This lesson examines the benefits and opportunity cost of spending and saving. The students learn how compound interest makes savings grow. Compounding provides an incentive to save and invest early. The benefits of saving and investing when you are young can increase substantially over time when funds are allowed to compound.
"Will that be cash, check, debit, or credit?" This lesson plan explores the difference between these. What is the difference? Is using credit the same as paying with cash? Or by check? Or by debit card? Some young people believe that using credit is the same as paying with cash. In fact, some young people believe that all you need to make purchases is a credit card. It seems as if a credit card can pay for anything-and everything. But how you pay for things does make a difference. In this lesson, you will learn how using credit differs from paying in cash, by check, or by debit card. You will learn why credit has costs, and what the influences are that affect the cost of credit.
Consumers are faced with tough choices because so many innovative and exciting products and services are available. Therefore, engraining a decision-making process that includes considering of opportunity cost is necessary to shape future consumer behavior.
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.
This publication helps students analyze energy and environment issues from an economics perspective.
6 out of 10 lessons from this publication relate to this EconEdLink lesson.
This publication contains 20 lessons designed to provide an economic insight into topics typically covered in may civics and government classes.
4 out of 21 lessons from this publication relate to this EconEdLink lesson.
Use this DVD program to show students how to live healthy, wealthy and risk-free.
3 out of 12 lessons from this publication relate to this EconEdLink lesson.