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THE ECONOMIC SYSTEM

PEOPLE IN A ECONOMY

Non-paid workers: parents, volunteers

Inactive population: people unable to work

Active population: people old enough and physically able to work. Employed and unemployed.

ECONOMIC SECTORS

TERCIARY SECTOR: The service sector. selling of goods and services, in Spain 67% of population works in it.

International trade

National trade

Hypermarkets

Local Shops

SECONDARY SECTOR:, based on industrial manufacturing -Industrial revolution

3rd phase: digital tecnology. New energy sources; nuclear, renewable. Highly-skiled workers.

2nd phase: invention of trains and railroads. Iron and stell production. Invention of electricity. mass pction. more skilled workersrodu

1st phase: Steam engine, mechanisation of work. People moved form country side to cities. Textile industrie. low-skilled workers

PRIMARY SECTOR: Raw material are the natural resources

Silviculturalists

Miners

Fishermen

Liverstock farmers

Crop farmers

FACTORS OF PRODUCTION

CAPITAL - Man-maded Resources

LABOUR - People needed for production

LAND - Natural Resources

ECONOMY AGENTS

STATE

BUSINESSESS

HOUSEHOLDS