1. Economics Themes

2. What are themes?
Broad terms that tie multiple parts of economics together
4 themes in this class
Scarcity
Incentives
Interdependence
Gain From Trade

3. Enduring Understandings
sentence explaining WHY a theme matters
Ultimately, it’s what I want you to understand when you leave this class
THEY ARE NOT DEFINITIONS!!!

4. SCARCITY
scarcity of all resources causes parties to make choices, which incur costs

6. parties generally respond predictably to incentives

7. INTERDEPENDENCE
a decision made by one party has intended and unintended consequences on others

8. parties trade voluntarily when they expect to gain something
GAIN FROM TRADE
parties trade voluntarily when they expect to gain something

10. Journals 1-4
1. Describe a time you had to make a choice because of scarcity. What were your opportunity costs?
What incentives are most valuable to you? How do they change your behavior?
Describe 3 ways you are interdependent with others.
What’s something you have that you would be willing to trade or sell? What would you accept for it? Why?