1. Overview of Economic Content
Supplemental Packet

2. The Major Economic Problem…
We have needs necessary for survival.
We have wants that keep us happy.
***Our wants exceed the resources available to produce them(concept of Scarcity)

3. How to Deal With Scarcity…
Make choices
Trade-offs: whatever is not chosen
Opportunity Cost: the most valuable trade-off

4. Making Economic Decisions
1. Define the Problem
2. List the Alternatives
3. Establish a Set of Criteria
4. Evaluate the Alternatives
5. Make the Choice