What drives our purchase decisions?

List everything you have with you at the moment. Include what is in your backpack/and or pocketbook.

DO NOW

Video

What are your wants and needs video

http://www.youtube.com/watch?v=VY6UdMnf4KE

Wants/Needs

• Wants – thing that makes life enjoyable, but don’t really need

• Public want – wants of a large group. Usually governments/state/town/city pays for these (i.e. Lakeland HS wants all new computers)

• Private wants – wants of an individual or small group. (I.e. car, pool) You need to pay.

• Needs – something necessary to sustain life.

Goods vs. services

• Good – physical thing that you can touch and feel

• Service – a task performed for you

• Producer – individuals and organizations that determine what products and services will be available for sale

• Consumer – a person who buys and uses goods and services

Supply and Demand

• Demand – the quantity of a good or service that consumers are willing and able to buy.

• Supply – the quantity of a good or service that businesses are willing and able to provide

• Market price – the point where supply and demand are equal

• True or False – the greater the demand the higher the price

• http://www.youtube.com/watch?v=AyyvFASW6Nw

Goods and Services provided by a producer

Rohsler’s Allendale Nursery

Buy flowers for my garden (good)

II want to have mulch delivered (Service)

I need mulch (good)

Producer

Goods and Services provided by a producer

Assessment

1. A good is something that______

a. You can use

b. You can touch

c. Satisfies wants

d. All of the above

(d)

Assessment

2. A service is___________--

a. A job you do for others

b. Paid for by a consumer

c. Satisfies wants

d. All of the above

(d)

Assessment

True or False

3. Everything we purchase to satisfy our wants is either a good or a service

(T)

4. Many goods are made from natural resources

(T)

Assessment – match service to the producer

• Veterinarian

• Police officer

• Stylist

• Teacher

• Lifeguard

Keeps pets healthy

Keeps beaches safe

Helps children learn

Keeps neighborhood safe

Gives haircuts