Intro to Economics for 2nd Graders: Learn the Basics of Money and Trade

Question 1

Which of these is something you don't need to survive?

Accepted Answer

A new toy

Answer

Food

Answer

Water

Answer

Shelter

Question 2

How can people save money?

Accepted Answer

Put money in a bank account.

Answer

Spend all their money on things they want.

Answer

Give all their money to their friends.

Answer

Hide their money under their mattress.

Question 3

What do our bodies absolutely need to function well?

Accepted Answer

Food, water, sleep

Answer

A new bike

Answer

A big house

Answer

Fancy clothes

Question 4

What do you need to stay healthy and alive?

Accepted Answer

A place to live

Accepted Answer

Food to eat

Answer

A new toy

Answer

A bag of candy

Question 5

What are things we need to survive and be healthy called?

Accepted Answer

Needs

Answer

Wants

Answer

Luxuries

Answer

Desires

Question 6

What is an example of a service?

Accepted Answer

Haircut

Accepted Answer

Doctor's visit

Answer

Book

Answer

Car

Question 7

What do people need to survive?

Accepted Answer

Food

Accepted Answer

Water

Answer

Cell phone

Answer

Toys

Question 8

How can people save money for the future?

Accepted Answer

Spending less than they earn

Answer

Borrowing money from friends

Answer

Winning the lottery

Answer

Taking out a loan

Question 9

You see a cool toy at the store. You like it a lot, but you don't really need it. What is it called?

Accepted Answer

Want

Answer

Need

Answer

Good

Answer

Service

Question 10

Which of these is an example of a service that you pay for?

Accepted Answer

Going to the barber for a haircut

Accepted Answer

Taking a dance class

Answer

A toy car

Answer

A storybook

Question 11

Which of these is NOT a basic economic concept we learned about in this unit?

Accepted Answer

The importance of friendship

Answer

Needs and wants

Answer

Saving and spending

Answer

The role of money in the economy

Question 12

Why is it important to think carefully about what you buy?

Accepted Answer

It helps you get the things you need most.

Answer

It helps you save money for the future.

Answer

It helps you earn more money.

Answer

It helps you pay your bills.

Question 13

How does money make buying and selling things easier?

Accepted Answer

It can be used instead of trading different things with different values.

Answer

It allows us to trade toys and candy directly with friends.

Answer

It helps us remember how much we owe each other for things.

Answer

It is only useful for buying things from stores.

Question 14

What do we call it when we keep some money to use in the future?

Accepted Answer

Saving money

Answer

Earning money

Answer

Spending money

Question 15

What is an example of a service that someone can provide?

Accepted Answer

A haircut

Answer

A toy car

Answer

A loaf of bread

Question 16

Your family has a set amount of money to spend each month. If you buy a new toy that costs a lot of money, what will likely happen?

Accepted Answer

You'll have less money to buy other things you need, like food or books

Answer

You'll have more money to buy other things you want, like a new game

Answer

Your parents will have to work more hours to earn more money

Answer

Your parents will have to find a new job that pays more money

Question 17

When countries choose to focus on making and selling only a few products, what benefit can they gain?

Accepted Answer

Produce a greater quantity of goods

Answer

Eliminate the need for trading with other countries

Answer

Increase the prices of their products

Answer

Cease purchasing goods from other countries

Question 18

What do you need to stay healthy and strong?

Accepted Answer

Food

Accepted Answer

Water

Answer

A new toy

Question 19

When you want a new toy or game, is it something you need to survive, or is it something you want to have because it makes you happy?

Accepted Answer

I want it to make me happy

Answer

I need it to survive

Question 20

Who does NOT create goods or offer services?

Accepted Answer

Student

Answer

Farmer

Answer

Shopkeeper

Answer

Factory worker

Question 21

Which of these can you physically touch and hold?

Accepted Answer

A toy car

Answer

A haircut

Question 22

Who makes goods and services, and who uses them?

Accepted Answer

Producers make goods and services, while consumers use them.

Answer

Consumers make goods and services, while producers use them.

Answer

Producers and consumers are the same thing.

Answer

Consumers make goods and services, while producers sell them.

Question 23

How do people in a community work together to meet their needs?

