SCARCITY, CHOICE, and OPPORTUNITY COST The Sequel!

CANDY BAR AUCTION? How many people initially wanted the candy bar? How come? How much money did I get? More or less than what I paid? How come? Scarcity ... Results from unlimited wants with limited resources. A lot of students wanted the candy bar but I only had one.

Choice and Opportunity Cost As we explained before, because of scarcity people have to make choices. Every time a choice is made, benefits and costs are produced. If you decide to buy a CD, you decided NOT to do something else with the money. That is the opportunity cost of that decision. For example, perhaps you would’ve used that money to go out to a movie with a friend and now you can’t because the money is gone.

ACTIVITIES FOR TODAY! Activity One: Break into your groups from yesterday! Complete the activity entitled “Franklin’s Decision”. Please answer on the separate sheet of paper provided BECAUSE I need more detailed responses! Use complete sentences and answer with THOUGHT and DETAIL!

ACTIVITIES FOR TODAY! Activity Two is to be completed individually! It is about the opportunity cost of going to college (or some other form of specialized career training after high school) vs. going straight into the workforce! It’s called Diane’s Choice.