Understand value of money
Money or currency is a way to exchange the value of goods or services
We have a limited amount of money that we can use to buy the things we need or want. This is called scarcity. Because money is scarce, we have to make choices about how to earn it, spend it, save it, or give it away. When you make a choice, you give up something—your cost, usually time or money—in exchange for another thing that you want or need—your benefit.
Have the class review Great Minds Think A New Guide to Money
As a class, discuss the daily things that really matter to their every day lives. How much does it cost to provide for their daily comfort and joy?
The publication Great Minds Think is available on line and free copies can be ordered from the Federal Reserve Bank of Cleveland.
Benefit -What you gain when you make a choice
Cost- What you give up when you make a choice
Choice -One of several options that you pick
Consequence -What happens as a result of your choice—good or bad
Scarcity -The idea that resources are limited