How Scarcity and Choice affect what you want and what you need.

UEQ and LEQ UEQ: What is an economy? How does scarcity and choice cause problems in an economy? LEQ: How do wants and needs affect peoples’ decision making?

Vocabulary Capital Consumption Scarcity Factors of Production Opportunity Cost Want Need

Self Assessment Quiz Does what you want determine what you need in life? Take the Self Assessment Quiz that I have provided. Once finished, compare your answers with someone sitting near you. How are you both similar/different? Question To Answer (on lined sheet of paper) 1. How can a self assessment quiz such as this help you determine what you want and what you need in life? 2. Can a self assessment quiz be useful to help you later in life?

Can You Determine Who Wants and Who Needs? Use the packet, labeled “Figuring Out Wants and Needs” to determine in your own opinion, what you think each picture’s wants and needs are. Write your single answers into the graphic organizer chart provided. Compare what you have with others sitting near you, see if your answers are correct, or if you are missing any important wants/needs. Fill in answers on Smartboard.

Little Boy WantsNeeds

Married Couple WantsNeeds

American Family WantsNeeds

People Want EVERYTHING Everyone wants something. However, you can’t get everything. Basic Wants What you desire to get eventually. House, Car, Money, Cell Phone, Married, Vacation

How Wants Can Lead To Problems What You Cannot Have Without Payment Wants in Real Life Wants in Prison

I Need this… Everyone needs something. People will always have needs. Basic Needs: What you need to live/survive. Food, Water, Shelter, Clothing, and Air

Differences: Wants vs. Needs Read over the article “The Difference Between Wants & Needs.” Items To Answer Is Wealth a Want or Need? Find 3 suggestions the author gives you if you want to become wealthy and underline them in the article. Prediction: How can living paycheck to paycheck be a dangerous situation for anyone? Opinion: Why do you think it is critically important to look at your true needs and wants? What is an affordable want? Is it a good idea to only get these kinds of wants? Why/Why Not?

Resources Everything you want and need comes with a price. Factors of Production: items people use to make goods and services to satisfy their wants and needs. Three Resources Labor (Workers and Jobs) Land Capital (Money) Basic Equation Limited Resources Wants and Needs

Labor Time and Energy of workers and business spent on making products.

What is the Message?

Labor Strikes When labor is mistreated, strikes can occur. Labor Riots in France How can strikes affect what you can get? How does this impact in turn affect what you want and need?

Land Resources from the Earth. Oil, Wood, Water, etc. Parts used to make items.

Shortages Using to much of one item can lead to its scarcity. Overusage can lead to pollution. Pollution in China Nuclear Accident

Capital Capital is anything made that is used again to make something else. Tools Machines Buildings MegaStructures

Land, Labor, Capital Together Production: taking land, labor, and capital and throwing them together to make something. How Jelly Beans Are Made

Production to Consumption Once something is produced it is distributed for sale. Consumption: Purchasing a product and using it.

Production to Consumption Map

Exit Ticket Answer this: Can a Want become a Need? Provide a specific example and explain. Answer this: Can people have everything they want? Why/Why Not? How do limitations on resources stop you from getting everything you want? Answer this: How can wanting something lead to problems? What kind of problems?

Making Choices, Big Decisions How do you make a choice? Do you just know you want something, or is there something else you think about before you buy an item. How do you decide to buy that one thing? Why do you buy it that very day? These are all questions that people usually don’t think about they just go in and buy something without ever really considering what they are buying, is it good or bad, how much it costs. h_id=Economics h_id=Economics

Scarcity (There is NEVER Enough) Every country in the world faces scarcity. Scarcity means that a countries resources can not satisfy everyone’s wants and changes in wants, this not only affects the poor but the rich too. Example: Chevy decides to produce a Corvet for every single person in the U.S., but that means all other types of Chevrolet vehicles will be scarce. Basically, everything and everyone makes a scarcity choice, from each of you, to the government, to every business, it is part of our economy. h_id=Economics h_id=Economics