Recently LuLaRoe, the company that sells those "buttery soft" leggings, was hit by a 1 billion dollar class action lawsuit, which claims they operate a pyramid scheme. The Federal Trade Commission (FTC) is a government agency that helps protect consumers against scams. On their website, they describe multi-level marketing, which is legal, and pyramid schemes, which are illegal. In fact, they provide the following information about signs that a company is operating a pyramid scheme:
Florida Standards Activities SS.4.FL.6.3 Describe ways that individuals can either choose to accept risk or take steps to protect themselves by avoiding or reducing risk. As a consumer, how do you protect yourself against risk? Encourage students to conduct research before they make a decision to buy something. When you conduct your own research, how do you determine reliable sources? How can reviews on the company's website show bias? Tell students that they should check many different sources for reviews about the products. SS.8.FL.2.1 Explain why when deciding what to buy, consumers may choose to gather information from a variety of sources. Describe how the quality and usefulness of information provided by sources can vary greatly from source to source. Explain that, while many sources provide valuable information, other sources provide information that is deliberately misleading. When you want to buy a product and hear the company is accused of unethical practices toward consumers, workers, or the environment, what should you do? When you conduct your own research, how do you determine reliable sources? How can the company show bias? How can accusers show bias? Sort the facts from the emotional appeals on both sides of an argument. SS.912.FL.2.7 Examine governments establishing laws and institutions to provide consumers with information about goods or services being purchased and to protect consumers from fraud. Conduct some research about past pyramid schemes and other consumer scams. How does the FTC help or protect consumers? What other agencies help protect against fraud? ...... ...... Greco Middle School recently opened a Makerspace in the media center. According to the Tampa Bay Times, the new Makerspace contains a 3D printer, iPads, a Sphero robot, a LEGO wall and other 21st Century technological tools and supplies. Makerspaces are great places to help students understand the skills and strategies they need for jobs of the future. In addition, Makerspaces can help students to realize their own creative abilities and consider a future as an entrepreneur. For more information on entrepreneurship, visit the USF Stavros Resources page on Entrepreneurs.
For more information on Makerspaces:
SS.8.FL.1.3 Explain that getting more education and learning new job skills can increase a persons human capital and productivity. What are some skills that the students could learn in the Makerspace that would help prepare them for the future? SS.912.FL.1.3 Evaluate ways people can make more informed education, job, or career decisions by evaluating the benefits and costs of different choices. Tell students to consider different types of technology careers that might be inspired by a Makerspace. Ask students if they ever considered inventing something and becoming an entrepreneur. Have them watch some episodes of Shark Tank and create your own classroom version. ...... ...... According to this video from the Tampa Bay Times Newspaper in Education, an ordinance was passed in Shawano, Wisconsin that allows police to fine the parents of bullies. All forms of bullying, including cyber-bullying, to anyone under the age of 18, falls under this ordinance. What do you think? Watch the video to discover the details. How do you think this could affect bullying? Do you agree or disagree? Why?
SS.4.FL.6.3 Describe ways that individuals can either choose to accept risk or take steps to protect themselves by avoiding or reducing risk. What is the risk of bullying other students? What is the risk of bullying other students in Shawano? How did people take steps to protect themselves from bullying? SS.8.FL.1.2 Identify the many decisions people must make over a lifetime about their education, jobs, and careers that affect their incomes and job opportunities. How can an ordinance against bullying affect behavior? What if someone makes the decision to participate in cyberbullying? How could that affect their future education or job opportunities? SS.912.FL.1.3 Evaluate ways people can make more informed education, job, or career decisions by evaluating the benefits and costs of different choices. How can an ordinance against bullying affect behavior? What if someone makes the decision to participate in cyberbullying? What are the costs/benefits of the decision to commit cyberbullying or get into online arguments with cyberbullies? How could that affect future education or job opportunities? ...... ...... ...... ...... Recently, the Tampa Bay Times advertised a cybersecurity conference being held by the Florida Center for Cybersecurity at the University of South Florida. Why do we need conferences on cybersecurity? Consider the ransomware attack of this summer, as reported on the Tampa Bay Times NIE News Video post this summer. Then think about the recent Equifax hack. What are the possible consequences of identity theft?
