Objectives (5 - 7 minutes)

1. Understand the Concept of Money: Students will be able to define what money is and understand its role as a medium of exchange, a unit of account, and a store of value. They will learn how money makes economic transactions more efficient and easier.

2. Learn the Functions of Money: Students will be introduced to the three main functions of money: medium of exchange, unit of account, and store of value. They will explore how these functions facilitate various economic activities and contribute to the stability and growth of an economy.

3. Apply the Concept to Real-World Situations: Students will use real-world examples to understand and apply the concept of money and its functions. They will engage in activities that simulate economic transactions, budgeting, and saving, reinforcing their understanding of the importance of money in daily life and for economic development.

Secondary Objectives:

• Develop Critical Thinking Skills: By engaging in discussions and activities, students will develop their critical thinking skills as they analyze the role and functions of money in different economic scenarios.

• Enhance Collaborative Learning Skills: Through group activities and discussions, students will improve their collaborative learning skills, fostering a supportive and interactive classroom environment.

• Promote Financial Literacy: By understanding the functions of money, students will also develop basic financial literacy skills, which will be beneficial for their personal financial management in the future.

Introduction (10 - 12 minutes)

1. Review of Prior Knowledge: The teacher will begin the lesson by reviewing the basic concepts of economics that the students have already learned, such as goods and services, supply and demand, and the concept of trade. This review will help students connect the new topic with the previously learned ones and provide a foundation for understanding the role and functions of money.

2. Problem Situations: The teacher will present two problem situations to the students. The first situation could be about a barter system, where two students have items that the other wants, but they cannot agree on an equal trade. The second situation could be about a student who saves up money to buy a new video game but is worried that the price might increase before they have enough money. These problems will serve as a hook for the students, sparking their curiosity and setting the stage for the introduction of money and its functions.

3. Real-World Context: The teacher will then contextualize the importance of money by discussing its role in everyday life. They will explain how money is used to buy goods and services, pay for education and healthcare, and save for the future. The teacher will also highlight the impact of money on the economy, such as how it affects the prices of goods and services, the level of employment, and the overall economic growth.

4. Introduction of the Topic: The teacher will introduce the topic of the day, the "Functions of Money," by telling the students that they will be exploring what money is, why it is important, and how it functions in an economy. To capture the students' attention, the teacher can share some interesting facts, such as the history of money, the different forms of money used around the world, or how the concept of money has evolved over time.

5. Curiosities and Stories: To further engage the students, the teacher can share a story about the invention of money, such as the use of shells as a form of currency in some ancient cultures or the barter system used before the invention of money. The teacher can also share a curiosity, like the fact that in some countries, people use mobile phones to make payments instead of cash. These stories and curiosities will pique the students' interest and make the topic more relatable and fun.

Development (20 - 25 minutes)

1. Activity 1: Creating a Currency System (8 - 10 minutes):

   • The teacher divides the students into groups of 5 and provides each group with colored construction paper, scissors, and markers.
   • The teacher instructs the students to create their own currency. Each currency should have a unique design and a value assigned to it.
   • For instance, a yellow bill could be worth 1 "unit," a blue bill could be worth 5 "units," and a red bill could be worth 10 "units."
   • After the students have designed and assigned values to their currencies, the teacher explains that this represents the medium of exchange and unit of account functions of money.
   • The teacher asks each group to imagine a scenario where they would have to use their currency, e.g., buying items from another group, and how they would calculate the value of the items in their currency, reinforcing the concept of the unit of account.

2. Activity 2: The Value of Savings (7 - 8 minutes):

   • The teacher asks each group to imagine that they are saving up for a group goal, like a pizza party or a fun trip. The teacher provides each group with a "savings jar" (a clear plastic container) and multi-colored beads, with each color representing a different currency value.
   • The teacher instructs the students to decide on an amount they need to save and how they will divide the amount into their different currency values.
   • The students then need to fill their "savings jar" with beads, with the different colors of beads representing the different currency values they have saved. This activity represents the store of value function of money.
   • After the activity, the teacher can lead a discussion on the benefits and drawbacks of saving money, reinforcing the concept of store of value and introducing the concept of opportunity cost.

