Today, we’ll be analyzing scarcity and examine how it can be used to analyze human behavior.
A situation in which human wants are greater than the available resources to provide for those wants.
A situation in which a resource has more than one valuable use.
Are these the same as yours?
Old econ books collected in a bookcase near the teacher’s desk with a sign that says “Free books, take as many as you want.” The books have been there for three years.
Old econ textbooks collected in a bookcase with a sign that says “Free books, take as many as you want.” Another sign posted in the hallway says $10 paid for any recycled textbook. Bring books to Principal’s office.”
One econ book, five students who wish to do well in their econ course, and an important test the next day.
One econ book, five students who are not taking economics, and an important test the next day.
Petroleum in Japan, a country without its own oil fields and without oil reserves.
Petroleum in Saudi Arabia, a country with many oil fields and oil reserves.
Scarcity and Abundance
Resources can be both scarce and abundant at the same time.
Scarcity/Abundance depends upon many things:
Amount of resources available to “spend”
Why is there a lot of food wasted in the cafeteria?
Using what you’ve learned today about scarcity, supply a thorough, reasoned answer to this question. (Think about things like – do students pay for the food with their own money? Can they store it? Resell it? What are the valuable uses of the food in the cafeteria?)