While these incidences are adult-related, did you know that kids are prime candidates for identity theft? Check out this video and article from CNN to discover why kids are at risk for identity theft. Then figure out how parents can protect kids against identity theft. Create flyers to hand out to parents to inform them! SS.912.FL.6.9 Explain that loss of assets, wealth, and future opportunities can occur if an individuals personal information is obtained by others through identity theft and then used fraudulently, and that by managing their personal information and choosing the environment in which it is revealed, individuals can accept, reduce, and insure against the risk of loss due to identity theft. Create flyers to explain the risks of identity theft and inform parents how to protect their kids. ...... As illustrated in this Tampa Bay Times article, Richard Thaler (author of Nudge) won the Nobel Prize in Economics for his work in Behavioral Economics, which deals with decision making. The 9-million-kronor (approximately $1.1million U.S.) prize was awarded for Thaler's "understanding the psychology of economics" as stated by Swedish Academy of Sciences secretary Goram Hansson. Thaler, one of the founding fathers of behavioral economics, illustrates how people don't often make rational decisions. Read the article to discover more about Thaler's theories. Then conduct some research on Daniel Kahneman, another behavioral economist who won the Nobel Prize for economic sciences in 2002. Kahneman wrote the international best seller Thinking, Fast and Slow, within which you will find many of the groundbreaking studies that provided foundations in the field of behavioral economics. When we make decisions, often times we use fast thinking, which puts in motion our biases and habits (sometimes bad) that cause us to make decisions that aren't in our best interest in the long run. Help students to slow down their thinking by considering the consequences of their actions and choosing alternatives that might be better for their future. Then try some of the new free lesson plans that the Council for Economic Education has provided on EconEdLink.org to help your students understand the underlying concepts in behavioral economics. Standards-based Questions: SS.4.FL.2.2 Explain that people make choices about what goods and services they buy because they can't have everything they want. This requires individuals to prioritize their wants. What is something you want? Why can't we have everything we want all the time? How can you make better choices about the things you want? Do you need it right now? SS.8.FL.2.1 Explain why when deciding what to buy, consumers may choose to gather information from a variety of sources. Describe how the quality and usefulness of information provided by sources can vary greatly from source to source. Explain that, while many sources provide valuable information, other sources provide information that is deliberately misleading. What is something you want? Why can't we have everything we want all the time? How can you make better choices about the things you want? Conduct some research from a variety of sources. How can you judge the information you are gathering? How does this information help you to refine your choices? SS.912.FL.2.3 Discuss that when buying a good, consumers may consider various aspects of the product including the products features. Explain why for goods that last for a longer period of time, the consumer should consider the products durability and maintenance costs. What is something you want? Why can't we have everything we want all the time? How can you make better choices about the things you want? Conduct some research from a variety of sources. How can you judge the information you are gathering? How does this information help you to refine your choices? ˆFor example, consider buying a car. What are some of the things you should consider before making a final decision. You may like the idea or look of a car, but it is important to slow down your thinking and consider other aspects like the durability or maintenance costs! ...... ...... ...... You probably heard about the recent Equifax data breach. Read this Tampa Bay Times article to find out how hackers personal data from Equifax. Now, define the problem. What can you do? Read this article from Tampa Bay Times on what to do. What are some of the recommendations? Students can conduct more research and create public service announcement to provide information on the breach and recommendations on what to do. Now check out this article to see how lawmakers grilled former Equifax executives. What do you think? Do you think the company's attempts at cybersecurity will be effective? Why or why not? How does the law protect individuals from identity theft?
