1 Friday September 11, 2015, 2014 Today’s Objectives 34 - Identify the difference between needs & wants 36 - Distinguish among the factors of productions Explain the relevance of scarcity to economics. Next Class  Daily Quiz  Finish Econ. Decisions Daily Agenda 1)BRO Time: Get out your interactive notebook and ‘Be Epic Profile’ for a homework check 2)Worksheet: Is it a Good or Service? 3)Economic Decisions PowerPoint & Notes 4)Dilemma of the Day 5)ClosureClosure /monikagvt/econ

Table Time  Discuss & agree upon a definition for “good” and for “service” as it pertains to business and marketing.  Identify one example of each. 2

Economic Decisions 34 - Identify the difference between needs and wants.

Economics Defined o Study of producing, distributing, and consuming goods and services o Involves decisions regarding the use of resources (natural, human, capital) o Decisions are made by Individuals, consumers Businesses, producers Societies, government 4

The Economy’s Driving Force WANTS o Non-essential o Add to the quality of life o a.k.a. luxuries NEEDS o Essential to human life o Basic needs for survival o Examples: food, water, clothing, shelter 5

Table Time!  Think about your current situation as a high school student, teenager, athlete, etc.  Discuss three current wants (W) and three needs (N) in your life. Think about it! How can the fulfillment of a basic need lead to a want? 6

What satisfies our needs & wants?  Goods are things you can see & touch.  Services are satisfied through the efforts of other people.  In order to create goods or to provide a service, you need resources. 7

Economic Resources 36 – Distinguish among the factors of production.

Economic Resources are the means through which goods and services are produced. Economic resources are also known as factors of production. 9

Factors of Production 10 Natural Resources Capital Resources Human Resources

Economic Choices  We make choices about how resources are used to meet needs and wants.  Example: U.S. oil supply

Worksheet -- Factors of Production Work with your partner to: 1) Create a definition for each of the three factors of production. 2) List at least one example of each economic resource. 3) Determine what limits the availability of each resource. 12

Natural Resources o Raw materials found in nature o Examples include… Wind Water Minerals Plant life o Limitations 13

Human Resources o Human effort used for production o Work force includes everyone willing and able to work o Limitations 14

Capital Resources o Physical capital includes other items required for production Real Estate / Buildings Machinery Tools o Limitations 15

Discuss with your partner… Is it possible to produce a good or service using only one resource? Why or why not? 16

17 Tuesday September 15, Today’s Objectives 34 - Identify the difference between needs & wants 36 - Distinguish among the factors of productions Explain the relevance of scarcity to economics. Next Class  Daily Quiz  Finish Econ. Decisions Daily Agenda 1)BRO Time: Get out your interactive notebook and ‘Be Epic Profile’ for a homework check 2)Worksheet: Is it a Good or Service? 3)Economic Decisions PowerPoint & Notes 4)Dilemma of the Day 5)ClosureClosure /monikagvt/econ

Scarcity 37 – Explain the relevance of scarcity to economics.

The Basic Economic Problem o Resources limit the number of wants and needs that can be satisfied. o Most consumers in the U.S. can satisfy their basic needs. o Most people have unlimited wants, so we have to make choices. Basic Needs + Unlimited Wants Economic Resources 19

What is Scarcity? o Shortage of resources o Conflict between unlimited wants and limited resources [ Society’s Wants & Needs ] – [ Available Resources ] 20 Your Wants & NeedsYour Income

Economic Choices Economic Decision Opportunity Cost Potential Lost Things Given Up Your choice o A trade off – weighing costs vs. benefits – occurs when a choice is made between two or more options. o The opportunity cost is what you gave up by choosing one option instead of another. 21

Decision Making If I offer to give you something for nothing, is there a cost? 22

Dilemma of the Day How does scarcity impact individual decisions? 23

Shark Tank Good or Service!? We will watch an Episode of Shark Tank and you are responsible for completing the Shark Tank Worksheet for two entrepreneurs as you watch! Substitue please click here for the video link: Shark Tank Video LinkShark Tank Video Link 24