Learn on PengiCalifornia myWorld Interactive, Grade 3Chapter 6: Economics

Lesson 1: Goods and Services

In this Grade 3 lesson from California myWorld Interactive, students learn the difference between goods and services and explore key vocabulary including consumer, producer, import, and export. The lesson traces how California's economy evolved from early settlers relying on local goods to today's global trade network, explaining why producers locate near their resources and how importing and exporting connect communities worldwide. Students also examine reasons people choose to buy locally produced goods versus products from other regions or countries.

Section 1

Early Settlers Provided for Themselves

Key Idea

Long ago, early California settlers lived very differently than people do today. There were no big stores where they could buy food or clothes. Families had to get almost everything they needed by themselves.

They used local resources, like wood from forests and water from rivers, to survive. They grew their own food, built their own homes, and made their own tools. This way of living is called self-sufficiency.

Section 2

Early California Develops a Market Economy

Key Idea

Before the mid-1800s, California's economy was not based on buying and selling for widespread profit. Native Californian tribes had complex trade networks, while the Spanish missions and Mexican ranchos operated as largely self-sufficient agricultural communities.

The California Gold Rush, beginning in 1848, dramatically changed this system. The sudden arrival of hundreds of thousands of people created an enormous demand for goods like tools and food, and services like housing and transportation. The existing economies could not meet these new needs.

Section 3

Californians Used Resources to Build Industries

Key Idea

As towns grew, people looked for ways to start bigger businesses. They used California's natural resources, like its forests, rich soil, and oceans, to create new goods. These businesses could sell their products to people in many different towns.

For example, the ocean near Monterey was full of fish. In the 1850s, Chinese immigrants established a large fishing industry there. They caught and dried fish to sell across California. This showed how a local resource could support a whole industry.

Section 4

California's Trade with the World

Key Idea

California's location on the Pacific Ocean helps its economy grow. The state has large, busy ports where giant ships can dock. These ports are like giant doors to the rest of the world.

Ships carry goods to and from countries across the ocean. California sells its farm goods and technology to other nations. It also buys things like cars and toys that people want.

Book overview

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Chapter 6: Economics

  1. Lesson 1Current

    Lesson 1: Goods and Services

  2. Lesson 2

    Lesson 2: Types of Resources

  3. Lesson 3

    Lesson 3: Economic Choices

  4. Lesson 4

    Lesson 4: Human Capital and Your Future

Lesson overview

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Section 1

Early Settlers Provided for Themselves

Key Idea

Long ago, early California settlers lived very differently than people do today. There were no big stores where they could buy food or clothes. Families had to get almost everything they needed by themselves.

They used local resources, like wood from forests and water from rivers, to survive. They grew their own food, built their own homes, and made their own tools. This way of living is called self-sufficiency.

Section 2

Early California Develops a Market Economy

Key Idea

Before the mid-1800s, California's economy was not based on buying and selling for widespread profit. Native Californian tribes had complex trade networks, while the Spanish missions and Mexican ranchos operated as largely self-sufficient agricultural communities.

The California Gold Rush, beginning in 1848, dramatically changed this system. The sudden arrival of hundreds of thousands of people created an enormous demand for goods like tools and food, and services like housing and transportation. The existing economies could not meet these new needs.

Section 3

Californians Used Resources to Build Industries

Key Idea

As towns grew, people looked for ways to start bigger businesses. They used California's natural resources, like its forests, rich soil, and oceans, to create new goods. These businesses could sell their products to people in many different towns.

For example, the ocean near Monterey was full of fish. In the 1850s, Chinese immigrants established a large fishing industry there. They caught and dried fish to sell across California. This showed how a local resource could support a whole industry.

Section 4

California's Trade with the World

Key Idea

California's location on the Pacific Ocean helps its economy grow. The state has large, busy ports where giant ships can dock. These ports are like giant doors to the rest of the world.

Ships carry goods to and from countries across the ocean. California sells its farm goods and technology to other nations. It also buys things like cars and toys that people want.

Book overview

Jump across lessons in the current chapter without opening the full course modal.

Continue this chapter

Chapter 6: Economics

  1. Lesson 1Current

    Lesson 1: Goods and Services

  2. Lesson 2

    Lesson 2: Types of Resources

  3. Lesson 3

    Lesson 3: Economic Choices

  4. Lesson 4

    Lesson 4: Human Capital and Your Future