Accepted Answer

People specialize in different jobs and trade with each other.

Answer

Everyone does the same job.

Answer

People take what they need from others without asking.

Answer

The government gives everyone everything they need.

Question 24

What do you call it when you keep money for later?

Accepted Answer

Saving money

Answer

Borrowing money

Answer

Spending money

Question 25

How can we help a country's economy grow?

Accepted Answer

Put money into schools and roads.

Answer

Charge businesses more taxes.

Answer

Make more money.

Question 26

When you choose to buy something, what do you give up?

Accepted Answer

Opportunity cost

Answer

Profit

Answer

Savings

Answer

Investment

Question 27

What is globalization and how does it affect different countries' economies?

Accepted Answer

Globalization is when different parts of the world become more connected through trade, travel, and communication, making countries rely more on each other.

Answer

Globalization is when all countries use the same money, making it easier to buy and sell things.

Answer

Globalization only helps rich countries and doesn't affect poor countries.

Question 28

How does the government's involvement in the economy impact individuals and businesses?

Accepted Answer

The government supports people by offering services like healthcare and education.

Accepted Answer

The government sets rules for businesses to ensure fairness and protect consumers.

Accepted Answer

The government can make it challenging for businesses by requiring them to pay taxes and adhere to regulations.

Answer

The government has no role in the economy.

Question 29

When we choose one thing, we can't have something else. What is this called in economics?

Accepted Answer

Opportunity cost

Answer

Cost of living

Answer

Sunk cost

Answer

Variable cost

Question 30

How do banks and credit unions help the economy?

Accepted Answer

They keep our money safe and help it grow.

Accepted Answer

They help businesses get loans to grow and create jobs.

Answer

They exchange money when people travel to other countries.

Question 31

What happens when more people want a product?

Accepted Answer

The price goes up

Answer

The price goes down

Answer

It becomes easier to make

Answer

It becomes harder to make

Question 32

What is the main difference between a market and a government controlled economy?

Accepted Answer

Markets are based on supply and demand, while governments are based on government planning

Answer

Markets are controlled by the government, while governments are controlled by individuals

Answer

Governments are controlled by the government, while markets are controlled by individuals

Answer

Governments are based on supply and demand, while markets are based on government planning

Question 33

What is the difference between people who make things and people who use things?

Accepted Answer

People who make things are producers, people who use things are consumers

Answer

People who use things are producers, people who make things are consumers

Answer

Producers and consumers are the same thing

Answer

Producers and consumers do not interact

Question 34

How can the government's actions impact the economy?

Accepted Answer

By changing the prices of goods and services

Accepted Answer

By supporting the creation of new jobs

Question 35

When many people want to buy a toy but there are only a few left, what will most likely happen to its price?

Accepted Answer

Increase

Answer

Decrease

Answer

Stay the same

Answer

I don't know

Question 36

Why do we need systems to manage resources?

Accepted Answer

To share resources fairly.

Answer

To make sure everyone has everything they want.

Question 37

When more people want to buy something than there are available, what happens to the price?

Accepted Answer

It goes up

Answer

It goes down

Answer

It stays the same

Question 38

When is the price of a toy likely to increase?

Accepted Answer

When there are not many toys and many people want them

Answer

When there are plenty of toys and not many people want them

Question 39

Which of these is NOT a way that economists measure how well a country's economy is doing?

Accepted Answer

Number of cars sold

Answer

Gross Domestic Product (GDP)

Answer

Inflation rate

Answer

Unemployment rate

Question 40

Scarcity means we don't have enough of everything we want. What happens because of scarcity?

Accepted Answer

We don't have enough of what people want

Answer

We have more of everything we need

Answer

We waste too many resources

Answer

We share what we have

Question 41

What does it mean to save money?

Accepted Answer

Keep some of your money for later instead of spending it now

Answer

Give your money to someone else

Answer

Not know where your money is

Question 42

How do banks help keep our economy strong?

Accepted Answer

They store and lend money, which helps businesses and people get the money they need.

Answer

They keep all the money in big vaults and don't let anyone use it.

Answer

They only work with big companies and don't help regular people.

Question 43

How can we make money?

