This document provides an introduction to economics, including key concepts like scarcity, opportunity cost, and different types of economic analysis. It discusses that resources are limited and wants are unlimited, so economics studies how to allocate resources to satisfy demands. Microeconomics examines individual and business decision-making, while macroeconomics analyzes overall economic behavior at a national level. Resources like land, labor, capital and entrepreneurship are scarce. Scarcity requires making choices that incur an opportunity cost of forgone benefits. The document outlines the importance of economics for consumers, producers and governments in making efficient decisions.

1. Economics for M1

2. Resources are limited. They are SCARCE. They
can run out if we keep using them.
The wants and needs of people are
unlimited. People always will want to have
things. People always wants to get many
products
You can’t always get what you want
But with the
help of
economics
If we try, sometimes we get what we need

3. Subtopics in this Unit
1. Definition of
Economics
2. Importance of
Economics
3. Benefits of
Economics
4. Microeconomics
and Macroeconomics
5. Resources
We skip the “Aims of
economics” part

4. A subject that studies the
allocation of limited
resources to satisfy the
unlimited demand of
human kind in the most
beneficial way.
What is economics? To know how to distribute or
share the resources properly
Limited resources
(resources run out)
VS
Unlimited demand
(people will always want to have things)
So not to waste resources; to also
make sure that nobody will be
greedy and keep all the resources
for themselves
Page 2

5. (not in the book)
We also study
economics to find
and understand:
a. economic
connections and
relationships that
affects our lives
b. Our choices and
its impact to our
livesPage 2

6. (not in the book)
Economics is not all
about money or
making money or
business– it’s also
about the choices we
make regarding many
things.
Example:
a. How you choose to
spend your time
like
when you choose to listen
to me or not listen to me as
I teach you
LOLSPage 2

7. Importance of studying Economics

8. 1. Importance on personal and household level
Economics will help people
understand how to allocate the
limited resources they have
Ex. How a family should spend their
salary and what to spend it on
Ex. How a student will spend
his/her allowance
Page 3

9. 2. Importance on the Producer level
1. Economics will help
producers make decisions about
the goods to be produced
2. Economics will help producers
decide how much labor and raw
materials are needed to make products
3. Economics will help producers
decide how much money to use
and what resources to use in
making products
Page 3

10. 3. Importance on the Country level
1. Economics will help the
government manage the
resources from the country
2. Economics will help the government
find ways on how to help its people
benefit from its resources
3. Economics will help the
government make proper
decisions and plans in solving
problems of the country
Page 3

11. Benefits of studying Economics

12. 1. Benefits to the consumer
1. Consumers will know how
to allocated/distribute their
resources properly
Ex. Helps family to know how to spend
their family money properly and what
to spend it on
Ex. Helps the people understand economic
issues so they can plan and make good
decisions when there will be economic
problems like when prices of products increase
Page 4

13. 2. Benefits to the producers and entrepreneurs
1. Economics help producers and
entrepreneurs understand
economic activities so to make
good decisions on:
a. What kind of business to do
b. What production technology will be used so
not to waste anything
c. How much to be produced
d. Price of the product
Page 5

14. 3. Benefits to the government
1. Economics will help the government
understand causes and results of the
country’s economic problems. This will
help the government to:
a. Find solutions to the problems
b. Create plans and laws to solve economic
problems so the people can receive benefits
Page 5

15. Homework: Do it in your notebook
1. Why is the knowledge of Economics important for
people? Give 3 reasons. (Sentences)
2. Why do we need to learn how to properly allocate and
use our resources? Give 3 Reasons. (sentences)
3. Give 5 examples of SCARCE resources (examples)

16. Economic Frameworks:
Microeconomics and Macroeconomics

17. 1. What is Microeconomics?
1. The study of the economic
behavior in an individual level
(person or family) or an
economic unit (firms, business)
This is mainly related to price
setting of goods and services
that’s why this is also called
Price Theory
Page 6

18. In microeconomics, we will try to understand how people
and businesses behave regarding buying/selling, making
products, and price.
Page 6

19. 2. What is Macroeconomics?
1. Studying the overall
economic behavior of country
Ex. behavior towards the country’s
national income
Ex. behavior towards the country’s
supply of money
Ex. behavior towards the country’s
investment, savings, consumption,
jobs etc.
Page 6

20. Studying economics by grouping it into 2 and studying them together
will make things easier for the student and the country
Easier to
understand
the problems
of a person,
family,
business
Easier to
understand
the problems
of a country

22. Microeconomics: Resources in Economics

23. Scarcity of
things which
are hard to
get
Choices
we make
Opportunity
Cost
Fundamental
Economic Problem
(Page 4)
How to
produce
For whom
to produce
What to
produce
You are Pacman– You want to eat
everything
But your food will run out-- resources
will run out
What
should
I do?
Should I
study or
just play
games on
my
phone
A.
Study
B.
Game
If GAME, you
can get ZERO
points in exam
If STUDY, you
can’t play game
and win pointsWhat RESOURCES do we have? Page 7
What is SCARCITY? Why do we need to
be good with choice?
Nxt
slyd

24. Land Labor
Capital Entrepreneur
Resources of
Economics
Page 8

25. Scarcity is…
A situation when resources will not be enough or runs out because these limited
resources are allocated and used.
This is true especially for resources that are non-renewable
Scarcity or resources is real problem in our time

26. Product A Product B
We
want
shoes!
Produced
100 Cakes What is the opportunity
cost of not making
shoes?
What good benefit did
you not get?
1. You did not make money
2. You wasted resources and time
making cakes
Oh no! I think
the people will
kill me
Opportunity Cost if you
are a seller/business
owner

27. Opportunity cost if you
are a buyer Product B
Product A
Benefits
gained
1. Chat with
friends
2. Social Media
and internet
3. Music
Opportunity
cost?
Back to
Slide23

29. Activity

30. Imagine you are a father or a
mother and I’ll give you
155 Thousand Baht.
a. What will you buy? Choose
5 products only (right).
b. Why did you choose these
5 products? Explain how each
product will help you.
10k 10k 10k 20k
10k
35k 20k 20k 25k
35k 35k 20k 30k
1. Phone 2. Original LV Bag 3. Original Rolex 4. Body Care 5. Clothes HE 6. Clothes SHE
7. Macbook 8. Insurance 9. Plane tickets for vacation 10. Camera 11. Condo
12. Car down payment 13. Food and medicine 14. Savings for retirement
1
2 3 54 6
9
7 8 10
11 12 13 14
Ignore this

31. Activity
Online Quiz next meeting
about this powerpoint/topic