In some places, for example, in the deaf Amazonian tribes, there is still a neolithic economy, and in some places, for example, in developed countries, there is already a post-industrial economy. Some countries have a pronounced level of economy, and some are in transition. Hence the difference in the volume of GDP that can be created in a particular economy.
Why was it necessary to divide the economy into sectors and levels? It was necessary to divide so that the opportunities and abilities of the economy of a particular country in the world were visible, as well as the opportunities for business within the economy of that country. Thanks to this division, it is clear what the economy of a particular country is, at what level it is located, which sectors are developed in it, which are not, and what kind of business is possible in such a country.
As for sectors, many countries have different sectors in the structure of their economies. But as for the levels, the situation here is very interesting, because there are countries where there is only one level of the economy, but there are countries in which several levels of the economy coexist at the same time. Accordingly, businesses representing different sectors coexist at the same time.
In such countries, some companies work as if they were still in the Neolithic, while other companies already understand that a post-industrial economy has arrived, and work at this level. However, the first reason why the economy should be divided into sectors is that at different times the basis, in other words, the locomotive that pulled the global economy as a whole and the economies of different countries, were different sectors and levels. This is a very important point.
Today we have 5 sectors and 7 levels of the economy, which means 35 segments of the economy. In each of them, a business with a different probability of success can try itself. The likelihood of success increases if a business tries itself in the sector and at the level that exists in the country.
However, the volume of success increases, on the contrary, if you engage in business within a new level that is not yet in the country. For example, if guarantees of success are needed, then it is very stupid to offer products of the post-industrial economy within the Neolithic, because nobody will need them, you will have to work very hard to create demand for them. Only Neolithic products will be needed.
Creating a new level and those sectors that are not there is very difficult, but at the same time very interesting, and maybe very profitable, if you are lucky. As a rule, the one who creates a business in some sector of a new level of the economy becomes a billionaire. There are many examples, starting from John Rockefeller, continuing with Bill Gates and ending with Mark Zuckerberg. All these people were at the forefront of new businesses at new levels of the economy.
The world economy began with the Neolithic level and the primary sector. Once it was the main sector of the world economy, once work in this sector and investments in it were the most profitable and profitable. At that time, it was a progressive economy, but compared to the modern economy, it was a primitive economy. For a long time, humanity lived primitively, which means that its representatives hunted and collected all kinds of plants.
At that time, nature itself was the basis, in other words, it was possible to consume everything that exists in nature. At the same time, the technologies were also primitive – the ability to hunt and the ability to collect all kinds of plants. Then various tools were invented that allowed mass cultivation of land, and this led to the formation of a new level of economy, which became its basis. It was in this new sector at that time that the main product was produced.
This was followed by the invention of more and more new tools and technologies and, as a result, transitions to new levels. Thus, the industrial level and industry appeared, which became a new basis, because the main product was produced in industry. At the end of the 20th century, technologies began to appear that allow massively generating and most importantly introducing new ideas, which led to the formation of a new economic base and a new level of economy called post-industrial economy.