Unit of Learning 1

Resources
LEARNING OUTCOMES 3.2, 1.1, 1.3
Learning Intentions
We are learning about:

How money flows between individuals,

organisations and the government.
Thinking Time

Where do we get money from?

What can we do with our money?

Circular Flow of Income Definition
The circular flow of income shows how money flows through our
economy.
An economy is a system of organisations involved in the production
(making) and distribution (buying and selling) of goods and services.
There are three stages in the circular flow of income:
1. Spending
You have to list the three stages of the
2. Production
circular flow.
3. Income
Link to video:
https://www.youtube.com/watch?v=de3iGMjA_8c
Example of the Circular Flow
Spending: I buy an Apple iPhone for €400.
Production: Apple receives €400. Apple will then use this €400 to produce more
iPhones.
Income: From the money received from selling the iPhones Apple will pay its
employees for the work they do. Apple’s employees will then spend this money,
e.g. on groceries in Dunnes Stores. Once this happens, the cycle repeats.
Spending: Money spent on the groceries goes to Dunnes Stores.
Production: The owner of Dunnes Stores gets money for the business being a
success. This is called a profit.
Income: The owner of Dunnes Stores spends this profit by going on holiday to
the USA, e.g. staying in a hotel. The hotel will then pay its employees for
working in the hotel. Once this happens, the cycle repeats.
Example of the Circular Flow
Spending: I buy an Apple iPhone for €400.
Production: Apple receives €400. Apple will then use this €400 to produce more
iPhones.
Income: From the money received from selling the iPhones Apple will pay its
employees for the work they do. Apple’s employees will then spend this money,
e.g. on groceries in Dunnes Stores. Once this happens, the cycle repeats.
Spending: Money spent on the groceries goes to Dunnes Stores.
Production: The owner of Dunnes Stores gets money for the business being a
success. This is called a profit.
Income: The owner of Dunnes Stores spends this profit by going on holiday to
the USA, e.g. staying in a hotel. The hotel will then pay its employees for
working in the hotel. Once this happens, the cycle repeats.
Circular Flow
HOW PEOPLE SPEND MONEY PAYS OTHER PEOPLE’S
WAGES.
Homework
Learn circular flow notes.

No written homework.
What are Resources?
Hint: What
do you own?
*Can you think of some of your resources?
What are
you good at?
YOU DON’T HAVE TO WRITE ANYTHING!
Resources
Resources are things
that help people
achieve a particular
goal.
Resources
On your own:
Can you make a list of 10 of your resources?
YOU DON’T HAVE TO WRITE ANYTHING!

•Dddd
•Ddddd
•dddd

Remember:
Resources are things that help people achieve a particular goal.
What are Resources?
*Share your list with the person beside you.
*In your hardback each of you create a Venn Diagram of your resources.

Student 1 Student 2
What are resources?
*Draw the table below into your hardback.
*In your pairs can you separate your resources into these four headings?
FINANCIAL PHYSICAL SKILLS/HOBBIES OTHER
       
       
       
       
       

*Consider if these change for a household.

What are Resources?
*Consider the following four
definitions.

*Which heading in your table does

each match?
 FINANCIAL PHYSICAL SKILLS/HOBBIES OTHER
       
       
       

Definition 1
       
       

These resources are provided to meet

your everyday needs.

They keep you warm, help you go to

school, help you relax and enjoy leisure
time.
Physical Resources
These resources are provided to meet
your everyday needs.

They keep you warm, help you go to

school, help you relax and enjoy leisure
time.
 FINANCIAL PHYSICAL SKILLS/HOBBIES OTHER
       
       
       

Definition 2
       
       

These resources enable you to do many

things that other people may not be able
to do.

People will notice you and offer you

opportunities because of these talents.
Skills/Hobbies
These resources enable you to do many
things that other people may not be able
to do.

People will notice you and offer you

opportunities because of these talents.
 FINANCIAL PHYSICAL SKILLS/HOBBIES OTHER
       
       
       

Definition 3
       
       

These resources allow you to purchase

p_____ and s______ and give you some
independence.

The way you handle these resources can help

you prepare for every day living now and in
the future.
*Financial Resources
These resources allow you to purchase
p_____ and s______ and give you some
independence.

The way you handle these resources can help

you prepare for every day living now and in
the future.
 FINANCIAL PHYSICAL SKILLS/HOBBIES OTHER
       
       
       

Definition 4
       
       

These resources give you a sense of

security and connection with other people.

E.G. family, friends, local community, local

library
“Other” Resources
These resources give you a sense of
security and connection with other people.

E.G. family, friends, local community, local

library
 FINANCIAL PHYSICAL SKILLS/HOBBIES OTHER
       
       
       
       
       
 Activity (see page 12)
Group each of the resources below under the following headings:
FINANCIAL PHYSICAL SKILLS/HOBBIES OTHER • Savings
       
• Local library
 
 
 
 
 
 
 
  • Bicycle
       
        • Youth club
• Debating
• Part-time wage
• Car
• Family and friends
• iPad
• Camogie
• Neat writer
• Family support
• Playing the guitar
Needs and Wants
Needs and Wants
What is the difference? T-P-S
Needs are items that you cannot live
without, e.g. food, clothes and
accommodation.

Wants are items that you would like

to have but that you can live
without, e.g. chocolate, the latest
piece of branded clothing, etc.
NEEDS WANTS
Needs and Wants
On your own look at the list below and put each item into one of
the columns in your copy.

Food iPhone X School books

Branded jeans Shelter Nike school bag
Electricity Holiday Clothing
Chocolate cake Can of Coke Air
Perfume A home Clean drinking water
Shopping trip to Paris Oxygen (O2) Ferrari sports car

(Work your way through this exercise in columns)

NEEDS WANTS
Using resources: Rights &
Responsibilities
The right to own and use resources being with it
responsibilities;

 Right to free education means you have to responsibility

to attend school
Right to unpolluted water puts responsibility on users not
to pollute water
Instruction

Read over all notes taken so far.

Reflection on the Topic of Resources,
Needs and Wants
Three things I have learned well in this topic are:
1.
2.
3.

Two things I need to work harder on in this topic are:

1.
2.