>> Production funding and educational outreach for Biz Kids is provided by a coalition of America's Credit Unions, where people are worth more than money.

A complete list of individual credit union funders is available at wxxi.org.

>> Every day, America's credit unions help members with their financial needs and with programs like Invest in America.

It's only fitting that credit unions support Biz Kids because financial education is what we do.

Learn more at lovemycreditunion.org.

>> The critics are raving about the Transactor.

>> Come with me if you want to buy.

>> If you can't break a 20 I can.

>> Shop around.

>> I'll buy that.

>> Hasta la vista, money.

>> See the Transactor!

>> ♪ When making money is the aim ♪ These kids they bring their game ♪ They're the Biz Kids can you dig it ♪ They know what's up and let you know ♪ Just how to make that dough ♪ They're the Biz Kids right on ♪ They'll learn a little more about bringing money through the door ♪ They're the Biz Kids right on.

♪ >> Brought to you by: >> So if it only takes the government about six cents to make this dollar, why is it worth a dollar?

>> Because people believe it is.

>> Well, yeah, but I mean, it's just a piece of paper.

>> Yeah, but with that piece of paper I could buy a soda.

You can't do that with just any piece of paper.

It's definitely worth a dollar.

>> It's just paper.

No, not that one.

I meant this.

I meant this one.

>> Hey!

This is a note from your girlfriend.

"To Kaelon, my favorite Biz Kid."

>> Okay, okay.

Can I have it back, please?

>> Would you like to make a transaction?

>> No.

I just want it back.

>> The World... >> Tune in next week when... >> Both a result of transact... >> The world is struck with transaction fever.

From the lemonade stand on the corner, to the world's largest corporations, everywhere you turn money is changing hands in transactions.

Buying, selling, loaning, borrowing, paying, donating.

Money moves around the globe, passed along in a chain of transactions.

Anybody can do it.

Anybody can transact.

Anybody can be a Biz Kid.

>> Money moves.

It moves in a series of transactions.

But how does it move?

Well, let's say you have a dollar and you want to deposit it into your savings account.

But where does it go after that?

I'd like to deposit this into my savings account, please.

>> Sure.

>> I deposited my dollar into my savings account.

So where did it go?

>> Ah, Lauren, see a lot of people think that dollar goes behind the teller's window, then all of a sudden it's put into a little box that says "Lauren" on it, and all your money is stacked there together.

But that's not what happens.

Basically your dollar comes in, the teller puts it, as you see, in the teller drawer.

Then it's collected with all the other one dollar bills that she gets from the day, and it's added together.

As soon as they have 100, there's a band put around it so the hundreds are stacked in stacks of a hundred, and then those bills are taken from all the different tellers and put in the main vault in the bank.

Then once all those dollars are collected, all the dollars go to the central vault of the bank, and from all the branches in the system.

Once the central vault has collected all the dollars, then those dollars are all taken down by armored car-- we always keep money securely moving around-- taken to the Federal Reserve, where they're all put in to a pile of ones, of packages of ones, and we have a great big giant pile of money.

Can you imagine how big that must be?

>> You might ask what I do here in my fiscal sanctum.

I'm transacting like crazy.

Money gets its real value from transactions, so I'm giving money value.

>> Our friend Financial Genius is correct.

Money does travel around the world in a series of transactions.

Pretty smart for a puppet.

>> Okay, hold it.

Thank you for holding.

Ah, okay, listen up, kids.

♪ The world makes the money go round money go round... ♪ >> It keeps going round and round and round, it's moving, moving, moving, though they're disapproving.

That's the circle.

If money just sits there, it's not doing nothing.

It's doing nothing.

Like this kid.

>> Huh?

>> Yeah, you-- take a lap.

See?

Now he's looking like money in the economy.

That's the circle of money.

It's going between buyers and sellers, between employers and employees, between donors and donees.

Now everybody run.

Go-- run, run.

That looks like the economy.

You see, those are all transactions.

That gives money value.

That's money in the economy.

That's the way... ( bell ringing ) Uh, whoa.

Now that is a healthy economy.

>> ♪ Money go round so we can buy and spend a bunch ♪ And if the money keeps going round, going round going round ♪ I think I'm going to lose my lunch.

♪ >> This is Troy up in Action 10 chopper with your transaction traffic update.

It's payday and it looks like smooth sailing on the financial freeway.

Watch out-- there is a credit squeeze in the north.

