© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 2
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1
What are Values?
Something that is desirable, worthwhile, and important
Influenced by family, friends, teachers, coaches, television, and movies
Each person has different values which guide his/her daily decisions
© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 3
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1
Best Friend Advertisement
Write an advertisement for a best friend Include at least five qualities or
characteristics you desire or value in a friend
Describe why those qualities are important
© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 4
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1
Needs vs. Wants
Overview of Needs vs. Wants Video Need - something necessary or required for life Brainstorm examples of needs
Food, water, clothing and shelter
© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 5
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1
How Much Money Does A Person Need?
Families in India earn $1.00 to $2.00 a day.
Could your family live off $1.00 to $2.00 a day?
What do you think families in India think they NEED?
How do values influence needs? You need shelter, but do you NEED a mansion? You need clothes, but do you NEED designer
clothes?
© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 6
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1
Needs vs. Wants
Want - something unnecessary but desired
May increase the quality of living or make a person happier
Brainstorm examples of wants MP3 player, Play Station, designer clothes
How do values influence wants? If being popular or having all of the newest
gadgets is valued, a person may have a lot of wants
Needs & Wants Video
© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 7
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1
Spending Money How do values influence how people spend
money and make financial decisions? People purchase items that are seen as
important to them. Ex. If an individual values helping others, he may
decide to give money to a church or other charitable groups
How do needs and wants influence how people spend money and make financial decisions? An individual’s perception of values helps
determine their needs & wants, what items they will purchase.
© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 8
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1
Let’s review! You Decide! Water
Nike Sneakers
Hot Tub
Computer
Home/Apartment
Food
i-Pod
Cell Phone
Clothes
Car
Make up
Electricity
Bike
© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 9
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1
Opportunity Cost
Opportunity cost is what you must give up to obtain something else, the second-best alternative. However, what you must give up to obtain your first choice is not really money--it is whatever other good or service you would have spent the money on as your next-favorite choice.
Video Opportunity Cost Video
© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 10
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1Opportunity Cost
© Family Economics & Financial Education – Revised April 2007 – Get Ready to Take Charge of Your Finances – Exploring Values, Needs & Wants – Slide 11
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences at the University of Arizona
2.17.2.G1
Remember… Value - Something that is desirable,
worthwhile, and important Need - something necessary or required
for life Want - something unnecessary but
desired
A person’s values and perception of needs and wants influence personal financial decisions!
15 min video