A-Level Economics: The Nature and Purpose of Economic Activity

The Nature and Purpose of Economic Activity

• the central purpose of economic activity is to produce goods and services to satisfy our needs and wants

Wants Vs Resources

• Needs are things we can't do without and that are essential for survival
• Wants are the extras we desire
• You need food, shelter and warmth, but needs can be a difficult value judgement
• Many resources are scarce…