Transcript Economics
Economics What is Economics? Quickly jot down three decisions that you have made in the last 24 hours. For each decision, list two choices you decided against when you made the decision. Scarcity What comes to mind when you hear the word “scarce”? What items do you think are scarce? Opportunity Cost Identify 5 appealing vacation destinations. At the table, you must all agree on one of the 5. Be prepared to discuss your choices and what you had to give up by choosing one vacation over the others. Economic Systems Economic Systems Traditional Market Centrally Planned Mixed The Free Market What does “self-interest” mean to you? How is self interest connected to the concept of free market? Centrally Planned Economy Imagine that you are a worker with a guaranteed job for life. The government tells you what to produce, how much to produce, when to produce. How committed would you be to produce with efficiency, quality or innovation? Benefits of Free Enterprise What does the “land of Opportunity” mean? Can you give any examples of people that you know who started a small business? Providing Public Goods Do people share willingly? Are people obligated to share their resources with people who have need? Safety Net What is poverty? How does poverty affect a whole society? Is it the governments job to try to end poverty? Unemployment What do you think of when you see the word “unemployment”? What are some reasons why people are unemployed? Poverty What is poverty? What are some of the reasons for poverty? What words do you associate with the concept of poverty? Demand What is the most important thing that you think about when you are considering buying something? Shifts in Demand What would happen to the sales of a particular type of car if the car producers announced that its new engine emitted no pollution, was more powerful than previous engines, and would cost the same? Elasticity of Demand What are 5 products that you cannot live without. Would your list change if the price of each product doubled or tripled or even quadrupled. Supply Imagine that you own a factory that produces sunglasses and the price of sunglasses begins to rise rapidly. Would you produce more sunglasses, less sunglasses, or the same number as before the price increase? Why? Costs of Production How do the managers of fast food restrants know how much food to produce on a given day? What would happen to the owners profits if the resturant produced too much or too little food? Changes in Supply How would an artist react if the price of oil paints skyrocketed? Combining Supply and Demand: Equilibrium Can you list examples of items that have undergone price changes in the past 6 months? Why do you think the prices changed? Perfect Competition Competition How do you face competition in your daily lives? How do you think competition applies to economics? Regulation and Deregulation How does the government regulates aspects of your lives? Why does the government create regulations? Labor Market Trends Why has their been a movement of U.S. manufacturing jobs to other countries? Labor and Wages Do you think that it is fair or unfair that there is such a disparity in the wages and salaries that individuals earn for the various kinds of work that they do? Sole Proprietorships Have you ever been paid for performing a service such as lawn mowing, baby sitting, or caring for a neighbors pets while they were on vacation? If so, did you get to keep all of the money that you earned or did you have to give a portion of it to someone else? Partnerships Have you ever worked with a partner on a school project? Was this a good experience or bad experience? Explain your answer. Bonds and Other Financial Assets What does the phrase “My word is my bond” mean?