Burn! The Cost of a Wife

Sir William Walker (Marlon Brando) is sent to break up Portugal’s sugar monopoly on the fictional Caribbean island of Queimada. Walker goes on to incite a revolt among the slaves with the leadership of a dock worker, José Dolores. Walker simultaneously attempts to convince plantation owners to turn against the government.

This is an inspired movie moment layered with cultural conflict addressing the transition in economic theory during colonialisms transition to capitalism and the economic forces at play in the transition from slave labor to wage labor, or as is implied wage slavery.

Walker outlines the cost of taking a wife and compares that with the cost of slave labor. He outlines tradeoffs of the two in an attempt to convince the men around the table that slaves are the better option.

Thanks to Chris Brennan for the clip recommendation!

JoJo’s Bizarre Adventure: Stardust Crusaders — Negotiations

In this anime scene, Joseph teachers viewers how to haggle for sandwiches in a market. While shop owners may try to start with a high price for foreigners (perhaps as a price discrimination technique), requesting lower prices may help identify the sellers’ willingness to accept.  The benefit of trade and exchange is a mutual coincidence of wants. The two are able to find an acceptable trade, and thinks to the storyline, we can even calculate consumer and producer surplus!

Thanks to Lynne Tierney and Edison High School for submitting this! Lynne shared that a student in her class shared this video after going through a negotiation simulation.

Walmart — Negotiations

Each year, children collect their trick-or-treat goodies and then go about trading their candy with each other. This scene from a 2019 Walmart commercial illustrates the concepts of gains from trade, bartering, and mutually beneficial transactions. Each child only trades an amount they are willing to give up and aren’t forced to trade with each other. After the exchange, both are better off than they were before the meeting.

Thanks to Brian Lynch for the recommendation!

Trading a Paperclip for a House

 

Kyle MacDonald started with a red paperclip and ended up with a house. Trade and barter requires a double coincidence of wants, but Kyle was able to find people willing to give up something he valued more than his holdings. Mutually beneficial exchange makes both parties better off. This is a great clip to start the process of discussing why trading can grow an economy and why centrally planned economies are harder to coordinate.

Thanks to @AlcovyEconomics on Twitter for the clip!

T-Mobile — Ariana or Maps?

The driver of the car faces scarcity (limited data). The driver is forced into a decision between streaming music and using maps with her data. At the end of the commercial she chooses maps, leaving Arianna as her opportunity cost.

Thanks to Brian Devitt for the clip and description!

Could Have Had a V8

One of the classic commercials of the 1970s came from V8 (they have updated ones as well!). Unknowing consumers of snacks and sodas realize mid bite/drink that they could have had a V8 instead of their other choice. The concept of opportunity costs is that by consuming an item, you give up the opportunity to consumer something else. A rational individual will pick the item with the highest level of utility, but sometimes we aren’t fully aware of all the alternatives. The individuals in this commercial only realize when it’s too late.

The clip was described in Joel Waldfogel’s book, Scroogenomics: Why you shouldn’t buy presents for the holidays. Dr. Waldfogel also appears in an Adam Ruin’s Everything episode on the inefficiencies of gift giving.

Brooklyn 99 — Cluttered Work Area

 

This clip deals with diminishing marginal productivity of labor. An influx of uniformed officers from another floor of the precinct has led the precinct to become a cramped pigsty, and there is not enough space for each of the workers (“too many cooks in the kitchen”). The detectives now have to spend time organizing the precinct instead of investigating their cases; due to overcrowding, the productivity of the precinct has declined from an additional unit of labor, rather than increased.

Submission and description submitted by Melissa Paton

Young Sheldon — Communism & Bread

 

Sheldon finds that his sandwich tastes a bit different than normal. After a quick trip to the grocery store, he realizes that his local bread company has been bought out by a larger corporation that is looking to make break quickly and cheaply. He doesn’t like this switch and petitions super market customers about getting the local bread company to listen to their customers.

Without realizing it, Sheldon suggests that communism may be a better system because then one central authority can decide the recipe for bread. He assumes bread lines in Russia are a result of great tasting bread, and not the country’s inability to allocate resources. The show is set in the 1980s, which is the midst of a Cold War. Sheldon’s dad gets a spot on the news and Sheldon almost shares how the social security system is similar, but his dad doesn’t give him the chance.

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