AP Human Geography

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Tertiary economic sectors

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AP Human Geography

Definition

Tertiary economic sectors refer to the segment of the economy that focuses on providing services rather than producing goods. This sector encompasses a wide range of activities including retail, hospitality, finance, healthcare, and education, which are vital for the functioning of society and the economy. The growth of tertiary sectors is closely linked to urbanization and technological advancements, reflecting shifts in consumer preferences and labor distribution.

5 Must Know Facts For Your Next Test

  1. The tertiary economic sector has grown significantly in developed countries, often accounting for over 70% of GDP.
  2. Service industries within the tertiary sector often provide essential support to primary and secondary sectors, facilitating their operations and efficiency.
  3. Employment in the tertiary sector has increased due to globalization, with many service-oriented jobs being outsourced or created in response to international markets.
  4. The rise of technology has transformed the tertiary sector, leading to innovations in service delivery, such as online shopping and telemedicine.
  5. Tertiary sectors are crucial during economic downturns as they can provide job stability through essential services like healthcare and education.

Review Questions

  • How does the growth of tertiary economic sectors impact employment patterns in modern economies?
    • The growth of tertiary economic sectors significantly alters employment patterns by creating more service-oriented jobs. As economies develop and urbanize, there is a shift away from primary (agriculture) and secondary (manufacturing) employment towards roles in healthcare, education, and retail. This trend reflects changing consumer needs and technological advancements that prioritize service delivery over goods production.
  • Discuss the relationship between technological advancements and the expansion of tertiary economic sectors.
    • Technological advancements play a crucial role in the expansion of tertiary economic sectors by enabling more efficient service delivery and creating new types of jobs. Innovations like e-commerce platforms allow retailers to reach broader markets, while advancements in telecommunication have revolutionized healthcare delivery through telemedicine. Consequently, these technologies not only enhance existing services but also lead to the creation of entirely new industries within the tertiary sector.
  • Evaluate how changes in consumer behavior have influenced the growth of tertiary economic sectors in contemporary society.
    • Changes in consumer behavior significantly influence the growth of tertiary economic sectors by shifting demand toward convenience and personalized services. As consumers increasingly seek quick access to information and services via digital platforms, businesses adapt by investing in online sales channels and customer service innovations. This shift not only drives growth within existing service industries but also encourages the emergence of new sectors focused on meeting these evolving preferences, highlighting the dynamic interplay between consumer expectations and service industry development.
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