FrontPage: What is the most important resource in the Middle East? Why?

Last Word: SR 1.1 and 1.2 due Tuesday

SNACK-ADIUM

Scarcity, Shortages and Choice

Chapter 1, Section 1Academic

Economics

Scarcity

People have unlimited wants, and also have competing uses for the resources that can be used to produce anything

Thus, this “scarcity” of resources is the basic problem of economics.

Everything that exists is limited

Competing Uses For Resources

What all can you do with the following items? (try to name 2-3 things)• Oil

• Corn

• Steel

• Time

• Glass

Shortages

What was in short supply or in need before or after Hurricane Sandy?• Occupations?• Materials?• Food?

• Temporary situations • Usually occurs after a natural disaster or other “crisis” event

Scarcity and Choices

Due to scarce resources, and competing uses for those resources, people are forced to make choices about what they will use their limited resources for.