Scarcity

Any questions from yesterday?

Come on. You know you want to ask.

Research Homework

• Was it difficult to find economic information?

• What cool places for economic information did you find?

• A piece of paper is coming around. Please put your name, the place to get economic information that you found, and interesting facts about this place.

Assessment tomorrow

• In 5 minutes:• #1. Define the basic concept of scarcity

and explain why it exists. (k)(1.1.5)• #2. Given an example, and explain how

this thing’s relative scarcity causes it to assumes economic value. (a) (1.1.6)

1.1.5 Define the basic concept of scarcity and explain why it exists. (k)Scarcity is the corner stone of the field of economics.

Definition of Scarcity

Not scare city… Scarcity!

Scarcity:The fact that people don’t have enough resources to satisfy all their wants; the

phenomenon that creates the need for economics.

There isn’t nearly enough time or stuff to satisfy all desires, so people have to make hard choices about what to produce and consume so

that if they can’t have everything, they at least have the best that was possible under the circumstances.

Why would economics be a boring subject if scarcity didn’t

exist?

1.1.6 Given an example, explain that when something is relatively scarce it assumes

economic value. (a)• Right now turn to a person near you and

create a list of as many scare items as you can(use you imagination).

• Write these on a piece of loose-leaf. But, keep it in your binder.

• You and your partner must each have a copy of the list.

Mad list!!!!!!!!!!!!!!!

• Come up to the board and add a few items from you list.

• Lets see just how many different things we can come up with!

Scarcity and value.

• Why is it that scarcity provides value?–Talk to me like I’m a 5 year old.

1.1.7 Identify factors that can limit people’s access to goods and services. (k)

• What keeps people from having everything they want?

Wild Thoughts

• Is there really scarcity in Canada, a land of plenty?

• Compare Canada to another country such as Somalia.

1.1.8 Analyze a current economic event (local, national, or global) in relationship to

scarcity. (a)

World Oil Production

Somebody explain this to me.

World Oil Production World Oil Prices

Big Oil: To create jobs, let us drill more

• From CNN Business:• Article

Big Oil: To create jobs, let us drill more

• Answer the following questions using complete sentences:

• #1. Scarcity is at the heart of this article. Tell me how.

• #2. In the first paragraph what does the author mean by “boost tax rolls”?

• #3. In the first paragraph what does the author mean by “domestic energy production”?

• #4. What would you do if you were President of the United States and given this choice? Defend your decision.