Objective 1 - -TSW understand key concepts. (P.I. 2.4.2) Objective 2- -TSW categorize and apply key concepts to real-world examples.

*What is the definition of Wealth?

Wealth--Economic products which are tangible, useful, scarce, and transferred from one person to another. *It is hard to measure wealth because it does NOT include contributions and talents but they can be used to obtain wealth.

2. Consumer Goods--manu- factured items used to satisfy wants. 3 Items of Wealth 1. Land--natural resources existing w/out human effort. 2. Consumer Goods--manu- factured items used to satisfy wants. 3. Capital Goods--manufac- tured items used in business.

4. Delivery van for a florist Land Consumer Goods Capital Goods 1. Tractor on a farm. 2. Soil on a farm. 3. T-shirt for a student 4. Delivery van for a florist 5. Van to carry cheerleaders to the game. 6. Iron ore used to make steel. 7. Building for a grocery store 8. House for the Jones family. 9. Tool set for a mechanic . 10. Tool set for the Mechanics 101 class.

$15,000 Furniture Used Car Carpet Vacation Opportunity Cost The value of what must be given up to obtain something else. (The next best alternative.) $15,000 Furniture Carpet Vacation Used Car

Exit Ticket *Write a paragraph about a time when you, a business, a church, organization or government had to make an economic decision. Be sure to tell the options, the trade-offs, opportunity cost and the economic choice.