Industrial and economic development

Primary Sector

Economic activities that extract or harvest products from the earth (mining, farming, fishing)

Secondary Sector

Economic activities that process or combine materials into new products (manufacturing, construction)

Tertiary Sector

Service activities that provide intangible goods and services (retail, entertainment, banking)

Quaternary Sector

Activities involving information processing and research (computing, consulting, education)

Quinary Sector

High-level decision making by executives in government and industry

Break-of-Bulk Point

Location where goods must be transferred from one mode of transportation to another

Least Cost Theory

Model explaining industrial location based on minimizing costs of transportation, labor, and materials

Just-in-Time Delivery

Production system where parts arrive at a factory right when needed, reducing warehouse costs

Fordist Production

Mass production using assembly lines and standardized parts

Post-Fordist Production

Flexible production methods allowing customization and small batch manufacturing

Gross Domestic Product (GDP)

Total value of goods and services produced within a country's borders

Gross National Product (GNP)

Total value of goods and services produced by a country's citizens, regardless of location

Human Development Index (HDI)

Composite measure of life expectancy, education, and per capita income

Core

Wealthy, industrialized regions of the world economy

Periphery

Poorer, less developed regions of the world economy

Semi-periphery

Regions that share characteristics of both core and periphery

Rostow's Stages of Economic Growth

Five-stage model of development from traditional society to high mass consumption

Dependency Theory

Theory suggesting that poor countries are kept poor by their economic relationship with wealthy countries

World Systems Theory

Model dividing world into core, periphery, and semi-periphery based on economic relationships

Special Economic Zone

Designated area with special economic regulations designed to encourage foreign investment

Export Processing Zone

Industrial zone where imported materials are processed for export

Outsourcing

Moving business operations to external providers, often in other countries

Offshoring

Moving business operations to another country

Agglomeration

Clustering of similar businesses in an area to share resources and reduce costs

Growth Pole

Concentrated area of economic development that influences surrounding regions

Deindustrialization

Decline of manufacturing activity in a region or country

Economic Restructuring

Fundamental change in a region's economic base

Neoliberalism

Economic philosophy favoring free markets, deregulation, and reduced government intervention

Sustainable Development

Economic development meeting present needs without compromising future generations

Ecotourism

Tourism focusing on natural environments and local cultures while minimizing negative impacts