Money Decisions

STUDENTS WILL… Assess personal spending behavior. Understand the concept of opportunity cost. Evaluate spending choices when it comes to personal wants versus needs. Learning Objectives

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Million dollar activity What would you do if you had $1,000,000? Would you buy a new laptop? Help a friend? Please take 10 minutes and in groups of 3-4, write a list how you would spend the money. Next, you will be asked to share your group answers with your class.

Want or a need WANTS – are things that are nice to have, but not really necessary. NEEDS – are items we must have to survive (food, shelter, clothing). In the same groups, please take 10 minutes to organize your million dollar purchase list, separating the wants from needs. Next, you will be asked to share your group answers with your class.

OPPORTUNITY COST Consider the choice between spending $200 on a new cell phone and making a car payment. If you opt to buy the phone, how will you pay for the car? Discuss how opportunity cost can affect choices between a want and a need.

Wishful wants or necessary needs handout Distribute the Wishful Wants or Necessary Needs handout. You will now get to evaluate the needs and wants at play in several different examples. Please take 20 minutest and work in groups of 3-4 students. You should identify the wants and needs in each scenario and justify your reasoning. All groups will present their findings to the class, and then discuss why certain expenses are wants while others are needs. Wishful wants or necessary needs handout

Closing Instructions: Students Teacher Please take all handouts from your seminar folder home, except the stapled 4 year plan. Return your folder to hanging file. Return teacher folder, student folders and seminar box to the staff workroom.