Florida Standards SS.912.FL.6.10 Compare federal and state regulations that provide some remedies and assistance for victims of identity theft. According to Jobs for the Future (JFF) by the year 2020, almost seventy percent of jobs in the United States will require post-secondary credentials. Additionally, millions of students graduate unprepared for careers. The job market is changing and there are shortages in some key areas, especially skilled trades. While some students know exactly what they want to do in the future, many others are uncertain. In order to prepare students for the future, we should provide them with resources to investigate different career options and the required skills. For example, this Tampa Bay Times article illuminates how Tampa Bay added the fifth highest number of construction jobs in any metro area in the past year. That sounds great! However, there is a problem. Read the article to discover the problem! Discuss solutions. Then have students visit the Tampa Bay Job Link to research jobs. What are the educational requirements? What skills do you need?
Standards and Economics Questions Elementary SS.4.FL.1.1 People have many different types of jobs from which to choose. Identify different jobs requiring people to have different skills. Search through different jobs on the Tampa Bay Job Link . What are the different jobs? What skills do the jobs require? Middle School SS.8.FL.1.2 Identify the many decisions people must make over a lifetime about their education, jobs, and careers that affect their incomes and job opportunities. Search through different jobs on the Tampa Bay Job Link . What credentials do the jobs require? SS.8.FL.1.3 Explain that getting more education and learning new job skills can increase a persons human capital and productivity. For example, investigate some jobs on Ionfuture.org and We Use Math Careers. How does gaining new skills help increase your career potential? SS.8.FL.1.4 Examine the fact that people with less education and fewer job skills tend to earn lower incomes than people with more education and greater job skills. Interview ten people that work at different jobs. How does education and/or training help people to earn more money or find more job satisfaction? High School SS.912.FL.1.1 Discuss that people choose jobs or careers for which they are qualified based on non-income factors, such as job satisfaction, independence, risk, family, or location. Interview ten people that work at different jobs. What are some of the reasons they chose their jobs or careers? SS.912.FL.1.3 Evaluate ways people can make more informed education, job, or career decisions by evaluating the benefits and costs of different choices. For example, investigate some future careers on Ionfuture.org and We Use Math Careers. Then search through different jobs on the Tampa Bay Job Link . Choose four things you would like to do. What are the costs and benefits of those four different jobs or careers? SS.912.FL.1.2 Explain that people vary in their willingness to obtain more education or training because these decisions involve incurring immediate costs to obtain possible future benefits. Describe how discounting the future benefits of education and training may lead some people to pass up potentially high rates of return that more education and training may offer. How does education and/or training help people to earn more money or find more job satisfaction? ...... ...... You may have heard about the Affordable Care Act (ACA) in the news. Consider the ways in which the government is trying to repeal or replace the ACA by watching the video about the Graham-Cassidy plan. Many people have taken on this issue, both online, and in main stream media. For example, late night host Jimmy Kimmel asked if the plan passes the "Jimmy Kimmel test" and would protect children like his son, who have pre-existing conditions. Conduct some of your own research online. Use a technique like Debate.org where you find articles that include different viewpoints and "sides" of the argument. There are many emotional appeals on both sides of the debate. How do you know if the articles contain facts? When you find articles, you can use Politifact to check on current news about healthcare reform. Politifact checks sources and searches for evidence in order to rate claims on their truth-o-meter, from true to pants-on-fire. What do you think? Learn more about healthcare by watching the Introduction to the U.S. Healthcare System by Khan Academy to understand the healthcare system. Then watch the CNN video on why healthcare is so expensive in the U.S. What did you discover? What are some solutions to the health care insurance problem? Read what Florida Blue is doing. Then conduct more research online. Have your class participate in some of the debates about national healthcare on Debate.org. Standards and Economics Questions (EQs) Elementary SS.4.FL.6.3 Describe ways that individuals can either choose to accept risk or take steps to protect themselves by avoiding or reducing risk. Discuss how people can buy health insurance to protect themselves if they get sick or injured. How can people protect themselves from risks to their health? Middle School SS.8.FL.6.5 Discuss that insurance companies charge higher premiums to cover higher-risk individuals and events because the risk of monetary loss is greater for these individuals and events. What is a pre-existing condition? Why might insurance companies want to charge a higher premium to individuals with a pre-existing condition? What do you think about this practice? What about people who participate in high-risk activities? Should