ccessibility Times 12 + B BIU AG The student sighed, "There are just not enough hours in the day." I am sure you have heard the words before or said those very same words yourself. There are just not enough hours in the day or enough dollars in our pockets or enough weeks in a year. We always want more, more time and more money. If we could just have more, we could get everything we wanted done and have everything we wanted. But that is not the nature of life. The nature of life is that our wants and desires are always greater than our resources. We always want more than we have. If we lived in a magical world, we could wave our magical wands and never need to study Economics because we would have all of our hearts' desires fulfilled. Yet there is no magical wand. There are only so many hours in a day and only so many dollars in our pockets. The world is a world of limited resources and our minds are minds of unlimited desires. Scarcity is the fundamental reality of life. In Economics, scarcity is the realization that there are limited quantities of resources to meet unlimited wants and desires. As a result of scarcity, individuals have to make choices. How will we spend our twenty-four hours every day? How will we spend the money in our wallets? Yes, Economics is the study of the choices we make because scarcity exists. Today's Key Terms: Scarcity The realization that resources are limited but our wants are unlimited We always want more than we have Economics: The study of choice The study of how people satisfy their wants and needs by making choices' Need Want Is something like air, food, or shelter; it is something that is necessary for survival A want is an item that we desire; a want is not essential for survival Goods and Services Goods are physical objects such as clothes or shoes; services are actions or activities that one person performs for another person Shortage While every good and service is scarce because all resources are scarce, a shortage refers to a situation where a good or service that is normally available is suddenly unavailable Scarcity is permanent but shortages are temporary Wars or droughts can lead to shortages Shortages can lead to high prices due to insufficient supplies Questions: 1- Can we have everything we want? 2- Create a list of five choices made in the past twenty-four hours: 3- What is the difference between a need and a want? 4- Provide examples of needs: 5- Identify examples of wants: 6- How do goods differ from services? 7- Give two examples of goods. 8- Give two examples of services: 9- Whenever a good or service is created, an entrepreneur (a person who organizes and operates a business or businesses) combines the Factors of Production. Define each of the following factors of production: Land: Labor: Capital: Entrepreneurship: I PAIN PROPANE Supplier WITH THE SHORTAGE AND PRICE HIKE, WE CHANGED THE NAMEL 100 DAVE GRANLUND 10-Explain the economic meaning of the cartoon. Cagle.com