1. Do Now Pick your own seats! ~Choose wisely~ Grab your folder.
Fill out your budget.
List 5 things you need
List 5 things you want
How are the two lists different? Which ones can you live without?

2. Chapter 1 What is Economics?
Section 1
Scarcity and the Factors of Production

3. Scarcity and Choice cannot need want satisfy choices economics
The study of __________ begins with the idea that people _________have everything they need and want.
A ______is something like air, food, or shelter that is necessary for survival.
A _______is an item that we desire but that is not essential to survival.
Economics is the study of how people seek to ________ their needs and wants by making____________.
cannot
need
want
satisfy
choices

4. Scarcity
________are physical objects such as shoes and shirts. Services are ______or _______that one person performs for another. Scarcity implies ________ quantities of resources to meet ________wants.
No one can have an _________ supply of everything. Scarcity is not the same as a__________. A shortage occurs when producers _________ or _________ offer goods or services at the current prices. They can be temporary or____________.
Goods
actions
activities
limited
unlimited
endless
shortage
will not
cannot
long-term

5. Factors of Production: Land, Labor and Capital
Economists call the resources that are used to make all goods and services the ____________________. These include land, labor and capital.
factors of production

6. Land, Labor, Capital
Land refers to all ________ resources used to produce goods and services.
Labor is the effort that a person devotes to a task for which that person is paid.
Capital is any human-made resource that is used to produce other goods and services.
natural

7. Physical and Human Capital
Human-made objects used to _________ other goods and services are called _________ capital. This saves companies a great deal of time and money.
Human capital is the ___________ and skills a worker gains through education and experience.
create
physical
knowledge

8. Entrepreneurs
Entrepreneurs are ambitious leaders who decide how to ________ land, labor, and capital resources to create _____ goods and services.
combine
new

9. Fill out the following…
Which factors of production is represented:
An office building ___________________
And assembly line worker ____________
A tree used to make paper ____________
Unused soil ________________________
An artist ___________________________
A student __________________________
Name 3 Entrepreneurs
1. _______________ 2. ______________ 3. _______________