1.1 How i can acquire essential articles

ECONOMIC AND MANAGEMENT SCIENCES

Grade 4

HOW PEOPLE MAKE A LIVING

Module 2

HOW I CAN ACQUIRE ESSENTIAL ARTICLES

1. People who lived in earlier times did not have the same needs as we have. Most people tilled the soil, sowed seeds, harvested, slaughtered their own animals when they needed meat, and tried in this way to meet their own needs.

Some farmers only produced enough to meet the needs of their own families, while other farmers might have had too much. Farmers who had a surplus of products could therefore exchange products with one another.

They would exchange, e.g. two cabbages for a dozen eggs. But someone who wanted to exchange a cow for eggs would have a problem. How many eggs would be a fair exchange for a cow? Also, no one needs so many eggs at one time!

1. A need arose for some form of currency (money).

There are two ways in which you can acquire what you need:

• you could offer something else for it;
• you could pay money for it.

In ancient times, people used standard articles like shells, animal hides or pelts, diamonds, copper, gold, etc. as currency.

Activity 1

To identify the South African coins and notes (LO 1.1]

1. How well do you know the money used in South Africa? Can you list the different coins and notes?

(d)where does money come from?

People have to work to be able to buy food, clothing and other basic items. When you work , you earn money. When you are employed by somebody, you are paid a salary.

Not all people work for other people to earn an income . Some people have their own businesses and work for themselves. They might own a café, or trade in hand-made articles, or have their own medical practice, etc.

When someone does not earn an income by working, such a person is unemployed . The members of a family always strive to maintain a high standard of living. The more money a family earns, the better they are able to live.

Essential needs

The “products” that a person needs to survive can be divided into two main groups:

• consumer goods
• services

Services are provided by other people in exchange for money. The doctor provides a service when he or she examines you to find the cause of your ailment. When you travel by taxi or bus, the driver provides a service by transporting you from one place to another.

Consumer goods are the products that people use daily and may use up, like food, cleaning products, medicine, etc.

Activity 2

To differentiate between consumer goods and services [LO 1.1]

(e) Group work: Study the sketch that follows and make a list of all the services and consumer goods that are provided to clients.

Assessment

LEARNING OUTCOME 1: THE ECONOMIC CYCLE

The learner will be able to demonstrate knowledge and understanding of the economic cycle within the context of “the economic problem”.

Assessment Standard

We know this when the learner:

• describes the roles of members of households as consumers and producers in the “need satisfaction” process.

Memorandum

Page 1

(a) en (b) The reason why a means of payment has become necessary as well as the way in which currency originated as means of payment is briefly summarised.

Page 1

(c) Test learners’ knowledge of South African currency.

Page 2

(d) A short outline of the source of income is given and reference is made to those who have no income.

Page 3

(e) Classify essential needs as consumer goods or services.