Economic Concepts and Sectors

Wholesale: selling products in large quantities at low prices to shops

Retail: sell directly to the consumer

Raw Materials: a substance in its natural state that will be used in an industrial process

Labor: working force of a country

Physical Capital: asset that is owned by a company and used to produce goods or services

Financial Capital: the money a business has to buy what they need to make products or to provide services

Primary Sector: industries that involve collecting and selling natural things

Secondary Sector: industries where finished products are made from materials produced in the primary sector

Tertiary Sector: the part of the economy that provides services to its consumers

Capitalism: an economic and political system in which a country's trade and industry are controlled by private owners

Quaternary Sector: part of the economy based on knowledge that usually involves the provision of services

Surplus: when you receive more money than the money you spent

Solar Farms: big photovoltaic facilities dedicated to producing electricity

House Bubble Collapse Crisis 2007: people stopped buying houses, so the housing sector was stuck

Quarry: a mine to extract industrial rocks

Gravel Pit: natural deposit of materials formed by erosion

Landfill: place to store waste or rubbish

Intermediate Good Industries: make products that are not going to be consumed directly (raw materials)

Consumer Goods Industries: make products that are going to be sold in the market

Guild: group of artisans that work in the same thing

Trade Unions: organizations that try to defend the rights of the workers

Fordism: Ford started using the assembly line system, which became cheaper and produced standardized cars