Common Cents

Common Cents articles provide teachers and parents with easy-to-implement lessons and activities for their students and children.

Developing Financial Goals

PDFIncrease Your Money Smart IQ
Read suggestions to help kids learn to become money smart.

PDFResolutions Help Kids
Outline five financial goal planner areas - saving, earning, spending, donation and learning - and define each goal for kids.

PDFUsing Tough Times to Teach Children Financial Concepts
Discuss ways to talk to kids about financial decision-making, learning to budget and economizing to spend less money.

PDFWatch and Learn: Kids' Money Attitude Often Mirror Parents'
Discuss ways to talk to kids about financial decision-making, learning to budget and economizing to spend less money.

Saving and Investing

PDFA Financial Picture is Worth a Thousand Words
Help kids achieve short- and long-term savings goals.

PDFDeveloping Fiscal Fitness in Kids
Teach kids how to budget and develop financial goals.

PDFFinancial Responsibility Begins in Childhood
Teach kids the importance of saving money by helping them visualize concepts in their own frame of reference.

PDFInvestments: The Gifts That Keep on Giving
Review the different investment options for youth, including savings accounts, certificates of deposit, 529 savings plans and stocks.

PDFLearning Through Lending: Kids as Angel Investors
This article introduces microloans as a way to invest in entrepreneurs from Third-World countries.

Spending

PDFBecoming a Conscious Consumer
Learn how to become a consumer coach and help kids practice conscious spending.

PDFBypassing Buyer's Remorse
Help kids make better purchasing decisions.

PDFIt's Free, But at What Cost?
Help kids understand that there is often a hidden cost in receiving free items associated with a purchase.

PDFMoods and Money: How Emotions Affect Money Decisions
Learn about behavioral economics and how financial decision-making is affected by reflexive thinking.

PDF'Tis the Season for Smart Shopping
Learn how to get your kids in the habit of comparison shopping and encourage smart spending.

Credit

PDFLaying the Foundation for Responsible Credit Use
Discover why it's important to help kids gain a well-rounded understanding of credit, including its advantages and costs.

PDFPerusing Payment Cards
Read how prepaid cards can be used as a payment solution for those without access to credit or even without bank accounts.

Entrepreneurship and Careers

PDFBeyond the Lemonade Stand
Guide young entrepreneurs by discussing what it takes to make a venture successful.

PDFOh Where Oh Where Has Our Work Ethic Gone?
Read suggestions to develop a better work ethic at home.

PDFPreparing Kids for Their Life's Road Trip
Learn how to help prepare kids to choose a career.

PDFThe Art of Negotiation
Learn strategies to begin teaching negotiation techniques.

Other

PDFDeveloping Resilience in Kids
Discuss changing financial circumstances within a family and suggest ways to overcome and be strengthened by the difficulties.

PDFIdentity Theft is Hazardous to Your Wealth
Read about ways to protect kids’ personal information and online identity.

PDFMoney Ethics - Teaching Kids to Follow Their Moral Compass
Help kids make ethical decisions related to money situations they may face.

PDFPayday on Report Card Day?
Read how small rewards for good grades can keep kids on track without the bribe effect.

PDFPaying it Forward: Kids and Philanthropists
Introduce the idea of charitable giving as a way to teach kids the life lessons of consideration and compassion towards others rather than self-fulfillment.

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Trivia table
Trivia Title Trivia Content
Bite Size Economics

Explain the benefits as well as the costs (monetary and nonmonetary) of owning a pet. Draw a picture of three pets, listing one cost and one benefit for each.

Bite Size Economics

Play "Another Action Hero" in Show Business: The Economic$ of Entertainment at www.bos.frb.org/entertainment/index.htm to learn what the film industry can teach about international trade and globalization.

Bite Size Economics

When a company wants to increase their profit, they can reduce their costs (expenses) or increase their sales (income). You are the owner of a new sushi restaurant. Describe two ways to increase your sales and two ways to reduce costs.

Bite Size Economics

Research the United States' top 15 trading partners by going to: www.census.gov/foreign-trade/statistics/highlights/topcurmon.html. Create a bar chart that shows three things: U.S. total trade with its top 15 trading partners, U.S. exports with its top 15 trading partners; and U.S. imports with its top 15 trading partners. Discuss the graph and what it shows about U.S. trade.

Bite Size Economics

The threat of war pushed the Federal Reserve Banks to open early because of bank panic fears. How else can war affect the economic health of a country?

Bite Size Economics

Play "Econ Bingo" after reading directions, downloading bingo cards and sample money from the Fifty Nifty Econ Cards website: www.federalreserveeducation.org/resources/fiftynifty. Award $5 of money for each bingo during the game. Let winning students use their income to purchase incentives you have supplied.

Bite Size Economics

Write an essay on the topic of rebates as incentives for consumers when they purchase goods and services, such as electronics, cars, etc. Do you think rebates motivate people to spend more? Why or why not?

Bite Size Economics

Check out the Kansas City Fed's Financial Fables ebooks to discover how "money morals" can help students from preschool to fifth grade become money smart. http://bit.ly/11OINYK

Bite Size Economics

Resource Trivia: What two fabric resources are used to make paper currency? (linen - 25%; cotton - 75%)

Bite Size Economics

Draw pictures that represent financial words and write the definitions of the words on the opposite side. Save these financial flashcards to use for review. Suggested words: bank, save, deposit, withdrawal, interest, emergency fund, short-term goal, long-term goal.

Bite Size Economics

Using your local newspaper, find three advertisements for products. List examples of marketing techniques that producers use to entice customers to buy their products, suchas bargain prices or use of brand names. Share your results.

Bite Size Economics

The American economic system has tax laws that influence people's behavior. For example, a sales tax increase at restaurants might influence people to stop eating out. Write an essay on how a response to tax increases could have future consequences for businesses.

Bite Size Economics

Work in pairs to design a new and improved ATM for 2020. Make posters to highlight services and features that might be available in the future. As a class, vote on the best future design.

Bite Size Economics

Why are federal laws necessary to protect the civil rights of consumers?

Bite Size Economics

Many students think about running their own business as adults. Ask students to brainstorm types of businesses that interest them. Invite a local business owner from an area of interest to speak to the class about his/her experiences. Prepare for the speaker by making a list of interview questions related to running a business.

Bite Size Economics

Learn why the regional structure of the Federal Reserve System is important to understanding the economic conditions in all regions of the country in the Atlanta Fed's video The Fed Explains Regional Banks. http://bit.ly/14A3ASh

Bite Size Economics

Discuss how this quote relates to entrepreneurship: "Wanting something is not enough. You must hunger for it. Your motivation must be absolutely compelling in order to overcome the obstacles that will invariably come your way." - Les Brown

Bite Size Economics

Develop a list of economic, social and environmental costs and benefits of developing a new city park. Develop another list for the development of a large chain store like Wal-Mart in the same area. How are the costs and benefits the same or different?

Bite Size Economics

Compose a song or a rap about being a "savvy shopper." Include verses about comparison shopping, purchasing quality vs. quantity, and avoiding buyer's remorse.

Bite Size Economics

You are a producer of a new and unique athletic shoe. Develop a poster or commercial to advertise your amazing shoe.

Bite Size Economics

Discuss homecoming expense choices and opportunity costs. For example, with a limited amount of money, would you choose a fancy limo for transportation? Would you spend more money for a high-dollar outfit instead? Or would you spend your dollars on an expensive restaurant meal before the dance? Discuss the reasoning behind your decisions.

Bite Size Economics

Read The Pickle Patch Bathtub by Frances Kennedy. Use the St. Louis Fed's children's literature lesson to discuss the topic of developing a plan to achieve your savings goal: http://bit.ly/12LedV1

Bite Size Economics

You have saved enough money to buy your first computer! Which is the better buy: a laptop for $599, a case for $29, and a mouse for $19; or a desktop monitor for $149, a computer tower for $469, and a keyboard with mouse for $39? (laptop package=$647; desktop package=$657)

Bite Size Economics

Debate the importance of producers using social media, such as Facebook, YouTube and Twitter, to get the attention of consumers in order to sell their products.

