Question

"Tertiary activities include both production and exchange.'' Examine the statement.

Answer 1

1. Primary and secondary activities are connected by tertiary activities. The production involves the ‘provision’ of services that are ‘consumed’.
2. The output is indirectly measured in terms of wages and salaries.
3. Exchange, involves trade, transport and communication facilities that are used to overcome distance.
4. Tertiary activities, therefore, involve the commercial output of services rather than the production of tangible goods. 
5. They are not directly involved in the processing of physical raw materials. Common examples are the work of a plumber, electrician, technician, launderer, barber, shopkeeper, driver, cashier, teacher, doctor, lawyer and publisher etc.