Levels of Economic Activity

Categories of Economic Activity

1. Harvest or extraction

2. “Value added” industries

3. “Service-sector” industries

4. “White-collar” information services

5. High-level decision making

Locational Factors for Primary Economic Activities

--must be located close to the resource.

Locational Factors for Secondary Economic Activities

--needs to be accessible to the resource, a source of energy, the market, and an appropriate labor force.

Why is Detroit located where it is?

Locational Factors for Tertiary Economic Activities

--Proximity to the market is the most important locational factor for tertiary activities.

Locational Factors for Quaternary Economic Activities

--Access to good telecommunications infrastructure and a suitable work force is important.

Locational Factors for Quinary Economic Activities

--Quinary economic activities tend to cluster.

Research Triangle Park, NC

The sectors of the economy are tied together by its infrastrcture