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Posted: July 15th, 2022
Discuss Economic Principles
Discuss Economic Principles
Answer the following questions. Use the Economic Principles PDF in this week’s Lessons for reference.
Why does the fact that something is scarce require that we make choices?
Does the fact that something is abundant mean it is not scarce in the economic sense? Why or why not?
Explain what is meant by the opportunity of cost.
Use the table on page 125, table 3.25 (Price and Quantity) of the Economic Principles PDF to answer the following questions.
In the table the graphs show four possible shifts in demand or in supply (Panels a, b, c, and d) that could occur in particular markets. Relate each of the events described below to one of the graphs. Explain your answer.
How did the heavy rains in South America in 1997 affect the market for coffee? Select the correct graph and explain it.
How do you think rising incomes affect the market for ski vacations? Select the correct graph and explain it.
How would a ban on smoking in public affect the market for cigarettes? Select the correct graph and explain it.
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