An ECONOMY is.. - A system in which people produce, sell, and buy goods and services - System in which people work in order to meet their NEEDS AND WANTS

Reflection Questions Look at the budget activity you completed for homework last night and complete the following questions: 1)When you were trying to budget for your needs and wants, what resource(s) were scarce/rare/in short supply? ______________________________________________________________ ______________________________________________________________ 2)What difficult choices did have to make in order still meet some of your wants? ______________________________________________________________ ______________________________________________________________ ______________________________________________________________ 3)Why cant we have all of our wants? ______________________________________________________________ ______________________________________________________________

Wants are Unlimited, Resources are LIMITED. Wants 1) “I want to be a rock star” 2) “I want a Ferrari” 3)“I want to work for NASA” 4) “My oil company wants oil to be the fuel that runs all forms of transportation” Scare Resources ____ Not enough money ____ Not enough time ____ Oil is limited ____ Not enough knowledge of Science

Economic Problems: What You Want VS. What You Have Choice: ___________________________________ ___________________________________ ___________________________________

EXIT SLIP: below is information on population and available resources of three different countries. Imagine you have to make decisions about how people’s needs and wants are going to be met. 1) In which country would it be the most difficult to make economic decisions for your people about how needs and wants are met? Why? 2) In which country would it be easy to make economic choices for your people? Why?