THE ECONOMIC SYSTEM
ECONOMY AGENTS
HOUSEHOLDS
BUSINESSESS
STATE
FACTORS OF PRODUCTION
LAND - Natural Resources
LABOUR - People needed for production
CAPITAL - Man-maded Resources
ECONOMIC SECTORS
PRIMARY SECTOR: Raw material are the natural resources
Crop farmers
Liverstock farmers
Fishermen
Miners
Silviculturalists
SECONDARY SECTOR:, based on industrial manufacturing -Industrial revolution
1st phase: Steam engine, mechanisation of work. People moved form country side to cities. Textile industrie. low-skilled workers
2nd phase: invention of trains and railroads. Iron and stell production. Invention of electricity. mass pction. more skilled workersrodu
3rd phase: digital tecnology. New energy sources; nuclear, renewable. Highly-skiled workers.
TERCIARY SECTOR: The service sector. selling of goods and services, in Spain 67% of population works in it.
Local Shops
Hypermarkets
National trade
International trade
PEOPLE IN A ECONOMY
Active population: people old enough and physically able to work. Employed and unemployed.
Inactive population: people unable to work
Non-paid workers: parents, volunteers