Goods and Services
Producers and Consumers
Scarcity and Opportunity Cost
Supply/Demand/Incentives
Smart Money Choices
100
A bakery, doctor’s office, hair salon, and toy store—which ones offer goods, and which offer services?
Bakery and toy store- goods
hair salon and doctor's office- services
100
A producer is someone who ________, and a consumer is someone who ________.
Producer = makes or sells goods/services
Consumer = buys or uses them
100
Define scarcity.
Scarcity means there are not enough resources for everyone to have what they want.
100
Define supply and demand.
Supply = how much of something is available Demand = how much people want it.
100
What does it mean to save money?
To keep your money instead of spending it, usually for something later.
200
Name a business in your community that sells goods and one that sells services.
Many choices
200
Why do businesses have competition?
Because many businesses sell similar things and want customers to choose them. (Makes prices go down)
200
Give an example of scarcity and identify what is scarce in your example.
"There were only 5 soccer balls, but 10 kids wanted one. The soccer balls are scarce.”
200
Give an example of supply and demand in real life.
Many responses
200
What is a budget and why is it important?
A budget is a plan for how to spend and save money so you don’t run out.
300
What is the difference between a good and a service?
Good is an item that you buy and a service is someone doing something for you.
300
Give an example of two businesses that compete. What are they competing for?
Pepsi and Coca-Cola they compete for customers money.
300
Define opportunity cost.
The thing you give up when you choose something else.
300
What happens when there is a surplus of a product in stores?
There is more than people want, so stores may lower prices.
300
You earn $10 from chores. You want to buy a $15 toy. What can you do to budget for it?
Save $5 more next week or spend less on something else.
400
Explain how producers and consumers are connected through goods and services.
producers make goods and complete services and consumers buy the goods or pay for the service.
400
How can competition be good for consumers?
It helps keep prices fair and quality high because businesses try to be the best.
400
You have $10 and can buy either a book or a game. If you buy the game, what is your opportunity cost?
The book, because you gave it up when you chose the game.
400
A positive incentive encourages people to do something by making them better off if they do it. What is a negative incentive? Give an example of each.
Positive: earning money for chores.
Negative: losing screen time if homework isn’t done.
400
Everyone play! What is the name of this character and from what movie?
Abu from Aladdin
500
As a group create your own business idea and describe what goods or services you would provide and who your consumers would be.
Many answers :)
500
Imagine you own a lemonade stand. How could you use competition to improve your business and attract more customers?
Many answers
500
Explain how scarcity leads people to make choices that involve opportunity cost.
Because we can’t have everything we want, we must choose, and that means giving up something else (opportunity cost).
500
Imagine a new video game is very popular, but stores run out. What will likely happen to price and demand?
The price will go up and demand stays high because people still want it but supply is low.
500
Explain the difference between saving and spending. Give an example of when you might do each.
Saving: keeping money for the future (saving for a bike).
Spending: using money now (buying lunch).