Narration: On a sunny afternoon, William Spellman receives a special e-mail.
Jae-Min's dad: Oh, it's from Sorcerer Joldo in Japan. Let's see...
Jae-Min's dad: William, how are you doing? How is life in Sunshineland? I'm currently living in Japan. Getting used to the human world sounds very difficult, but I hear you're doing well over there. And so am I here. Let's both hope that it stays that way. We should get together sometime.
Jae-Min's dad: So Joldo's doing well. I was wondering what he's been up to.
Jae-Min's dad: Anyway, there's a famous festival taking place in Japan soon, and I'd like to buy 100 of your magic wands. You can send them to me within a week, can't you? The price is...
Jae-Min's dad: Hmm... I wonder why he doesn't just buy them in Japan...
Jae-Min's dad: There's only 4 bottles of wine, I'd better order some more.
Jae-Min's dad: So this is made in China?
Jae-Min's dad: And these invisible balls, too? Oh, they're made in Japan? I thought they were made in Sunshineland...
Jae-Min's dad: Why would we import things from China and Japan when we can make them here? We'd also have to pay for the shipping.
Jae-Min's dad: Hi, kids! How are you?
Jae-Min: Dad, is something wrong?
Jae-Min's dad: Why do you ask?
Jae-Min: Because you didn't even hear us say hello.
Jae-Min's dad: Oh, it’s nothing, I was just thinking. So what are you guys up to?
Jae-Min: We're playing a market game.
Jae-Min's dad: Really? So you're selling and buying stuff? What are you selling, Jae-Min?
Jae-Min: Glitter hacky sacks.
Jae-Min's dad: And what about you guys?
Song-I: I've brought some sandwiches I made at home.
Se-Na: I brought my card collection.
Kang-Ho: My model cars.
Jae-Min's dad: Wow? They all sound great! So how's business going?
Jae-Min: We're only starting. Hehe...
Jae-Min's dad: I'm sure you'll do well. Well, I hope you guys make a lot of money!
Jae-Min: Song-I, can you give me half of your sandwich
Song-I: Sure. Here.
Kang-Ho: I'm thinking about having sandwiches with my friends tomorrow...
Song-I: How many?
Kang-Ho: Maybe five. How much would that be?
Song-I: They're \2,000 each, so 5 of them would be \10,000.
Kang-Ho: OK, so I can have them tomorrow?
Song-I: Yeah, sure. No problem.
Se-Na: I'm going to give my friend a model car as a gift. How many can I order?
Kang-Ho: When do you need them?
Se-Na: Saturday. I have one, but I really want to buy yours. You make them so well!
Kang-Ho: Wow, thanks.
Se-Na: All the kids like the model cars you make, Kang-Ho.
Jae-Min's dad: Different countries buying and selling goods... Why?, this could be... Hey guys, I'm sorry to interrupt your market play, but why are you all selling different things?
Song-I: Well, I sell sandwiches because my friends can't make them, but I can.
Jae-Min: I can make glitter hacky sacks better than any of the other kids. For a cheaper price, too.
Jae-Min's dad: How?
Jae-Min: Well, I can make 10 hacky sacks as fast as most of my friends can make just 1.
Kang-Ho: Same with me. I make all my model cars so they're cheaper than the ones in the store. Hehe.
Jae-Min's dad: Oh, is that so? Then what about Se-Na?
Se-Na: I've collected a lot of magic cards. I don't want them anymore so I brought them to sell to anybody who wants them. I haven't managed to sell any yet though, hehe, maybe they all have their own.
Jae-Min's dad: So you're selling things that others can't make, things you can make better than others or things you can sell cheaper than them!
Kang-Ho: Yeah. I bought a sandwich from Song-I, because she's the only one who can make them. I didn't buy any of Se-Na's cards though. I already have some myself.
Song-I: I haven't bought any cards, hacky sacks or model cars yet, because I don't really play with those things. I might buy some later if I want to.
Jae-Min's dad: Aha! That's it! Kids, do you want to come with me for a while?
Jae-Min: Why, Dad?
Jae-Min's dad: I've just realized something great.
