Spend It! : simplebooklet.com

Reading Makes Cents 2019-2020Spend It!Spend It!LessonOpportunity CostBOOK SYNOPSIS: In Bunnyland, Sonny gets three whole carrots for his weekly allowance.He wants to buy everything with it! But he soon discovers his money won't go that far,and his mom tells him he needs to make some choices. Even though this doesn't soundlike much fun, Sonny soon learns what’s really important and how to make an informeddecision.INTRODUCTION: In this activity, students learn the hard lesson of making a choice. Justlike Sonny, they will have to make a decision, thus giving up other possible choices,TIME REQUIRED: 25-30 minutes.OBJECTIVE:● The student will be introduced to the concept of opportunity cost: “In a choice, thebenefit expected form the highest valued alternative forgone; or what you give upwhen you make a choice.”MATERIALS:● Book Spend It! By Cinders McLeod● Prepared color sheets (duplicated front-to-back)● Crayons or colored pencils● ScissorsECONOMIC CONCEPTS:Because we cannot have everything we want (scarcity), we must make choices.Each time we make a choice, we give something up. There is always a next bestalternative when making any choice. The value of this next best alternative (orsecond favorite choice) is the opportunity cost.PROCEDURE:1. Prepare the materials prior to class. Run off the vegetable color sheets, front toback in different combinations.1Lynne StoverJames Madison University Center for Economic Education

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Reading Makes Cents 2019-2020Spend It!2. Introduce the lesson by reading the book Spend It! by Cinder McLeod to thestudents. This will take between 4-5 minutes.3. Ask the students why Sonny had to make a choice between a pogo stick, toyrocket, and bouncy castle. [He had a limited amount of money.]4. Inform the students that they will be helping create a display showing Sonny’schoices plus what is used as money in Bunnyland.5. Distribute the prepared activity sheets and coloring tools.6. Instruct the students to color both sides to the best of their ability. When thestudents are finished, give them a pair of scissors and inform them they must cutout ONE of their colored vegetables for display. Explain that the other side will bedestroyed, so the chance to display that side will be their opportunity cost. (Beprepared for complaints from the students, some who will have a hard timechoosing which item to keep.)7. Display student work on a bulletin board titled “Spend It! Opportunity Cost”.EXTENSION ACTIVITY:Tell the students that money is anything that is used as a medium of exchange. Ask themwhat they and their parents use for money. [Possible answers: currency, coins, checks,credit cards, debit cards, gift cards.] Remind them that in Bunnyland carrots are used topurchase goods and services. Ask the students if they think carrots would be somethingpeople could use as money.Create a class list of the positive and negative characteristics of using carrots as money.2Lynne StoverJames Madison University Center for Economic Education

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Reading Makes Cents 2019 2020 Spend It Spend It Lesson Opportunity Cost BOOK SYNOPSIS In Bunnyland Sonny gets three whole carrots for his weekly allowance He wants to buy everything with it But he soon discovers his money won t go that far and his mom tells him he needs to make some choices Even though this doesn t sound like much fun Sonny soon learns what s really important and how to make an informed decision INTRODUCTION In this activity students learn the hard lesson of making a choice Just like Sonny they will have to make a decision thus giving up other possible choices TIME REQUIRED 25 30 minutes OBJECTIVE The student will be introduced to the concept of opportunity cost In a choice the benefit expected form the highest valued alternative forgone or what you give up when you make a choice MATERIALS Book Spend It By Cinders McLeod Prepared color sheets duplicated front to back Crayons or colored pencils Scissors ECONOMIC CONCEPTS Because we cannot have everything we want scarcity we must make choices Each time we make a choice we give something up There is always a next best alternative when making any choice The value of this next best alternative or second favorite choice is the opportunity cost PROCEDURE 1 Prepare the materials prior to class Run off the vegetable color sheets front to back in different combinations 1 Lynne Stover James Madison University Center for Economic Education

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Reading Makes Cents 2019 2020 Spend It 2 Introduce the lesson by reading the book Spend It by Cinder McLeod to the students This will take between 4 5 minutes 3 Ask the students why Sonny had to make a choice between a pogo stick toy rocket and bouncy castle He had a limited amount of money 4 Inform the students that they will be helping create a display showing Sonny s choices plus what is used as money in Bunnyland 5 Distribute the prepared activity sheets and coloring tools 6 Instruct the students to color both sides to the best of their ability When the students are finished give them a pair of scissors and inform them they must cut out ONE of their colored vegetables for display Explain that the other side will be destroyed so the chance to display that side will be their opportunity cost Be prepared for complaints from the students some who will have a hard time choosing which item to keep 7 Display student work on a bulletin board titled Spend It Opportunity Cost EXTENSION ACTIVITY Tell the students that money is anything that is used as a medium of exchange Ask them what they and their parents use for money Possible answers currency coins checks credit cards debit cards gift cards Remind them that in Bunnyland carrots are used to purchase goods and services Ask the students if they think carrots would be something people could use as money Create a class list of the positive and negative characteristics of using carrots as money 2 Lynne Stover James Madison University Center for Economic Education

Spend It!

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