HUMAN NEEDS AND PRODUCTION
ECONOMIC ACTIVITY
PURPOSE
To meet human material needs through the production of goods and services.
Main economic activities:
DISTRIBUTION
CONSUMPTION
PRODUCTION
creation
transporting
using
ECONOMIC AGENTS
Main economic agents:
BUSINESSES
GOVERNMENT
HOUSEHOLDS
use
Also supply labour when they work
services
goods
In exchange, they receive a financial remuneration
produce
goods
services
produces and uses
collect taxes
FACTORS OF PRODUCTION
raw materials found in nature
RENEWABLE RESOURCES
NON-RENEWABLE RESOURCES
regenerate faster than they are consumed
regenerate more slowly than they are consumed