Economics Presentation on the topic above.
SCARCITY, CHOICE, OPPORTUNITY COST AND PRODUCTION POSSIBILITIES
CURVE
SCARCITY, CHOICE, OPPORTUNITY COST ANDPRODUCTION POSSIBILITIES
CURVE
Presented by Lee Teck Ruey 1501aH100269 (1501PS2)Sng Weoi En
1501aH100223 (1501PS2)TeacherMs Wan Liyana Mariah
Date: 12th of February 2015
Introduction
What is economics?A social science that concerns the choices
of
individuals as they manage their resources The word economics
comes from the Greek word OikonomiaWhich means household
management
Its about how you manag eyour resoruces, a social science that
concerns all. Small change sthat make ;arger scale effects
2
The fundamental economic problem Unlimited WantsLimited
ResourcesWhich leads to Scarcity
The Meaning Of Scarcity And Choices At All Levels
Economic resources are goods and servicesScale of preferenceThe
richer, the rmoe goods and services.
5
Thinking At The Margin
A logical thinker would always choose the optionwhere the
marginal cost exceeds the marginal benefits
The Shape and Shifts of the Production Possibilities
Curve.Assumptions:1.All Factors Must be Kept Constant.2.Production
of Two Types of goods.3.Full Employment.4.Fixed technology.
Production Possibilities Curve A simple representation of the
maximum level of output that an economy can achieve when using its
resources in full.
Economic GrowthTo Increase the Productive Potential.To Shift
Further the Graph of Production Possibilities Curve.
Economic growth Affects the Shape of Production Possibilities
Curve
Increasing Opportunity Cost
Constant Opportunity Cost
-Thank You-
