Bubble Trouble?
Discuss credit as a class. Ask students: What is credit? In economics, it is the willingness of sellers and lenders to allow consumers to buy products or take out loans on a promise of repayment, usually over time. Students are likely to be most familiar with credit cards but less so with other forms of credit. What does the term bad credit mean? Why are people denied credit? Why might a large loan to someone with bad credit or no credit be risky for a lender?
Answers to this week's SmartStuff are listed on Page 2 of the Issue 15 Teacher's Guide that accompanies Current Events magazine.
Resources
To download the Teacher's Guide click here (PDF).
Nine-Hour School Day
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