rd
3 Grade
Economics - Money Matters
A Social Studies Unit of Study with a Basic
Look at the Economics of Trade, Barter,
and the use ofCurrency
May 2012 Page 1
“Money
Matters”
An Integrated Unit of
Study
Jacqueline Powell
May 2012Jacqueline Powell
Students will understand economics by learning about the problems
that occurred with trading /bartering and why money had to be used
as a replacement for exchange of goods and services. The final project
for this unit will require students to use the information learned to
complete a performance assessment task. (Work in groups to write
and perform a short skit, rap, song, game, or poem)
This integrated unit was written to be used with 3rd grade students and was
designed to focus on the following key concepts on page 2.
1
The Following Skills are covered in the
“Money Matters” Unit of Study:
Social Studies Skills
SS.3.A.1.1 SS.3.A.1.3 SS.3.E.1.1 –
SS.3.E.1.2 –
SS.3.E.1.3 –
Analyze primary and secondary sources.
Define terms related to social science.
Give examples of how scarcity results in trade.
List the characteristics of money.
Recognize that buyers and sellers interact to exchange goods and
services through the use of trade or money.
SS.3.E.1.4 – Distinguish between currencies used in the United States, Canada,
Mexico, and the Caribbean.
Language Arts
LA.3.1.7.3 –
TSW determine explicit ideas and information in grade level
text, including but not limited to main idea, relevant supporting
details, strongly implied message and inference, and chronological
order of events.
LA.3.1.7.4 – TSW identify cause-and-effect relationships in text.
LA.3.1.7.5 – TSW identify the text structure an author uses (e.g. comparison/contrast,
cause/effect, and sequence of events) and explain how it impacts
meanings in text.
LA.3.1.7.7 – TSW compare and contrast elements, settings, characters, and problems
in one text.
LA.3.2.1.2 – TSW identify and explain the elements of story structure, including
character/character development, setting, plot, and problem/resolution in a
variety of fiction.
Writing and Communication
LA.3.3.1.3 LA.3.4.1.2 -
LA.3.4.2.2 -
LA.3.5.2.2 -
The student will prewrite by determining the purpose (e.g., graphic organizer,
KWL chart, log) to make a plan for writing that includes a main idea.
The student will write a variety of expressive forms (e.g., chapter books,
stories, poetry, skits, song lyrics) that may employ, but not be limited to,
figurative language (e.g., simile, onomatopoeia),rhythm, dialogue,
characterization, plot, and appropriate format.
The student will record information (e.g., observations, notes, lists, charts,
map labels, legends) related to a topic, including visual aids as
appropriate.
The student will plan, organize, and give an oral presentation and use
appropriate voice, eye, and body movements for the topic, audience, and
occasion.
Mathematics
MA.3.A.6.1 - Represent, compute, estimate, and solve problems using
numbers through hundred thousands.
“Money Matters” Unit Lesson Options
Table of Contents
Resource Pages
Section Title
Choices
Intro
Must do
lesson/activity
Potato: A Tale
from the Great
Depression
The World of
Barter
Read book and
complete
activities
Complete activity
 Student Overview Hand-out
 Student Note Taking Page
 Student Venn Diagram Page
Lesson / Activity Titles
 Unit Introduction
 Read “Potato: A Tale From the Great
Depression
 Play Barter Game
 Reader’s Theater/Play
How Money
Began
Must do both
 Read “How Money Began”
 Venn Diagram
 Poster Advertisement
Currency/
Money and its
Characteristics
Must do this
lesson
 Characteristics of Money &
CCC Video
Wrap-Up / Final
Project
Choose one or
both of these as a
unit evaluation.
Additional Options
(all optional)
 Hot Potato
 Performance assessment task
“Money Matters” Unit
Lesson/Activity
Title:
Unit Introduction
Estimated Time:
_30_ minutes
Group Size:
Whole group or small group
Learning Target(s):
LA.3.3.1.3 - The student will prewrite by determining the purpose
(e.g., graphic organizer, KWL chart, log) to make a plan for writing that
includes a main idea.
SS.3.E.1.3 – Recognize that buyers and sellers interact to exchange
goods and services through the use of trade or money.
Lesson Summary:
Students will think independently and then as a group to respond to a
series of questions about barter/trade and money. Students will then
assist in generating a set of questions to research /explore while
completing this unit “Money Matters”
Essential Lesson
Question:
What should we focus on and find out about our past and present
economic influences?
Key Vocabulary:
Money, barter, economics
Materials:
Chalkboard/ Whiteboard, Chart paper, Markers
Student Overview Handout, Student Note Taking Paper
(Optional-Binder or Folder to store papers)
Evaluation:
Students will create class charts to record notes from the unit.