Bite Size Economics

Explore the evolvement of the payment system by watching Chapter 5 of the Philadelphia Fed's video The Federal Reserve and You. Create a public service announcement highlighting the Fed's role in providing cash and electronic payment services. http://bit.ly/11dWBdQ

Bite Size Economics

Create a rap or song titled, "Invest in Yourself." Include all the ways to invest in your human capital, such as more education, training and practicing to gain experience, and taking care of your health. Perform your verses for the class.

Bite Size Economics

Discuss this quote: "Don't put all your eggs in one basket," and relate it to diversifying, or having a variety, of stock investments. Why is diversification a good strategy?

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Wants and needs may vary depending on culture. Research wants and needs around the world and compare and contrast them with your own community.

Bite Size Economics

What three federal agencies regulate banks? (Office of the Comptroller of the Currency-OCC; Federal Deposit Insurance Corporation-FDIC; and the Federal Reserve)

Bite Size Economics

Choose a job and research its income in two different countries. (Example: a starting teacher in Mexico is paid $10,465 a year, while a starting teacher in Canada is paid $35,400 a year.) Discuss why the same job can have different salary levels in different countries.

Bite Size Economics

Use the Core Concepts Cards net worth calculator, available at www.federalreserveeducation.org/resources/coreconcepts/worksheets/whatsyournet, to figure your net worth. How can you increase assets or decrease liabilities to add value to your net worth?

Bite Size Economics

Interview family members or neighbors about the recent recession and any changes or effects it had on their lifestyles. Report your findings to the class.

Bite Size Economics

Think of a time when you paid for an expense you planned to buy (food, school supplies, etc.) and one you didn't plan to buy (spur-of-the-moment purchase.) Write a song that explains which was the better decision and why.

Bite Size Economics

Make a list of incentives that would persuade you to complete the task of cleaning your bedroom from top to bottom. Which of these incentives would your parents agree to?

Bite Size Economics

Are you wise about credit? Learn about developing good credit by reading the Kansas City Fed's Common Cents article "Laying the foundation for responsible credit use." Take theGet a Credit Clue quiz to see if you are credit card worthy. http://bit.ly/11Dsm65

Bite Size Economics

Read Earth Day-Hooray! by Stuart Murphy. Use the children's literature lesson to discuss the topic of incentives in the story: www.stlouisfed.org/education_resources/assets/lesson_plans/EarthDayHooray.pdf

Bite Size Economics

Certificates of deposit (CDs) are accounts that earn interest at a fixed rate over a set of time period and include penalties for withdrawing money early. Ask students to research interest rates of CDs at local banks. Make a class list of the best rates for each of the following CDs: 6 months; 12 months; 24 months; 36 months. Discuss why banks and credit unions pay higher rates for longer terms. Ask students if they would invest in a CD and why.

Bite Size Economics

How does the following quote relate to today's rate of savings? "In the old days, a man who saved money was a miser; nowadays, he's a wonder." - Author unknown

Bite Size Economics

Ask students to keep a financial journal, writing down what they spendand save for 30 days. They should keep track of the amount they spendin one column and the amount they save in another column. At the endof the 30 days, ask them to total the amounts of each column and figurethe percentage of money they spent and the percentage they saved.

Bite Size Economics

Watch Katrina's Classroom from the Atlanta Fed to understand how natural disasters can affect banking services. Write a creative story about leaving your home due to a natural disaster and the steps you would take to be financially stable during this time.http://bit.ly/14C0lYK

Bite Size Economics

Calculate this profit/loss stock statement: 100 shares of XYZ Electronics bought at $29 each + $1.50 broker fee ($2901.50); 100 shares sold at $35 each - $1.50 broker fee ($3498.50); ($3498.50-$2901.50 = $597 profit).

Bite Size Economics

Use actual coins to show that quarters are 1/4 of a dollar, dimes are 1/10 of a dollar, nickels are 1/20, and pennies are 1/100. Use coins to add fractions to see if you have enough money to pay for sample small items.

Bite Size Economics

Brainstorms items of value that people invest in, such as real estate, gold, art, coins and jewelry. Ask students to write an essay discussing whether they think these options are better investment areas than the stock market and give their reasons for their opinions.

Bite Size Economics

Explain the wisdom of this quote: "If you lend someone $20, and never see that person again, it was probably worth it."

Bite Size Economics

Read Saturday Sancocho by Leyla Torres. Use the children's literature lesson to discuss the topic of bartering as a form of trade: www.stlouisfed.org/education_resources/assets/lesson_plans/SaturdaySancocho.pdf

Bite Size Economics

What monetary policy tools does the Federal Reserve Bank use to regulate the money supply?

Bite Size Economics

What key historical events led to the establishment of the Federal Reserve System?

Bite Size Economics

Make up a rap about regretting a buying decision (buyer's remorse) and wishing you had purchased your opportunity cost instead. Perform it for the class.

Bite Size Economics

Nominate a president or famous person in U.S. history (no longer living) for a new $500 bill. Write an essay describing how your nominee contributed to American history and why he/she would be a worthy candidate.

Bite Size Economics

Research President Obama's 2009 total income by going to: www.whitehouse.gov. ($5,505,409) What is his yearly presidential salary? ($400,000) From what sources did he earn most of his additional income? (sales of his books and winning the Nobel Peace Prize.)

Bite Size Economics

Use Lesson 2: "W Is for Wages, W4 and W2" at www.stlouisfed.org/education_resources/assets/lesson_plans/paycheck/IYP_lesson2.pdf to learn about gross pay, net pay and the different deductions that are taken from paychecks.

Bite Size Economics

Create a consumer profile, such as a 20-year-old college athlete, and make a collage of products or services using newspaper, magazine ads and/or computer-generated images that would appeal to that type of consumer.

Bite Size Economics

Introduce the three types of resources, giving examples of each:Natural - gifts of nature used to make goods and services;Human - workers who make goods and provide services;Capital - goods made and used to provide other goods and services.Hand out magazines and have students find pictures of each type of resource. Use images to create a class resource poster with three columns labeled for the different resource types.

Bite Size Economics

Discuss this quote: "Competition is not only the basis of protection for the consumer, but is the incentive to progress." - Herbert Hoover

Bite Size Economics

Develop a role play about an entrepreneur whose ideas for a new product or business are not well accepted and how he/she meets these challenges and eventually becomes successful. Perform the role play for your class.

Bite Size Economics

Entertainment purchases can be a budget downfall. Brainstorm a list of 10 budget-friendly ideas for family entertainment that cost $5 or less.

Bite Size Economics

Research Mattel, Hasbro or other toy companies to see how they determine what toys to produce and supply to retail stores. Use the information you find to predict what toys might be popular in 2020.

Bite Size Economics

Draw a cartoon to portray one of the following label instructions found on consumer goods: hairdryer-never use while sleeping; iron-do not iron clothes on body; child's costume-cape does not enable user to fly.

Bite Size Economics

What is the value of the largest note ever printed? ($100,000) Which president was on the bill? (Woodrow Wilson)

Bite Size Economics

If U.S. exports to China are worth $8 billion, and U.S. imports from China are worth $34 billion, what is the total trade amount? ($42 billion) What is the trade deficit? ($26 billion)

Bite Size Economics

How will paying for goods and services change in the future? Invent and illustrate a new method of payment for the year 2025. Label invention parts and write a brief explanation telling how to use your payment method.

Bite Size Economics

Through a story and activities, Piggy Bank Primer introduces students to economic concepts such as saving and budgeting: http://www.stlouisfed.org/education_resources/assets/lesson_plans/piggy_bank_primer/StudentSavingBudgeting.pdf.

Bite Size Economics

Introduce the first two principles: People choose and people's choices involve costs. Explain that opportunity cost is a person's second-best choice that is given up when the first choice is made. Ask students to give examples of choices they make during a school day, such as lunch and recess options, and name the cost and benefits of each choice.

Bite Size Economics

Professionals like lawyers and accountants may trade services, such as an accountant preparing a lawyer's taxes and a lawyer handling a legal matter from the accountant. Write a short news article about the costs and benefits of trading services.

Bite Size Economics

Ask the class to brainstorm ways they could spend $10. List ideas and ask them to narrow it down to one, since the class has only one $10 bill. When there is disagreement on which one, discuss that the scarcity of the money to be spent forces us to make choices.

Bite Size Economics

Draw a picture that shows farmers trading equipment, crops or labor with each other. Explain how this trade situation helps farmers and their families.