>> I would like to make a transaction.

>> Transaction, transaction.

I do not know what you talk about transaction.

I am here to sell this goat.

>> Can I touch him?

>> I'm Jolynn.

>> And I'm Lindsey.

>> And we're Biz Kids.

>> We work at a gym.

>> We work at a motocross track.

We count laps there.

>> And we raise pigs.

>> This is actually one of our jobs, and we teach kids gymnastics and we profit off of it.

>> Make sure you squeeze your bottom.

>> Working with kids, having fun yourself while teaching them, it's a lot of fun.

>> Three big caps.

>> With the money I make from working here I put most of it into my savings account.

>> Here.

You're good to go.

>> Thank you.

>> I save the money with the credit union, and there is a branch located in our high school.

So it's really convenient and easy.

>> We do a lot of transactions here.

Most of them are deposits and withdrawals.

Some loan payments from the teachers.

>> Right now I have about $2,000 saved up in my account with the credit union.

>> There's actually a girl here who saved over $4,000 in her account.

>> I've saved about around $4,000 in my credit union account.

>> How many adults can say that?

>> People tell me that's a lot of money, but I'm determined to save more.

>> I think for a lot of them it's just saving-- saving for college, saving for whatever they're going to do down the road.

>> It's important to save your money so you can have enough for when you actually need money, like if you want to save up for college or to buy a car.

>> Hi.

I would like to make a withdrawal.

I take money out of the credit union to buy a pig, and then I raise that pig.

And later on I sell that pig and get about four times the amount of money that I bought it for.

And so I profit off of it.

>> If you don't have a savings account, then it's kind of harder to save your money, because most of the time you'll kind of go to your piggybank and notice you have money and want to go shopping.

>> It's really important that they realize that it's a safer spot for your money.

It's not lying around at your house.

You're not going to lose it.

It's in an institution, and it's federally insured.

>> Having a savings account is kind of like doing gymnastics-- you need to balance yourself.

>> Hey, Biz Kid, open a savings account.

>> Tell me when to go.

>> Okay.

>> Hey, Biz Kid.

>> Oh, there's a huge jam on the west end, where a kid is actually burying money in a piggy bank instead of depositing it into a savings account.

It's about to get cleared up, but we're still having some problems.

>> All right, class, welcome to Business 101.

Today we are going to draw up plans to sell ice to the folks in Alaska.

>> Hey, Teach, don't you think the people in Alaska have all the ice they need?

>> Okay, I don't think so.

>> Boy, this teacher doesn't understand supply and demand.

>> Hey Teach, why don't you also sell salt water to seals?

>> Okay, Joey.

Funny kid, funny kid.

I've seen your iPod-- Shania Twain?

>> See, the idea is that it's hard to sell ice in Alaska, because there's such a high supply that no one wants it.

There is no demand for it.

>> The value of these things depends on supply and demand, which is how much there is of something or how much people want it.

>> So say you can't sell ice in Alaska.

But in Arizona, it's another story.

Like, the demand for fish in Nebraska is going to be a lot harder to meet than, say, Maine.

>> Supply and demand impact the value of these things.

Like if it were sunny and you were selling umbrellas then you'd probably have enough supply to meet the small demand.

>> But if it's sunny and you're selling sunglasses, your supply may not be able to meet your high demand.

It gets tricky.

>> Speaking of sunglasses, I'm going to supply myself with a tan.

>> Cue tan light.

>> The greatest idea since sliced bread.

Since pocket protectors.

Since Grecian... >> I didn't know we were going to be on a turntable.

>> I'm Zoe.

>> I'm Lili.

>> I'm Cara.

>> And we're Biz Kids.

>> This is the farmers market on Vashon Island in Washington.

>> The name of my company is BluHoops Hoola Hoops.

>> The name of my company is Fleece on Earth.

>> The name of my company is Flower Power Beads.

I'm Lili and I'm 11.

I just buy beads wherever I can buy them, pretty much.

I collect beads and then I just find designs and start making designs.

They're mostly glass beads, and some of them are plastic beads, and some of them are pearls.

And there is the first earring.

>> My name is Zoe and I am 12 years old.

I sell fleece hats and fleece scarves, and capes, and I just started selling aprons.

The full one is $25, and the half one is $15.

I started making aprons because I found that demand for fleece goes down in the summer because of the heat.

Aprons are really fun to make because they're easy, and you can make them in all sorts of cool patterns and fabrics.

