1. Lindsay Raikes
November 3, 2009
Standard Indicator #3
Economics 2.4.5 - Explain that because of scarcity, people must make choices and incur
opportunity costs.
(http://dc.doe.in.gov/Standards/AcademicStandards/StandardSearch.aspx)
I would begin teaching second graders about scarcity and opportunity costs by
having them complete a fun, hands-on activity called Packing Predicament.
(http://www.indianastandardsresources.org/files/soc/ss_2_4_5.pdf) The procedure is as
follows:
A. Pre-Activity Preparation
Cut a suitcase shape out of construction paper for each student.
B. Packing Predicament
1. Tell students to pretend that they are going on a long trip with their family.
2. Give each student one of the paper suitcases and scissors.
3. Set out magazines, newspapers, and glue where they can be easily shared.
4. Direct students to cut out several items they would like to take on their trip
and to glue the items on their “suitcases.”
5. When students finish, review the meaning of scarcity with them.
6. Remind students that scarcity forces people to make decisions.
7. Explain that, in this situation, space in the car is scarce, so they will have to
make a choice about which items to take.
8. Instruct students to circle the two items that they would most like to take.
9. Tell students that space has become scarcer because their parents decided to
bring along a tent and a cooler.
10. Have students select one of their circled items to bring on the trip. Direct
them to write “#1” by that item.
11. Explain to students that when a choice is made there is an opportunity
cost, which is the next best thing they did not choose.
12. Have students share the item they chose to take on the trip and identify the
opportunity cost of their choice.
I think second graders would love this activity because they would be the ones
making decisions. As students are sharing their items to take and to leave behind, I would
attach flashcards with the names of the items the students want to take onto a giant
suitcase on a bulletin board. Then I would attach more flashcards outside the suitcase
with the non-selected items to represent the students’ opportunity costs. This bulletin
board will provide them with a visual of Economics Standard 2.4.5.
In addition to Packing Predicament, I would incorporate children’s literature into
this lesson. I would have the students think about scarcity and opportunity cost as I read a
book about scarcity to them. I would read Something Special For Me by Vera B.
Williams aloud. Next, I would discuss with students how scarcity affected Rosa’s
decision and identify Rosa’s choices leading to her opportunity costs.

2. I would conclude the activity by assessing students’ learning. To demonstrate
their understanding, the students will orally respond to the question, “What are some
other things that may be scarce, other than space?” Then I would pick one thing from the
students’ responses and direct them to write in a journal about things that may be
considered an opportunity cost relating to that scarce thing.
Connection to Language Arts: Students will journal about why their #1 item is important
to them and why they let their other choice be the opportunity cost.
Connection to Expressive Art: Students will create collages in their suitcases by cutting
and gluing pictures from magazines, newspapers, etc.