Jae-Min's dad: Excuse me, can I ask you something?
Jae-Min's dad: Is oil produced in Sunshineland?
Employee: No, there isn't any oil here. We import it from the Middle East.
Jae-Min's dad: Oh, I see!
Jae-Min: So we don't have any in Sunshineland?
Kang-Ho: I remember they said on TV how we should save electricity because oil prices are going up in the Middle East now.
Song-I: Yeah, that's right. There's not a drop of oil in Sunshineland. So I think we really better save electricity.
All: Yeah! Let's save electricity!
Jae-Min's dad: Then what do we make in Sunshineland that we export to other countries?
Se-Na: Oh, my dad knows that.
Kang-Ho: Your dad?
Se-Na: Yeah, my dad's company makes and exports mp3 players.
Song-I: Really? Wow, that sounds cool! I'd like to visit his company one day.
Jae-Min's dad: Would it be okay for us to visit your dad?
Se-Na: Well, shall I give him a call?
Se-Na: Hi, Dad. It's me. I was just wondering if I could bring my friends over to your company to show them around? Ok, thanks.
Kids: What did he say?
Se-Na: He says we can come over right now.
Jae-Min: Let's go!
Narration: So the 4 friends and Jae-Min's dad set off for Se-Na's dad's factory, where they make mp3 players... Can they really understand what trading is all about?
Jae-Min's dad: So why are you exporting mp3 players? Can't other countries make them just as well?
Se-Na's dad: No, not always. There are countries that can make mp3 players but some can't. Some of the countries we export to are Saudi Arabia and China. Saudi Arabia imports our mp3 players, because they don't have the technology to make their own. China does have the technology to make them, but they import ours because ours are cheaper and higher-quality. Theirs are expensive to make and low-quality.
Se-Na's dad: We'll export all of these players to the Middle East tomorrow.
Song-I: Huh...? That's strange.
All: What is?
Song-I: Saudi Arabia sells us oil and buys our mp3 players, so they're not losing anything. But doesn't China lose a lot if they only buy our mp3 players? Se-Na's dad: Actually, no. Like Saudi Arabia, China imports our products and we import theirs.
Se-Na's dad: But let's think about it this way. Let's say, in an hour, we can make 100 mp3 players and 60 PS2s. China can make 90 PS2s that are cheaper and higher quality than ours. But they can only make 50 mp3 players, because they don't have the same technology we do.
Se-Na's dad: In two hours, if both countries only produce the products they are best at making, Sunshineland can make 200 mp3 players and China 180 PS2s.
Se-Na's dad: And if Sunshineland exports 100 mp3 players to China then, and China exports 90 PS2s to Sunshineland, that means each country has 100 mp3 players and 90 PS2s. That's beneficial to both of them.
Se-Na's dad: So trading between different countries happens for the countries' mutual benefit.
Se-Na's dad: Does that answer your question?
Jae-Min's dad: Yes, thank you very much.
Kids: Thank you.
Jae-Min's dad: Yes, actually, there was this contest in the Magic World, where we had to make as many magic wands and invisible balls as possible in one hour. Every time Joldo and I entered the contest, I made 10 magic wands and 5 invisible balls, and Joldo made 10 invisible balls and 5 magic wands. My magic wands were also better than anyone else's and Joldo's invisible balls were the best. So, we specialized in what we can do best. After we worked for 2 hours, I made 20 magic wands while Joldo made 20 invisible balls. And I traded 10 magic wands for 10 invisible balls with Joldo. After trade, each of us had 10 magic wands and 10 invisible balls. This was good for us both.
Jae-Min's dad: Well, since invisible balls are really popular, I think it might be a good idea to import 100 of them from Joldo in Japan. So I'll just order 100 invisible balls...
Jae-Min's dad: There, done. Joldo's invisible balls were popular in the Magic World, so I'm sure they'll like them here in the human world, too. Trading to overcome each other's deficiencies is a really good policy. When I go back to the Magic World, I'll trade with other places, so I can get better magic items. Then, I can become really famous for my new magical ability! Muhahaha