Intro
Procedure:
1. Project a one, five, ten, or twenty dollar bill.
2. Write the following questions on the :
a. What is it about this piece of paper (actually cotton and linen) that makes it so special?
b. What are some of the different things we can do with money?
c. What if all the money in the world disappeared - how difficult would that make it for us
to get the things we need or want
3. Ask students to think independently about these questions.
4. Ask students to share their thoughts with a partner.
5. Draw the following graphic organizer on the board.
Barter or Money!
Which would you prefer?
6. Discuss with the students the question in the center.
7. Engage the students in a conversation about what we would need to know to an answer this
question. Lead them in a discussion to complete the following graphic organizer.
What is Money?
What is bartering?
Barter or Money!
Which would you prefer?
Why shouldn’t people
only barter today?
What are the characteristics
of money?
8. Explain to the class that they will learn about bartering/trade and its effects it had in colonial
times. They will understand how money came into play.
9. Write each question on a separate chart paper and display it in the room. The chart paper
should be used throughout the unit.
10. Distribute folder to students to do their work in.
11. Also, distribute Overview Handout and the Student Note Taking Paper to each student to take
individual notes on.
“Money Matters” Unit
Lesson/Activity
Title:
Read “Potato A Tale from the Great Depression”
Estimated Time:
_30_ minutes
Group Size:
Whole Group
Learning Target(s):
LA.3.1.7.4 – TSW identify cause-and-effect relationships in text.
LA.3.1.7.7 – TSW compare and contrast elements, settings, characters,
and problems in one text.
SS.2.E.1.1 – TSW recognize that people make choices because of
limited resources.
SS.2.E.1.2 – TSW recognize that people supply goods and services
based on consumer demands.
SS.3.E.1.1 – TSW give examples of how scarcity results in trade.
Lesson Summary:
Students will:
1. Differentiate between goods and services.
2. Explain a consumer’s role in buying goods and services.
3. Describe and give examples of wants.
4. Explain that people make trades using money and using barter.
5. Define income.
Essential Lesson
Question:
How /When does scarcity result in bartering?
Key Vocabulary:
Barter/Trade
Consumers
Goods
Income
Money
Services
Wants
Materials:

Evaluation:
A copy of Potato: A Tale from the Great Depression by Kate Lied
(ISBN: 0-7922-6946-2)
Students will listen to the read aloud and answer question that is
related to the book.
Procedure:
1. Show students the front cover of the book Potato: A Tale from the Great Depression.
Discuss the following:


What is the little girl holding? (a basket of potatoes)
What do you think she is going to do with the potatoes? (eat them, store them, sell
them)
 Where did the little girl get the potatoes in her basket? (from a farm, from the ground
where potatoes grow, from a farmer)
 If the little girl had bought the potatoes, where would she have gotten the
 money to buy them? (Her parents could have given her money. She could have
worked for the money to pay for the potatoes. She could have worked in exchange
for the potatoes. She could have picked the potatoes from her garden.)
Potato: A Tale from the Great Depression
2. Show the book’s pictures to the class, and ask the students to predict what will
happen in the story based on the pictures. (Answers will vary. This is a story about a family.
This family went on a trip. This family grows potatoes. This family traded potatoes for
groceries.)
3. Explain that during the Great Depression it was difficult for people in the United States to get and
keep jobs. Because people could not work at jobs, they weren’t able to earn income. Income is
payment people receive for the resources they provide in the market. When people work they
receive wages. (Note: People also earn income as rent, profit, or interest.) People use the income
they earn to buy things to satisfy their wants. Wants are desires that can be satisfied by consuming
goods and services. Discuss the following:
 How do members of your family earn income? (Answers will vary but may include
working in a store, building houses, growing food for others, driving a delivery
truck, taking care of sick people.)
 Can you think of ways that you might earn income? (Answers will vary but may
include allowances for doing chores, mowing lawns, and baby-sitting.)
 Can you think of times when you wanted money to satisfy a want?
(Answers will vary but may include wanted money to buy a candy bar, a toy,
a new shirt, a video game.)
4. Explain that consumers are people whose wants are satisfied by using goods
and services. Goods are objects that can satisfy people’s wants. Services are
actions that can satisfy people’s wants. Teachers, bankers, and farmers provide
services. Car mechanics, doctors, and dry cleaners also provide services.
5. Discuss the following:



How do you know that you are a consumer? (Answers will vary but may include I buy candy, I
buy clothes, I mail letters.)
What are some goods that you consumed today? (Answers will vary but may include pencils,
paper, cars, plastic forks.)
