"The Little Red Hen" is a classic story. Many children have not had the opportunity to see where a commercial loaf of bread comes from, or to feel the bounce of rising dough in a kitchen. "The Little Red Hen" not only helps to introduce the process, but gives the students an opportunity to reflect how they might feel if they did the work on a project or activity and others expected to benefit. Here, the story is enhanced in order to provide a framework for illustrating and reviewing the concepts of productive resources and incentives. After reading the story, students will categorize resources into land, labor, capital, and entrepreneurship and be able to identify what future incentives the dog, the cat and the mouse will have to help the little hen in her work. Students will have the opportunity to explore bread making. The lesson can be adapted for any grade K-5 and addresses economic curriculum standards 1 (Scarcity) and 4 (Role of Incentives).