Bite Size Economics

You have two possible babysitting jobs for Saturday - one watching 6-year-old twins for four hours at $3 an hour, and one with two kids, ages 1 and 3, for four hours at $4 an hour. How much would you earn from each job? What would your choice/opportunity cost be?

Bite Size Economics

Assume the identity of a superhero or a credit villain in the Kansas City Fed's role play Professor Finance and Fed Boy Meet the Catastrophe Clan to learn about the use and misuse of credit and how the CARD Act protects consumers. http://bit.ly/13jzWzX

Bite Size Economics

Focus on and discuss human capital: the skills, talents and education that people possess. Discuss how improving human capital through education and training correlates with increasing income. Ask students to research and share education levels and average income of chosen careers by going to the Bureau of Labor Statistics website to look at the Occupational Outlook Handbook: www.bls.gov/oco.

Bite Size Economics

Make a collage of magazine ads that would appeal to consumers urging them to save money, possibly by living greener.

Bite Size Economics

After discussing entrepreneurship, ask students to interview an entrepreneur in their community. Interview questions could include: describing their business; explaining how they financed their venture; discussing any challenges in their business; and describing a typical work day. Share completed interviews with the class.

Bite Size Economics

Introduce the concepts of asset and liability. Brainstorm a list of students' current assets and discuss items that they would like to own as future assets. Ask students to design a tri-fold showing their assets now, possible future assets and their savings plan to get these assets.

Bite Size Economics

Discuss with students how they make daily decisions, selecting one choice and giving up a second as an opportunity cost. Have them draw two locations for their next birthday party, make a final decision, and label one "my choice" and the other "my opportunity cost."

Bite Size Economics

Cut out or draw pictures of three of your top wants. Estimate how much they cost and determine a budget or way to save for these items. Present your wants and savings plan to the class.

Bite Size Economics

As entrepreneurs invent new products, they often make former products obsolete, or out of date and no longer used. An example of this would be the typewriter, which is now rare because of computer word processing. This concept is called "creative destruction." Ask students to brainstorm and discuss other examples of creative destruction due to new inventions.

Bite Size Economics

Discuss "interest" as "payments made for the use of money." Ask students if they think earning interest when they deposit money in a savings account is a good incentive to save. Why or why not?

Bite Size Economics

Invite a bank manager to visit as a guest speaker. Create interview questions that ask about the education, skills and responsibilities that are needed for his/her position.

Bite Size Economics

Discuss what Thomas Jefferson meant when he said, "The merchant has no country."

Bite Size Economics

Add together all the bill denominations currently in circulation. What is your dollar total? ($1+$2+$5+$10+$20+$50+$100=$188)

Bite Size Economics

Discuss this quote: "No one has a greater asset for his business than a man's pride in his work." - Hosea Ballou

Bite Size Economics

In a classroom mini-economy where everyone has a designated income, have the government (the teacher) set tax rates during different periods to illustrate progressive, proportional and regressive taxes.

Bite Size Economics

Choose a publicly-traded company, such as Amazon (AMZN), and follow the price of that company's stock each week for a month. Report whether the price has increased or decreased during that time, and provide a recommendation on buying the stock.

Bite Size Economics

Discover what it takes to be a bank examiner at the Federal Reserve by reviewing an examiner job description from the Kansas City Fed. What are the three college degrees recommended for a bank examiner? http://bit.ly/18lWMKo

Bite Size Economics

Share pictures of different careers, and challenge students to analyze the costs and benefits of working in each career. Have them research information on salaries, education levels, work environment and job outlook by going to: www.bls.gov/oco/ooh_index.htm. Ask them to make a table listing this information for five careers, and then decide which career provides the most benefits and the least costs.

Bite Size Economics

Consumer trivia: What is phishing? (a scam where internet fraudsters send spam or pop-up messages to lure personal information from unsuspecting victims.) Why should consumers be aware of this scam?

Bite Size Economics

Discover how the recession influenced the savings habits of consumers in the Recession Lesson: "The Silver Lining of the Economic Downturn" at www.kansascityfed.org/publicat/education/teachingresources/RecessionLesson-SavingsHabits.pdf.

Bite Size Economics

Read Pickle Patch Bath Tub by Frances Kennedy. Use the children's literature lesson to discuss the topic of income in the story: www.stlouisfed.org/education_resources/assets/lesson_plans/PicklepatchBathTub.pdf

Bite Size Economics

Learn what happens when the price of an asset becomes artificially high in Recession Lesson: Asset Bubbles, available at: www.kansascityfed.org/publicat/education/teachingresources/RecessionLesson-AssetBubbles.pdf.

Bite Size Economics

What does Penny Pigeon learn about saving and building assets? Read the Financial Fable Penny Pigeon and the Missing Nest Egg to find out at: http://www.kansascityfed.org/education/fables/index.cfm.

Bite Size Economics

Introduce certificates of deposit and savings bonds as two ways to invest money. Look at the financial website: http://financialplan.about.com/od/savingmoney/a/wheretokeepsave.htm. Compare and contrast these two methods of saving to look at the advantages and disadvantages of each.

Bite Size Economics

Look closely at a one-dollar bill. What symbols and words do you see that connect this bill with the Federal Reserve?

Bite Size Economics

Discuss this quote: "Expenditures rise to meet income." - C. Northcote Parkinson

Bite Size Economics

Discuss the use of income to purchase holiday gifts and ask students to make a list of five items they'd like to buy for friends, including the price of each gift. Looking at the total amount they'll need, will they earn enough income to make purchases? How might they earn more money to complete their shopping?

Bite Size Economics

Discuss the stock market as a public place to invest dollars in stocks, or shares of ownership in a company. Go to: www.essortment.com/invest-money-mutual-funds-stocks-17734.html to learn about stocks vs. mutual funds. Which type of stock would you invest in? Give reasons for your answers.

Bite Size Economics

Learn how a bank operates as a business in the Kansas City Fed's There's No Business like Bank Business activity. http://bit.ly/150sooC

Bite Size Economics

Invite a small business owner to speak to the class. Ask students to prepare interview questions about the assets and liabilities most business owners have and ways to increase thenet worth of a business.

Bite Size Economics

Calculate the monetary costs and benefits of running a lemonade stand using the following assumptions: mix that makes 32-oz. of lemonade costs $3 per container and a package of 50 8-oz. cups is $5. You sell 48 8-oz. cups for $2 each. (costs=$44, benefits=$96)

Bite Size Economics

Many supermarkets have non-food services such as floral departments, pharmacies, banks, dry cleaning and DVD rentals. Why do you think supermarkets offer these additional services?

Bite Size Economics

Use Lesson Two "Budget to Save: Developing a Budget" from Building Wealth in the Classroom: www.dallasfed.org/education/pubs/wealth_classroom/02_lesson.pdf to discuss budgets in relation to financial goals. Do the suggested activity of a budget analysis for a high school senior saving for the prom. Discuss areas where this budget could be streamlined to meet the student's financial goals.

Bite Size Economics

Use the Fifty Nifty Card Teacher Resource Guide's "Word of the Week" activity to integrate the concept of scarcity into reading, language and art: www.federalreserveeducation.org/resources/fiftynifty

Bite Size Economics

Is a home an asset or liability? Research this question and then draw an illustration to explain what you learned and whether you think a house is an asset or liability.

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What innovations and technological advancements have changed the U.S. payments system in the last 30 years?

Bite Size Economics

Most states have created 529 plans to assist parents in saving for their children's future education. Have students research plans for the states in their region, including regulators, fees and internet options. Make a chart comparing neighboring states' 529 plans to your home state.

Bite Size Economics

Read So Few of Me by Peter Reynolds. Use the children's literature lesson to discuss the topic of opportunity cost in the story: www.stlouisfed.org/education_resources/assets/lesson_plans/SoFewOfMe.pdf.

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Discuss the meaning of this quote: "Let me remind you that credit is the lifeblood of business, the lifeblood of prices and jobs." - Herbert Hoover

Bite Size Economics

The St. Louis Fed offers instant message simulations on a variety of personal finance topics. Try one and learn about how to open a bank account. http://bit.ly/14C0qf1

Bite Size Economics

Use the role play There's No Business Like Bank Business toexplore the benefits of saving money in a bank:www.kansascityfed.org/publicat/education/teachingresources/Bank_Business_script.pdf.

