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LESSON: THE BIG BUCK
ADVENTURE
Lesson Summary
A little
girl learns that there are many ways to spend her dollar. For
example, she could buy a hundred jawbreakers, twelve gummy bears, six
night crawlers, twenty dill pickles, or three neon guppies. What does
she finally buy?
Concept: Price
Definition: The price is what people pay when
they purchase a good or service, or what they receive when they sell
a good or service. Market prices are determined by the
buying and selling decisions of consumers and producers.
Comprehension Questions
Name
the goods the little girl could buy with a new green bill?
She
could buy tutti-frutti tongue twisters, gummy bears, creepy night
crawlers, hot apple pie, beef jerky, leg o'turkey, a plant that eats
flies, a fuzzy white rat, guppies, ants and a hill, fish, giant
pickles, etc.
What
were the different prices of these goods?
Answers will
vary.
What
was the price of the "funny stuffed bunny"?
$5.00
Why
didn't she buy the bunny?
The price was too high. She had a
scarcity of money, so couldn't afford the bunny.
If she
decides to buy the guppies, what is her opportunity cost?
Answers
will vary. It depends on what is the little girl's next best
alternative.
Why
were the storekeepers willing to receive her dollar in exchange for the
goods in the store?
The dollar is money. It is widely accepted as
final payment for goods and services. The storekeepers can use the money
to buy the goods and services they want.
When
her father came back to get her at the store, the little girl laughed. Why
did she laugh?
She recognized that she had a choice about what to
do with her money.
What
did she do with her dollar?
She saved the dollar in her piggy
bank. This gave her the ability to buy other goods and services in
the future.
What
was her opportunity cost for deciding to save her dollar?
Her
opportunity cost was what she would have bought. By saving for the future
she gave up the opportunity to buy in the present.
Other Concepts: Consumers, Goods and
Services, Opportunity
Cost, Trade and
Money, Saving | 
