Chapter 2 Economizing Scarce Resources
Review Ch 1-7
Review Ch 8 -13
Review Ch 14-18
Review Ch 19-22
Review Ch 23-28
Review Ch 29-33
I. The Factors of Production 2 Videos
II. The Production Possibility Frontier (Curve) 2 Video
III. Opportunity Costs 2 Videos
IV. Law of Increasing Opportunity Costs 3 Videos
|II. The Production Possibility Frontier (Curve)|
A. Measures trade off when
producing two types of goods.
Unit II, Review Measures trade off when producing two
types of goods. Static or Dynamic
1. The cost of A measured in terms of what must be foregone of B.
2. When considering doing A, we consider the highest valued
alternative as limited resources means we can't afford both.
3. For more information visit the Production Possibilities Curve from Wikipedia.
4. Politicians seldom talk of the opportunity cost of what they plan to do.
5. Opportunity Cost Video 5 min
6. Opportunity Cost Lesson/
a. The opportunity cost of good grades is the value which could have been
received by spending time with family and friends.
b. The opportunity costs of more capital goods is the value which could have been
received from having more consumer goods family and friends.
c. Opportunity Cost of College explores this example.
d. A Lesson in Opportunity Cost
e. The Guide to Country Profiles of the CIA World Factbook, 2007 Example
1. U.S. military spending was an about 4.06% of its 2005 GDP.
2. Here is a rank order of country percentages.
3. What are the opportunity costs of high military spending?
4. CIA, Latest "The World Factbook.
Unit III Review The cost of A measured in terms of what must be foregone of B.
Free Internet Libraries
Law of Increasing Opportunity Costs
Alternative Production Possibilities
with answers and
What are the opportunity costs of the
Unit IV. Review Having additional units of A requires giving up more and more of B.
|Chapter 2 Class Discussion Questions|
|Chapter 2 Homework Questions|
|Table of Contents|
|Economics Internet Library|