smokers pay more for health insurance? (they do)? What about other risky activities? High School SS.912.FL.6.7 Compare the purposes of various types of insurance, including that health insurance provides for funds to pay for health care in the event of illness and may also pay for the cost of preventative care; disability insurance is income insurance that provides funds to replace income lost while an individual is ill or injured and unable to work; property and casualty insurance pays for damage or loss to the insureds property; life insurance benefits are paid to the insureds beneficiaries in the event of the policyholders death. Research different health insurance plans. What types of things do they cover? High School SS.912.FL.6.3 Describe why people choose different amounts of insurance coverage based on their willingness to accept risk, as well as their occupation, lifestyle, age, financial profile, and the price of insurance. After reading and watching videos about health insurance, discuss why people might choose different amounts of insurance coverage. High School SS.912.FL.6.6 Explain that people can lower insurance premiums by behaving in ways that show they pose a lower risk. How might people lower their health insurance premiums? What are some risky activities they can stop? For More Information on Health Insurance:
...... .. .... What are some of the financial issues that arose before and after Hurricane Irma? Check out this Tampa Bay Times article from the week before the hurricane, where Florida Attorney General Pam Bondi discussed some of the price gouging complaints that she had received. Also, watch the CNBC video. Search the Tampa Bay Times for other examples of "price gouging" that occurred during the hurricane or other times. What are the implications? How do you feel as a consumer? Does "price gouging" make you feel differently about a company? How will it impact your future buying decisions? Financial Literacy Standards and Economics Questions (EQs)
SS.4.FL.2.6 Predict how peoples spending choices are influenced by prices as well as many other factors, including advertising, the spending choices of others, and peer pressure. How might price gouging influence your future spending? SS.8.FL.2.1 Explain why when deciding what to buy, consumers may choose to gather information from a variety of sources. Describe how the quality and usefulness of information provided by sources can vary greatly from source to source. Explain that, while many sources provide valuable information, other sources provide information that is deliberately misleading. Consider the information you collected from various articles in the newspaper or other online sources. What did various sources say about price gouging? SS.8.FL.2.2 Analyze a sources incentives in providing information about a good or service, and how a consumer can better assess the quality and usefulness of the information. What is the motive of the person writing the article? Consider the Pam Bondi article. As the Attorney General, why would she be interested in speaking out against price gouging? How do consumers know what information to trust? SS.912.FL.2.4 Describe ways that consumers may be influenced by how the price of a good is expressed. Consider the information you collected from various articles in the newspaper or other online sources. What did various sources say about price gouging? How might this information influence future decisions? ...... ...... Education is supposed to prepare students for college, career, and civic life. However, many students have limited exposure to the types of careers that exist. In K-12 education, most of the focus is placed on academic subject areas. While Career and Technical Education (CTE) courses have become more prominent in high schools, these classes are optional. Students need to consider how they are going to support themselves in the future. Exploring various career options can give them a better idea of what they need to do to prepare for the future. Here are two activities to help students explore different jobs. 1) Have students search through the articles in the Tampa Bay Times. While they read, they should think about the people in the article: what kinds of jobs do the people do? 2) Students search through Tampa Bay Times Jobs. What types of jobs are posted? What are some of the skills you need? 3) After they find some jobs that are interesting, students can conduct research using the following sites: Florida Standards-based Questions
SS.4.FL.1.1 People have many different types of jobs from which to choose. Identify different jobs requiring people to have different skills. What different kinds of jobs did you see? What skills do the people need to do the jobs? SS.8.FL.1.3 Explain that getting more education and learning new job skills can increase a persons human capital and productivity. Consider the jobs you researched. What new skills do you think you need to learn in order to get a good job in the future? SS.912.FL.1.1 Discuss that people choose jobs or careers for which they are qualified based on non-income factors, such as job satisfaction, independence, risk, family, or location. Think about the jobs that interest you. What are some of the things that you find interesting about those jobs? Is it all about the money? Are there other reasons why you are considering that job? ...... Check out this article in the Tampa Bay Times about the establishment of a new cybersecurity hub in Tampa. What are the economic implications of setting up a cybersecurity hub in Ybor City? How can this impact the city? How does this impact local residents? Local businesses?
