1. Understand the economic principles and concepts fundamental to business operations Performance Indicator Explain the concept of economic resources (EC:003, EC LAP 14)

2. Objective ▪ Define economic resources, natural resources, capital goods, human resources and factors of production ▪ List reasons that economic resources are important for business ▪ Explain why natural resources are limited ▪ Describe ways that businesses respond to limited natural resources ▪ Explain why human resources are limited ▪ Describe ways that businesses respond to limited human resources ▪ Explain why capital goods are limited ▪ Describe ways that businesses respond to limited capital goods

3. Warm- up Activity What is this? What is it made from? What does it take to make it? How does a person come to own one? Who makes them?

4. What are Economic Resources ? The human and natural resources and capital goods used to produce goods and services. Discussion: What economic resources do you believe are used in the production of a t-shirt?

5. Natural Resources Items found in nature that are used to produce goods and services Discussion: What would a business do if natural resources become limited?

6. Human Resources People who work to produce goods and services Discussion: What would a business do if human resources become limited?

7. Capital Goods Manufactured or constructed items that are used in the production of goods and services Discussion: What would a business do if capital goods become limited?

8. Concluding Activity Take a piece of paper and divide it into quadrants. Label each quadrant: Economic Resources, Natural Resources, Human Resources, Capital Goods Write the definition in each quadrant Now think about an item (ie. wooden table/desk, orange juice, bread, pizza) List/draw everything that falls within each quadrant Write what you think a business might do if one or more of the resources was limited or absent.