What are some services that you used today? (Answers will vary but may include teacher’s
teaching, bus driver’s driving, nurse’s medical care.)ato: A Tale from the Great
Depression
6. Read Potato: A Tale from the Great Depression to the students. Discuss the following:




Who is this story about? (Clarence, Agnes, and their daughter Dorothy)
What happened to Clarence? (He lost his job and, as a result, the bank took the family’s house
away.)
Who were the consumers in the story? (Clarence, Agnes, and Dorothy)
What wants did Clarence, Agnes, and Dorothy have? (The family wanted food, clothing, and a
place to live. )
7. Explain that when Clarence lost his job, he could not afford to repay the loan
on his house. Banks earn income by providing loans to consumers. If consumers
cannot repay the money they borrow, the banks are able to take the goods
bought by consumers away from the consumers. The bank took Clarence and
Agnes’ house away from the family because they could not make payments on
the loan for the house. Ask the students what happened to the family when the
bank took the house. (The family had to move out of the house.)
8. Remind students that Clarence wasn’t able to find a job and keep a job so that he
could earn income.
 What did Clarence do to solve the problem of not being able to find a job? (Someone
told Clarence and Agnes there were jobs in Idaho picking potatoes. Clarence and
Agnes traveled there to earn an income.)
 How did the farmer help Clarence and Agnes? (The farmer told Clarence and Agnes
that on their own time at night they could pick up leftover potatoes.)
 What did Clarence and Agnes do with the income they made during the day?
(Clarence and Agnes bought gas with the money they earned from picking potatoes
during the day.)
 What did Clarence and Agnes do with the leftover potatoes they picked up at night?
(They packed all of their potatoes into the borrowed car and went back home where
they traded the potatoes for goods and services.)
9. Remind the students that Clarence and Agnes did not earn enough income to buy
all of the goods and services they wanted so they traded goods and services they
had for other goods and services. Explain the following:
 Trading goods and services for other goods and services without using money is
called barter.
 Can you think of a time when you bartered to get something that you wanted?
(Answers will vary but may include trading lunches, trading toys, or trading some
type of cards.)Potato: A Tale from the Great Depression
 Give examples of goods and services for which Clarence and Agnes traded
potatoes. (groceries, a pig, clothes)
”Money Matters” Unit
Lesson/Activity
Title:
Bartering Game
Estimated Time:
__40_ minutes
Group Size:
Whole group
Learning Target(s):
SS.2.E.1.1 – TSW recognize that people make choices because of
limited resources.
SS.2.E.1.2 – TSW recognize that people supply goods and services
based on consumer demands.
MA.3.A.6.1: Represent, compute, estimate, and solve problems using
numbers through hundred thousands.
Lesson Summary:
Students will participate in a bartering activity.
Essential Lesson
Question:
How/When does scarcity result in trade?
Key Vocabulary:
Money, barter, consumers, goods, services, compare, greater than,
less than, equal to
Materials:





Evaluation:
A paper lunch bag for each student filled per instructions in the
preparation section below
Approximately 60 small items that children might like, such as
pencils, erasers, paper clips, stickers, small toys, sticky notes, note
pads, miniature candy bars and ink pens, which will be placed in
lunch bags
A pencil and a piece of paper for each student
Visual 1
Book form previous lesson. “Potato: A Tale from the Great
Depression” by Kate Lied (ISBN: 0-7922-6946-2)
Students will participate in a trading game to get a better understanding
of how life was like for consumers in colonial times.
Procedures:
1. Remind students that barter is the exchange of goods and services for other goods and
services. Explain that they are going to participate in a barter activity. Tell the students that
each of them will be given a bag with different goods in it. They may keep what is in their bag,
or they may trade it with another student. Explain that they will only be able to trade with those
students who sit next to them or directly in front or back of them. They may not leave their
seats, so they can barter only with those nearest them.
2. Give each student a piece of paper and a pencil. Tell them to count the number of trades they
make during each round by making a tally mark for each trade on the piece of paper. Allow
three minutes for students to make trades.
3. Display Visual 1 and discuss the following:
•
How many of you made a trade? Have students who made trades in Round 1 raise
their hands. (Answers will vary.)
•
How many trades did you make? (Answers will vary.) Use tally marks on the board
to determine the total number. (Answers will vary.) Record the total number of
trades in Row 1, Column 2 of the table on Visual 1.
•
Why were you able to make a trade? (Others wanted what I had. They liked what I
had. They had something I wanted. Both sides have to gain for a trade to be made.)
•
Why did some of you trade more than one time? (The person who had what I
wanted most didn’t want what I had. I had to trade for something else and then
trade for what I wanted most. I had more than one item in my bag so I was able to
trade more than once.)
