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THE DIFFERENT SECTORS OF THE ECONOMY
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How many different people have worked “for you” today?
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How many different people have worked “for you” today? Bus driverminer telecommunications the authors of your textbook Car producerfarmerteacher Lumberjack shoe maker TV presentercoffee grower Bank clerkwaitress taylor nurse construction worker Hairdresser Can you group them?
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farmer miner Lumberjack coffee grower shoe maker coffee grower Car producer construction worker Bus driver waitress nurse Hairdresser Bank clerk telecommunications the authors of your textbook teacher What sectors of the economy do they belong to?
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Three (plus one) sectors of the economy PRIMARY SECTOR - extracting or harvesting products from the earth; producing raw materials and basic foods SECONDARY SECTOR - manufactures or processes finished goods from raw materials - Capital goods - used in the production of other goods, sold to other manufacturers - Consumer goods - sold directly to the final consumer to be used by them
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TERTIARY SECTOR (service sector) - provides services to businesses and private individuals THE QUATERNARY SECTOR - knowledge-based/information services - originally part of the tertiary sector; growing importance - management of information
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PRIMARY: Agriculture (coffee beans) SECONDARY: factory (coffee production) TERTIARY: coffee shop (a cup of coffee) + QUARTERNARY: IT, R&D
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Do you know? How big is the primary sector in Europe and the USA? The secondary? And the tertiary?
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Source: http://www.bbc.co.uk/schools/gcsebitesize/geography/economic_change/http://www.bbc.co.uk/schools/gcsebitesize/geography/economic_change/ characteristics_industry_rev2.shtml
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Europe Primary sector – less than 5% population Secondary sector – 20-30% Tertiary sector – 60 % Croatia (2008 data): Agriculture 5 % Industry 31.3 % Services 63.6 % Why? Source: http://www.economywatch.com/world_economy/croatia/structure-of- economy.htmlhttp://www.economywatch.com/world_economy/croatia/structure-of- economy.html
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The primary sector Decreasing : Agriculture and other primary sector activities - less labour-intensive due to technological improvements The secondary sector decreasing in western countries manufacturing is outsourced to developing and underdeveloped countries. The tertiary sector Growing. In developed countries – most workers employed in the tertiary sector. The quaternary sector Growing in both developed and developing countries. Ex 1-4
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Words to remember e_______ activity G _______ economy r________ materials b________ food c________ goods f________ goods t________ improvements p________ a service i_________ services d________ countries Economic activity Global economy Raw materials Basic foods Capital goods Consumer goods Finished goods Technological improvements Provide a service Information services Developed countries Developing countries Memo, 5-7
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labour-intensive extract harvest capital goods consumer goods outsourcing
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PRIMARY SECTOR M _ N _ NG F_SH_NG F_R_STRY
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PRIMARY SECTOR M I N I NG FISHING FORESTRY
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PRIMARY SECTOR F_RM_NG
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PRIMARY SECTOR FARMING
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PRIMARY SECTOR RACEINGXTT OIL FROM THE EARTH VESHARTING THERGAING
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PRIMARY SECTOR EXTRACTING OIL FROM THE EARTH HARVESTING GATHERING
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PRIMARY SECTOR : agriculture and extraction of raw materials from the earth FARMING FORESTRY FISHING MINING EXTRACTING OIL FROM THE EARTH HARVESTING GATHERING
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SECONDARY SECTOR: manufacturing finished goods, raw materials are turned into finished goods BUILDING MAKING MACHINES FOR INDUSTRY MAKING PRODUCTS FOR CONSUMERS Elicit 10 industries
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SECONDARY SECTOR: Some industries: Confectionery industry pharmaceutical industry Transport industry textiles industry Toiletries industry household goods industry Defence industry automotive industry beverages and food industry
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TERTIARY SECTOR /t ɜ :r ʃ i ɛ r i/ or /t ɜ :r ʃ ə ri/ Providing services 1. to the general population 2. To businesses = help industry produce and distribute goods to their final consumers + education, healthcare, leisure, tourism etc. Brainstorm – professions in the tertiary sector
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TERTIARY SECTOR Trade, commerce: Banking Insurance Communications Retailing Advertising Legal practice Direct services: Teachers Doctors Hairdressers Waiters Shop assistants Transportation
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THE QUATERNARY SECTOR? ‘kwo:t ɜ :n ə ri INFORMATION AND KNOWLEDGE- BASED SERVICES Computing ICT (information and communication technologies) consultancy (advice to businesses) R&D (Research and development, science) Broader definition: also news media, libraries, education, culture.... EX 8-9
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How to talk about your job I own I run a I work in / at / for I started my own business My job is to make sure that I am the first point of contact I am responsible for I am in charge of I deal with I delegate I make decisions about I work very long hours I graduated from I specialize in My working hours are flexible, I am skilled at I am paid on commission
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