Bite Size Economics

The launch of the Air Jordan retro basketball shoe sale caused long lines, fights and store closings across the United States. Discuss the concepts of supply and demand in this situation. Ask students to give reasons why these shoes sold out, even though their retail price was $180 a pair.

Bite Size Economics

Write a haiku on the importance of paying yourself first.

Bite Size Economics

Introduce the stock market as a market in which the public buys and sells stock, or shares of ownership in companies. Brainstorm companies that students are familiar with (such as McDonalds, Nike, Toys R Us, etc.) and ask students to nominate the five best choices for stock purchases. Discuss the reasons for their picks.

Bite Size Economics

Learn about market equilibrium, or the point at which there is no shortage or surplus of a good or service, by watching the third episode of the Economic Lowdown Video Companion Series at: www.stlouisfed.org/education_resources/video_podcasts.cfm.

Bite Size Economics

Use lesson 2, "W is for Wages, W4 and W2," from It's Your Paycheck personal finance curriculum to learn what deductions are taken from weekly/monthly income. Discuss why these deductions are necessary for the government and the individual. www.stlouisfed.org/education_resources/assets/lesson_plans/paycheck/IYP_lesson2.pdf

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If a company's losses are much greater than its profits, the owners might consider filing for bankruptcy. Research the concept of bankruptcy and write an essay describing the advantages and disadvantages.

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Read Free Enterprise: The Economics of Cooperation, available at www.dallasfed.org/educate/classroom.cfm, to learn about the role of businesses in a free-enterprise system.

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Weather conditions can create shortages. Work with a partner to make a list of hardware and department store items that might be in short supply during a snowstorm. (snow blowers, shovels, gloves, hats, etc.). Pantomime the use of each item for the class to guess.

Bite Size Economics

A bear market is one where stocks steadily decline and investors are motivated to sell; a bull market is one where stocks are steadily increasing with investors' optimism. Ask students to design two new symbols (animal or other) to replace the bear and bull images and share why their symbols are good representations of these markets.

Bite Size Economics

Trivia: Eldercare services are predicted to be one of the most profitable business opportunities in 2012-2013 due to a boom in the elderly population and longer overall life spans.

Bite Size Economics

Use the lesson plan and role play for "There's No Business Like Bank Business" to teach students the concept of how banks operate as a business: www.kansascityfed.org/publicat/education/teachingresources/No_Business_lesson.pdf and www.kansascityfed.org/publicat/education/teachingresources/Bank_Business_script.pdf.

Bite Size Economics

Introduce the concept of market clearing price: where buyers and sellers agree on a price to reflect supply and demand; also called an equilibrium price. Discuss the market clearing prices (MCP) of tickets to a concert. What can you assume if the concert is sold out? (MCP is too low.) If few tickets are sold? (MCP is too high.) If you were a concert promoter, what criteria would you use to set ticket prices?

Bite Size Economics

Why is a bank holiday not something to celebrate, and why did President Franklin D. Roosevelt establish a national one in 1933? Find out in the Boston Fed's Closed for the Holiday: The Bank Holiday of 1933. http://bit.ly/11I1W4r

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Summarize the tale of Little Red Riding Hood. What was the cost of Little Red ignoring her mother's advice on her way to Grandmother's house? What would have been the benefit ifshe had listened?

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Place a variety of job titles with their associated incomes in a hat and then place an assortment of typical monthly expenses in another hat. Draw one job and income and five monthly expenses. Determine if the income exceeds the monthly expenses.

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Use the Recession Lesson "Navigating the Fear of the Unknown" (http://kansascityfed.org/publicat/education/teachingresources/RecessionLesson-EconomicUncertainty.pdf) to learn about the role that economic uncertainty played during the recent recession for businesses and consumers.

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The Bureau of Engraving and Printing produces currency daily to avoid a scarcity of money. How many bills are produced in a day? A) 3,500 B) 350,000 C) 3.5 million D) 35 million Answer: (D)

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Discuss the growing threat of identity theft. Ask students to write tips for consumers to follow in keeping their identity safe. (Example: Memorize your Social Security number so you won't need to carry your card with you.)

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Research the new Credit Card Accountability, Responsibility and Disclosure Act (CARD Act) at: www.federalreserve.gov/consumerinfo/wyntk_creditcardrules.htm. What rule targets underage consumers? Discuss the advantages and disadvantages of this rule for college students.

Bite Size Economics

Read Saturday Sancocho by Leyla Torres. Use the related children's literature lesson from the St. Louis Fed to learn about the advantages of paying money over bartering for goods.http://bit.ly/18D0u5U

Bite Size Economics

Write about a situation where a scarcity of food, money or time caused a problem, and how that problem was solved.

Bite Size Economics

Play 20 Econ Questions or Econ Word Wiz (www.federalreserveeducation.org/resources/fiftynifty) using "producer" as one of the words.

Bite Size Economics

Make a chart comparing the costs of a new sports car and a used compact car. Figure the expenses for each car, including loan payment, fuel and insurance. If transportation to your job is a need, which car is the better choice?

Bite Size Economics

Discuss that not all organizations are required to pay taxes to the government. These include schools, churches and not-for-profit groups, such as scouts, animal protection agencies and charities. Ask the class for reasons why these organizations are tax-exempt and whether they think this is fair to everyone else. Have students write a letter to the school newspaper explaining their opinion.

Bite Size Economics

Learn more about the importance of credit score by watching "The Drawing Board: your Credit Score" http://www.youtube.com/watch?v=DWa34pB3pQA&feature=player_embedded.

Bite Size Economics

Discuss this quote: "The strongest bank in the United States will last only as long as people have sufficient confidence in it to keep their money there." - Carter G. Woodson

Bite Size Economics

How does a recession affect the circular flow of income within the economy?

Bite Size Economics

Use the "Professor Finance and Fed Boy Meet the Catastrophe Clan" lesson: www.kansascityfed.org/education to introduce the Credit CARD Act and consumers' credit rights and responsibilities.

Bite Size Economics

Your credit card company sets your minimum payment at 2% of your balance. If you have a $1,000 balance on your credit card, what will your minimum payment be? (answer: $20). (Keep in mind, if you only pay the minimum balance most of your payment goestoward interest.)

Bite Size Economics

Introduce taxes by asking what happens on April 15. Discuss that one of the purposes of income taxes is to pay for public goods (such as parks and roads) and public services (such as police, fire and military workers). Ask students to imagine what would happen if the government didn't use tax money to provide these goods and services. Have them draw a picture of a situation where a lack of public goods or services caused a problem.

Bite Size Economics

Introduce the definitions for save and spend. Describe short-term savings goals as items students want that will require saving for several months. Ask students to choose an item as a savings goal, estimate the cost of the item and figure the amount they would have to save weekly to reach their goal. Have students share their goals and savings plans with the class.

Bite Size Economics

Research the characteristics of a savings account, certificate ofdeposit, money market account and savings bond. Using the scenarioof a short-term savings goal, decide which one would be the bestplace for your money and explain your reasoning.

Bite Size Economics

Ask students if they have ever run a lemonade stand. Point out that this is an example of a market, where buyers purchase lemonade from sellers. Discuss how sellers set their prices so buyers are willing to purchase. Ask students to give examples of goods from other types of markets they have visited, such as farmers markets, flea markets and garage sales.

Bite Size Economics

Explore myths and realities about the Fed using primary source materials in the Atlanta Fed's lesson Myths, Tall Tales, and Urban Legends: A Lesson on the Facts Behind the Fed. http://bit.ly/YeYn1k

Bite Size Economics

In groups, construct story problems that feature characters needing to calculate amounts to save or spend. Example: Joe wants to save $500 for a trip to Chicago in six months. How much does he need to save each week to meet his goal?

Bite Size Economics

Introduce the importance of weekly budgeting. Ask the class to use spending journals to track their purchases for a week. After journals are completed, students should share results for a class list of typical purchases and costs. Have students use the list to create a graph showing the areas where most purchases were made. Discuss ways to cut back on common buys to stay within their budgets.