•
Why were some of you unable to make a trade? (No one wanted what I had. No
one had anything that I wanted more than what I had in my bag.)
•
Was it easy or hard to make trades? (Answers will vary.)
4. Explain that students will have three more minutes to trade. This time they may
leave their seats, but they must make trades only with one other group (not the whole
class). Students may trade the item(s) they received in Round 1 for a new item
if they want to. Remind students to record each trade they make in this round on a
different spot on their paper using a tally mark. Allow three minutes for students
to trade. Have students return to their seats and discuss the following:
•
How many of you made a trade in Round 2? Have students who made trades in
Round 2 raise their hands. (Answers will vary.)Potato: A Tale from the Gpression
•
How many trades did you make? Use tally marks on the board to determine the
total number. (Answers will vary.) Record the total number of trades in Row 2,
Column 2 of the table on Visual 1.
•
Were more trades made in this round than in Round 1? (Answers will vary but it is
likely that more trades were made in Round 2 than in Round 1.) Why? (There were
more students to trade with in Round 2 than in Round 1. There were more items
available in Round 2 than in Round 1.)
5. Compare the number of trades made in Round 2 to the number of trades made
in Round 1. Use greater than (>), less than (<), and equal (=) signs to write
mathematical sentences on the board using the numbers that are in the table. For
example, if in Round 1 seven trades were made, and in Round 2, 12 trades were
made, write 12 > 7 on the board, and “read” the sentence to the class.
6. Explain that students will have three more minutes to trade. This time they can
trade with anyone in the classroom. Explain that students who traded in Rounds
1 and 2 may trade items they received in those rounds if they want to. Allow
three minutes for students to make trades. Have students return to their seats and
discuss the following:
•
How many of you made a trade in Round 3? Have students who made trades in
Round 3 raise their hands. (Answers will vary.)
•
How many trades did each of you make? Use tally marks on the board to record the
number of trades. (Answers will vary.) Record the total number of trades in Row 3,
Column 2 of Visual 1.
•
Why were you able to make a trade? (Others wanted what I had. They liked what I
had. They had something I wanted. Both sides have to gain for a trade to be made.)
•
How many of you did not make a trade? (Answers will vary.).
•
Were more trades made in this round than in Round 1? (Answers will vary, but it is
likely that more trades were made in Round 3 than in Round 1.) Why? (There were
more students to trade with in Round 3 than in Round 1. There were more items
available in Round 3 than in Round 1.)
•
Why were some students unable to get something they wanted? (Answers will
vary but may include nobody wanted what I had to trade, people would not
give up certain items, people didn’t want what I had.)
•
Do you think Clarence and Agnes had trouble bartering their potatoes? (No, people
probably wanted potatoes to eat, and therefore, Clarence and Agnes had
something that people wanted. In the story, Clarence and Agnes got goods and
services so they must have found people willing to trade those goods and services
for potatoes.)
Potato: A Tale from the Great Depression
7. Compare the number of trades made in Round 3 to the number of trades made
in Round 1. Use greater than (>), less than (<), and equal (=) signs to write
mathematical sentences on the board using the numbers that are in the table. For
example, if in Round 1, seven trades were made and in Round 3, 12 trades were
made, write 12 > 7 on the board and “read” the sentence to the class.
8. Compare the number of trades made in Round 3 with the number of trades
made in Round 2. Use greater than (>), less than (<), and equal (=) signs to write
mathematical sentences on the board using numbers that are in the table. For
example, if in Round 2, seven trades were made and in Round 3, 12 trades were
made, write 12 > 7 on the board and “read” the sentence to the class. Ask students
to explain why the number of trades in each round differed. (More trades were
made in Round 3 because more people were trading, so more choices were available
for students to make. More people were able to satisfy their wants when more items
were available.)
9. Tell students that the items they bartered for are theirs to keep.
10. Clarence and Agnes had wants. Remind students that wants are desires or wishes
that can be satisfied by consuming goods or services. In order to barter for groceries
and clothing to satisfy some of the family’s wants, Clarence had to find
someone whose wants could be satisfied by getting potatoes. Clarence bartered
potatoes with the store owner. Clarence wanted groceries and other items that
the store owner would trade for potatoes. The store owner probably did not have
time to grow potatoes so he could satisfy his want to have potatoes to sell to other
patrons by trading groceries for potatoes with Clarence. Both Clarence and the
store owner were satisfied by the trade they made.
Discuss the following:
 Why were you not always able to get what you wanted when you were bartering? (Not
everyone wanted the item that was being offered. Some people already had that item. Trades
could not be made when both traders could not be satisfied with the barter.)