I hope you had a great summer! We are preparing for the new school year with a new set of Financial Friday news activities coming soon . . .
As you may know, April the Giraffe had her Mini-me last weekend as reported by the Tampa Bay Times. There is now a contest; the zoo is charging $1.00 per entry to name the baby. Animal Adventure Park is a small zoo located in Harpursville N.Y. and they are struggling with balancing the social media attention and preparing for the zoo's opening on May 13. So they made the decision to cut the live feed on Friday. Animal Adventure Park posted on their Facebook that they will have updates on how to watch the baby next week and noted that they will also post on the April the Giraffe website. According to the New York Times, the April the Giraffe sensation has created a flood of media attention. Will this translate into an economic boost for the area? Predict the economic impact. Then read the attached article from the New York Times. What economic impact do they expect in nearby Binghamton, a former manufacturing mecca, which has fallen into financially hard times?
Now use the decision tree to examine the costs and benefits of the decision to take down the feed. Consider scarcity. What happens when resources become scarce? The zoo is opening on May 13. Do you think more people might come to the zoo if they can't see the live feed? You can also use the decision making tree to consider a trip to the zoo or another facility that has giraffes. How will you have to change your budget if you want to take a family trip to the zoo? SS.8.FL.2.5 Discuss the fact that people may revise their budget based on unplanned expenses and changes in income.
SS.912.FL.2.1: Compare consumer decisions as they are influenced by the price of a good or service, the price of alternatives, and the consumer’s income as well as his or her preferences. Don't get swamped by flood insurance! Read this article about flood insurance in the Tampa Bay Times. Why do you think some people pay more for flood insurance? According to the article, what determines if an individual is high risk? In the article, the authors discuss government subsidies for flood insurance. Why do you think the government provides subsidies for flood insurance? According to the article, what are some things that impact the amount of subsidies the government provides?
SS.8.FL.6.5 Discuss that insurance companies charge higher premiums to cover higher-risk individuals and events because the risk of monetary loss is greater for these individuals and events. SS.912.FL.6.8:Discuss the fact that, in addition to privately purchased insurance, some government benefit programs provide a social safety net to protect individuals from economic hardship created by unexpected events. In this video from Tampa Bay Times NIE, you will be introduced to a new product: a plant-based burger that sizzles, bleeds, and tastes like real meat. Why would Bill Gates and Google Ventures fund this research project? Even though it sizzles and even bleeds like real meat, this burger is entirely plant based. Why would the company want to introduce this product through a news article? How is an article different from an advertisement? What factors would someone take into consideration when choosing to buy this burger?
SS.8.FL.2.2 Analyze a source’s incentives in providing information about a good or service, and how a consumer can better assess the quality and usefulness of the information. SS.912.FL.2.1: Compare consumer decisions as they are influenced by the price of a good or service, the price of alternatives, and the consumer’s income as well as his or her preferences. Check out this video by Tampa Bay Times Newspaper in Education. What does it say about taxes on sugary drinks? What do you think? Why might the government tax sugary drinks? What harm can sugary drinks cause? Do you think that a tax can help pay for the healthcare for people who develop health problems, like diabetes? Do you think the government should tax sugary drinks? Would a tax on sugary drinks affect your decision to drink soda?
SS.8.FL.2.1 Explain why when deciding what to buy, consumers may choose to gather information from a variety of sources. Describe how the quality and usefulness of information provided by sources can vary greatly from source to source. Explain that, while many sources provide valuable information, other sources provide information that is deliberately misleading. SS.912.FL.1.7: Discuss how people’s sources of income, amount of income, as well as the amount and type of spending affect the types and amounts of taxes paid. Do you remember the story of the three little pigs? No matter how hard he huffed and puffed, the Big Bad Wolf couldn't blow down the brick house. The problem with hurricanes, is that the wind strength can even damage well-built homes and other pieces of property. Consider the above image. What kind of damage do you think a hurricane can cause? Now click on the image. It will bring you to an article from the Tampa Bay Times about hurricane insurance. What is insurance? (a product that allows people to pay money - a premium - now so that the company will cover any damage in the future). Why would people buy home insurance? What financial risks can occur due to hurricane damage? Based on the information in the image and text, discuss the costs and benefits of insurance. Then, provide a recommendation of insurance for a friend or family member.
