EPF 1 Part 2

What is a want?

• Something that adds pleasure to your life

• Something you need

• A rational purchase

What is an incentive?

• the reason why we purchase good/services

• the reason why we consume products

• the reason we make a choice and what motivates us to take action.

• the reason why we do what we do

What is a positive incentive?

• reward that encourages a behavior

• reward that encourages temporary behavior

• an opportunity to make money

• a reason to go into business

What is a need?

• Money

• something that we can purchase willingly

• something we strongly desire

• something that is required for survival

What a negative incentive?

• penalty that leads to learning lessons

• penalty that discourages behavior

• penalty that results in a fine

• a penaly that puts us in a bad mood

What are unintended consequences?

• Outcomes that are foreseen

• anticipated consequences or unforeseen consequences, are outcomes that are not the ones foreseen and intended by a purposeful action.

• unanticipated consequences or unforeseen consequences, are outcomes that are not the ones foreseen and intended by a purposeful action.

• unanticipated consequences or unforeseen consequences, are outcomes that are the ones foreseen and intended by a purposeful action.

What is an example of unintended consequences?

• Death as a result of the want of a product

• Profit as a result of a good sales day

• Demand of a product due to popularity

• Increased taxes due to government control

What is an example of a want?

• Water

• Food

• Gas

• Love

What is an example of a need?

• Love

• Air

• Cars

• Chic-Fil-A

What is an example of an incentive?

• Grades

• Money

• Chores

• Sports