2Do Now In your notebooks: What is a resource? What resources do you use on a daily basis?What do you use those resources for?
3Factors of productionFactors of production: all of the components necessary to produce society’s goods and servicesExample:wheat growing in groundtractor that harvests wheatlabor that turns wheat into flourideas for how to create final product most efficiently
4Types of Economic Resources Natural resourcesHuman resourcesCapital resourcesEntrepreneurial resources
5Natural resources Raw materials found in nature Examples: Trees used to make paperFish harvested for foodEconomy of many countries is based on natural resourcesSaudi Arabia depends on oil productionLatin American countries rely on coffee crops
6Types of natural resources Renewable: can be reproducedExamples: cattle, plantsNonrenewable: limited resourcesExamples: coal, iron, oil
7Group ActivityDraw examples of both renewable and non-renewable resources with the materials in the front of the roomUnderneath each drawing, indicate whether that resource is limited or unlimitedAlso indicate ways society can attempt to conserve the limited resources through other alternativesBe prepared to discuss as a class
8Human resourcesKnowledge, efforts, and skills people bring to their workExamples:Teachers, coal miners, bank managers, farm workersLabor can be skilled or unskilledPhysical or intellectualLabor unions: negotiate with management for better pay, hours, and working conditions in process known as collective bargaining
9Capital resources Things used to produce goods and services Examples:Buildings, materials, and equipmentInclude delivery trucks, supermarkets, cash registers, and medical suppliesNot the same as moneyAccountant’s computer is a capital resourceHeadquarters of Johnson & Johnson is a capital resource
10Entrepreneurial resources Entrepreneurs who recognize need for new goods and servicesImprove ways to use resources or create and produce new onesExample:William Hewlett and David Packard created scientific calculatorNew resources must be developed in order to deal with scarcityI'm not making this up
11Scarcity Scarcity: shortage of resources Basic economic problem for society is how to manage resourcesExample: society may not have enough oil, doctors, water or technology
12Decisions about Production Three main questions to be asked:What should be produced?Resources used for one purposed can’t be used for something elseHow should it be produced?What methods will be used, how many will work to produce it, and what will be the quality of items?Who should share in what is produced?Who gets the limited number of goods that are produced?How will goods/services be distributed?Who will have the resources to buy this?
13Robbinsville Apprentice In you notebooks:Use each of the three questions posed on the previous slide concerning decisions about production to decide and explain a need in RobbinsvilleProject Introduction
14Think, Ink, Pair, ShareVirtual Enterprise has been buying bagels and sandwiches for teachers and students as a fund-raiser for their classWhat are four factors of production that are involved in bringing students and teachers their orders?Be sure to touch on each of the four economic resources
15Identifying Economic Resources Think about businesses that you are familiar withUse those businesses to complete the following worksheetFinish for homework
16Bring it all Together Name resources utilized in this room Name resources utilized on the High School Campus