Question

Developed countries have a higher proportion of their workforce engaged in _____.

• A. Tertiary activities.
• B. Secondary activities.
• C. Quaternary activities.
• D. Primary activities

Answer 1

The correct option is A Tertiary activities.

Tertiary – The service sector of the economy

Definition – The service sector is comprised of firms offering ‘intangible goods’ such as entertainment, retail, insurance, tourism and banking. The service sector will make use of manufactured goods, but there is an additional component of offering a service to customers.

In a developed economy like the UK, the service sector is the biggest component of the economy, comprising nearly 80% of GDP and a similar ratio of employment. In the US, the service sector comprises 70% of the workforce.

In the UK, the main sectors of the service sector include:

• Retail industry
• Computer and I.T. services
• Hotels and tourism services
• Restaurants and Cafes
• Transport – rail, bus, air, sea
• Communication
• Banking services
• Insurance services
• Pension services
• Food and beverage services
• Postal services