The half apron takes me, like, one and a half hours.

The full apron takes me two and a half.

>> My name's Cara and I am 13 years old.

My hoola hoops are handmade out of piping that I connect with a little connector piece.

It took me about a day to make ten of them.

And I have to saw the piping, and then I have to blow dry each side so they expand so the connector can fit in.

And I wrap that place with tape and then I decorate it with color tape.

And there's my hoola hoop.

>> I usually look online and see how much fleece stuff is selling for, and then think about how much the fabric costs and how much time I spent sewing it and just go from there.

Hats are six dollars unless you buy them with a scarf, and then they're five dollars.

>> I set the price by figuring out how much it costs me to make each of them.

>> I walk around, and I find other pairs of earrings and necklaces and stuff, and I say, "Oh, that's a little expensive."

So I'm younger and I'm not quite as good as they are, so I'm going to put my price a little bit lower than theirs.

What I do is I just sell them at regular price and then and then if people don't buy them then I lower the price so people will buy them.

If they were selling super well then I'd raise my price so that I can get more money for them.

>> Okay, you guys, it's the end of the day.

Okay, the stall fee is what you owe for selling, being able to be at the market.

Every vendor here pays the same amount.

At this market it costs six percent of their gross sales, and so, you know, if somebody sold $100, they'd pay six dollars for stall fee.

>> I was expecting to sell a little bit more, because last time I got $147, and this time I only got $40.

>> I made $32.

>> I think I did really great today.

I made $144.

>> I learned that not everything sells.

You just have to make all of it, and hope it sells, and if it doesn't then there's always next time.

>> My advice is, you know, if you make a craft and you're kind of hesitant, just go ahead and do it.

It's fun.

>> I would like to make a transaction.

>> You keep talking about transactions.

I am here to trade.

What do you want to trade?

>> This fish for the goat.

>> The value of something is determined by supply and demand.

And when money moves between groups or individuals, it's called a transaction.

You know, all this talk about supply and demand is making me thirsty.

I know.

( buzzer sounding ) That way.

>> Thank you.

>> Cold lemonade, one dollar.

Cold lemonade, one dollar.

>> Thanks.

>> Thank you.

>> One cold lemonade, please.

>> We just ran out of cold lemonade.

People have been wanting it a lot lately.

>> So you're out of cold lemonade.

>> Sorry, dude.

We've got hot cocoa.

>> I bet the demand for that isn't very high today.

>> No one's really bought any yet, but I've got a lot of it.

>> Oh, I get it.

All right, so the supply for your lemonade doesn't meet the demand, but the demand for your hot cocoa doesn't meet the supply.

>> I guess.

I wonder...

Cold chocolate milk?

>> Yeah, that sounds good.

Thank you.

Check this out.

It's a Biz Kid.

>> Money in her hands.

>> If you're out and about today, I'd probably use some alternate forms of transactions.

That's all for me.

>> Most of my customers... >> Yep, that be a mighty fine pumpkin right there.

>> Good day, Mr. Smythe.

>> Good day, all.

>> That's a mighty fine pumpkin you got there.

Good crop this year?

>> Nope, this be the only pumpkin as far as the eye can see.

>> Oh, then I must have it.

All the pies I can bake from it.

I'd buy it for a sack of barley.

>> Barley?

How about a bushel of corn?

>> What?

>> Gallons of very fine soup will be made from it.

>> Well, I offer barley, venison and five pounds of salted fish.

>> 'Tis the only pumpkin.

I must have it.

Add apples and maple sap to my offer.

>> A good morning.

What y'all be talking about?

>> Oh Mister Smythe's fine pumpkin here.

There are no others and we both want it.

>> Oh, well, 'tis a very fine pumpkin indeed, but if it's pumpkins you want, you might want to try looking down at Old Man Bradford's farm.

He's got a whole patch of them this year.

They're fabulous.

Come on, I'll show you.

>> No, no!

Wait, wait, wait!

This is a special pumpkin!

I'll just take barley.

I don't need the fish, I don't need the venison.

>> Your suit is as green as your breath.

>> Uh, you kids got something wrong with your hands?

You can't put 'em together a little bit?

Uh, look.

I'm supplying you with great music.

Uh, I don't think it's too much to demand a little applause in return.

>> Let the piano man talk.

>> Yeah, this guy blows.

But he does make a good point.

Money moves in a series of transactions, all based on supply and demand.

