Unit 1

  • Economics - Unit 1

    Fundamentals of Economics


    Notes


    Summary

    This unit bundles student expectations that address basic economic concepts and the types of economies. Students begin the study of economics by examining the fundamentals of economics. Economic systems developed because resources are limited. An examination of fundamental economic concepts and a study of the various economic systems is necessary for students to understand how economies mange the production, consumption, and distribution of good and services.

    Prior to this unit, in previous social studies courses, students were introduced to the concepts of scarcity, goods, services, needs, and wants. Additionally students have studied about various economic systems in World Cultures, World Geography, and World History courses. During this unit, students study about basic economic principles, such as scarcity and opportunity cost and about how economic decisions are made in various economic systems, specifically examining the features of a free enterprise system. Additionally students learn about the circular flow model of economic activity.