Opportunity Cost and Trade-Offs

Read the short text together and do the first sort or scenario as a class. Have students defend their choices aloud before comparing with the answer key, since some scarcity answers can reasonably differ.

Name the opportunity cost in 6 scenarios, then fill in a decision grid for Jayden's activity. The directions on the page read: Read the text and the example decision grid. For scenarios 1 and 2, write the opportunity cost of the choice on the line. An answer key is included.

Yes, both. We made it for 6th Grade Economics and Money, and the page works the same whether it lands on a kitchen table or a center rotation. At home, most families go through it together and talk the answers out loud, and that talking is where most of the learning happens with needs, wants and choices. In class it runs well as independent work while you pull a small group. Print one copy or thirty, whichever the day needs.

Needs are things people must have to survive and stay healthy and safe, such as food, water, shelter and medicine. Wants make life more fun or comfortable but people can live without them, such as toys, treats and designer versions of everyday items.

Opportunity cost is the value of the next best choice you give up. It is not every option you skip, only the best one you did not choose. In one scenario on the sheet, Marco mows a lawn for $25, so his opportunity cost is walking dogs for $20.

A decision grid lists options in rows and what you care about in columns. Students check each box an option meets and add the checks. The option with the most checks is the best choice and the runner-up is the opportunity cost.