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LESSON: PAPERBOY
Lesson Summary
Willie
Brinkman is proud to be helping his family with the money he earns as
a paperboy during the late 1920's. Times are hard, so when the big
heavyweight bout between Jack Dempsey and "Gentleman Gene"
Tunney is announced, Willie hopes to earn more money by signing up to
sell the "Extra Edition" describing the fight. Dempsey is
the workingman's hero, and when he loses the fight in a disputed
decision, Willie finds out that it isn't easy to sell papers to his
working class customers!
Concept: Supply and Demand
Definition: Producers supply goods and services,
and consumers demand
them. Prices in a market are determined by the interaction of
supply and
demand.
Comprehension Questions
In the
story, who supplied the newspapers?
The newspaper company; Willie
sells papers for the company.
What is
the price of the papers that Willie sells?
Two cents
each.
How
does this price compare to the price of newspapers
today?
Newspapers today cost a lot more - $.30 to $.75
each.
Why is the price so much higher today?
The
biggest reason is inflation - which occurs when the prices of all goods
and services increase over a period of time. Inflation occurs primarily
due to large increases in the supply of money relative to increases in the
supply of goods and services.
Why was
Willie's place to sell papers considered "small potatoes?"
It
was in a poorer workingman's neighborhood. Less people passed by and
perhaps they didn't have as much money to buy papers.
What
caused a large increase in the demand for his paper one
day?
Headlines and excitement about the coming Dempsey-Tunney
boxing match.
Willie
sold $2.00 worth of papers on the eve of the bout. Why did he get to keep
only $0.83?
He had to give $1.17 to his boss to cover
the costs of the productive resources - natural, human, and
capital - needed to produce the newspapers. Part of the $1.17 may
also be profit for the newspaper company. Remember, though, businesses
don’t always make a profit.
Why was
there so little demand for papers at Willie's corner right after the
bout?
The workingman's hero, Jack Dempsey, lost a disputed
decision. No one wanted to read about it in the workingman's
neighborhood.
Why did
the demand increase so much when Willie went to the corner of Ninth
and Main?
There were many more buyers/consumers - and many more
types of buyers - not just workingmen.
Why was
Willie chosen to sell papers at the busy corner of Ninth and Main?
He was a hard worker and didn't give up after the disappointing
sales on his original corner. The boss appreciated his dedication and
hard work. Willie became a "champ of a paperboy!"
Other Concepts: Price, Profit | 
