1. Have out: Module 1 Notes Worksheet from the Front
Scarcity
Have out:
Module 1 Notes
Worksheet from the Front

6. What is a tradeoff from this morning?
Whenever scarcity of time or money forces you to make a choice, you face a tradeoff

7. Today’s Agenda
Objective: To be able to define scarcity and correctly identify examples and non-examples.
Essential Skill: Demonstrate understanding of concepts.

8. Economics: how we attempt to fulfill unlimited wants with limited resources
Facts on Human Existence:
We have unlimited wants
There are only so many resources on earth
Something that all human civilizations have in common

9. Scarcity Book definition: We desire more than we can have
To be scarce an item must be
1. Limited aka finite aka NOT infinite
2. Desired –people must want it
***MUST meet both criteria!!***

10. Scarcity Worksheet Find a partner
Using our new definition try to identify which items are examples are Scarce and which are Not Scarce
Explain why

11. Summary Scarcity does not equal rare
Economists are interested in truly scarce resources, because that is when people have to make choices
We make rational decisions; thinking about the impact of our choices

12. Dialysis Worksheet Directions: Make 2 priority lists
List 1: Who is getting hours on the machine in order of deserving
List 2: Waiting list in priority order

13. Basic Economic Concepts
People choose for good reasons
People are rational and self-interested
Try to maximize utility/benefit
Incentives matter
People’s self-interest will override other factors
Everything has a cost
You must give up something to get what you want. Nothing in life is free

14. Reflect How does scarcity drive economics?
Give and explain an example of tradeoff (either from today, or your own experience)
If you think back to your notes, how does tradeoff connect with opportunity cost?