1. Economics Mr. Park ERHS Mr. Saliani, Principal

2. Budget Template

3. Revisiting Fixed & Variable Costs Fixed: While not set in stone, are more difficult to change than a variable cost. You can adjust your mortgage or rent by shopping around, but it will take some time. You can shop for a cheaper cell phone plan but that will also take some time. However, once the change is made, you will automatically adjust your monthly budget without feeling like it requires a daily decision to save money.

4. Revisiting Fixed & Variable Costs Variable: When considering variable costs, consider your daily spending decisions. They are considered variable because the amount that you spend on them changes from month-to-month. And don’t be confused by thinking a necessity has to be a fixed cost. When trying to budget, changing your variable costs is more difficult because it requires discipline to make a conscious effort to change daily spending habits. Do you have a coffee from Starbucks, Dunin’ Donuts, or just make coffee at home?

5. What could happen? What are some ways you could adjust your fixed costs? What are some ways you could adjust your variable costs?

6. What could happen? List some things that could happen, which are out of your control, that would change your fixed costs List some things that could happen, which are out of your control, that would change your variable costs

7. Wednesday Night HW Please watch President Obama’s address tonight regarding ISIS. What were the main points of President Obama’s speech? What arguments did he make to support his views? What are some questions you still have that you would like to ask him?

8. Thursday Night HW Using the Budget exercise as an example, please keep a personal budget of all your expenses from Friday 9/12 through Sunday 9/14. Do your bet to keep track of ALL expenses! If possible, classify your expenses into categories.