• Explain the four primary resources for production and the payments each resource receives.
• Illustrate how these resources, the production, and the payments move through a Circular Flow diagram (diagrams can be uploaded to the Dropbox if necessary).
• Describe how changes in the availability of one of more of these resources affects the production possibilities curve.
• Explain how using more of a resource leads to the Law of Increasing Opportunity Cost.
• Drawing on what you have written so far, explain the meaning of the saying "there's no such thing as a free lunch".

Use headings to help separate your answers.