1. Basic Economics US economy by state Economics Mr. Rosenstock
San Fernando High School
US economy by state

2. 1. Copy the lists of words as written below 2
1. Copy the lists of words as written below 2. Discuss with a neighbor & answer the questions below
Trident chewing gum
a bath towel
a pair of Vans
contact lenses
iPhone X
65” 4K UHD TV
a set of dinner plates
lip gloss
a set of adjustable wrenches
rubber cased flashlight
an hydraulic lift
stethoscope
circular saw
Spalding basketball
handcuffs
a box of latex gloves
1.) What do you think the items in both lists have in common?
2.) What might each list represent?

3. Goods, Services and Consumers
Economics is concerned with economic products: any good or service that commands a price
a good: is an item, economically useful and/or satisfies a need or want
a book, car, double cheeseburger from In N’ Out
Consumer good: a good that is intended for use by individuals (consumers…people who use/consume goods & services)
Capital good: a good that is used to produce other goods or services (ex: a robot welder, an oven in a bakery)
Service: work that is performed for someone
barber, plumber, lawyer, professional tennis player, phlebotomist, etc

4. Value refers to worth that can be expressed in dollars and cents
Value, Utility and Wealth
Q1: what is value?
Value refers to worth that can be expressed in dollars and cents
Q2: why are some things worth more than others?
the scarcity (rarity) of something affects its value
The utility of something affects its value
Utility is the usefulness of something to someone
it is untouchable and it varies from person to person
Wealth: the accumulation of those products that are tangible, useful, scarce and can be transferred from one person to another
Homework question: what is the relationship among scarcity, value, utility and wealth?

5. Means of Production
In order for anything to be made there are three requirements:
Land: the “gifts of nature.” Our natural resources

6. Labor: Workers – with all
their skills and abilities

7. Capital: all of the tools, facilities, machines and money that are used in the production of goods and services