Economic activity and energy

Economic sectors

 

Primary- extraction of raw materials to be supplied to other industries e.g farming

Secondary- where raw materials are assembled or manufactured to produce finished goods e.g food processing 

Tertiary- jobs which involve providing goods and services for the public e.g transport 

Quaternary- include people who provide specialist information and expertise to all the above sectors  e.g research 

As a county develops, the proportion employed in the primary sector decreases and the proportion in the secondary and tertiary sectors increases. As the economic activity develops even further,the number in the primary an secondary sectors fall further. After the tertiary sector becomes the largest employer, so the quaternary sector begins to emerge.





This is showing how the sectors change over three phrases. The critical phrase is the industrial one. This is when manufacturing becomes more important that the primary sector, employment and contribution to GDP.


The 3 phrases are:


Pre-industrial phase- the primary sector leads to economy and may employ more than 2/3s of the working population. Agriculture is by far the most important activity.


Industrial phase- the secondary and tertiary increase in productivity. The secondary sector rarely provide jobs for more than half of the workforce.


Post-industrial phase- the tertiary sector is clearly the most important sector. The primary and secondary begin to decline so the quaternary sector begins to appear.


The development pathway- starts at as agriculture becomes mechanised, more commercial and shifts away from the subsistence farming. This releases labour to take on other forms of work. People are free to move to the countryside and into urban settlements. Gradually the range of services available to people expands.


The quaternary sector appears when leading countries, and major cities within those countries, find that in order to keep ahead of the pack, they need to invest in higher education, research and development and new technologies. As countries move up the development staircase, there is a rise of the overall standard of living and in the level of urbanisation.


Low-income countries (LICs)- occur largely in Central Africa and in South and Southeast Asia
Lower and Upper Middle-income countries (MICs)- most common in South America, North and South Africa, parts of the Middle East, Eastern Europe and Asia
High-income countries (HICs)- mainly in North America, Western Europe and Australia


Primary sector most important in LIC's, secondary in MIC's and tertiary in HIC's