Economic value

Economic value is like how much something is worth. You know how sometimes you might have a toy that you really like and you don't want to trade it for something else? That's because you think your toy is worth more than anything else that you could get in return.

The same thing applies to grown-ups too, except instead of toys, they're talking about things like money, goods and services. People have different opinions on what they think is valuable, and that's why economic value changes and fluctuates.

For example, let's say your mom buys an apple for $1. She thinks the apple is worth $1 because she wants it to eat. But if nobody wants to buy the apple from her for $1, then the economic value of the apple is actually less than $1 because nobody is willing to pay that much for it.

On the other hand, if there is only one apple left in the store and many people want to buy it, then the economic value of the apple goes up because people are willing to pay more for it.

So basically, economic value is how much someone is willing to pay for something, and it can change depending on how much people want it and how much of it is available.