Economic Understandings

The student will describe the four types of productive resources: a) Natural (land) b) Human (labor) c) Capital (capital goods) d) Entrepreneurship (used to create goods and services)

The student will explain that governments provide certain types of goods and services in a market economy, and pay for these through taxes and will describe services such as schools, libraries, roads, police/fire protection, and military.

The student will give examples of interdependence and trade and will explain how voluntary exchange benefits both parties a) Describe the interdependence of consumers and producers of goods and services b) Describe how goods and services are allocated by price in the marketplace c) Explain that some things are made locally, some elsewhere in the country, and some in other countries d) Explain that most countries create their own currency for use as money

The student will describe the costs and benefits of personal spending and saving choices.