Second Grade Economics

Resources  The United States is a very wealthy nation. One reason for its wealth is its many resources.

Natural Resources  These resources come from NATURE. They are materials found in and on the earth, such as water, soil, wood, and coal.

Human Resources  These resources are the PEOPLE who work in jobs to produce goods and services. People have many kinds of jobs such as being farmers, miners, builders, and painters.

Capital Resources  People make capital resources and then use them to make other things. Capital resources may also be used to do work. Hammers, computers, trucks, lawn mowers, and factory buildings are examples of capital resources.

What is a consumer? YOU ARE!!!! Have you ever purchased something from a person or a store? As a consumer you can buy two kinds of things: goods or services.

GOODS SERVICES Something that someone makes that you want or need. An activity that you want or need. It is something that someone does for you.

What is a Producer? YOU ARE!!!! Producers are people use use natural, capital, and human resources to produce goods and provide services.

BARTERING  People don’t have to use money to get goods and services. They can barter. Bartering is trading goods and services without the use of money. Native Americans bartered with each other and the early settlers. Can you think of a time you have bartered??

Economic Choices and Scarcity  When we choose whether to rent a movie OR go out to eat, we’ve made an economic choice.  Scarcity is when we can’t have everything we want at the same time.  When we choose whether to rent a movie OR go out to eat, we’ve made an economic choice.  Scarcity is when we can’t have everything we want at the same time.

Your Turn: Write at least 4 new facts you’ve learned about economics from this presentation. (Rockingham County Public Schools, n.d.)