Amsco Flashcards
Primary Sector
the economic sector that revolves around the extraction of raw materials/natural resources
Secondary sector
The portion of the economy concerned with manufacturing useful products through raw materials.
Tertiary sector
The part of the economy concerned with transportation, utilities, and communications.
Quaternary sector
the industry based on human knowledge which involves technology, information, financial planning, research, and development
Quinary sector
Activities involve facilitating complex decision making and the advancement of human capacities
Multiplier effect
Describes the expansion of an area’s economic base as a result of the basic and non-basic industries located there
Least cost theory
a production point must be located within a “triangle,” with raw materials coming from at least two sources.
Agglomeration economies
the benefits that come when firms and people locate near one another together in cities and industrial clusters.
Locational triangle
sought the optimum location for the production of a good based on the fixed locations of the market and two raw material sources, which geographically form a triangle
Bulk-reducing industries
An industry in which the final product weighs less than the inputs. (Ex: copper production)
Bulk-gaining industries
An industry in which the final product weighs more than the inputs.
Labor-oriented industry
an industry for which labor costs comprise a high percentage of total expenses
Break of bulk
A location where transfer is possible from one mode of transportation to another.
Containerization
Using standard size containers to ship goods
Footloose industry
company with no allegiance or ties to a country or location that can move to its primary location whenever it wants to
