What is the first lesson for economics students?
The very first lesson in most economics programs is usually:
The concept of Scarcity and Trade-offs
Often taught in a course called “Introduction to Economics.”
What students learn in the first lesson:
1. Scarcity:
Resources are limited, but human wants are unlimited.
2. Choice:
Because resources are scarce, individuals and societies must make choices.
3. Opportunity Cost:
Choosing one option means giving up another — this is the real cost of any decision.
4. Micro vs. Macro Economics:
• Microeconomics: Studies individuals and firms.
• Macroeconomics: Studies the economy as a whole (inflation, unemployment, GDP).
5. The Basic Economic Questions:
• What to produce?
• How to produce?
• For whom to produce?