 When Clarence traded with the pig farmer for a pig, how did each side benefit? (Clarence got a
pig that satisfied his want for food. The pig farmer probably did not have time to grow potatoes
to eat so trading a pig for potatoes satisfied his wants. Both parties were better off because of
the trade.) Do members of your family barter to get the things they want each day?(Probably
not because it is too time consuming and difficult.)
 How do you and members of your family get the things you want each day? (buy them using
money, debit cards, coins, credit cards, checks)
Potato: A Tale from the Great Depression
11. Explain that people use money, debit cards, credit cards, and checks because
it makes getting goods and services from others much easier than bartering.
Money is anything used as a final payment for goods and services. People accept
money in payment for work they do and as payment for other goods and services
they sell because they know they can use it to buy other goods and services.
12. Explain that when people go to the store to buy things, they take money with
them. They may take debit cards and checks because these things represent
money that people have in banks. Store owners will accept them as payment for
goods and services. People also use credit cards. Credit cards do not represent
money that people have in bank accounts. By using a credit card, people are able
to buy things now and pay for them later. Discuss the following:
•
Could you use the items you have in your barter bags to buy lunch in the school
cafeteria or a new toy at the toy store? (No, because the cafeteria workers and toy
store workers would not accept them as payment.)
•
What do you do in order to have lunch at school? (bring it from home, pay for it with
money.)
•
What happened at the end of the potato story that helped Clarence and his family
satisfy their wants? (Clarence got a job. The family moved to Washington, D.C.,
and then to Hawaii.)
13. Point out that Clarence earned income at the job he got at the end of the story.
The family was able to satisfy its wants by using that income to buy goods and
services.
Closure
14. Review the important content in the lesson by discussing the following:
 Who are consumers? (People whose wants are satisfied by using goods or services.)
 Who were the consumers in the potato story? (Clarence and Agnes)
 What are wants? (Economic wants are desires that can be satisfied by consuming a
good, service, or leisure activity.)
 Name some wants that you have. (a new bike, new shoes, a candy bar, a video game,
an MP3 player)
 What were some wants that Clarence, Agnes, and Dorothy had? (food, clothes, and
groceries.)
 What is barter? (The direct trading of goods and services between people without the
use of money.)Potato: A Tale from the Great Depression
 When do you use barter? (Answers will vary.)
 What are goods? (Goods are objects that satisfy wants.)
 Name some goods that the family in the book used. (car, gas, a pig, clothes)
 Name some goods that you use. (pencils, paper, desks, shoes, clothes)
 What are services? (Services are actions that can satisfy people’s wants.)
 Name some services the family in the book used. (Answers will vary but may include
farmer’s farming, store clerk’s assistance, bank’s banking services.)
 Name some services you use. (Answers will vary but may include teacher’s teaching,
lunchroom cooks’ cooking, doctor’s medical care.)
 What helps to make it easier for us to buy goods and services? (Money makes it easier
to buy goods and services because everyone will accept it as payment for goods and
services.)
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www.philadelphiafed.org/education
Visual 1: Number of Trades
Round Number of Trades
Round
1
2
3
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www.philadelphiafed.org/education
Number of Trades
“Money Matters” Unit
Lesson/Activity
Title:
The World of Barter
Estimated Time:
__30__ minutes
Group Size:
____Whole Group__
Learning Target(s):
LA.3.4.1.2 - The student will write a variety of expressive forms (e.g., chapter
books, stories, poetry, skits, song lyrics) that may employ, but
not be limited to, figurative language (e.g., simile,
onomatopoeia),rhythm, dialogue, characterization, plot, and
appropriate format.
Skit
LA.3.2.1.2 – TSW identify and explain the elements of story structure,
including character/character development, setting, plot, and
problem/resolution in a variety of fiction.
Lesson Summary:
Students will perform a play in which they will see how people were
able to get the things they needed and wanted before money was
invented.
Essential Lesson
Question:
How/ When does scarcity result in trade?
Key Vocabulary:
Barter, money, goods, services, needs, wants
Materials:
Handout of skit to each participant.
Evaluation:
Students will write a variety of expressive forms ( e.g., song, rap, poem,
skit) at the end of this unit.
Procedure:
1. Have 12 students to volunteer for the following roles. (Depending on the sex of the
participants, the names of the characters can be changed , for example Queen Justine to
King Justin, Willy to Wilhemena, Fred to Frederica, etc.)
1. Narrator #1
2. Narrator #2
3. Narrator #3
4. Narrator #4
5. Queen Justine
6. Pedro, the fisherman
7. Willy, the weapons maker
8. Fred, the flower grower
9. Paul, the house painter
10. Dorothy, the doctor
11. Anne, the farmer
12. Karen, the carpenter
Note: The audience has a speaking part as a chorus.
