Econ in a Bag

Introduction: Economics is such a dry subject and one that remains abstract for young children. This unit brings economics into action and connects the terminology with real experiences for better understandings.

Task: Small groups of students form companies. Each company is given a paper bag. In that bag, students will find resources that they can use to create products their businesses sell on Sale Day. There may not be enough of some resources (scarcity) but they can be bought from the central supplier (the teacher) for a small amount of cash. Money is earned for tasks completed (homework, classwork, clean desks, cafeteria and specials behavior, etc.) Both the businesses and individuals earn money. The businesses need to create print and video ads plus develop a jingle and display for sale day.

Process:

1. Watch video "Econ and Me".
2. Teachers use various lessons from the Econ and Me packet to teach background knowledge about economics.
3. While students are learning economics terminology, they earn money (play money) as individuals and groups. **Teachers: create a poster showing how students and student groups can earn money.
4. Each group of students is given a bag with raw materials for creating products their business might sell. They look through the bag and decide what product their business will produce. They also come up with a name for their product.
5. Students are given a homework assignment to look for print ads that attract their attention. They need to pay attention to specific features of the ad (see assignment sheet). When it is returned, their findings are shared.
6. The next week, students listen to radio or tv ads for homework and share their findings.
7. In music class, student-designed businesses create jingles for their business or product.
8. Art teacher leads discussion on what makes a good logo. Students design a logo for their business and create print ads for the company and its products.
9. Using the jingles, company print ads, and products, students create a promotional ad that is videotaped to be shown on sale day.
10. Students spend several sessions creating their products, sometimes having to purchase additional supplies from the teacher with group funds.
11. Displays are created to sell the wares.
12. When the sale day arrives, students put out their products and half of them go around for a preview of the goods for sale. Groups switch off so all students have an opportunity to preview the goods.
13. The sale starts and salespeople are armed with calculators and change. An adult banker has additional coins to make change for the businesses.
14. Half of the class purchase first and then they trade places with the other group. (Since two classes participated in this unit, students were allowed to visit both classrooms to make purchases.)
15. When purchasing is complete. The businesses count their money and divide the profits among their workers.
16. A discussion follows about which businesses could have specialized in certain products and which had scarcity. There is also discussion about the cost of items and what would've happened if the cost had been raised or lowered. Economic terms are used wherever applicable.
17. That afternoon, workers spend their money on a movie ticket and snack, plus any trinkets they want from the movie shop. Parents man the shop.
18. Business surveys are given out to be filled in and an economics multiple choice test is administered.

Opportunities to share:

1. Students share their advertising homework results with the class.
2. Company ads are hung in the hall.
3. Company advertisements are videotaped and shared with the class and during the Sale Day.
4. Parents and guests are invited to assist on Sale Day.
5. Products are offered for sale.

Assessment:

A business survey was designed and used during the unit. In addition, an economic multiple choice testwas given to all students.

To see pictures from the unit, click on the bag.

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Unit designed by Pat Smoyer andTina Davis
Page created by Brooks Widmaier
December 11, 2002