Presentation for unit 1

2. “Actions and processes governing the production, distribution and consumption of
commodities (goods and services) in an economy for the satisfaction of needs of
individuals or collectives.”

5. NEEDS
BASIC NON-BASIC
CHARACTERISTICS
- Infinite
- Selective
- Tend to be fixed
- Vary in intensity

6. PRODUCTION

7. PRODUCTION
INPUTS PRODUCTION OUTPUTS
FACTORS OF
PRODUCTION
USE-VALUE
(Utility)
EXCHANGE-
VALUE

8. DISTRIBUTION
MARKET

10. CONSUMPTION

12. PRIMARY SECTOR

13. SECONDARY SECTOR

14. TERTIARY SECTOR

15. Distribution of employment by economic
sector from 2007 to 2017 (USA, China and
Paraguay)

17. ACTIVE
POPULATION
INACTIVE
POPULATION
EMPLOYED
UNEMPLOYED
Pensioners, students,
home-makers, etc.

25. TELECOMMUNICATIONS
TRANSPORTATION
CAPITALISM

33. ADVANTAGES DISADVANTAGES
Increase of employment where
multinational companies and their
subsidiaries are located
Increase of the inequalities among the
geoeconomic areas of the world.
Reduction of production costs, implying
(not always) a reduction of prices
Multinationals may interfere economically
and politically in less developed countries
Promotion of the competition, leading to
greater qualities
Favourable for large businesses
Offshoring is encouraged

34. * Countries by GDP

35. * Countries by GDP per capita

36. * Countries by Human Development Index