SS.8.FL.6.1: Analyze the fact that personal financial risk exists when unexpected events can damage health, income, property, wealth, or future opportunities. SS.8.FL.6.2: Identify insurance as a product that allows people to pay a fee (called a premium) now to transfer the costs of a potential loss to a third party. SS.912.FL.6.1: Describe how individuals vary with respect to their willingness to accept risk and why most people are willing to pay a small cost now if it means they can avoid a possible larger loss later. Check out April the Giraffe as she awaits the birth of her fourth baby on the live stream from the zoo. Why would the zoo post a live stream? Tampa Bay Times forecast called the April the Giraffe birth an internet sensation. What does that mean? What are the economic implications? Do images make you want to visit the zoo? How does seeing something like this impact buying decisions? What other goods do you think might be produced? What about t-shirts and stuffed mom-and-baby giraffes? When people consume goods and services, like visiting the zoo and making purchases, this can have positive effects on others. For example, the zoo and animals benefit from the extra profits. In addition, people have donated to giraffe conservation as a result of this internet sensation. Check out the official website the zoo has set up for April the Giraffe and consider some other economic effects.
SS.8.FL.2.2 Analyze a source’s incentives in providing information about a good or service, and how a consumer can better assess the quality and usefulness of the information. SS.912.FL.2.2 Analyze situations in which when people consume goods and services, their consumption can have positive and negative effects on others. In this Tampa Bay Times NIE video, find out why most high school seniors aren't ready for college. What are the financial consequences of not working hard in reading and mathematics in K-12? What does the article say about why most high school students aren't ready for college? How can your educational decisions affect your future? What are the future benefits of education and training? Think about some opportunities you have in school to gain certifications in career and technical education. How can these choices benefit you in the future? Conduct research on specific careers that interest you. What skills do you need?
SS.8.FL.1.2 Identify the many decisions people must make over a lifetime about their education, jobs, and careers that affect their incomes and job opportunities. SS.912.FL.1.2 Explain that people vary in their willingness to obtain more education or training because these decisions involve incurring immediate costs to obtain possible future benefits. Describe how discounting the future benefits of education and training may lead some people to pass up potentially high rates of return that more education and training may offer. Check out this Tampa Bay Times article on the best and worst times of the year to buy a car. Before reading, predict the best and worst times and the reasons why. What did you learn? Gather information about buying an automobile of your choice from a variety of sources, such as manufacturer's websites, retail websites, and consumer review websites. What information is most helpful in making your decision? What are some deceptive selling practices you notice? Write a newspaper column "Tips for Buying Autos" to help others make good buying decisions. Discuss how research is essential. Include an explanation about how impulse buying should be avoided by sleeping on a decision before making a big purchase - especially considering the information in this article.
SS.8.FL.2.1 Explain why when deciding what to buy, consumers may choose to gather information from a variety of sources. Describe how the quality and usefulness of information provided by sources can vary greatly from source to source. Explain that, while many sources provide valuable information, other sources provide information that is deliberately misleading. SS.912.FL.2.5 Discuss ways people incur costs and realize benefits when searching for information related to their purchases of goods and services and describe how the amount of information people should gather depends on the benefits and costs of the information. Before you watch this Tampa Bay Times NIE video, consider the title. What do they mean by: Robots eat millions of manufacturing jobs? What does this article mean in terms of your future career planning? What would you do in the future if you lost your job due to new technology? What should current workers do if new technology evolves?