3. Activity 3: The Role of Banks (5 - 7 minutes):

   • The teacher explains that banks play a crucial role in the economy by storing and lending money. The teacher asks the students to imagine that they are a bank and that they have been entrusted with the money saved up by their group.
   • Each group will receive a box with the savings (beads) of another group. The teacher instructs the students to count the savings and issue a "bank statement" showing the amount saved and any interest earned.
   • The teacher then explains that banks lend money to people and businesses, and asks each group to write a "loan" to another group, specifying the amount and an agreed interest rate to be paid back.
   • This activity helps to illustrate the concept of banks, lending, and interest, and reinforces the concept of money as a medium of exchange and a store of value.

These hands-on activities are designed to engage students and make the concept of money and its functions more tangible and relatable. By participating in these activities, students will not only understand the concept of money but also appreciate its importance in their daily lives and the broader economy.

Feedback (8 - 10 minutes)

1. Group Discussions (2 - 3 minutes each group):

   • The teacher facilitates a group discussion where each group shares their solutions or conclusions from the activities. This includes how they created their currency, the value they assigned to each unit, how they saved and calculated the value of their savings, and how they played the role of a bank.
   • The teacher encourages other students to ask questions and provide constructive feedback to their peers, promoting a collaborative learning environment.

2. Connecting Activities to Theory (2 - 3 minutes):

   • The teacher then connects the conclusions from the group activities to the theory. They explain how the activities demonstrated the three functions of money: medium of exchange, unit of account, and store of value.
   • The teacher also highlights how the activities related to the real-world use of money, such as buying and saving for a goal, and the role of banks in facilitating economic transactions and providing financial services.

3. Individual Reflection (2 - 3 minutes):

   • The teacher asks the students to take a moment to reflect on the lesson. They can pose questions such as:
     1. What was the most important concept you learned today?
     2. Which activity was the most helpful in understanding the functions of money?
     3. What questions do you still have about the functions of money?

4. Class Discussion (1 minute each student):

   • The teacher then opens the floor for a class discussion, where students can share their reflections and ask any remaining questions. This allows the teacher to assess the students' understanding of the lesson and provides an opportunity to clarify any misconceptions or address any unresolved queries.

The feedback stage is essential as it allows students to articulate their understanding of the lesson, connect the hands-on activities to the theory, and reflect on their learning. It also provides the teacher with valuable insights into the students' comprehension of the topic, which can be used to plan future lessons and tailor instruction to meet the students' needs.

Conclusion (5 - 7 minutes)

1. Recap and Summarize (2 - 3 minutes):

   • The teacher will summarize the main points of the lesson, reiterating the concept of money and its functions: medium of exchange, unit of account, and store of value.
   • The teacher will also recap the hands-on activities the students engaged in, explaining how each activity demonstrated these functions and the role of banks in the economy.

2. Link Theory, Practice and Applications (1 - 2 minutes):

   • The teacher will then explain how the lesson connected theory, practice, and real-world applications. They will highlight how the hands-on activities allowed students to apply the theoretical concepts in a practical context, making the topic more tangible and relatable.
   • The teacher will also emphasize how the activities related to real-world situations, such as buying goods and services, saving money, and using banks, helping students understand the practical importance of money and its functions.

3. Suggest Additional Materials (1 minute):

   • To further deepen the students' understanding of the topic, the teacher can suggest additional materials for the students to explore at home. These could include videos on the history and evolution of money, articles on the functions of money, and interactive games or simulations on the role of banks in the economy. The teacher can also recommend books or documentaries on personal finance and economics, encouraging students to expand their knowledge beyond the classroom.

4. Relevance to Everyday Life (1 - 2 minutes):

   • Lastly, the teacher will discuss the importance of the lesson's topic for everyday life. They will explain that understanding the functions of money is not just important for economics, but also for personal financial management.
   • The teacher can give examples of how the functions of money are used in everyday situations, such as when we go shopping, save for a vacation, or use a bank's services. They can also emphasize how a good understanding of these functions can help students make informed decisions about their own finances, such as budgeting, saving, and investing.

The conclusion is a crucial part of the lesson as it reinforces the key concepts, links the theory to practice and applications, and highlights the relevance of the topic to everyday life. It also provides students with additional resources to further their understanding of the topic and encourages them to continue learning outside of the classroom.