Using either the summaries provided in the student materials that accompany this lesson or the information collected through previously assigned student research, small groups are to answer the following questions with regard to the decisions made by leadership of the Soviet Union: For example, it may be true that because you decide to sleep in, you drive faster to get to school and get in an accident.
Available and limited natural resources, labor, and capital must be used to produce a mix of consumer goods and producer goods. Ask the students if they have any ideas of what opportunity cost really means.
Using the concept of circular flow, analyze the roles and the relationships between households, business firms, financial institutions, and government and non-government agencies in the economy of the United States. The rate of productivity increase in an economy is strongly affected by the incentives that reward successful innovation and investments in research and development, and in physical and human capital.
Did the leaders accurately perceive the benefits and costs? Abilities vs Abilities The opportunity cost of after school violin lessons at a particular school is the ability to join other after school activities such as baseball or the chess club.
For example, the decision to spend money on its research and development team means the company forgoes the chance to allocate it to an interest-bearing savings account.
In addition, however, the presentation team should answer the following questions for their presentation: Continued high investment in the military and heavy industry sustained limited gains in consumer goods; Investment means resources were directed to industrial and military growth, and thus taken away from consumer production.
Tony buys a pizza and with that same amount of money he could have bought a drink and a hot dog. What were the considered alternatives at the time of choice? In the moral-cultural sphere, there was a loss of moral principals that worked in the economic system.
The communist dream and the legacy of empire, rejuvenated by government proclamations, provided a moral — cultural strength that allowed the Communists to triumph.
The opportunity cost of the higher salary is a lower quality of life such as reduced air quality. Opportunity cost is the value of something when a particular course of action is chosen. The strength of the moral-cultural leg and the willingness of Russian people to believe the system would eventually deliver on its promises helped to sustain the system even when the economy faltered.
Agricultural output, in spite of heavy investments by Khrushchev and Brezhnev, was declining annually. Benefits Incurring opportunity costs is not inherently bad, as they do not detract from business decisions; instead, opportunity costs often enhance the decision-making process.
This slow down is put into perspective when we realize that investment spending remained extremely high and that it was fueled by the huge oil revenues the Soviet Union received as a result of high world petroleum prices.
In addition, however, the presentation team should answer the following questions for their presentation: Opportunity Cost Opportunity Cost Simply stated, an opportunity cost is the cost of a missed opportunity.
Suppose the alarm rings on a Saturday morning when you hope to go skiing with friends. The benefit of this forced investment in industry was a rapid but unbalanced economic growth in the late s.
Also, availability of consumer goods was drastically reduced.This business plan will show how a total investment of only $, could yield cumulative net profits in excess of $, over a five-year period, and average monthly sales of $72, while maintaining adequate levels of liquidity.
When you sit down to start working on a business plan, grab four blank sheets of paper and write the words Opportunity, Solution, Execution, and Outcomes across the top.
Now, start brainstorming. Get as many ideas down as possible. The students will define opportunity cost of a decision as what has been given up.
Materials: The poem Charlie’s Chocolate Choices, the journal attached to the lesson plan called Charlie and My Opportunity Cost, crayons, and a pencil. Examples of Opportunity Cost in the Business & Economic Environment Work-leisure choices The opportunity cost of deciding not to work an extra ten hours a week is the lost wages given up.
Business Plan OWNERS Business name: Example Corporation Address: Address Line 1 Address Line 2 City, ST Telephone: Growth potential and opportunity for a business of your size High capital costs High production costs High marketing costs Consumer acceptance/brand recognition Training/skills Unique technology/patents.
Oct 23, · The marketing and sales plan section of your business plan details how you plan to reach your target market segments, how you plan on selling to those target markets, what your pricing plan is, and what types of activities and partnerships you need to make your business a success/5().Download