Economics ATS 3rd

Productive resources are used to produce goods and services. There are 4 types of productive resources. Human, Natural, Capital, and Entrepreneurship.

What are productive resources used for?

• to fix a light bulb

• to produce goods and services

• to become president

• to build a new school

Natural (land) Resources are things from nature used in the making or producing of a product

• Examples:  land, trees, oil, water, minerals, or anything else that comes from nature

What is a natural resource?

• things from nature used in the making or producing of a product

• • the labor, both physical and mental, that is used in the production of goods

• the things used to produce goods and services

• the ability to take risks to start a new company, or invent a new product, or process to make a product

Human (labor) Resources include the labor, both physical and mental,

that is used in the production of goods

• Examples: Teachers, Police Men and Women, Hairdressers (any job)

What is a human resource?

• things from nature used in the making or producing of a product

• • the labor, both physical and mental, that is used in the production of goods

• the things used to produce goods and services

• the ability to take risks to start a new company, or invent a new product, or process to make a product

Capital Resources are the things used to produce goods and services

• Examples:  factories, tools, transportation services, and storage facilities

What is a capital resource?

• things from nature used in the making or producing of a product

• • the labor, both physical and mental, that is used in the production of goods

• the things used to produce goods and services

• the ability to take risks to start a new company, or invent a new product, or process to make a product

Entrepreneurship is the ability to take risks to start a new company, or the ability to take risks to invent a new product or process to make a product

• • It is using land, labor, and capital collectively to make a profit.

• What is entrepreneurship?

• things from nature used in the making or producing of a product

• • the labor, both physical and mental, that is used in the production of goods

• the things used to produce goods and services

• the ability to take risks to start a new company, or invent a new product, or process to make a product

• • Federal, state, and local governments collect taxes from citizens through the things they buy and through the income they earn at their jobs.

• How does the government collect taxes (money) from people?

• Through a window

• through the allowance money they give kids

• • through the things they buy and through the income they earn at their jobs.

• Taxes allow governments to provide goods and services to citizens.

• Examples:  schools, libraries, roads, police/fire protection, and the military

What can governments give to people with tax money?

• • Taxes allow governments to provide pets to citizens.

• • Taxes allow governments to provide goods and services to citizens.

• • Taxes allow governments to provide spiders citizens.

• • Taxes allow governments to provide Walmart to citizens.

Interdependence is the idea that consumers and producers depend on each other:

• Consumers need the goods and services provided by producers.

• Producers need the consumers to purchase the goods and services they provide.

• What is interdependence?

• the idea that consumers and producers DO NOT depend on each other

• the idea that consumers and producers depend on each other

• Voluntary exchange is when people are exchanging one thing for another which is beneficial to both parties.

  • If a person buys a car, the dealer is satisfied because they are gaining money for the car, and the person buying the car is happy because they are gaining something they need or want.

  • What is voluntary exchange?

• opportunity cost

• when a person is paying taxes

• • when people are exchanging one thing for another which is beneficial to both parties.

• A

• A ​ (a)   is something that can be touched or held (food, a crayon, a video game), and a ​ (b)   is something another person does for someone else (a teacher, a doctor, a mechanic all provide a service). 

​

• good
• service