In this quick Axe commercial, we can observe both positive and negative externalities associated with cologne use. The original wearer didn’t realize the (good and bad) impact the second elevator guest would receive from his use of Axe Body Spray, and thus didn’t take that into account when he was applying it.
US Bank Pay a Person — Unobstructed
This was a great commercial from US Bank, which I use to talk about externalities and transactions costs.
Verizon: Inspire Her Mind – Extended
“Our words can have a huge impact. Isn’t it time we told her she’s pretty brilliant, too? Encourage her love of science and technology and inspire her to change the world.”– Reshma Saujani, Founder of Girls Who Code
This commercial is a great starting part for the unseen discrimination that we impose on children at an early age.
AT&T: We Want More
I use this clip in a couple of different ways. One of the weirder demand shifters is the idea that tastes and preferences can shift the demand curve. This commercial from AT&T is a great example of that concept: “you really like it, you want more.” The preference shifter is that you’ll consume more (demand increases) when you start liking things and then you’ll consume less (demand decreases) when you don’t like things anymore. I also use it a bit in my upper-level course when I get to the idea of indifference curves being mapped in a good-good space.