Accepted Answer

By working

Answer

By putting money in a piggy bank

Answer

By asking our friends for money

Question 44

What will likely happen if a lot of people want to buy something but there isn't enough of it?

Accepted Answer

The price will probably increase

Answer

The price will probably decrease

Answer

The price will stay the same

Question 45

What is the main use of money?

Accepted Answer

To buy things

Answer

To hide under our pillows

Answer

To give to our favorite charity

Question 46

Which one of these can be replaced naturally?

Accepted Answer

Water

Answer

Coal

Answer

Gold

Question 47

What is the difference between a want and a need?

Accepted Answer

We need things like food to stay alive, while we just want things like toys

Answer

We want things like food to stay alive, while we just need things like toys

Answer

There is no difference between a want and a need

Question 48

Which of these is found in nature?

Accepted Answer

Food

Answer

Cars

Answer

Books

Question 49

Who controls most of the economy in a communist country?

Accepted Answer

The government

Answer

The people

Answer

Big companies

Question 50

What can we do to have more of something?

Accepted Answer

Make more of it

Answer

Make it more expensive

Answer

Make it less expensive

Question 51

What is an advantage of a market economy?

Accepted Answer

People can choose what to buy and sell.

Answer

The government controls all businesses.

Answer

There is no competition among businesses.

Answer

Everyone has the same amount of money.

Question 52

Imagine a new toy that many kids want. If there aren't enough toys for everyone, what will probably happen to the price of the toy?

Accepted Answer

The price will go up.

Answer

The price will go down.

Answer

The price will stay the same.

Answer

The price will go down then up again.

Question 53

Which of these is NOT a way to reduce the difference in wealth between rich and poor people?

Accepted Answer

Lowering taxes for people who already have a lot of money

Answer

Teaching more people how to get good jobs

Answer

Paying everyone who works a higher wage

Answer

Making it easier for people to go to college

Question 54

Which of these is NOT a way to measure how much an economy is growing?

Accepted Answer

How many people can read and write (literacy rate)

Answer

Total amount of goods and services produced (GDP)

Answer

How many people are out of work (unemployment rate)

Answer

How quickly prices are changing (inflation rate)

Question 55

How can we use technology to make sure everyone in our community has enough food and water?

Accepted Answer

We can use technology to find new ways to grow more food and clean more water.

Answer

We can use technology to make sure that only the people who can afford it have access to food and water.

Answer

We shouldn't use technology at all when it comes to food and water.

Question 56

How can we help people understand how to manage their money and make smart financial choices?

Accepted Answer

Teach people about budgeting, saving, and investing.

Answer

Give everyone free money.

Answer

Only teach financial literacy to adults.

Question 57

An economy is the way a country:

Accepted Answer

Uses its resources

Answer

Buys and sells goods

Answer

Saves and invests money

Answer

Spends its time

Question 58

What does it mean to make a choice?

Accepted Answer

Getting something you want but giving up something else

Answer

Always getting what you want

Answer

Waiting until you get what you want

Answer

Taking something without asking

Question 59

Which of these is NOT a way companies try to get us to buy their products?

Accepted Answer

Being mean to us

Answer

Making them look good in ads

Answer

Lowering the price

Answer

Giving us good service

Question 60

What is the paper money used in the United States?

Accepted Answer

Dollar

Answer

Euro

Answer

Pound

Answer

Yen

Question 61

Which of these is NOT a way to get money?

Accepted Answer

Finding a lost pet

Answer

Working a job

Answer

Selling lemonade

Answer

Chores

Question 62

What happens when there is more of something available than people want to buy?

Accepted Answer

The price goes down

Answer

The price goes up

Answer

The price stays the same

Answer

The supply and demand are equal

Question 63

In which economic system do people own and run their own businesses?

Accepted Answer

Individuals own and operate their own businesses

Answer

The government controls all businesses

Answer

The government makes all economic decisions

Answer

The economy is based on traditional customs

Question 64

What is the difference between a need and a want?

Accepted Answer

A need is something you must have to survive, while a want is something you would like to have

Answer

A want is something you must have to survive, while a need is something you would like to have

Answer

They are the same thing

Answer

A want is something that is necessary, while a need is something that is optional