Economic Geography Unit 7

Capitalism

An economic and political system in which a country’s trade and industry are controlled by private owners for profit.

Communism

A political theory derived from Karl Marx, advocating class war and leading to society in which all property is publicly owned and each person works and is paid according to their abilities and needs.

Primary Sector

The economic sector that includes all activities that consist of exploiting natural resources: agriculture, fishing, forestry, mining, and deposits.

Secondary Sector

The economic sector that covers all activities consisting of the processing of raw materials.

Teriary Sector

The economic sector that covers a wide range of activities from commerce to administration, transport, financial and real estate activities, business and personal services and etc.

Quaternary Sector

The economic sector where activities are based on human knowledge which involves technology, information, financial planning, research, and development.

Subsistence Economy

An economy directed to basic subsistence rather than to the market.

Market Economy

An economy where two forces, know as supply and demand, direct the production of goods and services. This economy is not controlled by the government.

Command Economy