Consumers and Producers: Explore Economics
What are consumers and producers? Consumers buy goods and services to satisfy their wants, and producers make goods and services. This video from the Explore Economics series helps kids understand that people are both consumers and producers. Kids learn that consumers buy goods and services to satisfy their wants and that producers make goods and services. It uses easy-to-understand examples.
Kids are encouraged to be producers by making a bookmark, and then to be consumers by using a bookmark to hold their place in a book. Students learn a song about goods and services.
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Below is a full transcript of this video. It has not been edited or reviewed for accuracy or readability.
Let’s explore a little economics.
Today we are going to talk about consumers and producers. Before we start, you may want to get a piece of construction paper, a pair of scissors, some markers or crayons, and a book that you are reading.
The people you see here are producers. Producers are people who make or grow goods and provide services. Sometimes they are called workers, and they help us do things. For example, a florist is a producer who makes pretty bouquets. A baker is a producer who cooks up yummy cakes, and a painter is a producer who creates artwork for us to admire.
Can you name these producers? (PAUSE)
Doctors, hair stylists, landscapers, and mechanics are producers.
When you draw a picture, or when you make cookies, you are a producer.
People are consumers, too. The people you see here are drinking a smoothie, shopping for groceries, and playing in a sandbox. Consumers are people who buy or use goods and services to satisfy their wants. When you eat your dinner, you will be a consumer. You’ll be hungry and eating a meal will make you feel full. You’ll be a consumer of food. You are also a consumer when you go to school. You are learning. You are consuming knowledge.
Can you name these consumers? (PAUSE)
When people buy things, use skateboards, or watch movies, they are consumers.
Now it is time for you to be a producer. Use the scissors to cut a rectangle like this one from the construction paper. Use the markers to decorate the rectangle like a bookmark—maybe like this.
(You can pause this video while you make your bookmark—or, keep watching if you’d like to think about it a little!)
Congratulations! You are a producer. You produced a bookmark. Now it is time for you to be a consumer!
Open your book and use the bookmark to save your spot. You are using a good—a bookmark. Congratulations! You are a consumer. People are consumers and producers.
Now it is time to learn a little song about consumers and producers. Let’s sing our song.
We’ll show you the words so you can sing along. Just follow the bouncing ball.
The farmers who grow our food, grow our food, grow our food, the farmers who grow our food, they are producers.
The people who gobble it up, gobble it up, gobble it up, the people who gobble it up—they are consumers.
When I make a new bookmark, new bookmark, new bookmark—when I make a new bookmark, I am a producer.
When I use my cool bookmark, cool bookmark, cool bookmark—when I use my cool bookmark, I am a consumer.
When people make goods and services, goods and services, goods and services—when people make goods and services, they are producers.
When they use the things produced, the things produced, the things produced—when they use the things produced, they are consumers.
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