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Economic Activity

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Revision Method

Economic Sectors

Revision Notes

Key Points

  • The primary sector involves the extraction and harvesting of natural resources
  • The secondary sector transforms raw materials into finished goods and products
  • The tertiary sector provides services to consumers and businesses
  • The quaternary sector involves knowledge-based activities and high-skilled professions
  • The relative importance of each sector varies among countries and stages of economic development

Primary Sector

  • Agriculture (farming, fishing, forestry, mining)
  • Extraction of raw materials from the earth
  • Provides food, fuel, and other raw materials

Secondary Sector

  • Manufacturing and processing of raw materials
  • Produces finished goods and products
  • Includes factories, construction, and utilities (electricity, water, gas)

Tertiary Sector

  • Provision of **services** to consumers and businesses
  • Includes transportation, communication, retail, healthcare, education, and finance
  • Fastest growing sector in many economies

Quaternary Sector

  • Involves **knowledge-based** activities
  • Includes research, development, and innovation
  • Highly skilled professions like IT, consulting, and R&D