Unit 1 → Subtopic 1.1
Designing an Economy of Survival
Economies develop in response to the needs of the people within them, and at their core, they are systems designed for survival. This project challenges students to design a basic economy for a survival scenario, applying key economic principles to allocate scarce resources efficiently.
Imagine being stranded on an uninhabited island or surviving in a post-apocalyptic world with limited resources. How would an economy naturally develop in such conditions? Students must consider the fundamental economic problems of scarcity, resource allocation, production, and trade as they construct an economy from the ground up. They will need to decide how goods and services will be produced, distributed, and consumed in their hypothetical society.
Key questions to address include:
What are the most critical resources for survival?
How will labor be organized?
Will there be a barter system, currency, or trade agreements?
How will decisions be made—centrally or through market forces?
Students will write a short report outlining their survival economy, explaining how it functions and how it reflects real-world economic principles. The report should demonstrate an understanding of basic economic structures and decision-making, while also showing creativity in designing a functional system for survival.
Recommended Procedure:
Define the Survival Scenario – Choose a setting (e.g., deserted island, space colony, post-disaster society) and outline key environmental conditions, available resources, and population size.
Establish Economic Principles – Identify how resources will be allocated. Will there be private ownership, communal sharing, or government planning? Will trade or currency exist?
Design the System of Production & Distribution – Determine how essential goods (food, water, shelter) will be produced and distributed. Who will work and how will labor be assigned?
Identify Trade and Exchange Mechanisms – Decide how goods and services will be exchanged. Will there be markets, a barter system, or a planned economy? What rules or institutions will regulate transactions?
Write and Structure the Short Report – Clearly explain the economic model in a structured format. Justify decisions using economic reasoning and relate the survival economy to real-world systems.
Suggested Sources:
Basic Economic Systems:
Investopedia: Types of Economic Systems – https://www.investopedia.com
Khan Academy: Scarcity and Economic Decision-Making – https://www.khanacademy.org
2. Survival and Resource Allocation:
National Geographic: The Role of Resources in Survival – https://www.nationalgeographic.com
BBC Bitesize: Resource Scarcity and Economic Choices – https://www.bbc.co.uk/bitesize
3. Real-World Economic Comparisons:
Case Studies on Barter Systems & Early Economies – https://www.economist.com
History of Trade and Currency Development – https://www.history.com
4. Example of Isolated Economies:
The Economy of Remote Communities – https://www.brookings.edu
Economic Case Study: North Sentinel Island – https://www.npr.org
Grading Rubric:
Total Points: __ /20
