Opportunity-cost

​February 26, 2024

​Quiz tomorrow:

Basic economic questions
Scarcity
Opportunity-cost

Open Ended

Can you think of a time when you had to make a choice and give up something else?  What was the choice and why did you have to make it? Was the cost worth it? Why or why not?

What are our goals for today?

• You will be able to explain how opportunity-cost informs economic decisions.

  
  

• You will be able to explain how opportunity-cost informs your own decisions.

• You will be able to apply opportunity-cost to real world situations.

But first, a quick review

Multiple Choice

What do economists mean by the term "scarcity"?

• Not having enough resources.

• Having too many resources

• Having just enough resources

Multiple Choice

What is a cause of scarcity?

• People have limited wants there is an unlimited amount of resources.

• People have unlimited wants but there is a limited amount of resources

• People have no wants so resources don't matter

Multiple Choice

Which of the following are examples of goods?

• Apples, Computers, Clothing

• Firemen, Police Officers, Soldiers

• Health, Love, Friendship

Multiple Choice

Which of the following are examples of services?

• Apples, Computers, Clothing

• Firemen, Police Officers, Soldiers

• Health, Love, Friendship

Multiple Choice

Which of the following is not one of the three basic questions economists try to answer?

• What should be produced?

• How should it be produced?

• Who gets what is produced?

• When should it be produced?

Multiple Choice

The making, buying and selling of goods and services

• economics

• inflation

• market

• barter

Multiple Choice

Something you have to have to survive

• Wants

• Services

• Needs

Multiple Choice

The limited availability of resources is known as...

• Scarcity

• Profit

• Opportunity Cost

Multiple Choice

the using of goods and services

• production

• consumption

• resources

Multiple Choice

What is the problem all economies are trying to solve?

• There are limited wants and unlimited resources.
• There are unlimited wants and limited resources. 

Drag and Drop

Because of scarcity, economies need to determine what to produce, how to produce it, and who gets it. These decisions are known as ​ ​

Placeholder

Drag these tiles and drop them in the correct blank above

Basic Economic Questions

Scarcity

Opportunity-Cost

Poll

How would you describe your understanding of scarcity and basic economic questions?

• I'm lost

• I have a basic understanding but could use more information.

• I understand.

As we proceed, remember our goals:

• You will be able to explain how opportunity-cost informs economic decisions.

  
  

• You will be able to explain how opportunity-cost informs your own decisions.

• You will be able to apply opportunity-cost to real world situations.

Open Ended

Based on the video, why is understanding opportunity-cost important?

Poll

How would you describe your understanding of scarcity and the basic economic questions?

• I'm lost

• I have a basic understanding but could use more information.

• I understand.

Let's play a quick game.

• We need 2 volunteers.

​Rules of the game

• There are 3 boxes. None can touch the boxes.

• 1 box holds a grand prize. Another holds a lesser prize. The third is empty.

• Students will take turns selecting a box.

• It's up to the students to decide who goes first.

Open Ended

What did a person give up by going first? Why would a person want to go first?

What did a person give up by going second? Why would a person want to go second?

What do you think this has to do with opportunity-cost?

Poll

How would you describe your understanding of scarcity and the basic economic questions?

• I'm lost

• I have a basic understanding but could use more information.

• I understand.

We are going to use a current event to further explore opportunity-cost

You will need the 'State set to announce deep cuts to transportation agencies' from the folder on your table.

Process:

1. We will skim for unfamiliar words and define them.

2. We will model how to go through the close reading process.

3. You will complete the close reading on your own.

Open Ended

Any questions about the reading? How do you think the reading relates to opportunity-cost?

Next step:

As a group, complete the CER organizer.

1. Make a claim about the problem discussed in the article.


2. Explain why this problem is important.


3. Identify the different factors causing the problem.


4. Identify the different choices the state can make in this situation.

5. Select the best 2 options.

6. Select the one your group feels is the best and explain why.

Open Ended

Which of your 2 best choices is the 'opportunity-cost'? Why is it the opportunity-cost?

Poll

How would you describe your understanding of scarcity and the basic economic questions?

• I'm lost

• I have a basic understanding but could use more information.

• I understand.

Multiple Choice

What term describes when a choice is made the second-best alternative is given up?

• opportunity cost

• production

• consumption

• resources

Multiple Choice

A student must decide between going to the movies with friends or staying home and studying for a final exam. She chooses to stay home and study. Which economic concept describes going to the movies in this scenario?

• Scarcity

• Income

• Opportunity Cost

Open Ended

Do you have any questions? Concerns? Confusions?