Essential Economic and Industrial Concepts Defined

Key Economic and Industrial Concepts

Balance of Payments

A systematic record of financial transactions made between a country's residents and non-residents, usually conducted over a one-year period. This includes the buying and selling of goods and services, donations, state transactions, and capital movements.

Foreign Trade

Trade in goods and services between one country and the rest of the world.

Hydropower

Electric power generated by moving water, whether from a natural waterfall or one created by the construction of a dam of sufficient height through a valley.

Renewable Energies

Energy sources that can be replaced or replenished by natural processes or human intervention. Examples include:

• Solar energy
• Wind energy
• Tidal energy
• Hydraulic energy
• Geothermal energy
• Biomass energy

Energy Source

A resource from which useful energy can be obtained.

Urban Functions

Economic sectors and activities predominantly found in urban areas, serving the population living in a city, especially in relation to other cities.

Imports

Goods and services that a country purchases from other countries.

Basic Industry

A set of facilities for processing raw materials into higher-value products, often semi-finished goods used in large quantities in industrial processes. This group includes:

• Steel industry
• Metallurgy
• Basic chemistry
• Petrochemicals
• Cement production

Such transformations require large quantities of raw materials, energy, and complex industrial facilities.

Capital Goods Industries

Goods produced by industry that are necessary for the production of other goods. These include:

• Industrial machinery
• Infrastructure works
• Construction equipment
• Transport equipment

Construction and public works are also classified within this subsector.

Metallurgical Industry

All industrial operations aimed at the commercial production, preparation, and processing of metals and their alloys.

Petrochemical Industry

A basic heavy industry that uses oil or natural gas as feedstock for the production of chemical outputs.

Steel Industry

A basic heavy industry dedicated to the extraction and transformation of iron.

Technology Park

Spaces where companies and organizations focused on research, technological development, or innovation are located. These parks are typically well-communicated, have a managing body that ensures the establishment and adherence to eligibility criteria for firms within their environment, and carry out activities to foster innovation projects, technological development, and technology transfer.

Working Population

The segment of the population that is of working age and disposed to pursue gainful employment, regardless of whether they are currently employed or not.

Industrial Estate

An urban space, typically in urban neighborhoods, designated for the establishment of industries. These areas often facilitate the relocation of industries from city centers to other regions. They are carried out by government or private initiative and are often supported by tax advantages. Their development greatly expanded from the 1950s.

Development Pole

An instrument of economic stabilization plans, particularly during the Francoist era in Spain, which sought to promote regional development through the granting of various forms of aid.