Unit 7: Economic Development - Part 2: Industry Vocabulary

Flashcards covering key vocabulary for economic development and industrialization, including industry types, economic sectors, and trade concepts.

Industrialization

The period of social and economic change that transforms a human group from an agrarian society into an industrial society, involving an extensive re-organization of an economy for manufacturing.

Industrial Revolution

The transition to new manufacturing processes in Europe and the United States, occurring from about 1760 to sometime between 1820 and 1840.

Cottage Industry

Manufacturing based in homes rather than in factories, which was most common prior to the Industrial Revolution.

Site Factors of Industry

Factors resulting from the unique characteristics of a location, specifically labor, capital, and land.

Situation Factors of Industry

Factors involving the transport of materials to and from a factory; a firm seeks locations to minimize the cost of transporting inputs and finished goods.

Bulk-Gaining Industry

An industry that makes something gaining volume or weight during production, such as Fabricated Metal Factories or Beverage Bottling Factories.

Bulk-Reducing Industry

An industry in which the inputs weigh more than the final products, such as Copper Mining.

Just-in-Time Delivery

Shipment of parts and materials designed to arrive at a factory moments before they are needed.

Labor-Intensive Industry

An industry for which labor costs comprise a high percentage of total expenses.

Outsourcing

A corporation's decision to turn over responsibility for production to independent suppliers or hire a party outside the company for services traditionally performed in-house.

Trade

The transfer of goods or services from one person or entity to another, often in exchange for money.

Basic Business

A business that sells its products or services primarily to consumers outside the settlement.

Business Service

A service that primarily meets the needs of other businesses, including professional, financial, and transportation services.

Central Place

A market center for the exchange of services by people attracted from the surrounding area.

Central Place Theory

A theory explaining the distribution of services based on settlements serving as centers of market areas; larger settlements are fewer and provide services for more people.

Consumer Service

A service that primarily meets the needs of individual consumers, including retail, education, health, and leisure services.

Economic Base

A community's collection of basic businesses.

Hinterland (Market Area)

The area surrounding a central place from which people are attracted to use the place’s goods and services.

Threshold

The minimum number of people needed to support a service.

Range

The maximum distance people are willing to travel to use a service.

Globalization

A process linking people worldwide through shared interests and technology, creating cultural, social, environmental, health, and economic connections.

Import

A commodity, article, or service brought in from a foreign country for sale.

Export

A commodity, article, or service sold to a foreign country.

Primary Economic Activities

Industries involving extracting or refining natural resources, such as mining, agriculture, forestry, and fishing.

Secondary Economic Activities

Economic activities involving the processing of raw materials into manufactured goods, such as turning timber into furniture or iron-ore into steel.

Tertiary Economic Activities

The service sector encompassing the production of services instead of end goods to meet individual needs.

Quaternary Economic Activities

Economic activities focused on research and development, scientific research, and technology.

Sustainability

Meeting present needs without compromising future generations, based on three pillars: economic (profits), environmental (planet), and social (people).

Fair Trade

An arrangement designed to help producers in developing countries achieve better trading conditions and improved social and environmental standards.

Free Trade

International trade left to its natural course without tariffs, quotas, or other restrictions.