Let the battle begin

Food Water Clean Air Clothing Shelter

Designer clothes Cell Phones Big Houses Expensive Cars

Discuss with a partner and post to today’s meet this question: Do you believe that your NEEDS are similar or different from that of the generation before you when they were your age? (Your Parents) Prepare a list of three needs that you would agree are similar to those of your parents when they were young and a list of three that you agree would likely be different. Justify why those are needs and not wants.

Goods Things that you can see and touch. (Products) Services  Activities that provided for the satisfaction of others. They are consumed as they are purchased.

Eco. Resources are the things used to produce goods and service. There are three types: 1) Natural Resources- Raw materials produced by nature 2) Human Resources- People that produce goods and service 3) Capital Resources- Products used to produce goods and services

Scarcity- Not having enough resources to satisfy needs.  Lack of food means not everyone eats  Lack of clean water means not everyone has water to drink  Not enough clean airair

Define the Problem- How do you choose when you don’t know why you are choosing? Identify Choices- Know your options Evaluate Adv & Disadv of each choice-Pros and Cons Choose the Best Alternative- Best Decision for You Now Act on Your Choice- Go with your decision Review Your Decision Later- After you Experience the Result Your Choice Because of Scarcity people must make choice about what needs and wants to satisfy. This is the economic decision-making process.

Trade-Off When you give something up to have something else. The value of the next best alternative that you were not able to choose.choose Opportunity Cost

Discuss with a partner and post to today’s meet this question: You are asking the city council to build a skateboarding park that will cost the tax payers $30,000. They ask you to identify the opportunity cost of the other recreation alternatives for teenagers. Identify two other alternatives for the city and discuss how you would determine the opportunity cost of each.

Everyone has UNLIMITED Wants and NEEDS for Goods and Service Not all those Wants and Needs can be met because of the Scarcity of Economic Resources So people use the Economic Decision Making process to weigh the Trade-Offs and Opportunity Costs of their decisions Next Class ---Economic Systems and Supply and Demand