Summary: Milk comes from cows and other animals that eat grass. This interesting book explains how milk is produced, step by step - from cow to carton!

Concept: Productive Resources

Definition: Productive resources are the natural, human, and capital resources that are used to produce goods and services.

Comprehension Questions:

What natural resources are required to produce milk? (sunshine, water, and green pasture for grazing)

How much milk does a cow produce daily? (About 30 quarts a day; in other words, the milk productivity of a cow is 30 quarts a day.)

How did the farmer milk the cows? (by hand or using a milking machine, which is a capital resource)

What capital resources are used to produce milk? (milking machine, refrigerated tank, barn buildings, trucks to haul, pasteurizing equipment, etc.)

Why do farmers use capital resources such as the milking machine? (It increases productivity - the farmer can produce more milk each day.)

What human resources are used to produce milk? (farmer, truck drivers, laboratory technicians, people to run pasteurization and homogenization equipment, etc.)

What skills and knowledge (human capital) do these human resources need? (Answers should identify the knowledge, skills, and abilities needed for various jobs.)

Where do people get the skills and knowledge (human capital) they need to produce milk? (on-the-job training, reading books, going to training programs, attending school, etc.)

What are some other products (goods) that come from milk that is produced in a dairy? (buttermilk, sour cream, cottage cheese, butter, cream cheese, yogurt, chocolate milk, cheese, ice cream)

Other Concepts: Capital Resources

(From KidsEcon Posters©: www.kidseconposters.com)