natural resources from the Earth.
-Dominated the economy until the late 1800s
-Includes many high-risk jobs
-Small part of todays economy
-Few high-paying jobs
-Most jobs require physical skill
Ex. Farming, Mining, Fishing, Forestry
Secondary Sector
Making products from natural resources.
As the country industrialized, the agricultural sector was replaced by machines and freed up workers for other jobs, and increased the demand for workers in the secondary sector.
Ex. Manufacturing, Building
Tertiary Sector
Providing information and services to people.
The economy has become postindustrial. Most job growth has been in the tertiary sector.
Ex. Retail sales, Medicine, Housekeeping
Quaternary Sector
Managing and processing information
-Small %/of employees
-Most jobs require advanced education and technical skills
Ex. Financial Analysis, software devleopment
Quinary Sector
Creating information and making high-level decisions
-Small %/of employees
-Most jobs require advanced education and technical skills
Ex. Financial Analysis, software devleopment
Multiplier Effect
When a change in spending causes a larger change in output.
Ex. Apple placing a call center in China
Least cost theory
Industries will place their businesses and factories in a place that will allow low transportation costs and the most efficiencey.
Agglomeration Economies
Companies that share similar products cluster together to reduce costs and promote economic gains.
Locational Triangle
Weber’s theory, called the location triangle, sought the optimum location for the production of a good based on the fixed locations of the market and two raw material sources, which geographically form a triangle.
Bulk-reducing Industries
An industry in which the final products weights less or comprises a lower volume than the inputs.
Ex. Chips
Bulk-gaining Industries
An industry in which the final product weights more or comprises a greater volume than the inputs.
Ex. Soda
Labor-oriented industry
An industry for which labor costs comprise a high percentage of total expenses
Break of Bulk
The procedure of transferring cargo from one mode of transportation to another.
Ex. Seaports, Trainstation
Containerization
The transportation of cargo in standardized containers that can be easily transferred from ships, trains, and vehicles without unloading contents.
Intermodal
Place where two or more modes of transportation meet.
Ex. Airport, Railroad
