Chapter 3- Lesson 2. Trade Then and Now Pgs. 72-79. FOCUS ON THE MAIN IDEA People trade for the goods and services that they need and want. Vocabulary Words need -something that a person must have to live. w ant - something that a person would like to have, but can live without.
Trade Then and Now
People trade for the goods and services that they need and want.
need-something that a person must have to live.
want- something that a person would like to have, but can live without.
barter- to trade one kind of goods or services for another.
consumer- a person who buys goods or services.
economy- the resources of a country, state, region, or community and how the resources are managed.
7.free enterprise system- a system in which businesses have the right to produce any good or service that they want.
profit- the money left over after costs are paid.
supply- the amount an item someone has to sell.
demand-the amount of an item that consumers are willing to pay at different prices.
opportunity cost- what is given up when one thing is chosen over another.
Early in the history of the United States, people traded for the goods and services that they needed and wanted.
In the early 1800s, St. Louis, Missouri, grew because people came there to trade for fur.
In ancient times, people used shells, stones, and round metal disks as money. A person who was willing to sell something exchanged that good or service for a certain number of the shells, stones, or metal disks. In time, however, people relied less on bartering as a way of trading.
Describe a time when you have bartered with a friend.
Tell the difference between a producer and a consumer.
Make a list of wants vs needs.
1. How is an economy based on a free enterprise system different from one that is not?
How might an increase in supply benefit a customer?
What do you want to do when you grow up?
What are some ways that you can prepare yourself for what you want to do?
1. Goods and services have been traded by barter and money.
Our free enterprise system is based on supply and demand.
You can help the economy when you are a careful producer and consumer.
How does a business make a profit?
What is the difference between supply and demand?
How were goods and services traded by barter?
How have computers affected the economy of the United States?
Read the story of “Jack and the Beanstalk.” Tell your partner what Jack got in return for his mother’s cow. Decide if Jack’s trade was a good one or a bad one.
Explain why you think so.