KEY ECONOMIC QUESTIONS LESSON PLAN
After completing the lesson plan, have students answer the assessment activity.
In economics there 3 questions that all societies must answer:
- What goods and services should be produced?
- How should goods and services be produced?
- Who gets to consume the goods and services?
Each society answers these questions in a different way based upon the resources available.
Resources are Land, Labor, and Capital
Land- this refers to all natural resources used to produce goods and services. This includes crops that are grown on a land, minerals that are mined from land and rent that is paid to an owner of land for its use.
Goods and services are the things that we buy like mp3 players or hair cuts. A good is a physical thing you can hold a service is some thing that gets used up right after it is purchased.
Labor- this is the effort that an individual person puts into making a good or service. This for this effort the person is paid a wage. Labor includes factory workers, medical personal, and teachers. They all provide their labor for a wage.
Capital- this is anything that is used to produce other goods and services. If you make cars you need machines to make the metal that is used in the cars. It is also the truck that drives the cars to the dealer who sells them, and it is the building that the cars are made in. All of these are the resource known as capital.
Lesson Printable Materials -
Print out the teaching lesson pages and
exercise worksheets for
use with this lesson: