Key Takeaways
- Five themes of geography: Location, Place, Human-Environment Interaction, Movement, Region
- Map components: title, legend, scale, compass rose
- Scarcity = limited resources, unlimited wants
- Opportunity cost = value of next best alternative given up
- Four economic systems: traditional, command, market, mixed
Last updated: January 2026
3.2 Geography and Economics
This section covers geographic concepts and basic economics, representing about 55% of the Social Studies subtest.
Five Themes of Geography
| Theme | Description | Example |
|---|---|---|
| Location | Where something is (absolute/relative) | Absolute: coordinates; Relative: "near the river" |
| Place | Physical and human characteristics | Mountains, climate, culture, language |
| Human-Environment Interaction | How humans and environment affect each other | Farming, pollution, adaptation |
| Movement | How people, ideas, goods move | Migration, trade, communication |
| Region | Areas with common characteristics | The Midwest, the Sun Belt |
Map Skills
Types of maps:
- Physical: Shows natural features (mountains, rivers)
- Political: Shows boundaries, cities, capitals
- Topographic: Shows elevation with contour lines
- Climate: Shows weather patterns
- Economic/Resource: Shows natural resources, industries
Map components:
- Title
- Legend/Key
- Scale (ratio or bar scale)
- Compass rose (cardinal and intermediate directions)
Cardinal directions: North, South, East, West Intermediate directions: Northeast, Southeast, Northwest, Southwest
US Geography
Major Regions:
- Northeast: Industrial, urban, oldest cities
- Southeast: Agricultural, warmer climate
- Midwest: "Breadbasket," farmland
- Southwest: Desert climate, growing population
- West: Mountains, Pacific coast, diverse terrain
Major Physical Features:
- Mountain ranges: Appalachians (East), Rockies (West)
- Rivers: Mississippi, Missouri, Ohio, Colorado
- Great Lakes: Superior, Michigan, Huron, Erie, Ontario
- Great Plains: Central grasslands
Basic Economics
Key Economic Concepts:
| Concept | Definition |
|---|---|
| Scarcity | Limited resources, unlimited wants |
| Supply | Amount producers are willing to sell |
| Demand | Amount consumers are willing to buy |
| Opportunity cost | Value of the next best alternative given up |
| Trade-off | Giving up one thing to get another |
Types of Economic Systems:
| System | Characteristics |
|---|---|
| Traditional | Based on customs, barter |
| Command | Government controls production |
| Market | Supply and demand determine prices |
| Mixed | Combination (most modern economies) |
Goods vs. Services:
- Goods: Physical products (food, clothing, toys)
- Services: Actions performed for others (haircuts, teaching)
Producers vs. Consumers:
- Producers: Make goods or provide services
- Consumers: Buy and use goods or services
Test Your Knowledge
Which theme of geography describes how people change their environment?
A
B
C
D
Test Your Knowledge
What is opportunity cost?
A
B
C
D
Test Your Knowledge
Which US geographic region is known as the "Breadbasket" due to its agricultural production?
A
B
C
D