At the end of the play ask students the following questions:
1. In your own words, describe how the barter system worked.
2. Discuss some of the problems the characters in the play faced using the barter system.
3. How does using money make it easier for people like Pedro and Dorothy to get the things they
need and want?
Optional Follow-up
Have students work in groups to create a short skit, poem, rap, or song as an assessment at the end
of unit.
Student Play: The World of Barter
CHARACTER
Narrator #1
SPEAKING PARTS AND DIRECTIONS FOR
CHARACTERS
Before people used money, they traded
with others to get the things that they
needed to live. This was called the barter
system. An example of how the barter
system worked appears in the play you
are about to see.
Narrator #2
One day, eight people went sailing. They
thought this would be a great way to
spend a sunny afternoon. Unfortunately,
their ship sank. However, the group
found its way safely on a small island. As
they could find no other people on the
island, the group decided that each
person would have to perform a special
job to meet everybody’s needs and
wants.
Narrator #3
(As Narrator #3 reads each character’s
name, the character bows to the
audience.)
Justine was elected queen. As queen, it
would be her job to make all important
decisions. Ann volunteered to be the
farmer; Fred, the flower grower; Pedro,
the fisherman; Willy, the weapons
maker; Paul, the painter; Dorothy, the
doctor; and Karen, the carpenter.
Narrator #4
The first morning Queen Justine called
everyone together.
Justine
(Justine seated, rises from her throne)
Starting today we will use a barter
system to get the things we need or
want!
Audience
(in a very loud voice) All hail Queen
Justine.
Ann
(Ann raking her crops)
A barter system? What does that mean?
Justine
That means that if there is something that
you need or want, you’ll have to trade
something that you have to get it.
Fred
(Fred planting some flowers.)
Do you mean that if I want fish for dinner I
must go to Pedro to trade my flowers?
Pedro
(Pedro fishing with a rod.)
For my fish?
Audience
(in a very loud voice) Exactly.
Narrator #4
Everything was going well until the day that
Pedro and Dorothy decided to get married.
Dorothy
(Dorothy holds her hands over her heart.)
At our wedding, I would like lots of flowers.
Pedro
In order to get any flowers, we’ll have to
trade with Fred.
Fred
(Fred sneezes two or three times.)
Achoo! Achoo! Achoo! These allergies are
driving me crazy. Hello Dorothy and Pedro.
How can I help you?
Dorothy
We’re getting married soon and would like
some beautiful flowers at the wedding. We’ll
trade you three allergy shots, to stop your
sneezing. Or, if you’d like, Pedro will give you
three fish in return for the flowers.
Fred
No way. I’ve already had allergy shots and ate
a fish dinner last night. Now, if you could get
me some vegetables from Ann you’ve got a
deal.
Pedro
Quick let’s go find Ann.
Ann
I would like to help you. Except, I don’t have
allergies and can’t stand fish. However, I
could really use a bow and arrow for
hunting. Why don’t you go to Willy, he
makes great weapons.
Dorothy
I guess we’ll have to look for Willy.
Narrator #4
Getting Willy to agree on a trade wasn’t
easy.
Willy
(Willy working on a weapon he is making.)
I don’t need any allergy shots, nor do I
want any fish. I would like to get my house
painted. Paul does great work. Perhaps
you can get him to paint my house.
Paul
(Paul painting a wall)
Sorry, I am not looking for a fish dinner or
allergy shots. However, I could use some
shelves, like the kind Karen the carpenter
builds.
Karen
(Karen hammering a nail.)
If you want those shelves built, you’ll have
to get me . . .
Audience
(in a very loud voice) Enough! This is
impossible.
Dorothy
Let’s see if I understand this. If Karen
trades us some shelves for Juan’s fish or
my allergy shots, we can trade the shelves
for a house painting, then the house
painting for a bow and arrow, the bow and
arrow for some vegetables, and then the
vegetables for the flowers for the
wedding.
All
(in a very loud voice) There must be a
better way. What can we do?
http://www.newyorkfed.org/education/its_all_about_your_money.pdf
“Money Matters” Unit
Lesson/Activity
Title:
“How Money Began”
Estimated Time:
30-40 minutes
Group Size:
Small groups
Reading Comprehension
Learning Target(s):
LA.3.1.7.3 –
Lesson Summary:
Students will buddy read the short story on how money began. They
will then discuss and use Venn Diagram to compare and contrast barter
and money. After that they will create a poster to advertise their
preference of using the barter system or money which will be shared
orally and then displayed.
Essential Lesson
Question:
Which system do I prefer? Barter or Money! Why?
