Industrialization

Arillo
Leano
Morrin
Tiu

INDUSTRIALIZATION
The

process in which a society or country (or world) transforms itself

from a primarily agricultural society into one based on the manufacturing
of goods and services.
Individual

manual labor is often replaced by mechanized mass production

and craftsmen are replaced by assembly lines.

SIGNIFICANCE OF INDUSTRIALIZATION:
The

use of technological innovation to solve problems as opposed to

superstition or dependency upon conditions outside human control such as
the weather.
More

efficient division of labor and economic growth.

SIGNIFICANCE OF INDUSTRIALIZATION
o

The industrial plants have led to more precise and accurate products
while still having mass production.

American cities with industrial plants have become centralized and have
attracted more population from all over the country and possibly even
from other countries through the transaction of foreign companies
building plants in America.

Industrialization has become the center piece of America's economic

development, and it has labeled America as being a land of opportunities.

PRIMARY INDUSTRIES (Extractive)

An industry involved in the extraction and

collection of natural resources, such as
mining, as well as by activities like farming
and fishing.

It is usually most important in less developed

countries, and typically less important in
industrial countries.

SECONDARY INDUSTRY
(MANUFACTURING)

Takes the raw materials supplied by primary industries

and processes them into consumer goods.

Further processes goods that other secondary industries

have transformed into products.

Builds capital goods used to manufacture consumer and

non consumer goods

It generally takes the output of the primary sector and

manufactures finished goods or where they are suitable
for use by other businesses, for export, or sale to
domestic consumers.

Examples of secondary industries include heavy

manufacturing, light manufacturing, food processing, oil
refining and energy production.

TERTIARY INDUSTRIES (SERVICES)

This sector provides services to the general

population and to businesses.

Services give value to people but are not physical

goods.

The basic characteristic of this sector is the

production of services instead of end products.
Services (also known as "intangible goods")

In most developed and developing countries, a

growing proportion of workers are devoted to the
tertiary sector. In the U.S., more than 80% of the
labor force are tertiary workers.

Examples of services are banks and public transport. It

sometimes classified as direct services (to people), e.g.
the police, hairdressing, etc. and commercial services
(to business), e.g. business insurance, business post,
etc.

Sales, repair services, banking, and insurance are all

part of the tertiary industry.

QUATERNARY INDUSTRIES

The portion of an economy that is based on

knowledge applicable to some business
activity that usually involves the provision of
services.

It is the use of modern technology in

research and development to train and
provide information to other industries.

It is based on knowledge and skill.

It is sometimes included with the tertiary

sector, as they are both service sectors.

The quaternary sector include:

information gathering, distribution and
technology; research and development;
vocational education; business consulting;
and strategic financial services.

Colin Clark's sector model of an economy

undergoing technological change. In later
stages, the Quaternary sector of the
economy grows.

List of countries according

to industrialization

Top 10: First World Countries in terms of their Gross National Income
The GNI based on purchasing-power-parity (PPP) per capita in int'l Dollars.

Country

Region

GNI per
Capita

Luxembourg

Western Europe

66 821

Norway

Northern Europe

41 941

United States

North America

41 557

Ireland

Northern Europe

40 003

Bermuda (overseas territory of the UK)

North America

Iceland

Northern Europe

35 686

Denmark

Northern Europe

34 718

San Marino

Southern Europe

*34 600

Canada

North America

34 444

10

Switzerland

Western Europe

33 168

Sources: IMF -- International Monetary Fund, World Economic Outlook Database, April 2005
(*) CIA The World Factbook (covers countries not mentioned by the IMF, information may refer to 2004 or earlier.)
Slightly different figures you will find at The World Bank Group

*36 000

Third World Countries in Terms of their Gross National Income (GNI)

Countries with the least gross national income based on purchasing-power-parity (PPP) per capita in int'l Dollars.
Simplified the GNI PPP is the average annual income earned by a citizen of a country.
That means for example, a citizen of Malawi can spend $ 1.6 a day to make a living,
a citizen of Eritrea $ 2.5, the average US citizen spends $ 114 daily.
Below countries with an average yearly income per capita and year under $ 1000,
poorest nations first.
Region
Rank

Country

GNI per capita

Timor-Leste

South-East Asia

Malawi

Eastern Africa

596

Somalia

Eastern Africa

*600

Democratic Republic of the Congo

Middle Africa

675

Tanzania

Eastern Africa

720

Yemen

Middle East

745

Burundi

Eastern Africa

753

Afghanistan

Central Asia

Guinea-Bissau

Western Africa

856

10

Ethiopia

Eastern Africa

859

11

Niger

Western Africa

896

12

Liberia

Western Africa

*900

13

Sierra Leone

Western Africa

901

14

Madagascar

Eastern Africa

911

15

Zambia

Eastern Africa

911

16

Eritrea

Eastern Africa

917

Sources: IMF -- International Monetary Fund, World Economic Outlook Database, April 2005
(*) CIA The World Factbook (covers countries not mentioned by the IMF, information may refer to 2004 or earlier.)
Slightly different figures you will find at The World Bank Group

*400

*800

PHILIPPINE INDUSTRIALIZATION
SITUATIONS AND ISSUES

Industrial Production in Philippines decreased 1.8

percent in January of 2015 over the same month in the
previous year. Industrial Production in Philippines
averaged 9.22 percent from 1986 until 2014, reaching
an all time high of 68.60 percent in April of 1988 and a
record low of -26.60 percent in January of 2009.
Industrial Production in Philippines is reported by the
National Statistics Office of Philippines.

Philippines is the 2nd fastest

growing country in Asia

The Gross Domestic Product (GDP) in Philippines

expanded 6.90 percent in the fourth quarter of 2014
over the same quarter of the previous year. GDP Annual
Growth Rate in Philippines averaged 5.09 percent from
2001 until 2014, reaching an all time high of 8.90
percent in the second quarter of 2010 and a record low
of 0.50 percent in the third quarter of 2009. GDP Annual
Growth Rate in Philippines is reported by the Philippine
National Statistical Coordination Board.