1. Introduction to Economics

2. economics
The study of how people, businesses, and nations make choices

3. scarcity
When you have a limit of something, how do you use it for the best?

4. goods Things that can be seen, touched, and bought or sold Ex.
Sunglasses
Popcorn
books

5. services An activity/action done for other people to get money Ex.
Teaching
Cleaning

6. resources
Things that can be used to produce/make goods and services

7. needs Things everyone needs to live/survive Ex. Food Clothing
Shelter/home

8. wants
Things people would like to have/desire
Ex. TV
Pager
car

9. Four factors of production
Things needed to make goods and services
Natural resources – sunlight, water, air, land, etc…
Labor - workers
Capital – things like machines and tools that are used to make goods and services
Entrepreneurs – people with ideas for making new goods and services

10. Opportunity cost People have to make choices
When you make a choice, one choice wins and one choice loses
Opportunity cost is what is lost when you choose