Levels of Economic Activity
Primary: Definition
• Harvest or extracting of natural resources
Primary: Example
• Hunting and gathering
Primary: Example
• Grazing
Primary: Example
• Agriculture
Primary: Example
• Mining
Primary: Example
• Fishing
Primary: Example
• Forestry
Primary: Locational Factors
• Close to natural resources
Secondary: Definition
• Add value to raw materials by making
them useful
• Those that process, transform, fabricate,
or assemble the raw materials derived
from primary activities or that reassemble,
refinish, or package manufactured goods
Secondary: Example
• Toothpick
Secondary: Example
• Fish Sticks
Secondary: Locational Factors
• Easy access to raw materials, energy
sources and markets
Tertiary: Definition
• Provides services (don’t make anything)
• Those involving the sale and exchange of
goods and services
Tertiary: Example
• Cell phone kiosk
Tertiary: Example
• Bank Teller
Tertiary: Example
• Starbucks
Tertiary: Locational Factors
• Close to markets
Quaternary: Definition
• Processing and dissemination of
information
• Those concerned with information or the
exchange of money and goods
Quaternary: Example
• Information processing
Quaternary: Example
• Computer Nerds
Quaternary: Locational Factors
• Good infrastructure and skilled labor
Quinary: Definition
• Scientific research and high level
management
• Tied to research or higher education
Quinary: Example
• scientists
Quinary: Examples
• CEOs
Quinary: Examples
• Doctors
Quinary: Locational Factors
• Tend to cluster around government
centers and universities
What is important to understand
about this?
• Less developed countries depend on
primary and secondary economic activities
• More developed countries have
economies based on Tertiary, Quaternary
and Quinary activities
Economic Development
• Economic development refers to the
process of change involving the nature
and composition of the economy of a
particular region as well as to increase the
overall prosperity of a region.
Involves 3 Types of Change
1. Changes in the structure of the regions
economy (ex: agriculture to
manufacturing)
2. Changes in forms of economic
organization within the region (ex: shift
from socialism to free-market capitalism)
3. Changes in availability and use of
technology within a region
• Levels of economic development should
improve basic conditions of life (housing,
healthcare, social welfare system
• Economic development should also
improve the infrastructure on which the
economy rests
Levels of economic
Development
• Usually measured by economic indicators
such as:
Gross Domestic Product
Gross National Income