The economic activities of Society

Get Started. It's Free
or sign up with your email address
The economic activities of Society by Mind Map: The economic activities of Society

1. Economic sectors

1.1. Primary

1.1.1. Agriculture, livestock farming, fishing and forestry

1.2. Secondary

1.2.1. Industry, construction, and the explotation of energy sources, such as water, oil and gas.

1.3. Tertiary

1.3.1. Healthcare, education, transport, tourism, trade and culture

2. Economic sistems

2.1. The subsistence system

2.1.1. In this system, wich is characteristic of societies with low levels of development, people produce what they need to meet their basic needs

2.2. The capitalist system

2.2.1. This system defends free competition. It is also called free market system. Is based on the law of supply and demand.

2.3. The planned economy system

2.3.1. In this system, the state owns the means of productio and controls all aspect of the economy. It decides what and how much is produced. it also decides how much goods will cost and what to do with the profits.

2.4. Alternative economies

2.4.1. These economies reject capitalism. They suggest a unique model for society that is based on solidarity between people, respect for nature and the common good.

3. Economic factors

3.1. Natural resources and raw materials

3.1.1. Nature gives us many elements that we transform to satisfy the needs of human society.

3.2. Labour

3.2.1. Labour is all human activity, is requered ro produce goods o provide services that are necessary for people and society. Human invention is still necessary.

3.3. Capital

3.3.1. Physical capital: The land on wich the business is built, the construction and maintenance of the permises, machinery and raw materials needed for the production of the goods or services.

3.3.2. Finalncial capital: This is the money needed to begin production.

3.4. Technology and expertise

3.4.1. Technical expertise makes possible the design, construction and use of machines and devices for the production of goods and services. We can distinguish in three types: manual production, machanical production, high-tech production. Companies requires quality training programmes for their employes and laboratories to reseach new technology.