Economics – 2/08/12

I. Bellwork

A. Economic Analysis Q&A

• Pg 21 Figure 1.6 Economic Analysis
• Pg 22 Figure 1.7 Economic Analysis
• Pg 22 Figure 1.8 Economic Analysis

II. Objective

• Examine economic decisions and how economic models, such as the production possibilities frontier, are used in the decision making process.

III. Classwork

A.  Review for Test on Friday – Chapter-1-Review-Sheet

B.   Economics USA:  Resources and Scarcity

Wilderness preservation and WWII productivity show how society allocates and transforms resources.

Questions

1. In 1979, what did Congress debate to do to land in Alaska?
2. Explain the 2 main choices that had to be made during the Alaskan land issue.
3. What was the opportunity cost associated with that decision?
4. What did the Alaskan Lands Act do?
5. What 2 choices had to be made during WWII?
6. What did the production possibilities frontier look like before WWII? Why?
7. What did the production possibilities frontier look like during WWII?  Why?
8. What problems did the US textile industry face in the 1970’s?
9. What did OSHA propose?
10. Why was the textile industry reluctant to follow OSHA’s proposal?
11. What did the U.S. Supreme Court decide?
12. What was the result of this regulation on the textile industry?

Economics W2012