Any human activity fulfilled to gain money or wealth is considered an economic activity. The core of economic activities includes manufacture, exchange, distribution, and the consumption of goods or services; and the return of the economic activity could express in monetary terms.
Human beings usually perform economic activities to make their income and gain their wealth. For instance, a trader, a manufacturer, an agriculturist, a doctor, a worker, and a teacher working in different fields to make their income or earn their wealth are examples of economic activities. With these economic activities, people could earn money for their expenses, such as buying bike shorts women made with high-quality and soft fabrics. When you have these bike shorts women on your bike, not only bike shorts women are good for speed, but also they make you look fantastic.
The Characteristics of Economic Activity
The main characteristics of economic activity could be summarized as follows.
1. Economic Motive
To earn profit and gain wealth is the primary motive of this activity. In other words, people undertake these activities to earn their livelihood and build their wealth consequently.
2. Resource Usage
To undertake such activities for profits requires the utilization of resources such as capital, land, labor, and others.
3. Rational Usage
To undertake economic activities also concerns the maximization of profits through rationally allocating scarce resources. This includes making the optimum utilization of capital, land, labor, and all other factors involved in economic activities.
4. Legally Binding
The activities performed to gain money and wealth can be viewed as economic activities only if these activities are legal. For example, the activities such as burglary, theft, smuggling, or the like cannot be viewed as economic activities because they are illegal.
5. Socially Accepted
To undertake these activities must comply with social norms, and the activities cannot be socially undesirable.
The Different Sectors Where the Economic Activities Performed
The different sectors where the economic activities are done include as follows:
Primary Sector
The Primary Sector involves agricultural activities, forestry, mining, grazing, quarrying, hunting, fishing, etc.
Secondary Sector
This sector involves the production of the finished goods with the raw material from the Primary Sector, including manufacturing, processing, and construction of an economy.
Tertiary Sector
This sector generally involves an economy’s service industry, including selling the goods from the Secondary Sector.
Quaternary Sector
This sector is closely related to the Tertiary Sector, including the intellectual activities associated with technological innovations.
Quinary Sector
This sector comprises the top executives and professionals in the governments, science, culture, healthcare, universities, and others.