Now back to the show.

>> I'm about to start a long sequence of transactions.

Just got paid.

That's a transaction between employer and employee.

Okay, don't move.

Okay, here's the five dollars I owe you.

See, that was a transaction, because I'm paying off a debt.

Outside at the lemonade stand was a transaction between buyer and seller.

I gave coins to the charity jar, and I'm putting this in savings.

All transactions.

Whenever money changes hands it's a transaction, Jackson.

>> On the mean streets of Detroit where life is cheap and gum is even cheaper, money wasn't moving.

No transactions at all.

Until they called in... >> Transaction Jackson.

I love a good transaction.

>> New this fall on the Biz Kid television net... >> So, next transaction-- stick with fire.

>> Yes, let's transact.

Here, take the goat.

>> Come, goat, come.

>> So as far as transactions go, they don't always have to be between buyer and seller, or boss and employee, or even lender and borrower.

There's also the transaction between a donor and a charity or an organization in need.

And many times these transactions or donations don't always come in the form of the mighty dollar or the euro, or the peso or even the pula.

>> Pula?

Pula.

>> Hey, Biz Kid.

Read a book.

Hi.

My name is Raphael Spiro and I run Bedside Books.

You want to come check out my office?

Come on.

Here it is.

So this is where the magic happens.

We collect books for schools, nursing homes, and other non- profits, and this is where most of them are kept.

When I started the company I was 12.

My grandfather had a stroke, and he was in the hospital.

And when he was moved into a nursing home, he was paralyzed on one side.

So we used to go and read books to him.

We noticed how bored the residents were, and how boring it was in the day room when we had to leave the room while my grandfather was being attended to.

So what we did was we went home and noticed that there were a lot of books sitting around our house.

And my aunt had left a book that she no longer wanted.

So we decided to collect all the books that we didn't want anymore.

We decided to bring those books to the nursing homes and to start libraries to entertain the residents.

We don't make any money at Bedside Books, but I think it's a success, because we give something to the community.

Every time we give books to nursing homes, we get letters back.

And a lot of the time the residents really love the books.

They're all very happy to receive them.

And it's just something that can bring them back to the times when they weren't sick, you know, when they were healthy.

>> I'm reading your books for a long time.

>> Well, I'm glad to give them to you.

>> I'm happy that you came again.

>> Well, the first time he brought us a box of books we were speechless.

To have a young man like this do that kind of work, and go out and then donate them to us... an offer like this from somebody out in the community to do the work, that's really nice.

Oh, excellent.

>> Most of my investment in Bedside Books is actually not money, but time.

After school almost every day I like to come out here and sort books or go on the computer and email people to see who's got books, who wants books.

It's an ongoing process.

A lot of the time people have books just lying around their houses that they don't want and haven't read in several years.

And so we contact them over the Internet.

People will gladly give us books.

And as you can see here, we have plenty of them.

>> The money we do get comes from grants and contests that I win for my environmental service or community service.

And that money goes into the Bedside Books checking account.

We're not really a high cost operation.

Bedside Books is a non-profit.

We don't really need that much money to function.

Most of the money, most of the spending, goes into gas when we're driving from school to school or shipping or mailing.

And there's some money that goes into keeping up the Web site.

I enjoy running Bedside Books, because I get plenty of books in my house to read and I get to help the community.

So it works out for both of us.

We've started libraries all over the country, even.

And I'm just trying to spread literacy and a love of reading, I guess.

>> The economy only is strong if the cycle of money goes round and round.

Round and round.

Round and round.

Round and round.

Well, you get the point.

>> The amazing thing about money is that it's moving all the time in a big circle.

>> Speak for yourself.

My money just goes away.

>> Well, it might seem like that sometimes, but you have a job, right?

>> Yeah, I work at a grocery store.

>> Okay, so businesses like your store provide goods and services that people pay for, right?

>> Yeah.

>> Okay, so your business needs to buy what it sells from other businesses.

>> Oh, so the money that people use to buy groceries, the store will use that money to restock and pay their employees like me.

>> You got it.

And when it pays employees like you... >> I buy more groceries.

>> And that's what makes our economy go round-- money cycling between business and consumer.

>> So it's like, money is a big cycle.

It's like it's a big round cycle through the economy.

It's moving everywhere.

Do you see what I'm talking about?

It will move from consumer to producer back to consumer.

>> I think he's got it.

