Do now: Take a new guided notes packet. Think…What do you already know about money? Agenda: Do now Guided notes  What is money? Video You create! HAPPY MONDAY !

TODAY’S GOALS Take guided notes on “what is money!?” Create a lesson plan about what is money and what has served as money throughout the years? You need to send a word document that includes…. A lesson plan (Google lesson plan templates to help you!) A typed out objective ( What is the goal of this lesson? ) What content should everyone know? (How would you handle note taking and show me the model) What practice questions would you ask? (6 questions with answers in italicized letters) What activity would you do for practice? (You need not only a step by step list of what to do but the handouts or questions that you would have prepared if you were doing this activity) What should people use to review at home? (What would you hand out to review and create it yourself) This needs to be completed in a group of no more than 2. I will collect when I see you tomorrow!

MONEY AND THE FED Unit 4 Notes

MONEY Task!  What is money?  What is the function of money?  What has served as money throughout history?

MONEY Money has Three Basic Functions:  1. Medium of Exchange- enables us to carry out trade and commerce easily  2. Standard of Value- allows us to measure and compare value using one scale  3. Store of Value- it (usually) holds its value over time

MONEY Money also has Six Main Characteristics:  1. Acceptability- in order for you to buy something, the seller must be willing to accept what you offer as payment  2. Scarcity- needs to be scarce enough to be valued by buyers and sellers

 4. Durability- if money is to serve as a store of value, it must be durable 3. Portability- in order to be convenient as a medium of exchange it must be portable

 5. Divisibility- to be useful as a medium of exchange, money must be easily divided into smaller amounts  6. Uniformity- a dollar is a dollar is a dollar. We take for granted that each dollar is the same as the next.

WHAT SERVES AS MONEY?  Throughout history, many items such as: salt, shells, cattle, beads, fur, tobacco, gold, and silver have served as money  These are examples of commodity money– form of money that has some intrinsic value or alternate use Gold and silver have generally been preferred because they hold many of the characteristics of money

WHAT ABOUT TODAY? However, our money is no longer backed by precious metals such as gold and silver Fiat money- paper money decreed as legal tender, but not representing anything of intrinsic worth  Rather, money is accepted solely because we believe that it is worth something, and is backed by the “full faith and credit” of the United States government Trust me!

WHAT IS CURRENCY AND MONEY SUPPLY? Currency- the bills and coins currently in circulation in the economy However, currency is only a part of the total money supply in the country Money Supply – total amount of currency, loans/credit, and other liquid instruments available in the economy at a given time

VIDEO

ACTIVITY In your groups you will…  Be searching for different examples of currency throughout history!  Ms. Dyer will assign you 2 different forms of currency.  You need:  To research your two types of currency  Write two 1 paragraph summaries about your currencies in history  Create a 1 visual (drawing a line down the middle of your paper) conveying your two forms of that currency in history  Write 1 “how” or “why” question (Answer on one side, question on the other)  1 artist, 1 summarizer, 1 researcher & question maker/answerer  Everyone should be prepared to share!