Bite Size Economics

Use the limerick below to introduce surpluses and shortages. Ask students to make up their own poem about surpluses and shortages to share. There once was a price just too high,So that no one would bother to buy.On the shelf the stuff sat,Gathered dust like a floor mat.A surplus needs a lower price-that's why! And then there was a price oh so low,That folks stood in a long line, oh no!But the shelves were soon bare,Those still waiting sure cared.A higher price would have solvedtheir shortage woes.

Bite Size Economics

Would you accept a cow as payment? Learn about the four characteristics of money and evaluate various forms of money, including cows, that were used as currency in earlier times by reviewing Kansas City Fed's lesson Early Forms of Money. http://bit.ly/1a8sTip

Bite Size Economics

Develop a chart listing 10 tips that will help the environment through protecting natural resources. (Example: Pick up litter along trails and waterways.)

Bite Size Economics

Discuss this quote: "Information is the currency of democracy." - Thomas Jefferson

Bite Size Economics

Use the FDIC's EDIE the Estimator tool to explore how FDIC insurance protects depositors. Try the simulator using varying deposit balances to determine the FDIC coverage limit for a single account. Check your answer by reviewing the page's Deposit Insurance FAQs. http://1.usa.gov/YVeeTe

Bite Size Economics

Write and perform a rap highlighting one or two of the principles you've discussed from the Guide to Economic Reasoning. Give examples explaining the principles in your lyrics.

Bite Size Economics

Just for fun, try saying this tongue twister quickly three times: Skyler scored the scarce scholarship.

Bite Size Economics

How did the settlement pattern of the United States influence the location decisions for Federal Reserve Banks?

Bite Size Economics

Play the online game Pursuit: On the Trail of Economic Growth from the Boston Fed with a small group or individually. This game traces the economic growth of New England throughout history. What events shaped the growth of this area? http://bit.ly/190VJ2L

Bite Size Economics

Download the spreadsheet showing GDP percent change from the preceding period from the Bureau of Economic Analysis (BEA). Identify years of large GDP growth, such as 1942.Discuss events, government policies or production factors that may have caused this growth. http://1.usa.gov/165pfU5

Bite Size Economics

Determine which economic principle relates best to the following quote, and then explain its meaning: "I'm talking about economics as forecasting the future. If you own auto stocks, you ought to be very interested in used car prices." - Peter Lynch

Bite Size Economics

List all the concepts from this planner on the board and number them. Number the sections of a beach ball similarly. Toss the ball to the class. Whoever catches it should explain the concept with the number closest to their right thumb. Repeat.

Bite Size Economics

Research three universities you may want to attend. Evaluate each one using a decision grid with these criteria: size, location, fields of study and tuition cost.

Bite Size Economics

The start-up costs for your lemonade business includes $1.99 for the mix and $2.50 for the cups. If you sell each cup for $.60, how many cups do you need to sell to make a profit? (At least 8 cups.)

Bite Size Economics

Introduce the first two principles and the concept of opportunity cost (see above). Ask students to imagine they are trying to decide if they want to try out for a sports team. Have them list the costs and benefits of playing on a team. After comparing the costs with the benefits, have each student make a final choice and explain their decision.

Bite Size Economics

Discuss this quote: "As scarce as truth is, the supply has always been in excess of the demand." - Josh Billings

Bite Size Economics

Design a new $500 bill with your nominee in the portrait. Remember to include legal currency details, such as denomination, serial numbers, seals and signatures. Add additional details to make your note unique.

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Introduce the Federal Trade Commission's Bureau of Consumer Protection as our nation's consumer protection agency. Its job is to prevent fraud, deception and unfair business practices. Have students research the seven divisions of this agency by going to: www.ftc.gov/bcp/about.shtm. Discuss the importance of each division to consumers.

Bite Size Economics

Some areas routinely experience water shortages. List the ways you use water every day. How could you cut down your usage or recycle water to help reduce water shortages? Create a public service announcement featuring your water saving ideas.

Bite Size Economics

A crayon factory increases its production in the months before school starts each year. If the factory produces 2,000 boxes of crayons in each five-day week for 12 weeks, how many total boxes are manufactured? (2,000 x 5=10,000 x 12=120,000)

Bite Size Economics

Ask students to choose a class business that might be successful in their school, such as a craft, food or entertainment business. Create a business plan, including the following: resources needed, production process, product display, advertising, pricing and labor schedule. Present the plan to your principal for approval.

Bite Size Economics

Visit www.bos.frb.org/entertainment to play the online game Show Business: The Economics of Entertainment and learn about economics in the entertainment industry.

Bite Size Economics

Use the lesson plan and role play "Professor Finance and Fed Boy Meet the Catastrophe Clan" to discuss the uses and misuses of credit: http://kansascityfed.org/publicat/education/teachingresources/fed_boy_lesson_plan.pdf

Bite Size Economics

In professional sports, a trade is a sports league transaction involving and exchange of players' contracts and/or draft picks. Have students research a sports trade in the NBA. Ask them to write a summary of the trade deal, including the advantages and disadvantages for the teams and/or players involved.

Bite Size Economics

Read Saving Strawberry Farm by Deborah Hopkinson. Use the children's literature lesson to discuss the role banks played during the Great Depression: www.stlouisfed.org/education_resources/assets/lesson_plans/StrawberryFarm.pdf.

Bite Size Economics

Write about the problem that occurs when people do not recycle resources and the resulting opportunity cost on the environment.

Bite Size Economics

Introduce the concepts of shortage and surplus. Give the example of a popular new toy on sale before the holidays as a possible shortage situation and a less popular toy as a possible surplus. After brainstorming other shortage/surplus situations, have students write a short story titled "Standing in line to buy..."

Bite Size Economics

Develop a budget for a classic picnic. Use grocery ads to plan a meal for 20 students that includes an entrêe, two sides and a dessert, for $50 or less

Bite Size Economics

Discuss the quote: "In our rich consumers' civilization, we spin cocoons around ourselves and get possessed by our possessions." - Max Lerner

Bite Size Economics

Compare three different credit card offers. Make a chart showing the similarities and differences of each. Decide which offer is best for you and present your information tothe class.

Bite Size Economics

Discuss how commercials influence what consumers buy. Ask students to give examples of commercials that convinced them to buy a product. Were they happy or disappointed with the purchases? Tell them to give reasons for their answers.

Bite Size Economics

Introduce the topic of credit and discuss the responsibilities of credit use. Discuss the rule of thumb that credit should not be used for purchase of basic needs (such as groceries, utilities and rent). Make two lists of goods and services. Include items that are good purchases to make with credit on one list, and on the other list detail items you do NOT want to purchase using credit.

Bite Size Economics

Discuss this quote: "America's support for human rights and democracy is our noblest export to the world." - William Bennett

Bite Size Economics

Create an invention or innovation that would make life easier. Name and describe your invention. What price would you sell it for? What would your income be if you sold 100? 250? 500?

Bite Size Economics

Discuss the correlation between a country's resources and what goods they export and import. Have students choose countries, research their major resources, exports and imports, and share their findings. Discuss which countries might make good trading partners.

Bite Size Economics

Trivia: Did you know that the United States is the world's largest consumer of oil? No other country consumes even half as much of the 20 million barrels a day used by the United States.

Bite Size Economics

Compare the unit price, or cost per item, of products. To find unit price, divide the price by the number of pieces, ounces or pounds. What would be the unit price for a 20 pound bag of dog food priced at $15? ($.75 per pound)

Bite Size Economics

Discuss the exchange rate of currency as the ratio at which a unit of currency in one country can be exchanged for that of another country. Research the exchange rate for bills from five countries by going to: www.xe.com and using the exchange rate calculator. Which notes were worth more than the American dollar? Which were worth less? Why do you think one country's currency is valued higher than another?

Bite Size Economics

Use handout 3 from lesson 4 of Building Wealth in the Classroom from the Dallas Fed to compare the interest rate, fees and additional information on five account types from a local bank. Share your findings. Once everyone shares, discuss the account and bank you would select. http://bit.ly/18kHBE4

Bite Size Economics

Find auto loan 36-month interest rates for a used car from three banks. Record the rates and any additional fees or conditions from each bank. Discuss which bank you would choose to finance your car loan and give reasons why.

Bite Size Economics

Ask students to work with a partner on the following income/expenses problem: You want to convince your family to buy a new computer to replace the outdated one at home. Create a visual that gives family members ideas on how to cut monthly expenses (such as food, clothing and entertainment) in order to save income for the purchase.

