Social Studies UnitEconomic Understandings

By Ms. Cuthrell

Predict what our unit will be about. Look at the pictures.

What is currency and how does it relate to goods and services?

•After brainpop video

Essential Question

Currency

• Currency is the form of money that people in a country use.

– Synonyms: money, coins, and cash

– In the United States, people use dollars and cents as currency

Examples of Currency United States China

Goods • Goods- are things people buy or sell

– Goods are always things or objects, NEVER actions or activities

– It is good for the economy when people buy and sell goods

Services• Services- are forms of work people do for

other people– Service contains the word serve, which means

“to work for”

Goods Goods ServicesServices

“Should I buy a yo-yo now or save for a new bike?”

If you have ever had thoughts like these, you already know something about making economic choices.

Essential QuestionWhat do we want to know by the end of our unit?

How do consumers and producers benefit from interdependence?

Costs

• Costs- negative results (-)– noun, that can refer to a price that is paid– The price of a choice might be paid with the

money or an opportunity that is lost

Benefits

• Benefits- are positive results (+)– noun, synonyms for the word benefit are

advantage, profit, and gain

“Oh no! We don’t have enough!”

• Scarcity- a lack of goods or services– Synonyms for scarcity: shortage and lack– Scarcity takes place when people who make

goods or provide services cannot provide enough for everyone who wants them.

Making Choices

Producer– Producer- someone who makes and sells goods – Produce is the base word in the word producer.– Synonyms: “make” or “create”

1.) A farmer grows crops and sells them to

people. A farmer is a ___________.

Consumer– Consumer- someone who buys the goods or services

sold by a producer– Synonym for consumer is buyer.

2.) If a farmer grows crops and then sells them, the person who buys the goods from the farmer is called the ______________.

Interdependence

o Farmers in Georgia sell their crops to consumers in other states.

o The farmers depend on consumers to make a living. Consumers depend on farmers for food.

Farmers and consumers are Farmers and consumers are interdependentinterdependent..