Productive Resources
Nathan starts a flower shop. He uses water to keep his flowers healthy and beautiful. What type of resource is the water?
Natural
Why does the government collect taxes?
To pay for public goods and services.
What is a good?
Something you can hold or touch.
Aaron wants to buy a new toy truck. He has saved his birthday money and chore money so he can afford it. What is Aaron's opportunity cost if he buys the toy truck?
the money he saved.
Give me an example of a real-life producer and consumer.
Mikel buys art. Benjamin creates art.
Layla makes bracelets. Luci buys bracelets.
Jane owns a restaurant. She goes to the store to buy more plates and silverware for her restaurant. What type of resources are the plates and silverware?
Capital Resource
What jobs are paid for with tax money?
teachers, firefighters, police officers, mail carriers, trash collectors, soldiers
What is a service?
Something another person does for somebody else.
What is currency?
Money
Sophia needs to study for her econmics test. Her friends want her to come swimming at the community pool instead of studying. Sophia chooses to study for her test. What is the opportunity cost of Sophia choosing to study?
swimming with her friends.
What do human resources provide to a business?
a. land
b. labor
c. capital
d. income
labor
Jane needs a hammer to hang pictures in her house. David needs a wrench to fix a leaky pipe. Jane has a wrench and David has a hammer, so they trade. What is this called?
voluntary exchange
How are goods and services allocated?
by price
Why do countries create currency?
so people can buy goods and services
Florida farms have a lot of oranges. Oranges do not grow well in Idaho. Idaho has a lot of potato farms, but Florida does not. Which is an example of voluntary exchange?
a.Florida gets potatoes from Idaho, but Idaho gets nothing.
b.Idaho gets oranges from Florida, but Florida gets nothing.
c. The two states trade with each other.
d. The two states start collecting more taxes so they can buy their own oranges and potatoes.
c. The two states trade with each other.
Dana works as a manager at Jane's restaurant. She helps plan the menu, does the paperwork, and talks with the customers. What type of resource is Dana?
Human
Montana is a state with a cooler climate. They can't grow foods like oranges and pineapples that require a warmer climate. How do they get these foods?
They rely on other states that have warmer climates to ship them these foods.
What happens when demand is greater than the supply?
The price gets higher.
Which correctly describes an entrepreneur?
a. Ryan gets a job at the movies so he can earn money for a new video game.
b. Kalaya babysits her younger cousin while her parents go out to eat at a restaurant.
c. Nicholas washes the dishes every night because it is one of his chores.
d. Laura starts a lawn mowing business and hires her closest friends.
d
Elijah works part-time at Amazon to pay for college during the summer. He delivers packages using an Amazon van. What type of resource is the van?
capital
What is entrepreneurship?
the ability to take risks to start a new company, or invent a new product, or process to make a product
The citizens of Lawrenceville want the potholes on Oak Road fixed. They ask the mayor and he agrees to fix the potholes. Where did the money come from to fix the potholes?
The mayor paid for the road to be fixed with taxes paid by the citizens.
What happens when supply is greater than demand?
The price gets lower.
Why are entrepreneurs called "risk takers"?
because they could lose all of their money starting a new business
Why do we trade with other countries?
Trade provides us with more choices of goods we want to purchase.