What economic principle is demonstrated when a second-grade class analyzes data from sales to understand which items are most popular?

The correct answer highlights the principle of understanding the concept of supply and demand. In this context, the second-grade class is engaging in an analytical process where they review sales data to identify which items are most popular. This process inherently involves observing how consumer preferences (demand) affect the availability and sales of certain items (supply). By analyzing which items sold well, students are stepping into a fundamental economic principle, as they gain insight into how demand influences inventory and sales strategy.

Understanding supply and demand is fundamental for grasping broader economic concepts, making it especially relevant for students in an educational setting. The activity encourages young learners to think like economists, linking their observations to real-world scenarios where supply is dictated by consumer demand. This hands-on approach helps solidify the understanding of how these two forces interact in everyday commerce.