Bite Size Economics

The Fed is the lender of last resort to financial institutions. Watch Federal Reserve Chairman Ben Bernanke explain this role in lecture one of The Federal Reserve and the Financial Crisis. Draw a political cartoon illustrating how the Fed might assist banks during a financialpanic. http://1.usa.gov/12Txk0q

Bite Size Economics

Visit a local bank or credit union and ask for some deposit slips. Use addition and subtraction and place value to practice filling out the slips

Bite Size Economics

Discuss the topic of behavioral incentives and teens. Ask students which types of incentives work best to keep teens in line: extending curfew; car privileges; more computer/video game time; increasing allowance/funds. Tell students to give reasons for their choices.

Bite Size Economics

Compare the prices of store-brand items you need (milk, soap, clothing, etc.) versus the name-brands you want. Are the name brand items worth the price? Give reasons to back your opinion.

Bite Size Economics

Discuss the fable of the Grasshopper and the Ant and its "saving for the future" moral. Rewrite the fable using human characters to make the spending and savings decisions.

Bite Size Economics

Research the meaning of marginal cost and marginal benefit. Businesses think on the margin, deciding whether the benefit of producing one more unit would be greater than or less than the cost. Share an example of this marginal cost/benefit situation from your research.

Bite Size Economics

Why is there a lag time between the beginning of a recessionary period and when it is officially declared a recession? Answer this discussion question and more with the Kansas City Fed's Teaching Tips: Recessions 101. http://bit.ly/11ML6M3

Bite Size Economics

Discuss the meaning of the following quote: "Budget: a mathematical confirmation of your suspicions." - A.A. Latime

Bite Size Economics

Discuss this quote: "When written in Chinese, the word �crisis' is composed of two characters. One represents danger and the other represents opportunity." - John Kennedy

Bite Size Economics

Introduce the economic meanings of cost and benefit. Discuss that both are not always money-related, using the example of the costs and benefits of doing homework. Have students brainstorm a list of costs (losses) and benefits (gains) they experience by doing their homework. Take a vote to decide if the costs outweigh the benefits or vice versa.

Bite Size Economics

Why does it matter that the recent recession coincided with a financial crisis? Research from the Kansas City Fed that examined banking crises in Spain, Norway, Finland, Sweden andJapan found that when a recession is combined with a financial crisis unemployment increases are unusually severe and persistent. http://bit.ly/11m62Nt

Bite Size Economics

Read Less than Zero by Stuart Murphy. Use the children's literature lesson from the Philadelphia Fed to discuss the topic of borrowing and repayment of debt. http://bit.ly/113exYV

Bite Size Economics

Brainstorm the skills and knowledge that will be needed in the future to work as a bank teller. Write a job posting that might be used by a local bank describing the characteristics that banks will be looking for when hiring tellers.

Bite Size Economics

Two friends set up a lemonade stand, charging 75 cents for two glasses sold. They lowered their price to 60 cents, selling four glasses. Their final price of 50 cents sold six glasses. Create a demand graph that shows this information. What was the twins' total revenue? ($6.90)

Bite Size Economics

Create a map of the Federal Reserve System following the directions from the St. Louis Fed's 25 Cents Worth of History. Locate your state and outline it in your favorite color. Which Federal Reserve Bank is closest to where you live? http:/bit.ly/103kPqV

Bite Size Economics

Use the school cafeteria as an example of a business that provides goods and services. Tell students that goods are things that satisfy wants, such as food and utensils. Services are activities that satisfy wants, such as cooking the food and cleaning the cafeteria. Ask students to draw cafeteria foods or other goods on one side of art paper and activities or services on the other side.

Bite Size Economics

The Philadelphia Fed's video The Federal Reserve and You features 70 short segments about the Fed, money and banking. Watch the first chapter for an overview of the Federal ReserveSystem. http://bit.ly/11dWbdQ

Bite Size Economics

Use a graphic organizer to show how the price of gas varies from your state to several neighboring states. How can the same gallon of gas from the same distributor, such as Shell or Phillips, differ in price from one state to the next?

Bite Size Economics

Research and record the population of five different cities or communities within your region. Develop a bar graph to compare the population results. Discuss how the population of an area can affect its economy, in terms of jobs and housing.

Bite Size Economics

Research the purposes of the World Trade Organization (WTO). Hold a mock debate where two countries use the WTO as a forum to discuss their disagreements concerning a trade policy.

Bite Size Economics

How do high levels of employment affect economic growth?

Bite Size Economics

Display items manufactured by different countries, such as electronics, food products and clothing. Ask students to list the manufacturing country of each good. Have them locate these countries on a large blank world map, using one dot per manufactured good. Discuss reasons why some countries may have more dots than others.

Bite Size Economics

Currency is produced by the Bureau of Engraving and Printing, located in Washington, D.C. and Fort Worth, Texas. Look at the new $100 bill at www.newmoney.gov/currency/default.htm. Examine the interactive $100 note and take the quiz on its features.

Bite Size Economics

Depositors want their banks to be "safe and sound." Draw a picture illustrating what these two words mean to you. Discuss what might happen if a bank was not a safe and sound business.

Bite Size Economics

Read Monster Musical Chairs by Stuart Murphy. Use the children's literature lesson to discuss the topic of scarcity in the story: www.stlouisfed.org/education_resources/assets/lesson_plans/MonsterMusicalChairs.pdf

Bite Size Economics

The class has been earning incentive points towards a party since the beginning of the year. They've earned 576 points in 8 weeks. What was the average number of points earned each week? How many more points do they need to reach their 1000 point goal?

Bite Size Economics

Discuss this proverb: "It is a wise man who lives with money in the bank, it is a fool who dies that way."

Bite Size Economics

Discuss famous entrepreneurs that students are familiar with, such as Bill Gates, Oprah Winfrey, Walt Disney and J.K. Rowling. Look at: www.thelittlee.com/html/famous_entrepreneurs.html and ask students to choose one entrepreneur they are impressed with to research and share with the class.

Bite Size Economics

Stores often have a surplus of holiday candy after Halloween and Valentine's Day. What methods do store managers use to quickly sell their surplus? (half-price sales; special display) Describe three new and creative ways to reduce this surplus.

Bite Size Economics

Trivia: The Federal Reserve Act was signed by President Woodrow Wilson in 1913. The average annual income that year was $800.

Bite Size Economics

Use the lesson plan and role play for "Payment Parliament" to teach students about the many ways we pay for goods and services: www.kansascityfed.org/publicat/education/teachingresources/Payment%20Parliament.pdf.

Bite Size Economics

Introduce banking by asking which students have bank accounts and where they bank. Discuss how a bank operates as a business by asking the following questions: Do banks hold all money deposited in their vaults? (No) What do banks do with the deposited dollars? (They keep the required reserve amount on hand, and lend out most of the remaining dollars.) What would happen if banks kept all the deposited money? (Customers would not get loans, and the bank would not receive interest from the loans.)

Bite Size Economics

Hand out various grocery receipts to students with the sales tax blacked out. Discuss that some states tax only non-food items, while others tax both food and non-food. Have students calculate the sales tax for both situations.

Bite Size Economics

Discuss the word "panic" and brainstorm situations in which people may panic (severe weather, accidents, fire, etc.) How do you feel when you panic? Why could these feelings cause you to take actions you normally wouldn't? Relate these feelings to bank panics.

Bite Size Economics

"You Can't Always Get What You Want" by the Rolling Stones is a classic rock song that refers to wants and needs. Brainstorm a class list of other songs on the topic of wants and needs.

Bite Size Economics

Write a short story about your last five purchases and whether each was a want or a need. Include lessons you've learned about your spending habits and steps you can take in the future to purchase fewer wants and more needs.

Bite Size Economics

Learn about and compare different payment methods in the Kansas City Fed's role play Payment Parliament. http://bit.ly/196JUbk

Bite Size Economics

Bring white elephant items from home (with a parent's signed note). After having an opportunity to trade items, explain the benefits of the trades made. Does everyone agree the trades were positive? If not, why not?

Bite Size Economics

Choose a product and research the price of that product during a 10-year period. Graph the changes over time and discuss possible reasons for those changes, such as the increasing priceof materials, a better quality product, inflation, etc.

