1. Scarcity- is the fundamental economic problem of having seemingly unlimited human wants and needs in a world of limited resources. Some examples of goods that are not scarce would be an overall good that is always available and not necessarily in high demand, I would say some examples would be eggs, soda, and milk.

2. It is important for policymakers to consider both the indirect and direct effects of public policies because once implemented they could essentially cause a large impact on many different individuals. One public policy that I am familiar with would the New Jersey’s policy for autism. This policy helps to ensure the needs of individuals with Autism are contributed to. Two positives of this program would be that there is educational reform that is involved to help provide appropriate educational placement, another positive would be the decrease in a waiting list for any type of community type care. Two negatives of this policy would be the overall cost of the policy to be implemented in a state that is already facing a deficit, another negative would be the overall transparency that is trying to be positioned to excel the awareness of the disease, but could potentially be a bad thing. What I feel as though the policy makers were trying to achieve with this policy is to show that they are aware of the impact of autism and how hard it can be and implementing this public policy had made things much easier on individuals affected by autism. I do feel as though their purpose of this public policy have been conveyed properly and are being implemented well.

3. Adam Smith’s concept of the invisible hand explains how markets move toward equilibrium, because he is essentially stating that many individuals just continue to make money and stimulate the economy only because it is something that they need to do not because it is there