The quaternary sector of the economy is based upon the economic activity that is associated with either the intellectual or
knowledge-based economy. This consists of
information technology;
media;
research and development
Research and development (R&D or R+D), known in Europe as research and technological development (RTD), is the set of innovative activities undertaken by corporations or governments in developing new services or products, and improving existi ...
; information-based services such as
information-generation and information-sharing; and knowledge-based services such as
consultation,
education,
financial planning,
blogging, and
designing.
[
]
Other definitions describe the quaternary sector as pure services.
[
] This may consist of the
entertainment industry
Entertainment is a form of activity that holds the attention and Interest (emotion), interest of an audience or gives pleasure and delight. It can be an idea or a task, but is more likely to be one of the activities or events that have dev ...
, to describe
media,
culture, and
government. This may be classified into an additional quinary sector.
The term reflects the analysis of the
three-sector model of the economy, in which the primary sector produces raw materials used by the secondary sector to produce goods, which are then distributed to consumers by the tertiary sector.
Contrary to this implied sequence, however, the quaternary sector does not process the output of the tertiary sector. It has only limited and indirect connections to the
industrial economy characterized by the three-sector model.
In a modern economy, the generation, analysis and dissemination of information is important enough to warrant a separate sector instead of being a part of the tertiary sector. This sector evolves in well-developed countries where the primary and secondary sectors are a minority of the economy, and requires a highly educated workforce.
[
]
The tertiary and quaternary sectors form the largest part of the
UK economy, employing 76% of the workforce.
See also
*
Indigo Era
References
{{Industries
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National accounts