In this mini-unit, students learn basic vocabulary about insurance and then play an online game called “That’s a Bummer” to practice knowledge learned. Additional activities in this lesson include an insurance edpuzzle, video resources, reflection questions, and an insurance math worksheet. Class Time Needed: 4 to 5 Class Periods
Material Type: Lesson Plan
Lesson Objective: At the completion of this lesson, students will be able to explain risk management through a combination of avoidance, risk, reduction, retention, and transfer.
Material Type: Lesson Plan
In this example, students are asked to obtain a credit card disclosure statement, identify the various interest rates and payment rules, and keep track of a revolving monthly balance under several payment scenarios. While modeling several months to a year of credit card statements is easily accomplished with pencil, paper, and a basic calculator, this example is also well-suited for analysis with a spreadsheet.
Material Type: Activity/Lab
In this first episode of the No-Frills Money Skills video series, economic education specialist Kris Bertelsen explains compound interest, or "Growing Money."
Material Type: Lecture
This short video describes the use of the interest rate on bank reserves as a tool of monetary policy.
Material Type: Lecture, Lesson, Lesson Plan
This real world task requires students to compare differing interest rates.
Material Type: Activity/Lab
The basic dynamic of an interest rate swap. Created by Sal Khan.
Material Type: Lesson
The basic dynamic of an interest rate swap. Part 2. Created by Sal Khan.
Material Type: Lesson
Do you know the difference between nominal and real interest rates? If you're not sure, then it's time to "get real" about interest rates. In this episode of The Economic Lowdown, you will learn how inflation influences the real return on your deposits, how it impacts borrowers and lenders differently, and why price stability—a responsibility of the Federal Reserve System—is important.
Material Type: Lecture
Intuition as to why high real interest rates lead to low investment and why low rates lead to high investment. Created by Sal Khan.
Material Type: Lesson
Bonds. Just bonds. This November 2023 issue of Page One Economics helps learners navigate the world of purchasing, holding, and selling bonds. In addition to the basics, students will learn that the bond market, where existing bonds are bought and sold, creates a situation where bond prices and interest rates move in opposite directions.
Material Type: Lesson, Reading
Interest is effectively a rent on money. In this video, we think about what an interest rate really is. Learn about the difference between simple interest and compound interest and how interest is calculated on a loan using an example of calculating the interest rate on a loan. Created by Sal Khan.
Material Type: Lesson
This 14-minute video lesson explains why bond prices move inversely to changes in interest rate. [Core Finance playlist: Lesson 55 of 184]
Material Type: Lecture
In this video, we expand the equation to calculate simple interest for a single period, P*(1+r), to calculate interest when interest is charged for more than one period and that interest is compounded at different intervals. By doing so, we can better understand the difference between simple and compound interest. Created by Sal Khan.
Material Type: Lesson
Using the Rule of 72 to approximate how long it will take for an investment to double at a given interest rate. Created by Sal Khan.
Material Type: Lesson
The annual percentage rate (APR) that you are charged on a loan may not be the amount of interest you actually pay. The amount of interest you effectively pay is greater the more frequently the interest is compounded. In this video, we calculate the effective APR based on compounding the APR daily. Created by Sal Khan.
Material Type: Lesson
The market for loanable funds brings savers and borrowers together. We can also represent the same idea using a mathematical model. In this video, learn about the savings and investment identity.
Material Type: Lesson
This 9 minute video will show students how to calculate interest and then shows them the difference when interest is calculated using simple v. compounded. This video will also discuss interest as "the cost of money" and demonstrates in examples how much a person borrows v. pays back when the interest rate is low v. high. This video will enforce the standards EPF. 13 and 18
Material Type: Lecture
Interest is effectively a rent on money. In this video, we think about what an interest rate really is. Learn about the difference between simple interest and compound interest and how interest is calculated on a loan using an example of calculating the interest rate on a loan. Created by Sal Khan.
Material Type: Lesson
Students will define compound interest, distinguish it from simple interest, calculate compound interest using a compound interest rate calculator, and apply the concept to real-life scenarios. Class Time Needed: 90 minutes
Material Type: Lesson Plan