>> I says to the guys, says... >> Cash is probably... >> Money moves in a series of transactions.

And now I'm going to talk a little bit more about transactions and how they go around the world.

And that's the last time I'm going to talk about transactions.

Goodbye.

>> Transyackin' With your host, Larry Bling.

>> Hello.

Tonight we're taking questions for a Mr. Carl Prankspotter who just wrote the book It's A Deal: the History of Transactions from Stick with Fire to Online Shopping.

Our first caller is Deirdre from Butte, Montana.

Deirdre, you're on the line.

>> Carl, I am such a big fan of yours.

I mean, the way that you describe how money changes hands and goes from transaction to transaction to transaction.

>> Do you have a question for Mr. Prankspotter?

>> I forgot.

>> What's up, Seattle and the whole world?

>> We are a dance radio station.

We are one of the only eight all-dance radio stations in the United States.

The only funding we have is from our listeners, so please call us up, 206-421-8989, and pledge your support.

>> C89.5 Volume one, dance music.

>> We broadcast 24 hours a day on the radio and 24 hours on our online stream.

What makes this radio station different from all the others is it's run by students almost entirely.

>> C89.5 is Seattle's hottest music.

Everybody has their own responsibility.

There are directors here that have been here longer, but they're still high school students.

And they schedule the music, they do all sorts of things to help run the station.

>> We have lots of postings from people from all over the world, posting about how they love the music we play.

>> This is definitely one of the most fun things.

I look forward to coming into class every day.

>> The kids are fully part of all of the craft and the art of production and on air, but they're also a part of that whole piece that makes it a business.

>> Well, the way we pay for all this stuff on C89.5 is we have pledge drives.

We ask our listeners to donate whatever they can.

>> ...our Spring Drive '07.

Big thank you to Greg in Mill Creek for pledging $150.

And Chris in Auburn pledged $100.

Thanks, guys.

>> We are running Spring Pledge Drive '07.

Our goal this year is $135,000.

>> Our audience understands that.

They understand that they're not buying this stuff-- that they're donating money in order to make the place work.

>> Pledge your support to this unique radio station program.

>> We are a real radio station.

We're on the FM dial.

And as such we've got to have it also work as a business.

And this business has to bring in income, and it has expenses.

>> Thanks for calling C89.5.

May I take your pledge?

>> A successful business makes a profit when it brings in more money than it spends.

And we're no exception.

And it works for a kids' radio station and it works for the largest corporations in America.

>> You may not realize that the majority of us DJs are high school students involved in a rare program.

Yes, very rare.

It gives students experience and hands-on training to prepare for a career in broadcasting.

>> So remember, transactions keep money moving.

>> The important thing is to get the best value out of all that moving and shaking.

When you can do that you're a Biz Kid.

Oh, that reminds me.

>> Oh, no.

Don't read that.

Don't you... don't... >> "To Kaelon, my favorite Biz Kid.

Love..." >> Okay, that's enough.

>> Now, that's a transaction.

>> Transaction.

>> Yeah, I want to start doing transactions, but I'm not sure how.

>> Oh, yes, I see.

>> I mean, do I have to buy no- load mutual funds or just hedge mineral futures?

>> Oh, no, no, no, no.

You can start small by buying a magazine.

>> Ow!

>> Now that's a transaction.

>> These are all fantastic transactions, transactions, transactions.

>> Oh, my... a flying rhino.

>> Dawn from Marietta, Georgia, You are on.

>> Yeah, I want a pepperoni pizza for delivery, please.

>> Well, that is all we have for tonight.

Join us next week.

Thank you, and good night.

>> Hey, do you know a successful business?

>> Maybe you're a biz kid.

If so, we want to hear about it.

Got some video?

We want to see it.

>> So check out BizKids.com to find out all the details, and maybe we'll see you on the show.

>> Yeah, like us.

>> What's so special about us?

>> We're on TV.

>> It does make us pretty special.

>> Yeah.

>> Just check out the Web site.

Because if you're a Biz Kid, we want to hear from you.

>> Production funding and educational outreach for Biz Kids is provided by a coalition of America's Credit Unions, where people are worth more than money.

A complete list of individual credit union funders is available at wxxi.org.

>> Every day, America's credit unions help members with their financial needs and with programs like Invest in America.

It's only fitting that credit unions support Biz Kids because financial education is what we do.

Learn more at lovemycreditunion.org.

Captioned by Media Access Group at WGBH access.wgbh.org