Bite Size Economics

Discuss the fact that $5, $10, $20, $50 and $100 bills have all been redesigned by the Treasury and will be updated again in the future. What is the incentive for our government to do this redesigning?

Bite Size Economics

Just who was Salmon Chase and why was he on a $10,000 banknote? Explore the American Currency Exhibit: www.frbsf.org/education/teacher-resources/american-currency-exhibit/showcase-of-bills to learn how our country's history is reflected on our currency.

Bite Size Economics

Discuss this quote: "Entrepreneurs and their small enterprises are responsible for almost all the economic growth in the United States." Ronald Reagan

Bite Size Economics

Discuss the meaning of this quote: "Henry Ford was right. A prosperous economy requires that workers be able to buy the products they produce. This is as true in a global economy as a national one." - John J. Sweeney

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Have students draw a picture of their perfect vacation spot and include as many natural resources as possible.

Bite Size Economics

Discuss that many economic scenarios can cause either a shortage or surplus of used cars. Ask students to brainstorm situations where a used car shortage might develop and where a used car surplus might develop. If you were a used car dealer, what would you do to avoid a large surplus or shortage?

Bite Size Economics

Use Lesson 2: "W Is for Wages, W4 and W2" at www.stlouisfed.org/education_resources/assets/lesson_plans/paycheck/IYP_lesson2.pdf to learn about gross pay, net pay and the different deductions that are taken from paychecks.

Bite Size Economics

Read Supermarket by Kathleen Krull. Use the children's literature lesson to discuss how technology has changed markets: www.stlouisfed.org/education_resources/assets/lesson_plans/supermarket.pdf

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Learn about the sectors of the Federal Reserve's Beige Book in the lesson Exploring Economic Sectors, available at: www.kansascityfed.org/publicat/education/teachingresources/Exploring-Economic-Sectors.pdf. Use the discussion questions provided for each sector to explore the concepts of supply and demand.

Bite Size Economics

Explain the meaning of the following quote: "Our necessities never equal our wants." - Benjamin Franklin

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Discuss the costs and benefits, both monetary and nonmonetary, of having a public school system. Research what it costs taxpayers per year for a student to attend public school, using your state department of education website. What are the benefits of public education? Arethere any costs? What are the benefits to taxpayers that make themwilling to share the costs? Write a brief essay explaining your ideas.

Bite Size Economics

Discuss the resources used in the production of chocolate (cocoa beans, sugar, milk) and the producers of each resource. Ask students to choose any product, make a list of resources used in its production, and count the number of producers involved in the process. Can anyone find a product that has more than five producers?

Bite Size Economics

Money doesn't grow on trees, but it can grow. Watch No Frills Money Skills episode 1 from the St. Louis Fed. Develop a table showing how saving $1,000 at 3% annual interest can compound your savings over a 6-year period. http://bit.ly/11OJ5Pt

Bite Size Economics

Consumers can pay for purchases by using cash, checks, debit or credit cards. Use the lesson and role play for "Payment Parliament": www.kansascityfed.org/education to introduce these different forms of payments to students.

Bite Size Economics

Examine currency from other countries and see what it can reveal about their culture and economy with the Cleveland Fed's Explore Money from Around the World online activity. http://bit.ly/11MDk3I

Bite Size Economics

Examine samples of foreign currency by going to: www.clevelandfed.org/Learning_Center/Online_Activities/explore_money/index.cfm. Compare bill features for three chosen countries. How are these notes similar? How are they different? What are some basic features that are common to all currency studied?

Bite Size Economics

Starting your own business as an entrepreneur has opportunity for profit and possibility of loss. Brainstorm a list of potential businesses to start and then list possible profits and losses for one of those businesses. Debate whether the business risks are worth the rewards.

Bite Size Economics

Discuss the difference between fact and opinion statements used to market a product. Hand out advertisements from magazines that contain both types of statements and ask students to identify the facts and opinions given. How can an awareness of these statements help consumers make wise choices?

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Economic growth occurs with an increase in productivity, which is the amount of outputs (goods and services) produced per unit of input (resources). Form an assembly line production of bookmarks in class, and then try to increase productivity with more efficient assembly techniques.

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Justin's assets are a $250 bike, a $1299 computer, and $582 in savings. His liabilities are $475 owed on a loan for the computer and $138 owed to his mom. Add Justin's assets and subtract his liabilities from the total. What is Justin's net worth? ($2131 - $613 = $1518)

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Debate this topic: "The benefits of making financial mistakes outweigh the costs."

Bite Size Economics

Brainstorm ways students can earn income and make a chart of ideas. (Examples: allowance, chores, birthday/holiday gifts, garage sales, etc.) Ask students to set future savings goals (for things they will spend their income on) and share with the class.

Bite Size Economics

Gather pictures from magazine, local newspaper articles, chamber of commerce promotional material, etc., and create individual or group collages that represent the economy of theregion where you live. Be sure to include the natural, human and capital resources of your area.

Bite Size Economics

Your credit report is like a report card. It is used to calculate your credit score. You can receive one free credit report every twelve months from each of the nationwide credit bureaus-Equifax, Experian, and Transunion-by visiting www.annualcreditreport.com.

Bite Size Economics

Explain this quote: "Competition is not only the basis of protection to the consumer, but is the incentive to progress." - Herbert Hoover

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Take turns pantomiming workers performing service type jobs, such as bus driver, construction worker, chef, etc. Have the class try to guess which services are being acted out.

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View a short clip depicting a bank run from the movie, It's a Wonderful Life. Describe in a paragraph or two how depositors make poor decisions when they fear their bank is failing.

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Imagine two people: one who has access to credit, and one who does not. Discuss the advantages of having access to credit and the barriers of non-access to credit and how it might shape each individual's future as his or her life unfolds.

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Create a song or rap that promotes interdependence (when people or nations depend on one another for the goods and services they want) as a way of increasing imports and exports.

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There was no uniform currency during the Free Banking Era, so state-regulated banks issued their own banknotes. Brainstorm problems that could develop with many different currencies in circulation throughout the United States.

Bite Size Economics

Before buying clothes or shoes, consumers should consider several features, such as price, quality, fit, style and comfort. Discuss and rank these features with students to see which ones are most important to them in making a purchasing decision.

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Introduce stocks as shares of ownership in a company. Ask students to choose a company they are familiar with and follow its stock price online or in a newspaper. Have them record the closing stock price each Friday for a month. Ask them to give a presentation with the following information: the weekly profit/loss from shares purchased (subtractclosing prices from one week to the next); and the monthly profit/loss (subtract week one from four).

Bite Size Economics

Read A Chair for My Mother by Vera B. Williams. Use the children's literature lesson to discuss how part of the family income was saved to reach a goal: www.stlouisfed.org/education_resources/assets/lesson_plans/ChairForMother.pdf.

Bite Size Economics

Learn about entrepreneurs and economic growth through the Kansas City Fed's lesson Do I Have What it Takes to be an Entrepreneur - and is my Community Ready? Calculate the breadth and depth of entrepreneurship in your county, and discuss if your area is ready to encourage more growth. http://bit.ly/12DHl1H

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Discuss what economists mean when they say, "There is no such thing as a free lunch." How does this quotation relate to costs and benefits?

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Explore bank supervision and regulation by watching Chapter 6 of the Philadelphia Fed's video The Federal Reserve and You. Write three key facts about each of the video segments: Supervision and Regulation History, the Role of Congress, and Bank Examinations.http://bit.ly/11dWBdQ

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Make a list of your impulse purchases in the last month and share it with a partner. Describe what spending weak spots you have and discuss a plan to help avoid these areas in the future.

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Look at the Federal Trade Commission's website: www.ftc.gov/bcp/edu/pubs/consumer/credit/cre34.shtm to learn about the Fair Credit Reporting Act. Discuss why consumers should order a copy of their credit report yearly.

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What can happen when a person or organization doesn't face all the consequences of their actions? Learn about moral hazard and the role it played during the recent recession and financial crisis in the Kansas City Fed's Recession Lesson: Moral Hazard. http://bit.ly/11JIFss

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Think of people at school who are producers. One example might be cafeteria workers who produce breakfast and lunch for students. Others could be a custodian, principal, administrative assistant or any teacher. Make a list of these producers and the goods or services they offer. Ask each student to write a thank-you note to one of these producers.

