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Industry
The process of using machines and large-scale processes to
convert raw materials into manufactured goods
Raw Materials
the basic substances such as minerals and crops needed to
manufacture finished goods.
Industrial Revolution
Starting in the 18th century, a series of technological advances known as
the… resulted in more complex machinery driven by
water or steam power that could make products faster and at lower costs than
could cottage industries.
Deindustrialize
a process of decreasing reliance on manufacturing jobs
Rust Belt
Regions that have large
numbers of closed factories are called…
Primary Sector
extracting natural resources from the earth
• Farming • Mining • Fishing • Forestry • Dominated the economy until the late 1800s
• Includes many high-risk jobs
• A small part of today's economy
• Few high-paying jobs
• Most jobs require physical skill
Secondary Sector
making products from natural resources
• Manufacturing • Building • Significant growth from the 1840s to the
1960s
• Wages vary greatly
Tertiary Sector
providing information and services to people • Retail sales • Medicine • Housekeeping • A small part of the economy until the mid 1900s
• Most people in the U.S. labor force today
• Wages vary widely
Quaternary Sector
managing and processing information . Financial analysis • Software development . Data science • Small percentage of employees
• Most jobs require advanced education or technical skills
• High wages
• Considered part of the tertiary sector until recently
Quinary Sector
creating information and making high- level decisions • Research • Top managers in corporations or government
• Very small percentage of employees
• Very high income
• Decisions can affect millions of people
. Considered part of the tertiary sector until recently
Gross National Product (GNP)
All goods and services produced by a country's citizens in one year is measured in the…
Gross National Income (GNI)
The dollar amount of all goods and services produced by a country's citizens in one year is measured in…
Gross Domestic Product (GDP)
The dollar amount of all final goods and services produced within a country in one year is the…
Remittances
the profits from a foreign-owned company were leaving the country and going back to the home country.
Purchasing Power Party (PPP)
a measure of what similar goods cost in different countries.
Formal Sector
is the portion of the economy that is monitored by government, so people in it follow regulations and pay taxes. This is the portion of economic activity measured by GDP, GNP, and GNI.
Informal Sector
is the portion of the economy that is not monitored by government.
GINI Coefficient
One measure of the distribution of income within a population is the…
. The values range between 0 and 1
. The higher the number, the higher the degree of income inequality.
Life Expectancy
the number of years a person is expected to live, has a positive correlation with development
Literacy Rate
is the percentage of population that can read and write, usually at an 8th grade level or higher.
Gender Gap
Differences in the privileges afforded to males and females in a society are the…
Gender Inequality Index (GII)
a composite measure of several factors indicating gender disparity:
• Reproductive health, which includes maternal mortality rates ( death of a mother during birth) and adolescent ( under 19 years old) fertility rates
• Empowerment, which includes the share of government seats held by each gender and the proportion of adult females and males with at least some secondary education
• Labor market participation, which includes the labor force participation rate of female and male populations aged 15 years and older
Human Development Index (HDI)
combines one economic measure (GNI per capita) with three social measures (life expectancy, expected years of schooling, and average years of schooling). The composite score for each country will range between O and 1, with the higher values representing greater levels of development
World Systems Theory
In the 1970s, historian Immanuel Wallerstein proposed an alternative model to Rostow's, which he called the…
Dependency Model
meaning that countries do not exist in isolation but are part of an intertwined world system in which all countries are dependent on each other
Commodity Dependance
when more than 60 percent of its exports are raw materials