Download Economics Skits - Adult Basic Skills Professional Development

Economics Skits
Rules of the Road:
1. All group members must participate and speak at least one line
2. Your group must use a sound effect
3. Ham it up! Pretend there is a Hollywood producer waiting to discover you!
Skit # 1 - Supply and Demand Determine Price
Create a skit where you show what happens to the price of ice over several days during a very hot
summer when the power has gone out because of a lightning storm. There is a limited supply of ice
which decreases each day. As the hot days go by and people want to cool off or keep their food cold,
the demand for ice continues to increase.
At the end, be sure to summarize what happens to prices when there is a large demand and low
supply of a product.
Skit # 2 – Supply and Demand Determine Price, the Sequel!
A local entrepreneur has created a product called “The Thing.” She claims the thing can do most
anything and that everybody needs one. However, no one seems convinced. The entrepreneur has
created a large supply of “The Thing.” In order to get rid of her product, what happens to the price
she is willing to take for it?
At the end, be sure to summarize what happens to the price when there is a large supply and low
demand for a product.
Skit # 3 – Opportunity Cost
Create a skit that shows how opportunity cost works. One person must make a choice and give up
something they want in order to get something else. Be sure to explain that opportunity cost is what
is given up when we make choices. In order to make sure your audience really understands, show
more than one example!
Skit # 4 – Monopoly and Competition
Create a skit where you show what happens to the price of a product when there is first a monopoly
and then competition moves in and several people or businesses are selling something. At the end,
be sure to summarize what happens to price as a market moves from monopoly to competition.
Skit # 5 – Supply and Demand Determine Labor Market Prices
Create a skit where you show how the supply of workers for certain jobs determines how much they
earn. For example, since there is a large supply of workers available to be cashiers at Wal-Mart, they
are only paid minimum wage. Since there are few people with the skills to be professional basketball
players, they are able to earn multi-million dollar salaries. At the end, be sure to summarize how the
supply of workers determines how much they are paid in the labor market.
Skit # 6 – Consumer Credit Laws
Create a skit where you show someone applying to get a loan and they are denied credit. While the
loan officer says it is because they do not have a credit history, make it clear that they are denied
because of a discriminatory reason like their race, religion, age, or sex. Please make it clear in your
skit that this is against the law and that the person who is denied credit has the right to appeal and/or
file a complaint with the state attorney general’s office.
Skit # 7 – Taxation
Explain to the audience that you will be putting on a skit about a lady named Rose and a man named
Simon. Tell the audience they will serve as a jury and must make a decision based on what they see
and that you will ask them to reach a verdict. Ask them the questions at the end. Please follow this
script for your skit:
Once upon a time there was a lady named Rose. Rose worked as a waitress in a diner and lived in a
small apartment nearby. She had been saving her tips for several months to buy a new dress. The
day finally came when Rose had saved up enough money to buy the dress, and she put the money in
her purse and was walking down the street toward the dress shop when a man named Simon
grabbed her purse and ran away with it.
Rose was very sad. Now she would not be able to buy the dress. She returned to her apartment.
Meanwhile, Simon went to the liquor store and used the money from Rose’s purse to buy some
Kentucky bourbon. Simon went home with the bourbon, poured himself a glass, and was just about
to take a sip when the police knocked on his door. The police accused him of stealing and took him
to court to stand trial for robbery.
Simon explained to the jury that he was not a bad person. He was just trying to stimulate the
economy. If the money had been left in Rose’s purse, who knows what she might have done with it.
She might have bought a dress made in China, which wouldn’t have done any good for the local
economy, but, instead, he put the money to much better use – buying Kentucky bourbon, which
created jobs for local farmers, barrel makers, and distillers.
The jury began to wonder, was Simon a bad guy — a thief, or was he a hero – someone who helped
stimulate the economy and create local jobs to help people?
Question to Ask:
- Ladies and gentlemen of the jury, what is your verdict?
- Would your decision be different if Simon were the government, taking the money legally, through
taxation?
- What do you think Rose will do in the future? If she knows her money will be taken away, will she
still work as hard to earn those tips?
Skit # 7 Source:
http://louisville912.com/2011/07/07/july-25-meeting-using-simple-skits-to-teach-basic-economics/