1. Supply and Demand
KCCT Chapter 8

2. Please select a Team. Globe trotters Toxic wasters Awesome A’s
Pretty Purple Princesses
Rockstar M&Ms
Golden Cobras

3. Effects of Scarcity The basic economic problem in society is scarcity.
SCARCITY means there isn’t enough of everything to give everybody everything they want
it is the imbalance between unlimited wants and LIMITED RESOURCES

4. The effect of Scarcity The opposite of scarcity is SURPLUS
Surplus exists when the supply of something is greater than the demand
When there is a surplus of something, the cost goes down
When there is a scarcity of something, the price goes up

5. Effect of scarcity
There can be a scarcity or surplus of GOODS or SERVICES or RESOURCES
GOODS are actual products that people buy and sell
SERVICES are work done by professionals (the service is bought or sold)
RESOURCES can be money, land, and labor

6. Which of the following is the MOST scarce?
candy bars
diamonds
shoes
compact disks
Response Grid

7. Which of the following is a service?
a new photocopier
toner (ink) for the photocopier
photocopier paper
photocopier installation
Response Grid

8. Fastest Responders (in seconds)
Participant 1
Participant 2
Participant 3
Participant 4
Participant 5

9. When there is scarcity, there is:
more than is needed
less than is needed
just the right amount as needed
nothing that is needed
Response Grid

10. Which of the following is not a person who provides a service?
plumber
hair stylist
farmer
bus driver
Response Grid

11. Racing Leader Board
Racing Leader Board

12. Goods and Services
a person that purchases a good or service is known as a CONSUMER
every time you buy something or hire someone to do something for you, you are a consumer!
Consumers buy goods and services to satisfy economic wants and needs

13. Goods and Services
NEEDS (NECESSITIES) are items or services which are necessary for survival
WANTS (LUXURIES) are items that are nice to have, but are not necessary for survival

14. In order to be considered a consumer, you must:
manufacture something
sell something
purchase something
grow something
Response Grid

15. Which of the following items is a luxury?
medicine
pants
water
ice cream
Response Grid

16. Which of the following is a need?
a bed
flip-flops
a car
asthma medicine
Response Grid

17. Participant Scores Participant 1 Participant 2 Participant 3
Participant 1
Participant 2
Participant 3
Participant 4
Participant 5

18. Opportunity Cost
when you purchase a good or service from someone, the amount of money you pay is the cost
However, the true cost of the item is greater than the money you paid for it—it’s also what you gave up to buy it
whatever you give up to buy something is called your OPPORTUNITY COST

19. Opportunity Cost
Every time you make a decision, there is an OPPORTUNITY COST.
In economics, the goal is to use your RESOURCES as wisely as possible

20. You have $15 either to go to a movie with a friend or to buy a new CD
You have $15 either to go to a movie with a friend or to buy a new CD. You decide to purchase the CD. Which is the opportunity cost?
buying the CD
giving up the movie
$15
there is no opportunity cost
Response Grid

21. You decided to come to school today
You decided to come to school today. Which of the following is NOT your opportunity cost?
doing a “turning point” lesson
sleeping in
doing what you want at home
watching TV
Response Grid

22. Racing Leader Board
Racing Leader Board

23. A store’s warehouse contains 500 televisions, 1000 radios, 500 DVD players, and 20 theater systems. There is the greatest scarcity of which item?
televisions
radios
DVD players
theater systems
Response Grid

24. Scarcity requires people to make:
purchases
choices
goods
services
Response Grid

25. Team MVP
Points
Team
Participant

26. Which of the following is a product?
marketing consultation
personal computer
legal representation
medical care
Response Grid

27. Which of the following people provides an economic service that meets a need?
movie theater owner
water treatment plant operator
passenger airplane manufacturer
internet service provider
Response Grid

28. What percentage of your current points would you like to wager on the next question?0%
25%
50%
75%
100%
Response Grid

29. being able to buy food for his family being able to gamble $342.17
Joe went to the casino and gambled his entire paycheck, $342.17, away instead of buying food for his family. What was the opportunity cost of his decision?
being able to buy food for his family
being able to gamble
$342.17
there was no opportunity cost
Response Grid

30. Racing Leader Board
Racing Leader Board