Economic Resources - Unit 1 Lesson 6 Notes

Study Objectives

Review: Needs vs Wants?
Scenario: You are stranded in a forest in northern Canada
Goal: Everyone make three basic NEEDS to SURVIVE!
What would your needs be in this scenario?
- Food =
- Clothing =
- Shelter =
Catch: can only use the materials you can find in the forest in northern Canada!
READY, SET, GO!

Economic Resources are also known as Factors of Production
3 kinds of economic resources:
- Natural Resource
- Human Resource
- Capital Resource

Materials that come from the earth, water & air
- Examples: soil, iron, gold, oil, trees, wildlife, fish, oxygen, wheat, apples
Most natural resources are non-renewable & therefore limited, others take decades to replenish (forests).
Canada is known to have which Natural Resources?

Human Resources = Labour / Workforce
People who work to create the goods and services
- Examples: farmers, factory workers, construction workers, website designers, investment bankers, teachers, pilots, etc.

Capital resources usually last for a long time & often require serious investment by the business
- Examples: buildings, equipment, tools, trucks, factories, etc.
Businesses require money (another capital resource) to buy raw materials & services they use to produce their own good or service

Businesses are interdependent, which means they rely on the goods and services from a variety of businesses to satisfy consumer needs and wants
Example: Clothing Manufacturer – other businesses produce buttons, denim, thread, zippers, sewing and cutting machines

Pick a piece of clothing that you are wearing.
Determine what materials are required to make it and what country the item(s) came from and what resources were required.
Discuss how countries and companies work together.
Discuss the implications of boycotting a country, them boycotting us and how we rely on each other.

Economic systems are a way of dealing with the… selection, production, distribution, and consumption of goods and services.
Government and business work together to foster activity and growth in the marketplace.

Economic systems have to answer 3 key questions:
1. What goods/services should be produced within the system?
2. For whom should these goods/services be produced?
3. How should these goods/services be produced?

1. Name the 3 leadership styles we learned in the beginning of the unit and explain each one.
2. What is and advantage and disadvantage of each style?
3. What is the connection between profits, revenues and expenses?
4. Describe the difference between a non-profit and a not-for-profit.
5. How can consumers influence what businesses produce?
6. Provide an example of an obsolete good or service that was not mentioned in class.
7. Provide a list of 5 current goods or services that you feel will become obsolete in the next 5 years
8. Why is Competition good for both consumers and businesses?
9. In your own words, explain what the expression “vote with your feet” means
1. Define the term Entrepreneur.
1. Identify 3 characteristics of entrepreneurs
1. What is the difference between a need and a want?
1. What is another name for economic resources?
1. Explain why it takes all 3 economic resources to create most goods/services provided by businesses and governments.
1. Name a business and then explain how it is interdependent in its dealings with other businesses.
1. What is an economic system? What are the 3 basic economic questions that must be addressed when describing an economic system?