Gine Bert Fariñas Palabrica

12 – PISCES
Applied Economics
Quarter 3 – Module 4: Economic Resources and the Basic Questions

PRETEST
1. C
2. B
3. B
4. A
5. D

RECAP
1. Microeconomics focuses on the small unit of the economy,
while macroeconomics examines the
economy as a whole.
2. Microeconomics is a bottom-up approach and macroeconomics is a top-down approach.
3. Microeconomics is concerned with particular households, firms and industries, on the other hand,
macroeconomics is concerned with national income.
4. Microeconomics is narrow in scope and interprets the small constituents of the entire economy,
while macroeconomics has a wide scope and interprets the economy to country as a whole.
5. Investors generally focus in-depth on microeconomics and seasoned investors pay little attention to
macroeconomics.

ACTIVITIES

Activity 1: Economic Resources

Product: Chicken Noodle Soup
Land Labor Capital Entrepreneurship

1. Chickens 1. Poultry farmer 1. Machinery 1. Innovator

2. Vegetables 2. Farmers 2. Tractors 2. Grocery store

employee

Activity 2: Economic Questions

What to Produce? How to Produce? For Whom to Produce?

1. Bread 1. Baking tools, Baker, 1. For the consumers

Machinery
2. Rice 2. Farm land, Farmers, 2. For the whole population
Machinery
 WRAP-UP

1. The four classifications of resources are: land, labor, capital, and

entrepreneurial skills.
2. The three basic economic questions are: What to produce?; How to produce?; and For whom are
goods and services to be produced?.
3. These questions are answered by the desires or choices of the people. So, the basic questions
address
the economic problems by the decision-making.

VALUING

Everything that we did in the past would, later on, be paid in

the future. If the nation were taking care of the environment and abusing it, the resources would
continuously decline and subsequently result in this scarcity. The scarcity of the resources would be
the future generations' problem because it would take many years to restore the damaged resources.
The people should realize the importance of the future and learn that the present might change the
future in a better place to live for the next generation. If the people realize the possible problem that
the future generation would face if they didn’t take care of the present resources, the impairment of
the world’s assets may lead to again and a better life for the next generations.

POSTTEST
1. Land
2. Wage
3. Gems/ Precious Metals/ Cooper
4. Scarcity-forces-tradeoff principle
5. What to produce?
6. Profit
7. How to produce?
8. Entrepreneur
9. Economic resources
10. What to produce?, How to produce?, and For whom to produce?