Topic

Fish in the sea with limited food

Do you know what my name is, do you know the name of at least one other person in class, did you sign the course contract or start reading chapter one? Do you now have a command of what scarcity is and what its consequences are? Do you understand what a market is and more importantly, how your life takes place in one?

All these questions were last week's course objectives. This week, we'll delve further into the basics of economics by introducing you to some more key terms such as opportunity cost, marginal analysis, absolute and comparative advantage. We'll even talk about your first economic model, the production possibilities frontier (PPF) or curve (PPC).

Although you will never use the PPF again, nor will you encounter it ever in your life, it is useful now in order to illustrate all these fundamental concepts related to economics. More importantly, it clearly depicts how economies should function given certain parameters.

I've provided you with some additional videos to watch regarding these topics. Please watch them if you are having a hard time grasping the concepts. And even if you aren't, they're still a good tool for reinforcing what you know.

Objectives

By the end of this week you will be able to...

identify opportunity cost
articulate the use of marginal analysis
identify, utilize and interpret the production possibilities frontier
articulate the concept of increasing marginal opportunity costs or increasing opportunity costs
differentiate between comparative and absolute advantage
Explain the benefits of trade

Weekly Schedule

Due date	Activity
	Reading: Textbook through Chapter 2
Refer to Schedule	Assignment: Relevant Problem Set Questions
Wednesday, 9/4	Quiz #1