Key Vocabulary:
Money, barter
Materials:
Evaluation:
TSW determine explicit ideas and information in grade level
text, including but not limited to main idea, relevant supporting
details, strongly implied message and inference, and
chronological
order of events.
LA.3.1.7.4 – TSW identify cause-and-effect relationships in text.
LA.3.1.7.5 – TSW identify the text structure an author uses (e.g.
comparison/contrast,
cause/effect, and sequence of events) and explain how it
impact meanings in text.
Handout of story “How Money Began” see attachment.
Venn Diagram handout
Poster paper
Markers, crayons, etc….
Students will take create a poster to advertise their choice of bartering
or using money to share with class.
Procedure:
1. Explain to students that they are going to read a short story about how money began, and use
a Venn diagram to compare and contrast barter with money.
2. Tell them that they will work with a partner to read and complete the assignment. ( Partner
students heterogeneously.)
3. Handouts Venn diagram. (one per partner)
4. Explain that after they are done reading and completing the Venn diagram sheet, they will work
on a poster will their partner to advertise their preference to use the barter system or money
when buying goods and services.
5. After posters are done, regroup the students so that they can share their posters.
6. Display posters in class or in hall for other to see.
Name:_______________________________________________
Date:____________
How Money Began
From Bartering to Paper Money.
You've probably never thought very much about money. It is just there. When you want
or need something, you simply take some money and pay for it. That wasn't always the
way things were done, before money was invented people used to swap things. This
was called bartering.
At first, people used to do direct swaps for what they needed. Supposing you had a lot
of corn, but no meat, and the farmer down the road had a lot of meat but no corn. If
that was the case then you could agree on a fair swap, and swap corn for meat. If you
needed meat, but the farmer already had corn, he might not want any more corn, he
may want something else, perhaps some eggs. If you still wanted the meat, you would
have to find someone who had too many eggs, and wanted some corn. Of course, this
system meant that people spent all their days trying to find someone to swap with, and
they weren't able to get anything else done. That was when people came up with a
better idea.
Instead of a direct swap of one item for another people came up with the idea of using
one thing to swap for everything else. This was the beginning of money. At first, it
didn't look much like money. Different people used different things. Some people used
beads or crops, or even small animals . Animals and crops weren't very practical, since
you couldn't keep them in your pocket, when you went to the market. The Native
Americans used shells, called wampum. These were very highly
decorated and everyone wanted them. That was important, since if no one wanted
them, you wouldn't be able to swap them for anything.
At the same time as the Americans were using shells, people in other countries were
using lumps of metal. The biggest problem with a lump of metal was that it was hard to
break. How could people decide what was a fair sized lump for the swap? The Lydian
people, who came from an area of what is now Turkey, came up with the idea to make
coins in about 600 BC. They pressed the metal into flat, round pieces, and different
size coins had differing swapping value. Later they made coins of different metals, and
each type of coin had a different value.
Eventually the use of coins caused problems, too. It was the same problem as with the
animals; the coins were heavy and difficult to carry around. Scholars think that the
Chinese were the first group of people to come up with the idea of using paper money.
Although paper isn't worth anything, it is like an IOU letter. The paper money was
bought by paying for it with coins. So a paper note, that cost 20 coins to buy, could be
used for buying things, to the value of 20 coins.
This is how money began. We still use the same system today. Our coins are made of
metal, and paper money is worth a certain amount of coins, and can be swapped for
coins at the bank.
http://www.funsocialstudies.learninghaven.com/articles/bartering.htm
“Money Matters“ Unit
Lesson/Activity
Title:
CCCVideo On Demand
Estimated Time:
30 minutes
Group Size:
Whole group
Learning Target(s):
S.S.3.E.1.4 – TSW distinguish between currencies used in the United States,
Canada, Mexico, and the Caribbeans
Lesson Summary:
Students will learn how money is made and how it works.
Essential Lesson
Question:
How is the U.S. currency made? Why don’t all countries use the same
currency?
Key Vocabulary:
Currency, Money, Trade
Materials:
Evaluation:




Currency
Handout of characteristics of money
Technology to view/show a CCCVideo
Notebook paper to take notes on the video
Student Not Taking page to add information about money.
Students will take notes on a video about money and its characteristics.
Preparation:
Link to or search for the CCCVideo: Currency
https://mymarionccc.marion.k12.fl.us/NDM/playProgramFromExternal.action?programID=52158&guid=52158&guid=19651839
Procedure:
1. Distribute handout of characteristics of money to each student.
2. Explain to students that they will discuss the characteristics of money and watch a video on
how money is made and how it works.
Before the video is shown ask students the following questions:
If you travel to Jamaica West Indies or to Mexico, will you be able to shop with U.S.
dollars? If not, how will you convert your money? Why don’t all countries use the same
currency?