SS.8.FL.1.3 Explain that getting more education and learning new job skills can increase a person’s human capital and productivity. SS.912.FL.1.5 Discuss reasons why changes in economic conditions or the labor market can cause changes in a worker’s income or may cause unemployment. In general, people with less education and fewer job skills tend to earn lower wages that people with more education and greater job skills. However, this is not always true. Consider this Tampa Bay Times NIE video about the racial wage gap.
Why might changes in economic conditions or policies cause changes in income? Consider the link between Civics and Economics. The wage gap was lower in 1979 than it is now! Have laws changed? What about overall income inequality? What changes in laws and taxes can lead to increasing income gaps? Consider labor unions. Have unions grown or decreased since the late 1970's? How could this impact changes? SS.8.FL.1.4 Examine the fact that people with less education and fewer job skills tend to earn lower incomes than people with more education and greater job skills. SS.912.FL.1.5 Discuss reasons why changes in economic conditions or the labor market can cause changes in a worker’s income or may cause unemployment. Did you know that Katy Perry has a shoe line? I bet even Cinderella had her own line of fancy shoes! Read this article to find out about Katy Perry's line of shoes.
How does this article impact your decision to buy from Katy Perry's line? How do the images influence your decisions about shoe purchases? Now conduct more research online about Katy Perry and her shoe line. What do you read that influences your choice to buy or not to buy?
Extensions: 1) What type of shoes would Cinderella carry in her shop? 2) What shoes would your favorite sports figure carry in his shop? SS.8.FL.2.1 Explain why when deciding what to buy, consumers may choose to gather information from a variety of sources. Describe how the quality and usefulness of information provided by sources can vary greatly from source to source. Explain that, while many sources provide valuable information, other sources provide information that is deliberately misleading. SS.912.FL.2.1 Compare consumer decisions as they are influenced by the price of a good or service, the price of alternatives, and the consumer’s income as well as his or her preferences. Beware of shady investors. Like the Wolf of Wall Street, you can't always tell when an investor is involved in shady deals. And they don't always wear sunglasses, like the Tampa "genius" with luxury tastes who was charged in an investment scheme. Check out the Tampa Bay Times article to consider what the standards don't teach, the most important investment rule of all: If it seems too-good-to-be-true, it is too-good-to-be-true.Discuss the concept of "risk" and how investments with greater risk often have a lower market price but the possibility of a higher rate of return. However, this rate is not guaranteed. Tell students that as they read, search for some of the red flags or too-good-to-be-true signs that they should consider as future consumers of investment opportunities. Then, think of a tweet you would send if you were warning others about shady investors.
SS.8.FL.5.5 Explain that the rate of return earned from investments will vary according to the amount of risk and, in general, a trade-off exists between the security of an investment and its expected rate of return. SS.912.FL.5.4 Explain that an investment with greater risk than another investment will commonly have a lower market price, and therefore a higher rate of return, than the other investment. SS.912.FL.5.6 Describe how diversifying investments in different types of financial assets can lower investment risk. Check out this video by the Tampa Bay Times about the chemicals in fast food wrappers. According to a new study, synthetic chemicals associated with high cholesterol, low birth weight, cancer and other health risks have been found in some fast food wrappers. When consumers make decisions to buy goods, they should gather information and consider various aspects of the product. For example, what are some of the risks of eating too much fast food? How does the information in the video about the chemicals in fast food wrappers affect your decision-making process? What are the health benefits or costs of your current food choices? What do you care more about in choosing what you eat - taste or your health? How does advertising influence what you decide to eat? Should you believe advertisements? Why would some sources be deliberately misleading?
SS.8.FL.2.1 Explain why when deciding what to buy, consumers may choose to gather information from a variety of sources. Describe how the quality and usefulness of information provided by sources can vary greatly from source to source. Explain that, while many sources provide valuable information, other sources provide information that is deliberately misleading. SS.912.FL.2.3 Discuss that when buying a good, consumers may consider various aspects of the product including the product’s features. Explain why for goods that last for a longer period of time, the consumer should consider the product’s durability and maintenance costs. |
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January 2022
CategoriesAuthorDeborah Kozdras, Ph.D. |