EARNING A

LIVING
By:
Mr. Seth Worwornyo
Geography Teacher, SIS.
 Objectives
Define and explain the concept of economy
Briefly describe factors of production
Differentiate between good and services
Explain what is an economic activity
Identify and give examples of economic activities
The explain the concept of employment
structure and represent it on triangular diagram
Describe the interrelationships among sectors of
economy
Describe causes and changes in employment
structure
 Economy
What is meant by an economy?
Economy means a system in which people
ear living by producing, distributing and
consuming goods and services.
Basically, there are 3 components of every
economy, no matter how it differs in its
organization. These are?
Production,
Consumption
Growth.
 Economy
An economy is a system consists of parts
which are interrelated and interdependent
like the cells of living things.
Every economy provides goods and services
which are either used locally or are sold
abroad in order to buy imports.
Even though economies might differ in
their organization, they all perform these
three functions (prod., consumption and
growth).
 Production
How many of you took
breakfast today?
Have you ever thought of how
you got these food items you ate?
Can you tell the process by
which we got them?
Did you drive yourself to
 Production
Production is any organized
activity of transforming
resources/factors of
production/raw-materials/inputs
into finished products in the form
of goods and services.
What is the difference between
goods and services?
 Production (cont.)
What is the purpose/objective of Production?
The purpose of every production activity is to
satisfy the needs and unlimited wants of
people.
Needs are necessities of life. They are:
Food, Shelter, Clothing, Water, Air, Sunlight
Wants are all those things people desire to get
when they have unlimited amount of disposal
income. They include: cars, private jets, yacht,
accolades, academic degrees, etc.
 Factors of Production
What do you think goes into the
production of goods and services? E.g. rice,
car, driver, earthenware pot, security
personnel, etc.
These are known as Factors of Production
(CELL).
Land
Labour
Capital
Entrepreneur
 Cost of Production
This means money spent in paying
for the use of the factors of
production (CELL).
What other names do we give to factors
of production?
The factors of production are also referred
to as means of production or resources or
inputs
What are Resources?
They are things we find in our environment
that are of use to us. They are usually
classified into two main groups:
Natural resources
Human resources.
 Types of Resources

Natural Human

Non- Manufac
Renewable Human
renewable ture
goods
Contin Sustain Metallic
Fossils
uous able minerals
Natural Resources (FP) is Land.
Land describes the gifts of nature, which
are available to us for the satisfaction of
needs and wants.
They are: Mineral deposits, Forests,
Water bodies, Fossil fuels, the Soil, Fish
stock, animals, etc.
 Factors of Production (cont.)
Human Resources (FP) is Labour.
These consist of the energies, skills and
knowledge of the working population.
Examples include; Drivers, Labourers
in a company, Farmers, Factory
workers, Carpenters, Doctors,
Teachers, Electricians, Plumbers,
Engineers, etc.
Manufactured Resources (FP) is Capital.
These are resources that make the task of
production easier. They also include
tools invented man.
Examples include: Pens to write with,
Computers, Calculators, Screw drivers,
Spanners, Shovels, Power stations,
Factories, Machines, Railways, Roads,
etc.
Production as a System
 Economic Activities
These are legal activities done by
humans to earn a living. They can
also be referred to as sectors of the
economy or industries. They are:
Primary
Secondary
Tertiary
Quaternary
Secondary Sector/Manufacturing Sector
This seeks to turn or transform the original nature
of raw materials or natural resources at the primary
sector into semi–finished and finished goods.
Examples?
Tertiary Sector: This sector consists of rendering
of services activities concerned with making
available produced or manufactured goods and
services to consumers.
 Class Exercise – 19/02/24 – 10 mins.
Group each of the following economic
activities under primary, secondary or
tertiary sector in a tabular form.
Teaching, Refining, Food processing, Brewery,
farming, Banking, Water bottling, Driving,
Textiles, Drilling, Health service, Ship building,
Mining, Quarrying, Transportation, Insurance,
Fishing, Security service, Gathering, Tailoring,
Car fabrication, Lumbering, Salesmanship,
Footwear production, Hairdressing, Aerospace
engineering, Legal, Hunting, Aluminium works.
 Answer:
Primary Secondary Tertiary
Farming Refinery Driving
Fishing Water bottling Legal
Drilling Textiles Hairdressing
Quarrying Shipbuilding Banking
Mining Brewery Health service
Gathering Car fabrication Insurance
Hunting Footwear production Security service
Lumbering Aluminium works Transportation
Food processing Teaching
Aerospace engineering Salesmanship
Tailoring
 Employment Structure
It is the percentage (proportion) of people employed in/at
the various sectors (primary, secondary and tertiary) of
an economy.
This changes depending on the level of development
and the technological advancement on the economy
(country).
LEDCs normally have higher percentage of their
labour force working in the primary sector whilst the
MEDCs have higher percentage engaged in the tertiary
sector.
The best representation of employment structure is
the Triangular (diamond) diagram. Others like
percentage bar graph, pie chart, Hjulstrom curve, can
 Reasons for changes in Employment
Structure
Competition in manufacturing sector with other countries so
most people concentrate on tertiary sector.
The tertiary sector has increased in MEDCs due to the greater the
demand for services.
There is greater development of high-tech industries MEDCs
hence decreased in primary sector.
LEDCs cannot afford to import primary and manufactured
products so there is concentration on primary and secondary
sectors.
In MEDCs, more people live in urban centres where tertiary
activities are concentrated.
The manufacturing sector in LEDCs has begun to improvement
due to MEDCs exploiting cheaper workforce in developing
countries.
 Causes of Unemployment
Low levels of education
Lack of sufficient skills
Job preferences
Limited job opportunities
Rural to urban migration
Misguided education policies
Bribery and corruption
Rapid population growth.
Factors of location of Industries and Jobs
Availability of raw-materials
Availability of people with the
required skills
Adequate and good transport links
Availability of land and its cost
Government policies on use of
land
Availability of ready market*
 Group Research and Presentation
Iron and Steel Industry in Ruhr Valley, Germany
Coffee production in Ethiopia
Fishing in Japan
Mining in Ghana
Oil Drilling in Nigeria
Under the following Headings
Description of industry and Geographical location & map
Factors influencing the location of the industry
System of production
Benefits to the local people and the economy
Disadvantages to the local people and the environment
End of the Unit

Thanks for your

cooperation!