Wants, Needs & ScarcityUniversity High SchoolMr. Barnett

Cathenne wants:

Kevin, Emilia, Dayanna want:

Tessa wants:

Joseph wants to:

Courtney wants:

Stephanie, Catalina, Chenxi want:

Michelle wants:

Timothy wants:

Charley wants:

Zac wants:

Elena wants:

Adrian wants:

Caitlyn wants:

Alexis & Fabian want:

Daniella and Mei lin want

Daniella, Natalie, Zack want:

Kevin and Sergio want:

Wants vs NeedsAs you can tell we have unlimited wants

A want is a desire, often psychologically motivated, for a particular item or thing

A need is something that is usually physiological necessary and has no adequate substitute

Wants vs NeedsSociety has unlimited wants

but limited resources Thus, there is scarcitySomething is scarce if there is

a limited amount of itScarcity occurs because we

have virtually unlimited wants but limited resources

Wants vs Needs Since there are limited

resources but unlimited wants, there is a cost for everything

The cost is not necessarily monatary

They can be social, environmental, psychological, emotional, physical ..etc etc

These are called opportunity costs

So what is the definition of economics?Economics is the study of how individuals and society, experiencing virtually limitless wants, chooses to allocate its scarce resources to satisfy those wants

Opportunity Cost Opportunity cost is the value

of the next highest valued alternative or foregone cost.

Not necessarily monetaryEvery decision that you will

make in life involves opportunity costs