1. Rules of the Game 1.No Cell Phone Zone – DR will be sent to office 2.No Headphones/Earbud Zone – DR will be sent to office 3.ALL Tardies will be marked 4.Dress Code Strictly Enforced 5.Do your best and ask questions if you get lost.

 Grade Weights ◦ Unit Tests & Quizzes40% ◦ EOC10% ◦ Daily Work25% ◦ Projects25% ◦ Textbook – Economics: New Ways of Thinking ◦ Tests will be ScanTron Tests from the text and what we do in class. The expectation is that you will be taking notes. ◦ Questions as to rules, grade weights, or anything else?

 Pre-test – do not panic, this just gives me an idea if you know anything about Econ on a basic level – will go into the gradebook as a point of reference only. Read the questions carefully and use logic to answer the questions.  Begin pre-test – 30 minutes  Correct pre-test – 30 minutes

 Goals: Economics Basics: The students will: 1. Come to an understanding about classroom expectations. 2. Learn what economists do. 3. Learn the concept of opportunity costs. 4. Learn the concept of trade-offs. 5. Learn how trade-offs and opportunity costs compare.

 What are the first 10 words that come to your mind when you look at the word economics?

 Study markets, prices, costs, production, inflation, unemployment, interest rates, business cycles, budget deficits, exchange rates, etc.  What are each of these subjects?

 Goals: The students will ◦ Review the concept of opportunity costs. ◦ Review the concept of trade- offs. ◦ Learn how trade-offs and opportunity costs compare.

 Each of you describe one thing you did last week.  If you had not done that, what would you have done?  What you gave up was the opportunity cost of what you did.

 The most highly valued opportunity or alternative forfeited when a choice is made.  E.g., Buying a concert ticket vs. a new pair of Oaklies  What would you consider when making your decision?

 A situation in which more of one thing necessarily means less of something else.  E.g., The design of the lunar module involved a trade-off in the number of landing legs. Three were not stable but lightest – five too heavy but most stable. Designers compromised on four.  E.g., Doing three hours of Econ and two hours of Math homework.  What are other examples?

 Productive resources are limited. Therefore, people cannot have all the goods and services they want. As a result, they must choose some things and give up others. The act of choosing is the trade-off. The difference in value between the two is the opportunity cost.  E.g., I want a Hybrid, but can only afford a regular automobile. That is the trade-off. The opportunity cost is the money I save.