Money Matters - Teaching About Economics

When our students turn on their computer, radio, television, or iPhone, they are bombarded with messages and advertisements that scream "One Million in Retirement May Not Be Enough!" , "Five Small Stocks That Pay Big Dividends!",  "Secrets to Better Banking!", and "Save or Pay Down Debt?!". What does all of this mean? Financial experts, stockbrokers, and economists didn't just wake up one day knowing all about interest rates, the Federal Reserve, and 401k's. They had to start somewhere. And so do our students.

Lessons about money also involve lessons in history, government, math, science, and art. The following lessons involve all of these content areas, and give students a clearer picture of money and economics. Although these lessons won't guarantee that your students will get the next financial planning position that becomes available, they certainly will get your students thinking about the green $tuff.

Warm up their minds with this class opener: Hey everybody, I have a question for you...By a show of hands, who likes money? Or ....How many of you would prefer making more money, rather than less money? Getting students to understand that the topics covered in these lessons can, and will affect them, personally at some point, gives them that buy-in (no pun intended) that teachers need in order to have their lessons run optimally.

Money Lesson Plans That Make Financial Knowledge Student-Friendly:

Economics and the Great Depression: In this lesson students are given the role of  "detective" as they try to solve the "mystery" of the Great Depression "Who-Done-It" style. Through the use of  "clue sheets" and web sites that give information about federal spending, the unemployment rate, and the advent of new businesses and industries during the 1920's, students are required to "investigate" the "clues" that contributed to the Great Depression. The lesson is completed when students fill out the "Interdependence Web Activity" with the "The Automobile" listed at the top of the page. Students then place types of industries (glass, businesses, factories, motels, steel) under the appropriate categories (supplier, complimentary services, capital goods) to complete the activity. I loved this lesson because it takes all of the historical, social, cultural and economic facets of the Great Depression, and condenses the complexity of these subjects into a relatively simple, kid-friendly, detective/mystery kind of game. To enhance this lesson, I would also have students write a compare/contrast essay, or construct a compare/contrast chart illustrating the similarities and differences between the Great Depression and the current recession.

All About Money: Students will gain a better understanding of money once they engage in this lesson. They view a video which discusses the historical and practical issues surrounding money, and are introduced to new vocabulary, including "commodity", "durable" and "convertible bank notes". Questions pertaining to money are also introduced in this lesson. I really like the financial lingo that students are exposed to in this lesson, but I think the design of the lesson might be a bit dry if more interactive strategies are not implemented. If students worked in groups, and could hold coins, bills, or other tangible representations of money while they learn, the lesson might become more student-friendly. Also, if students work together in groups to find the answers to certain questions with the help of the Internet, they are more likely to retain the information because they are actively participating in the lesson, and not just passively listening to information that's being fed to them.

Designing Money: Students are invited to research, investigate and design their own form of money in this lesson. Through  specific web site, and Internet research they learn about the practical aspects of design, the properties of materials used to create money, and the currency of other nations.  I liked this lesson because it combines creativity with analytics and science. I would also add a component to the lesson that discusses credit cards, the properties of plastic, and the financial components associated with consumer credit. Perhaps students could design their own credit cards.

How the Government Affects Money: This lesson exposes students to the relationship between money and government. Students read excerpts from expert economist descriptions of the Federal Reserve, recession, aggregate supply and aggregate demand. Students view charts that interpret these descriptions, and answer questions related to them. Upon completion of these tasks students will be better able to describe, illustrate, and formulate opinions about these financial and economic concepts. To enhance this lesson, I would have students write an opinion piece highlighting their interpretation of what this lesson presents, and how the high level concepts in this lesson can affect them individually. By letting students know that these concepts do affect them, teachers have a better chance of connecting material with their individual students.