Imagine... You and your friends set out for a deep-sea fishing trip in the South Atlantic (near the Bermuda Triangle). Unfortunately, a sudden storm sinks your boat, but all of you were wearing life jackets and were washed up on the beach of a seemingly deserted island. One of your friends was injured during the ordeal and cannot stand or walk without pain. The able members of your party explored the island and reported their findings: 1. The island appears uninhabited, but it is a large island and there could be natives. 2. A source of fresh water was found, but it is halfway up a small volcanic mountain. 3. There is a large lagoon where fish were seen. 4. There are coconut trees. 5. You have only the clothes you were wearing. 6. It is late summer. 7. One member found a butane lighter in his pocket. It is almost out of fluid, but still works.

You are faced with a number of problems if you wish to survive long enough to have any hope of rescue. You have no way of knowing how long you will be on the island or if you will ever be rescued! Your Assignment: 1. Make a list of each problem that you face for survival. 2. Rank the problems according to importance or urgency. What problem should you tackle first, second, etc.? 3. You have 3 kinds of resources available to you: Human (people), Natural (found in nature), and capital (man-made). Make an inventory of all your resources by type. 4. List as many uses as you can think of for each resource. 5. Which of your resources are scarce?

3 Basic Economic Questions: 1. What to Produce? 2. How to Produce? 3. For Whom to Produce?

Production Possibilities Curve Aircraft Carriers Miles of Highway

Cost-Benefit Analysis

Acres Marginal Benefits Marginal Costs

Factors of Production Land (Natural Resources) Labor (Human Resources) Capital (Man-made Resources) Entrepreneurial Ability

Find out how economics affects an important part of your life – school! Take 15 minutes to tour the school and find as many examples as you can of the economics concepts below: 1. Scarcity 5. Specialization 9. Competition 2. Natural resources 6. Opportunity cost 10. Decision making/cost- 3. Human resources 7. Division of labor benefit analysis 4. Capital resources 8. Technology When you return to the classroom, your pictures to your google account and put them into a google doc. Be sure to label/caption everything! The label should be which term the pic goes with, and the caption should explain why the pic fits with that particular term. Points will be deducted for spending more than 15 minutes out of the classroom (3 points for each minute late returning to class). Do not disturb other classes! Be sure to keep your volume to a minimum!!