APHG U7 Vocab

Primary Sector

Sectors with activities involving the extraction of natural resources from the earth, including agriculture, fishing, forestry, mining, quarrying, or oil drilling

Secondary Sector

Sectors with the production of goods from the raw materials extracted or harvested in the primary sector, including manufacturing, processing, and construction

Tertiary Sector (Service Sector)

Sectors that provide services instead of goods, including transportation, storage, marketing, and selling items.

Quaternary Sector

The portion of tertiary sector activities that requires workers to process and handle information and environmental technology (information technology, research, and education)

Quinary Sector

The specialized subcategory sector that involves the work of top leaders in government, science, universities, nonprofits, health care, culture, and media

Informal Sector

Economic activities, jobs, and businesses that are not regulated, taxed, or monitored by the government

Formal Sector

The part of an economy that is taxed, monitored, and regulated by the government

Bulk Reducing Industry

A production process where the finished product weighs less or has a lower volume than the raw materials

Bulk Gaining Industry

A product process where the finished product weights more or has a higher volume than the raw materials

Industrialization

The process by which the interaction of social and economic factors leads to the development of industries across a community, region, or country

Break of Bulk Point

Locations where it is more economical to break raw materials into smaller units before shipping them farther.

Least Cost Theory

A model that dictates industries are located where they are to minimize costs and maximize profits, focusing on three factors: transportation, labor, and agglomeration

Industrial Parks

A collection of manufacturing facilities

Agglomeration

The advantage for companies in the same or similar industries in locating near each other in order to take advantage of specialized labor, materials, and services

Labor Market Participation (LMP)

Measures an economy’s active labor force and is calculated by taking the sum of all employed workers and dividing that # by the working

Dependency Theory

The development challenges and limitations faced by poorer countries and the political and economic relationships poorer countries have with richer countries

Dual Economy

2 distinct divisions of economic activity across the economic sectors in semi-periphery/periphery countries

Gross Domestic Product (GDP)

The total monetary value of all final goods and services produced within a country's borders in a specific year

GNI per Capita

The total value of all money produced by a country’s residents—including income from foreign investments—divided by its total population

Microloans

Very small short term loans with low interest intended to help people in need

Ecotourism

To travel to natural areas in ways that protect the environment and sustain the well

Rostow’s Stages of Economic Growth

A linear modernization model proposing all countries develop through five distinct stages—Traditional Society, Preconditions for Take

Wallerstein’s World System Theory

a dependency model defining the global economy as a three

Human Development Index (HDI)

A composite statistic used by the UN to measure a country's development level, moving beyond just economic data to include social wellbeing

Gender Development Index (GDI)

Calculates the gender disparity in the 3 basic dimensions of human development: health, knowledge, development of living

Gender Inequality Index (GII)

Ranges from 0.0→1.0 and calculates inequality based on 3 categories: reproductive health, empowerment, labor

Special Economic Zones (SEZ)

An area within a country that is subject to different and more beneficial economic regulations than other areas

Export Processing Zones (EPZ)

Zones that are meant to attract multinational organizations to invest in labor

Free trade Zones (FTZ)

A designated, secure area—often near ports of entry—where goods can be imported, stored, manufactured, or re

International Division of Labor

The spatial shift of manufacturing and low

Multiplier Effects

Opportunities that that can potentially develop from an economic change

Post-Fordism

The system of production that relies on automation through the use of robots and computer systems and is centered on low-volume manufacturing and flexible systems that allow for quick response to changes in the market

Offshore Outsourcing

Outsourcing where companies have production in places outside of the country in which they are headquartered

Comparative Advantage

The relative cost advantages of producing certain goods and services of trade

Complementarity

The mutually beneficial trade relationship between 2 countries that results when they have different comparative advantages

Growth Poles

Places of economic activity clustered around multiple high-growth industries that stimulate economic growth by capitalizing on some special asset

Neoliberalism

The belief that open markets and free trade (2 key characteristics of capitalism) across the globe will lead to economic development everywhere, lessen tensions between countries by fostering support for common values, and spread democracy and human rights

Deindustrialization

The change that occurs with the decline in the % of workers employed in the secondary sector and a reduction of a region's industrial capacity or activity, particularly heavy industry and manufacturing

Just-in-Time-Delivery

A supply chain strategy where materials arrive at factories or retailers exactly when needed, rather than being stored in inventory