Bite Size Economics

Which is greater: $1 million, or a penny that doubles in value for 30 days? Use a calculator to figure out the compound interest of the doubling penny by taking each new total and multiplying by 2 to double. (The final total for the doubling penny is $5,368,709.12)

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Research the World Trade Organization (WTO) at: www.wto.org/english/thewto_e/whatis_e/whatis_e.htm. What is the goal of the WTO? List three benefits of the WTO trading system.

Bite Size Economics

Use the following questions to interview three people about their spending habits as consumers: Where do you shop the most? Are you more concerned with price or quality? Is customer service important to you? Compare interview results with a classmate.

Bite Size Economics

Read the original Federal Reserve Act, signed Dec. 23, 1913. Write down four key facts about the founding of the Federal Reserve System from the primary source document, available from the Librarians' Society of Washington, D.C. http://bit.ly/18qbUEL.

Bite Size Economics

When you deposit a $5 bill in the bank, will you ever see that exact $5 bill again? Draw a comic strip that shows what happens to the bill that you deposit.

Bite Size Economics

Research the household savings rates of several different countries. Make a chart comparing the rates. Which country's rate is the highest? What are some possible reasons for this?

Bite Size Economics

Solve this income problem: Jay shoveled snow for five neighbors on his block. He earned $10 from two of them, $12 from the third, and $15 from the fourth and fifth. What was his income total? What was his average income from each shoveling job? (Total income: $62.00. Average income per job $12.40)

Bite Size Economics

Trade barriers are costs that raise the price of traded products. Examples are tariffs, import and export quotas, and embargoes. In groups, research and make charts to compare and contrast these barriers.

Bite Size Economics

What's your money personality? Are you a saver, avoider, spender, giver or worrier? Find out by taking the Money Make-up quiz at the end of the Kansas City Fed's Common Cents article "Watch and Learn". http://bit.ly/1923cSJ

Bite Size Economics

Explain that smart consumers are aware of how advertising affects them, how to protect their information, and how to spot scams. Practice these skills by going to: www.ftc.gov/youarehere to visit a virtual mall and make smart financial decisions.

Bite Size Economics

Read Scraps of Time 1960s: Abby Takes a Stand by Patricia C. McKissak. Use the children's literature lesson to learn about how taxes fund transfer programs such as Head Start and Medicaid: www.stlouisfed.org/education_resources/assets/lesson_plans/Scraps_of_time.pdf

Bite Size Economics

Ask students to imagine they have landed on a deserted island and will be living there until they are rescued. Have them work in pairs to develop two lists: one of their daily needs to survive, and the other of their wants while on the island. Share lists and discuss ideas with the class.

Bite Size Economics

Why is money deducted from your paycheck and where does it go? Learn how to read a paystub, discuss different methods for receiving wages, and discover ways to get more from your paycheck with the Kansas City Fed's Putting Your Paycheck to Work resources. http://bit.ly/17nFIa0

Bite Size Economics

Political cartoons show opinions. Look at the cartoons featured throughout the Kansas City Fed's Balance of Power, Under Pressure, or Integrity, Fairness and Resolve books. Create an original political cartoon related to the Federal Reserve and explain your message.http://bit.ly/11CEUqr

Bite Size Economics

If U.S. exports to China are worth $8 billion, and U.S. imports from China are worth $34 billion, what is the total trade amount? ($42 billion) What is the trade deficit? ($26 billion)

Bite Size Economics

Brainstorm a class list of typical weekly expenses and add the estimated costs. Find ways to cut expenses and add the new estimated costs. Subtract the new total from the original one to discover how much money can now be saved.

Bite Size Economics

Draw a cartoon about a time when you experienced either a buyer's high or buyer's remorse after a purchase. In the panels, show the purchase, how the purchase made you feel and what you might do differently in the future.

Bite Size Economics

Choose one principle from the Guide to Economic Reasoning and illustrate it using an everyday life situation. (Example: People gain when they trade voluntarily - a picture of a student trading a food item with another student at lunch.)

Bite Size Economics

Use the Kansas City Fed's Teaching Tips: Is Your Bank Account Safe? to learn what happens when a bank fails and how the FDIC steps in following a bank's closing. Make a brochure that explains why money is well-protected in U.S. banks. http://kansascityfed.org/education/foreducators/high-school/teaching-tips/is-your-bank-safe.cfm

Bite Size Economics

Track expenses for a week and then create a spending plan to make sure your expenses don't exceed your income.

Bite Size Economics

Create a three-column KWL (What I know, want to know, and what I've learned) about credit cards. Brainstorm to complete the first two columns, then discuss information from the Federal Reserve's website on credit cards: www.federalreserve.gov/creditcard. Summarize what students have learned by asking them to create true/false statements about credit to complete the third column.

Bite Size Economics

Explain why the United States, Canada and Mexico all gain from voluntary trade among their countries.

Bite Size Economics

Discuss this quote: "I think the environment should be put in the category of our national security. Defense of our resources is just as important as defense abroad. Otherwise, what is there to defend?" - Robert Redford

Bite Size Economics

Read Saving Strawberry Farm by Deborah Hopkinson. Use the children's literature lesson from the St. Louis Fed to simulate a bank run. http://bit.ly/138xL3x

Bite Size Economics

Read Uncle Jed's Barbershop by Margaree King Mitchell. Use the children's literature lesson to discuss starting a business at: www.stlouisfed.org/education_resources/assets/lesson_plans/UncleJedsBarbershop.pdf.

Bite Size Economics

Credit card bills now provide an estimate of how long it will take to pay off a balance making only the minimum payment. Paying more than the minimum can substantially decrease the total amount of the purchase. Discover the savings using the credit card repayment calculator at www.federalreserve.gov/creditcardcalculator.

Bite Size Economics

Tell students to imagine they’ve just purchased their first used car. Have them name services their car will need to run efficiently, and goods they could buy to fix up their vehicle. Ask them to go online to find auto stores that provide these goods and services with item costs.

Bite Size Economics

Use the "Creative Story Starter-Enterprising Entrepreneur" activity from the Fifty Nifty website: www.federalreserveeducation.org/resources/fiftynifty to have students write about a new product or business they would create.

Bite Size Economics

Use the lesson "M&M Interesting," found at http://ecedweb.unomaha.edu/lessons/M&M6-8.pdf# to learn about the advantages of compound interest. Discuss why it is important to start a savings account while you are young.

Bite Size Economics

Read Rock, Brock and the Savings Shock by Sheila Bair. Illustrate the benefits of saving by using two clear jars, one for Rock and one for Brock, and adding or removing beans whenever the boys save or spend money.

Bite Size Economics

Write and perform a skit that explores the concept of fair trade, which aims to help producers in developing countries receive higher prices for their goods and improve social and environmental standards. Include advantages and disadvantages to fair trade policies.

Bite Size Economics

After assigning classroom jobs (i.e. line leader, paper passer, etc.), provide students with the opportunity to trade jobs with others. After trading is completed, discuss the students' reasons for their trades, making a list of the costs and benefits of each job during the discussion.

Bite Size Economics

Introduce and discuss the characteristics of an entrepreneur, such as being a risk taker; having high energy; being competitive; having a strong desire to be your own boss; and possessing a "never quit" attitude. Ask students to rank themselves "+" or "-" on each of these characteristics to assess their own potential for entrepreneurship.

Bite Size Economics

Review your monthly family budget to determine how much your family spends on wants vs. needs. Discuss how your family might reduce the dollar amount of wants over the next few months. Report your budget-saving measures to the class.

Bite Size Economics

Introduce wants and needs and give examples of each concept. Tell the students that they will be planning a picnic lunch and will make a chart of wants and needs for the picnic. Draw a T-chart on the board, labeling one side "Needs" and the other "Wants." Ask students for ideas to complete the chart, telling whether each idea is a need or a want.

Bite Size Economics

Read Meet Kit: An American Girl by Valerie Tripp. Use the children's literature lesson from the St. Louis Fed to role play the effect that unemployment and reduced spending can have onpeople's lives during a recession. http://bit.ly/12Bxppn

Bite Size Economics

Go to the following website to learn about McDonald's: http://www.aboutmcdonalds.com/mcd/our_company/mcd_history.html. Look through the timeline and share three risks the company took as it became an established business.