Saturday, November 24, 2012

Economics Every Day

Here is my schedule for the day:

4-5 am Wake up, caffeinate, check my email, and practice drawing; 5-7 am workout; 7-5 pm go to work and coach; 5-7pm workout, eat, and make lesson plans; 7-8pm family time then bed.

So where is the economics in this schedule?  This is how I interpret the economics.  First, my supply of labor is inelastic.  If my boss at work demanded that I work longer, I would be unable to respond to his demand.  My schedule shows my preferences and choices come at an opportunity cost.  If I want to go to a movie, I will have to give up something on my schedule.

Economics is a way of making decisions when wants are greater than the resources to satisfy them.  I have been looking at how I make decisions under conditions of scarcity.  This post was one example of those decisions.

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