Economics

Question 1

Agglomeration

Answer 1

Economic activities that are similar or rely on each other cluster together for convenience.

Question 2

Agriculture

Answer 2

Farming: the use of land to grow crops and to rear animals.

Question 3

Beneficiation

Answer 3

An industry or business that may supple equipment, resources or services to another industry or business, thus supporting them.

Question 4

Communal farming

Answer 4

Food production on land that is owned by the group living there; often the land is controlled by the local chief.

Question 5

Co-operative farming

Answer 5

A system in which farmers pool their resources for cooperation in a certain area, such as purchase of seeds, fertilisers or services such as transport.

Question 6

Cumulative causation

Answer 6

When a region has an industrial advantage such as a port or a raw material, other industries will follow.

Question 7

Economic recession

Answer 7

A period of temporary reduction in business.

Question 8

Economically active

Answer 8

That part of the population that is either working or looking for work.

Question 9

Famine

Answer 9

This is the absence of food security and may by recognised by the presence of hunger, starvation, malnutrition and the worry of possible food shortages.

Question 10

Food insecurity

Answer 10

Food insecurity exists when NOT all people, at all times, have physical and economic access to sufficient, safe and nutritious food to meet their dietary needs and food preferences for an active and healthy life.

Question 11

Food security

Answer 11

Food security exists when all people, at all times, have physical and economic access to sufficient, safe and nutritious food to meet their dietary needs and food preferences for an active and healthy life.

Question 12

Formal economic activity

Answer 12

Work in a registered firm, factory or farm; regulated (and taxed employment).

Question 13

Forward linkage

Answer 13

The interconnection of an industry to other industries to which it sells its outputs (which are then used as inputs by these industries).

Question 14

Genetically modified (GM) seeds

Answer 14

Seeds that are hybridised or have gene modifications to ensure resistance to disease or climatic conditions.

Question 15

Gross Domestic Product (GDP)

Answer 15

The total value of goods and services produced in a country in one year.

Question 16

Gross Geographic Product (GGP)

Answer 16

Each province contributes to the country’s GDP. The provincial contribution is referred to as the gross geographic product (GGP).

Question 17

Hinterland

Answer 17

The area beyond a seaport which supplies most of its exports and which uses goods imported through or made in that seaport.

Question 18

Homelands

Answer 18

The ten regions within South African designated by the apartheid government to be the home ‘country’ of every black Pearson, according to their ethnic identity.

Question 19

Informal sector

Answer 19

The informal sector in the economy is the diversified set of economic activities, enterprises, jobs, and workers that are not regulated or protected by the state. The concept originally applied to self-employment in small and unregistered enterprises.

Question 20

Link industry

Answer 20

An industry that either supplies materials or equipment to another industry or which depends on another industry for materials or equipment for its own processes.

Question 21

Manufacturing

Answer 21

The conversion of raw materials into fabricated products, and the assembly of items.

Question 22

Mass production

Answer 22

The making of large quantities of identical articles by standard mechanised processes.

Question 23

Monoculture

Answer 23

The cultivation of one main crop extensively, such as maize or sugar cane.

Question 24

Multiplier effect

Answer 24

Additional economic development (as in factories, services, employment and wealth) in response to a new or expanding development. (e.g. a mine or factory).

Question 25

Nationalisation

Answer 25

When the government takes over the ownership and operations of the mines.

Question 26

Open cast mining

Answer 26

Type of mining which does not use shafts or tunnels. Mining takes place at the surface. The layer above the mineral seam is removed and the exposed deposits is extracted using earth-moving machinery.

Question 27

Pastoral farming

Answer 27

The raising of animals such as cattle, sheep and goats.

Question 28

Permaculture

Answer 28

Sustainable agriculture.

Question 29

Primary sector

Answer 29

The extraction of raw materials.

Question 30

Quarrying

Answer 30

A form of surface mining for rock or stone which is used in building or road making.

Question 31

Quaternary sector

Answer 31

Involves intellectual activities like research and information technology. This sector includes data processing and the dissemination of of information.

Question 32

Quinary sector

Answer 32

Some consider there to be a branch of the quaternary sector called the quinary sector, which includes the highest levels of decision making in a society or economy. This sector would include the top executives or officials in fields such as government, science, universities, non-profit organisations, healthcare, culture and the media.

Question 33

Ranching

Answer 33

The large-scale rearing of cattle on extensive farms.

Question 34

Reserves

Answer 34

Minerals known to exist but not yet mined.

Question 35

Ro-ro

Answer 35

Roll on-Roll off – a ship that exports vehicles. The vehicles roll onto the ship and then roll off at their final destination.

Question 36

Secondary sector

Answer 36

The processing of raw materials to produce manufactured products.

Question 37

Tertiary sector

Answer 37

This sector involves the selling of products and provision of services.

Question 38

Ubiquitous industry

Answer 38

Industries that are located over the entire geographic area.

Question 39

Value-added products

Answer 39

When a basic resource or material has been made into a product for sale. (e.g. fruit juices and jam are processed from the fruit picked).