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1.ECONOMIC ACTIVITY - Coggle Diagram
1.ECONOMIC ACTIVITY
FACTORS OF PRODUCTION
Resources that are required for the generation of economic goods
Natural resources
Renewable
Solar energy
wind
tides
Flowing water
Partially renewable
Clean air
drinking water
fertie soil
Biodiversity
Plants
Animals
Non renewable
Minerals
Fossil fuels
Human resources
People who exploit and covert natural resources
into economic goods
Capital
It is made up of
Material
Technique
Financial resources
Money
Machinery
They are needed to
Provide services
obtain products
ECONOMIC AGENTS
Elements that convert the factors of production into
Services
Goods
People and families
Private
Make up small production units
The State
It offers services
People
Companies
It is financed by collecting taxes from
People
Families
Companies
It establishes laws
Oversees essential services
administration
defence
security
education
Healthcare
Road
infrastructure
unemployment benefits
Retirement pensions
Companies
Private
Do not consume what they generate
They sell them to make a profit
They are in all economic sectors
ECONOMIC GOODS
They are generated by economic activity
Services
Activities carried out by humans
finance
education
transportation
Healthcare
Products
Goods which are obtained directly from nature
Examples
fruit
fish
They are turned into something
Examples
Machines
Books
Clothes
They can be classified by
Composition
Consumable
Non-durable(pizza)
Durable consumer goods(computers)
Capital goods
Tools
Equipment
Function
Intermediate goods
Wool produced by a sheep
Finished goods
The shirt made from that wool
Ownership
Private
People
Families
businesses
Public
Belonging to the state
Goods which are not related to the economy
They belong to all humans
They are necessary in order to live
air
rain
wind
sun
They are not subject to a price
They are not scarced
ECONOMIC SECTORS
PRIMARY SECTOR
It obtains resources from raw materials
Agriculture
livestock
fishing
forestry
Mining
SECONDARY SECTOR
It converts raw materials into manufactured products
industry
Building housing
Infrastructures
It requires a variety of energy sources
TERTIARY SECTOR
It includes services
education
Healthcare
trade
Tourism
Transport
DEFINITION
It is carried out by humans
To acquire goods that satisfy consumer needs
Products
Services
