Economic

Definition

In terms of human geography, economic refers to how resources are distributed and consumed within societies. It studies patterns related with production, distribution and consumption activities across different regions.

Analogy

Think of the economy as a giant supermarket. Some people have more money to buy what they want, while others may only afford basic necessities. The way goods are priced, distributed and consumed in this supermarket is similar to how resources are managed in an economy.

Related terms

Economic System: The method used by a society to produce and distribute goods and services.

Globalization: The process by which businesses or other organizations develop international influence or start operating on an international scale.

Supply and Demand: An economic model of price determination in a market; it concludes that in a competitive market, the unit price for a particular good will vary until it settles at a point where the quantity demanded equals the quantity supplied.