3 Primary Economic Activity Fishing- tuna fishingForestryMining/drillingAgriculture (based on land and climate)50% of less developed countries15-20% newly industrialized<8% of developed countriesCommercial Agriculture: produced to sellSubsistence Ag.: provide for your family
4 Primary Economic Activity cont’d… Subsistence FarmingGrow enough for family or villageCommercial FarmingUse modern techniquesOnly small # of workers neededFound in all countriesPlantations- found in newly industrializedWho owns most plantations?In less developed countries, large corporations, foreign investors owns the plantations
5 Secondary Economic Activity Manufacturing- IndustryTakes raw material and turns into a finished productsTuna into Canned TunaWhat are some examples of manufacturing in the United States? In what regions? Cities?
6 Tertiary Economic Activity The Service IndustriesTransportationSalesAdvertisingGovernment-someHealth CareBankingEducation- some
7 Quaternary Eco Activities Collecting, processing and distributing informationgovernment, culture, libraries, scientific research, education, and information technology.
8 Stages of Economic Activity Developed CountryModern TechnologyMostly Tertiary Eco. Activities (Service)Well developed economyGDP per Capita:USA $46,000Has sustainable developmentOutsourced manuf. when costs can be cut.Less DevelopedLimited modern technologyDependent on developed countries for manufactured goods.GDP per capita: ~$1000Mostly primary and secondary eco. activitiesNewly IndustrializedMexico $15,600 (2012)13% Agric
9 Zimbabwe- What stage am I? $ GDP per capita66% Agric.38% urban3.8 Fertility rate
10 Know these front and backwards!!! Primary- AgricultureSecondary- Manufacturing (industry)Tertiary- ServiceQuaternary- data
11 USA 1.1% Agriculture (primary) 22.1 % Manufacturing 76.8% Service (Tertiary)Can U say “Sustainable development”HmmmMonaco 95% service!!!Mexico(Newly Indust) 13% Agric, 24% Manuf., 63% ServiceBangladesh 18% Agric,28% Manuf., 52% ServiceZimbabwe(less developed) 66% Agric,10% manu., 24% Service
12 PrimaryWhat are some examples of raw materials in your community? What kind of finished product can be made from this?
17 Human Resources Capital Resources Workers- a country’s greatest resource! YOU!Capital ResourcesMachinesMoney (Investments)BuildingsCompare a contractor with a hammer and nail to one with lumber, a toolset and backhoe.Which one represents the less developed country?Which one represents the developed country?
18 Supply and Demand As the price goes up, what happens to the demand? Real life-As the price is reduced, what happens to the supply of goods?
19 Economic Systems answer these questions… What will be produced?How much will be produced?How will it be distributed?What will it cost?
20 Total government control Economic SpectrumTotal government controlNo government
21 Economic Spectrum No government Strong Government Command Ec Communism Karl MarxGov’t regulates allCentral plannersSocialism/ MixedFree-MarketCapitalismbased on profitprivate ownershipentrepreneurship
22 Matching: Communism, socialism, capitalism, traditional Consumers make the decisionsWelfare stateFree doctors visitCNN, Fox, Comcast, Ixfinity, CBS, ABC, NBCClay pots from handProfit is motive for doing wellCommunity farmsReebok, Nike, Addidas,…No social classesFollow parents line of work93Q, the Eagle, 104 KRBE, 740 Talk Radio,