1. SS4E1 d Explain how voluntary exchange helped both Native Americans and colonists.

2.  Economics is the study of the making, buying, and selling of goods or services.  Today we will learn about the economic concept of voluntary exchange as practiced by Native Americans and Colonists.

3. Voluntary Exchange takes place when one person trades with another. It only works if both parties get something they need. Native Americans and colonists sometimes traded with each other I have lots of extra corn. I will trade you some cloth for your corn.

4.  People will trade if they both get something from it.  The colonial woman trades a bolt of cloth for corn.  She needs the corn to feed her family.  The Native American woman needs the cloth to make clothing. Yes, I will trade my corn for your cloth.

5.  Voluntary exchange always helps both parties.  Voluntary exchange was used in the system of colonial trade. (barter)  The colonists and Native Americans swapped goods that they had for things they needed. I will trade beaver furs for some of your tools. I can use beaver furs. I will trade my tools for them..