3. Have students use the handout to take notes on what they see on the video.
4. Pause to check students note taking and check for understanding.
5. After watching the video, ask students the following questions:
Where are U.S. dollars printed? How many dollars are printed at a time?
What is the most important thing to remember when adding up dollars and cents?
CHARACTERISTICS OF MONEY
Money must be:
1. widely accepted for goods and services
2. durable
3. easy to carry
4. divisible
Write the meaning of each of the characteristics in your own words.
1. Widely accepted for goods and services:_______________________________
___________________________________________________________________
2. Durable:____________________________________________________________
3. Easy to carry:________________________________________________________
4. Divisible:____________________________________________________________
“Money Matters” Unit
Lesson/Activity Title:
Hot Potato
Assessment
Estimated Time:
30_ minutes
Group Size:
Whole Group
Learning Target(s):
SS.3.A.1.1 SS.3.A.1.3 -
Lesson Summary:
Students will play a game to assess economic skills learned from
previous lessons.
Essential Lesson
Question:
How would playing thi
Key Vocabulary:
Money, barter, trade, wants, services, goods, consumers, needs
Materials:
Handout 1: Hot Potato
Handout 2: A Tale of My Wants
CD and CD player
Evaluation:
Students will answer questions about wants, goods, services, barter,
or money.
Analyze primary and secondary sources.
Define terms related to social science.
Procedure:
1. Explain to students that they will play a game called hot potato. Tell
students to sit in a circle on the floor. Explain that hot potato is a game played by
passing a potato around a circle while music is playing. When the music stops
playing the person holding the potato has to answer a question. Give a student
the potato and tell the student that when the music starts he or she should pass
the potato to the student on his or her right. That student, in turn, should pass
the potato to the student on his or her right and so on. When the music stops the
student holding the potato will have to answer a question about wants, goods,
services, barter, or money. Play a practice round to make certain students understand
the directions.
2. Begin the game. After several seconds, stop the music and ask the student holding
the potato one of the questions on Handout 1: Hot Potato. Continue the game until
all questions have been used. Note: Expected answers are on Handout 1 in italics.
3. Distribute a copy of Handout 2: A Tale of My Wants to each student. Tell them to
read and follow the directions on the handout.
www.stlouisfed.org/education and Philadelphia
www.philadelphiafed.org/education
Handout 1: Hot Potato
1. What do we call desires and wishes that can be satisfied by consuming goods
and services? Wants
2. What was Agnes doing when she traded potatoes for groceries? Bartering
3. What do we call people who satisfy their wants by using goods and services?
Consumers
4. What are you called when you satisfy your wants by using goods and services?
A consumer
5. What do we call objects, like a ball for Dorothy, that satisfy people’s wants?
Goods
6. Name a good that you used today. Answers will vary.
7. What do we call actions that people do for us that satisfy our wants? Services
8. Name a service that you used today. Answers will vary.
9. Instead of bartering, what do people use to get the goods and services they
want? Money
10. What do we call the money Clarence earned for the work he did? Income
www.stlouisfed.org/education and Philadelphia
www.philadelphiafed.org/education
Name:_____________________________________
Date:____________
Handout 2: A Tale of My Wants
In the box below, draw pictures of three goods you used today. Write the name of each good
under your picture of that good.
In the box below, draw pictures of three different services you have used in the last week.
Write the name of each service under your picture of that service.
www.stlouisfed.org/education and Philadelphia
www.philadelphiafed.org/education
Name:____________________________________________
Date:______________
Handout 2: A Tale of My Wants (continued)
Draw a picture of a time when you bartered for a good or a service. Write a sentence that tells
what you bartered. Write a sentence that tells why you wanted the good or service. Write a
sentence that tells if you were satisfied with the trade.
Draw your picture here:
Write your sentences here:
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
www.stlouisfed.org/education and Philadelphia
www.philadelphiafed.org/education
Name:_____________________________________________________
Student
Overview
Handout
Date:_________________-
Always Think About…
 Do I prefer to barter or use currency?
 What would life be like if bartering would have
remained in exchange for goods and services?
Always Ask Yourself…
What is bartering?
Why shouldn’t people
barter today?
What effects did
bartering have on
our economy?
What is Money?
What are the
characteristics of money?
31
Name:_____________________________________________________
Date:____________________
Student Note Taking Page
What is bartering?
What is money?
Barter or Money ? Which would I prefer?
Why shouldn’t people barter today?
What are the characteristics of money?
Name:_______________________________________________________
Date:___________________
Compare and Contrast
In what ways are bartering and money different and alike?
Barter
Money
Both