Related Lessons

Lesson: It's a Not So Wonderful Life

The Early 1980s: A Tough Time For Home Builders and Mortgage Bankers

Have you ever thought of how much it might cost you to finance the purchase of a home? The home's purchase price is likely to be many times the yearly income of the typical household. If families waited until they had accumulated enough savings to use cash to pay for a home, they would be denied the benefits of homeownership for many years. Instead, most families go to a mortgage banker or some other lending institution to obtain the necessary credit to purchase their home. A mortgage loan is a credit instrument used by homebuyers to finance the purchase of a home. Interest payments made on the mortgage loan represent the cost of acquiring this credit. For most homebuyers, the largest cost of buying a home is the monthly interest paid on the mortgage loan.

Grades: 9-12
Published: 06/10/1999

What causes inflation?

This lesson explores different types of inflation and terms associated with this economic concept. You may have heard relatives talk about the good old days when a dollar would buy something. What happened to that dollar? Why won’t it buy as much as it did last month or last year? What happened is inflation. In this lesson you will examine the various causes and theories of inflation as well as how it affects different groups in the economy such as savers, lender, and people living on fixed incomes.

Grades: 9-12
Published: 01/12/2006

Multipliers and the Mystery of the Magic Money

Students learn about the purpose of the reserve requirement, how money is "created" in the economy through fractional reserves, and how the Federal Reserve uses the reserve requirement and loans to correct economic instability.

Grades: 9-12
Published: 08/07/2002

Related Publications

The following lessons come from the Council for Economic Education's library of publications. Clicking the publication title or image will take you to the Council for Economic Education Store for more detailed information.

Economics in Action: 14 Greatest Hits for Teaching High School Economics

Economics in Action combines 14 favorite CEE simulations, role-playing activities, group activities and classroom demonstrations in one volume.

Grades: 9-12
Published: 2003

2 out of 14 lessons from this publication relate to this EconEdLink lesson.