How to discuss the economy with kids?
Our new economy has left us in a myriad of new/different situations as it relates to our family finances. We, as adults, are exposed to these realities every day, whether we are affected directly or less directly. Our children are also increasingly exposed to these realities, and sometimes it can be a difficult topic to broach. How are you discussing the recession with your children, if at all?
I need help from those more versed in economics than I. My 9yo hears a lot of talk about the bad economy. He knows that people are losing their jobs, that school days in our district may be cut, that Obama is trying to fix things, etc. But except for the tanking of his college fund and our retirement (which I see no reason to get into with him), we've been lucky enough not to be affected. To him it's just this thing, "the bad economy" that he hears about. Last night he asked, "Why is the economy so bad now? What happened?" And I really didn't know how to explain it to him. Heck, I barely understand it myself. Can someone help me out with a simply-worded explanation for a reasonably bright kid?