Quaternary sector

Economy-And-Finanzas

2022

We explain what the quaternary sector is, its characteristics, importance and examples. Also, what are the other economic sectors.

The quaternary sector has a direct impact on the development of new technologies.

What is the quaternary sector?

The quaternary sector of the economy is the fourth of the traditional divisions of the productive circuit (that is, of the economic activity), and in it are the activities and services based on the accumulation of knowledge and therefore impossible to machine. In general terms, it is referred to as the “research sector”.

The quaternary sector is one of the key sectors in the innovation technological and industrial, this is because the application of science and the technology to the business world has allowed the creation of an infinity of new marketable goods and services, as well as the improvement of existing ones. Therefore, this sector is home to hyper-skilled professional workers and often requires large investments budget

For these reasons, the quaternary sector is probably the one that has grown the most in the last century of human history, although it continues to be the majority and predominant in the nations of the so-called "first world", in which the level of industrial and technological development is high. , and in which there is the high income that this type of investment requires.

Characteristics of the quaternary sector

The quaternary sector of the economy is characterized by the following:

  • It is dedicated to innovation and the accumulation of knowledge, which has a direct impact on the development of new technologies and new possibilities for transforming matter to satisfy human needs (that is, new types of goods and services).
  • requires of workers hyperqualified and with a high level of professionalization (postgraduate degrees and work experience), which means that wages are usually higher than average.
  • It is a sector that is cross-linked with the others in the economic circuit, that is, it intervenes in the functioning of the other sectors to provide technological capital that improves the production of each one, and in turn requires inputs from them to fuel the investigation.
  • His tasks are of an intellectual nature, they cannot be mechanized or automated, although they are fed back with the technology that he invents to promote research. For example, if a new type of microscope is invented, this tool will serve to better study certain types of bacteria used in food fermentation.
  • It tends to predominate in countries with a high level of industrialization and technological development.

Importance of the quaternary sector

The importance of the quaternary sector is increasing in a world dominated by technological progress. Innovation in medical, biological or industrial applications not only has a noticeable impact on quality of life of people, but also allows the creation or strengthening of market niches.

As an example, just look at what happened at the end of the 1990s with the appearance of cell phones (despite the fact that at that time they were much more primitive than contemporary ones). Innovation allowed the improvement and lowering of the costs of this technology, which was made available to the entire world.If this had not happened, today we would not have the immensity of remote consumption applications and platforms that characterize the second decade of the 21st century.

Examples of the quaternary sector

Various forms of biotechnology are included within the quaternary sector.

Some examples of economic activities in the quaternary sector are:

  • the industry of computing and the TIC (information and telecommunications technologies).
  • The biomedical and genetic editing industry for medicinal purposes.
  • research in robotics and in artificial intelligence.
  • The aerospace industry and tourist travel to space.
  • Pharmaceutical and biochemical research.

Other economic sectors

In addition to the quaternary sector, the economy comprises the following sectors:

  • Primary sector. Also called the first sector or productive sector, it is in charge of extracting and processing the raw material of nature so that it can feed the secondary sector, that is, so that it can be transformed into consumer goods. For example: A mining company.
  • Secondary sector. Also called the second sector or manufacturing sector, it is responsible for transforming the raw material received from the primary sector into manufactured or consumer goods, that is, into products ready for the consumer obtain and use them, or in intermediate goods that feed other manufacturing industries. For example: A company that manufactures nails from iron sheets.
  • Third sector. Also called the third sector or service sector, it is responsible for providing other sectors and consumers with some type of profitable service of a defined duration, whether it is maintenance, information, customer service, among others. For example: Transport companies or internet providers.
  • quinary sector. Also called the fifth sector or non-profit sector, it is in charge of providing society with unprofitable services or without capitalization spirits that are required to solve the basic problems of society, such as the police, public institutions, firefighters. , among others.
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