Standard 3.5 Economic Resources and Choices
Review the definition of goods as products or things that can be bought or sold. In addition, goods are
things you can hold or touch, such as food, shoes, cars, and toys. Some people make and sell goods or
products. Discuss with students the types of stores in the community that provide goods.
For example:
Where do people buy their food? (e.g., grocery store, farmers‟ market) Explain about the many
different types of grocery stores in a free market economy, including big ones, small ones, specialized
and discount ones, etc…. Individuals have many choices.
Where would you go if you wanted to buy shoes? List the names of specific shoe stores and whether
they are located in a large shopping mall or strip mall or along a business street.
Note: It may be useful to show the local yellow pages. Refer to the Yellow Page activity at the end of
this lesson.
Continue to brainstorm more types of “goods” and record each on the chart or board. Point out that in a
free market economy, the word “free” does not mean the items are without cost. A free market
economy means people have many options of where to buy or sell goods and where to select and
provide services.
Review the definition of services as the work that people do for others in exchange for money. Some
people offer services which, when performed, help others. Familiar services are some of the following:
medical care; hair styling; baby-sitting; teaching (providing education); teaching how to skate;
removing garbage; and, delivering the mail or newspaper to a home or business.
In a classroom discussion, first identify a variety of “needs” and then elicit what businesses would
provide matching services. Record each “service” along with its corresponding business title on the
Goods and Services chart. For example:
Need: you are sick or hurt and need assistance. Where do you go?” (Doctor‟s office, medical
center, or the hospital) Emphasize that Americans are very fortunate to have so many choices
available.
Need: your hair is too long and needs cutting. Where do you go?” (Barbershop, hair salon, to your
parent or relative who can cut your hair)
Need: to learn how to read better. Where does a 7 year old go? (To elementary school) Where does
a 15-year-old go? (To high school)
Need: to learn to use a computer. Where does a 7-year-old go? Where does an adult go?
Continue to brainstorm the places in Diego that provide appropriate “services.” Note: Review that a
“free market economy” includes many options for providing services. And, it may be appropriate to
use the yellow pages again.
Activity #5 Sorting “Goods” and “Services”
Materials Needed: 12” X 18” pieces of construction paper; crayons or markers or glue; scissors;
magazines; and, the Sunday newspapers‟ ad sections for cutting out pictures.
To each pair of students, distribute a sheet of 9” X 12” piece of construction paper that is divided in
half vertically. Students write Goods on the left side and Services on the right side. Have students draw
and color or cut out and paste pictures of “goods” on the left side of the paper.