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Economic and management sciences

Grade 8

The economic cycle

Module 2

Trade and the economic problem

Assessment standard 1.2:

Trade and the economic problem

When you have completed this MODULE, YOU WILL BE ABLE TO INDICATE HOW TRADE (IMPORTS AND EXPORTS) ADDRESSES THE ECONOMIC PROBLEM (OF CHOICE AND OPPORTUNITY COST), AS WELL AS THE ROLE OF BANKS IN ENCOURAGING INVESTMENT IN THE ECONOMY.

THE CENTRAL PROBLEM OF THE ECONOMY:

The most basic feature of human existence is the MULTIPLICITY OF HUMAN NEEDS and the contrasting SHORTAGE OF MEANS to satisfy these needs. In spite of enormous technological and scientific progress over a number of decades, which has led to considerable increases in production, the NEEDS of people remain GREATER than the MEANS to satisfy those needs. As there will always be needs that remain unsatisfied, people will always have to EXERCISE CHOICES with regard to the needs that have to be satisfied and those that will have to remain unsatisfied. Compare your own situation regarding pocket money: your pocket money definitely does not allow you to buy everything that you want. Therefore you continually have to CHOOSE between satisfying your needs or your desires (wants).

In the same way, the businessman, government and every private individual have to exercise a multiplicity of choices every day to ensure that THE GREATEST DEGREE OF SATISFACTION is achieved.

Activity 1

NEEDS

SELF:

Compile a list of things that you experience as a need at present and that you will also experience as such in the future:

Activity 2

CLASSIFICATION OF NEEDS

GROUP:

Compare the lists of needs of the different learners in the group and classify them under the following headings:

Natural

Essential

Luxury

Protection

Cultural

Spiritual

GROUP:

Identify the FOUR/FIVE most basic needs of people from the above – i.e. things without which people would not be able to exist (provide examples of each):

It is evident from the above that people / enterprises are unable to satisfy all their needs. If one need is satisfied, it means that another need might have to remain unsatisfied or be sacrificed. The SACRIFICE THAT IS MADE illustrates the principle of OPPORTUNITY COST. It reflects the sacrifice that you had to make to satisfy your greatest need; the usefulness in comparison with the satisfaction that you would have had if you had chosen to satisfy the other need. In economic terms, the satisfaction of need/usefulness that is derived from a product, is know as the utility that is derived from the particular product that was selected. The utility (or cost) of the satisfaction of your need is therefore equal to the utility (or cost) of the product that you have sacrificed. This is known as OPPORTUNITY COST.

Activity 3

OPPORTUNITY COST

SELF:

Indicate which of the products listed below you as a learner would choose if you were given a single opportunity to select one of them in each instance. (This means that you have to

decide which of the products you would choose and which you would manage without at this particular time in your life with your current needs.)

Questions & Answers

what does nano mean?
Anassong Reply
nano basically means 10^(-9). nanometer is a unit to measure length.
Bharti
do you think it's worthwhile in the long term to study the effects and possibilities of nanotechnology on viral treatment?
Damian Reply
absolutely yes
Daniel
how to know photocatalytic properties of tio2 nanoparticles...what to do now
Akash Reply
it is a goid question and i want to know the answer as well
Maciej
characteristics of micro business
Abigail
for teaching engĺish at school how nano technology help us
Anassong
Do somebody tell me a best nano engineering book for beginners?
s. Reply
what is fullerene does it is used to make bukky balls
Devang Reply
are you nano engineer ?
s.
fullerene is a bucky ball aka Carbon 60 molecule. It was name by the architect Fuller. He design the geodesic dome. it resembles a soccer ball.
Tarell
what is the actual application of fullerenes nowadays?
Damian
That is a great question Damian. best way to answer that question is to Google it. there are hundreds of applications for buck minister fullerenes, from medical to aerospace. you can also find plenty of research papers that will give you great detail on the potential applications of fullerenes.
Tarell
what is the Synthesis, properties,and applications of carbon nano chemistry
Abhijith Reply
Mostly, they use nano carbon for electronics and for materials to be strengthened.
Virgil
is Bucky paper clear?
CYNTHIA
so some one know about replacing silicon atom with phosphorous in semiconductors device?
s. Reply
Yeah, it is a pain to say the least. You basically have to heat the substarte up to around 1000 degrees celcius then pass phosphene gas over top of it, which is explosive and toxic by the way, under very low pressure.
Harper
Do you know which machine is used to that process?
s.
how to fabricate graphene ink ?
SUYASH Reply
for screen printed electrodes ?
SUYASH
What is lattice structure?
s. Reply
of graphene you mean?
Ebrahim
or in general
Ebrahim
in general
s.
Graphene has a hexagonal structure
tahir
On having this app for quite a bit time, Haven't realised there's a chat room in it.
Cied
what is biological synthesis of nanoparticles
Sanket Reply
what's the easiest and fastest way to the synthesize AgNP?
Damian Reply
China
Cied
types of nano material
abeetha Reply
I start with an easy one. carbon nanotubes woven into a long filament like a string
Porter
many many of nanotubes
Porter
what is the k.e before it land
Yasmin
what is the function of carbon nanotubes?
Cesar
I'm interested in nanotube
Uday
what is nanomaterials​ and their applications of sensors.
Ramkumar Reply
what is nano technology
Sravani Reply
what is system testing?
AMJAD
preparation of nanomaterial
Victor Reply
how did you get the value of 2000N.What calculations are needed to arrive at it
Smarajit Reply
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Source:  OpenStax, Economic and management sciences grade 8. OpenStax CNX. Sep 11, 2009 Download for free at http://cnx.org/content/col11040/1.1
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