1. Do Now to Turn In 9/12/17 12 mins What are ethics?
What does it mean to be socially responsible?
Explain the difference between needs and wants.
What are natural resources?
What are the three barriers to international trade?
What is the economy?
What are variable expenses?
What are needs?
Name two consumer rights and two consumer responsibilities.

2. Our Economic Environment
Needs: things that are necessary for survival such as food, clothing and shelter/housing
Wants: things that are not necessary for survival but which add comfort and pleasure to our lives
We all have needs that are basic to life and wants that improve the quality of life.
Unlimited wants: wants that never end
Most wants are satisfied with goods and services.
Goods are things we can see and touch. Services are tasks performed by people and equipment to satisfy needs and wants.
Goods and services are produced through economic resources/ factors of production.

3. Our Economic Environment cont.
Economic resources vital to the production of goods and services are: natural, human/labor and capital.
All three are used to produce the goods and services that satisfy our wants.
Natural resources: raw materials supplied by nature (from the earth, water or air)
Human resources/ labor: people who work to produce goods and services
Capital resources: are the tools equipment and buildings used to produce goods and services
The basic economic problem of scarcity causes economic choices to be made by businesses, governments, and individuals.

4. Our Economic Environment cont.
Economic decision making is the process of choosing which wants, among several wants being considered will be satisfied.
Decision Making Process
Define the problem
Identify the choices
Evaluate the advantages and disadvantages of each choice
Choose
Act on your choice
Review your decision
Using the decision making model results in informed decisions benefiting the economy

5. Do Now to Turn In 9/13/17 12 mins What are natural resources?
What are the three barriers to international trade?
What is the difference between a need and a want?
Name two characteristics of an efficient shopper.
What is scarcity?
Name two steps in the decision making process.
What is capitalism?
What are unlimited wants?

6. Economic Systems
Every society must answer the questions: what to produce, how to produce, and for whom to produce.
There are three types of economic systems: custom- based, directed or controlled, and market
Custom based economy: goods are produced the way they have always been produced
Directed economy: resources are owned and controlled by the government
Market economy: found in countries with democratic forms of government
Marketplace: any place where buyers and sellers exchange goods, services, and some form of money

7. Economic Systems cont.
Capitalism: means that economic resources are usually privately owned by individuals rather than government
Business: an establishment or enterprise that supplies us with goods and services in exchange for payment in some form
5 features of a market economy
Private enterprise
Private property
Profit
Competition
Freedom of choice

8. Economic Systems cont.
Mixed Economic Systems: not a pure capitalism but there is some government regulation of business as well as some government – operated enterprises
Economics are complex and do not fall easily and neatly into one category.
Market economies have replaced most controlled economies have replaced most controlled economies because of the successes of market economics around the world.

9. Do Now to Turn In 9/14/17 12 mins What is profit? What is competition?
What is a consumer?
What are morals?
List two steps in the decision making process.
What is social responsibility?
What are two components of a budget?
What are the three economic roles that every person plays?

10. Economic Roles
Everyone plays economic roles of consumer, worker, and citizen.
Consumers vote in favor of goods or services provided by businesses. Successful businesses must be responsive to the needs and wants of consumers.
Worker productivity is an important factor in advancing our nation’s standard of living.
As a citizen, you can join with other citizens in making some economic decisions for the common good.