Wh

Using their surrounding countries are able to create wealth, with the right skill and knowledge countries are able to use their surroundings and improve their economy, such as two oil producing countries. Australia and Malaysia both owe majority of their wealth to their natural resources as Australia uses their goldmines for wealth and Malaysia uses trees to make Latex rubber

Fair Trade

In many areas employees are not treated and paid well therefore defeating the whole purpose of trade and in order to prevent this many people have thought of putting fair trade into action. Fair trade is a global trade solution which will basically make sure that employers are paid a proper amount to evenly spread among colleagues and treat employees ethically while keeping environmental practices sustainable. Fair trade is basically any product that is marked by either the World Fair Trade Organization or the European Fair Trade Organization. Throughout Fair trade organizations there are many rules they must follow to be fair trade, Some rules told to the fair trade areas that created soccer balls were that:

-They can only hire adults

- Pay a fair wage

- Ensure safe surroundings for women

- Put money back into the community

Global Trade Affects

Environmental

Trade is also known as the process of buying and selling goods and services. International exchange is when countries communicate with one another to receive certain benefits such as goods and services. The increase of communication and transportation has made a up rise in globalization, which is the increase/decrease of communication around the world which includes the amount of trading around the world. With new technology people are able to virtually buy anything as well as communicate to majority of the world.

Economic

/

Social

When increasing in trade this also almost always leads to there being an increase in wealth, as an example the Philippines had increased their wealth by selling call services throughout the world. These call centers had contributed to US $11 billion in that year. However what actually is happening is the Philippines was hiring those in a country with lower wages to provide good and service to areas with higher wages and even if the country itself was creating more jobs in a less developed country but making an opposite effect for more developed areas. Also if a industry is doing well this can make a better circumstance for the employees but the same can happen for the downfall of the area. Working long nights can also make a large impact in a negative way on the lifestyle of citizens.

Trade and Wealth

When increasing in trade this also almost always leads to there being an increase in wealth, as an example the Philippines had increased their wealth by selling call services throughout the world. These call centers had contributed to US $11 billion in that year. However what actually is happening is the Philippines was hiring those in a country with lower wages to provide good and service to areas with higher wages and even if the country itself was creating more jobs in a less developed country but making an opposite effect for more developed areas. Also if a industry is doing well this can make a better circumstance for the employees but the same can happen for the downfall of the area. Working long nights can also make a large impact in a negative way on the lifestyle of citizens.

Trade and Globalization

Trade is also known as the process of buying and selling goods and services. Using trade the world has made much change in the past years for both good and bad. International exchange is when countries communicate with one another to receive certain benefits such as goods and services. This along with increase of communication and transportation technology has made a up rise in globalization, which is the increase/decrease of communication around the world. This also include trade around the world as an important factor. With new technology people are able to virtually buy anything as well as communicate to majority of the world.

Command Economy

Tradition Economy

Economic Sectors, Patterns, and Development

A command economy is an economy in which the government controls all resources, goods, and services. An advantage of this economy is the government can focus on fixing one problem without interference. However, Citizens are given less freedom, and the government may not have the best interest at heart.

Government Control: Full

A traditional economy is for small isolated communities, in which people meet their need by their own effort. An advantage of tradition economy`s is it helps people learn skills to survive. However, this means a little interaction.

Government Control: None

Economic activity also fall into four type of sectors; primary, secondary, tertiary, and quaternary industries. Geographers recently discovered various characteristics between 1st and 3rd world countries. Non-developed countries have a growing number of industries, few wealthy citizens, less technology, poor housing, low income, etc. However, Developed countries have many industries, many wealthy citizens, few unemployed citizens, luxury housing, advance technology, etc. Life expectancy, GDP per capita, and access to medical care vary depending on the type of country. Least developing economies mostly rely on primary industries. Their life expectancy is approximately 54.8 years, their GDP per Capita is approximately 1500, and their access to medical care(hospital beds per 1000 people) is 0.4. More developed economies with has a life expectancy is approximately 81.5 years, their GDP per Capita is approximately 30 100, and their access to medical care(hospital beds per 1000 people) is 3.2. Developing economies mostly rely on secondary and tertiary industries. Their life expectancy is approximately 74.2 years, their GDP per Capita is approximately 9900, and their access to medical care(hospital beds per 1000 people) is 2.1.

Economic Sectors

Primary Industry

Secondary Industry

These are industries that take natural resources from nature, an example of this industry would be forestry.

Industries that take natural resources and make products for others are also known as secondary industries.

Quaternary Industry

Tertiary Industry

Industries that focus on ideas and education are also known as quaternary industries.

These are industries that provide services and sell goods for others, such as accounting and retail stores.

How Does Economic Activity Affect People's Lives?

Mixed Economy

Market Economy

A Market Economy is an economy in which producers and consumers are in charge of the economy, and the government does not interfere. An advantage is producers tend to keep the prices down to attract consumers. However, businesses avoid taking measures to protect social and environmental aspects.

Government Control: Little

A mixed economy means both businesses and individual make many decisions regarding the economy. However, the government also gets a say. An advantage of this is the government can make rules to protect the overall economy.However, the government can sometimes make a inappropriate decision.

Government Control: Some

Economic activity is when an individual or country produces, provides, or consumes goods/services. For instance, attending school, getting a job, and buying lunch are all considered economic activity. Economic activities is what builds an economic system; the structure of a country's economy. There are four types of economic systems; traditional, command, market, and mixed economy systems. The biggest difference between these systems is the level of their governmental control.

Definitions

• Wealth: The total value of a country's resources taking all factors, such as material good, natural goods, and human resources, in check
• Economy: Is the system of a country where goods and services are bought, sold, and made
• GDP: This is the total value that a country has produced in a year's worth of time
• GDP per capita: The total value made in a country throughout a year divided by the number of citizens in the area
• Global development: Improvement in the quality of life in different countries by improving the political, economic and social factors
• Economic development: The improvement of a country's economy

Wealth of Countries

Economic Development and Quality of Life

There are many reasons in which countries can use their wealth but two main ways governments use their wealth would be to improve quality of life for citizens and provide aids to other countries. This is also known as Global development. Another aspect of this would be Economic devel development and this involves efforts to improve the economy this is one key factor to improve quality of life. Having a strong economy means you will have wealth to improve other aspects of global development.

Gross Domestic Product (Per Capita)

A statistic known as GDP or Gross Domestic product is the total value of everything produced in an country over a year. This factor measures a country's wealth and if it grows or shrinks this is reflecting on the economy of the country.

Measuring Wealth

Geographic Aspects

Natural Resources

Location

Human Resources

Many area’s have a good economy because their location is near geographic features such as a natural harbor which can then be made into a port. For example Singapore's economy is mainly because of its location as it has a simple way to export and import goods due to the Strait of Malacca.

Literacy rate is a rough indicator of human resources as an area with a high literacy rate mean much of the population is skilled at certain tasks. These skills are the very reason industries are able to function because everyone is able to complete a specific task in the industry.

When making decisions about economy, also known as the system in which goods and services are imported,exported and bought in a country or region, Governments tend to compare, gather, and analyze statistics.

Content and Subject

Quality of Life and the Economy

Throughout chapter six you will learn about:

- The wealth of some countries compared to others

- The affects of economy

- Global Trade affects

- Analyze maps related to the quality of life