Aladdin: A Ring Exchange

In this scene, the King is desperate to find a suitable prince for his daughter, but Jafar offers to help. The cost? The king’s expensive ring. Despite a clear emotional attachment to the ring, the king offers to exchange the ring for Jafar’s services since he believes the Jasmine’s benefit will be worth the loss.

Aladdin: One Jump

Aladdin has stolen a loaf of bread is furiously trying to escape Razoul and his guards. The potential cost of stealing the load of bread is large, but Aladdin notes that he only steals when he has to: “I steal only what I can’t afford.” In this sense, Aladdin is weighing the expected costs against the benefits from stealing the bread and reasons that it’s worth the risk when it means he gets to eat.

Moana: Where You Are

Moana is ready to leave the island, but Chief Tui wants to convince Moana that the village of Motunui is all she needs. The island’s resources are scarce: there are only so many people and so much land. The islanders rely on each other to produce products using the resources that are available.

A second consideration for this video is how it relates to command and control economies or economies that practice arbitrage. There may be other island economies nearby that Motunia could trade with, but they currently only consume everything they produce on their own.

Moana — How Far I’ll Go

Moana laments about how she wants to travel the sea, but her father wants her to stay behind and help her village. Moana wants to travel, but she can’t do it on her own. In order to travel the sea, she requires a variety of inputs like her boat and the wind in her sail. In order to build the boat, she needs wood from the trees on the island, but also some human capital associated with how to build a boat that won’t sink. All of our decisions, and any production that occurs on the island, requires resources. The main resource on this particular island is people’s labor, as they produce a variety of items to ensure society remains intact. As Moana says, “everyone knows their role on this island.”

Beauty and The Beast — Gaston

Gaston is the best man in town, for everything! If you don’t believe that, you can just ask him. In this scene from Beauty and the Beast, LeFou starts a song to help cheer up Gaston after Belle’s rejection. Gaston has an absolute advantage in a wide variety of things)—fighting, spitting, eating a large number of eggs, and even interior decorating. Gaston, however, is a relatively poor chess player. While Gaston is capable of doing everything for himself, it doesn’t mean he should. Gaston can still benefit from trade if he focuses on his comparative advantage.

Thanks to Matt Rousu for the clip!

Frozen: Let It Go

Frozen is the story of two princesses, Anna and Elsa. Elsa has magical powers that she is forced to hide her entire life until her coronation ceremony. Elsa flees to the cold, remote mountains and sings “Let it Go” after finally accepting her magical powers and letting go of the pressure to hold back her true self. When she sings “the past is in the past”, it’s a reminder of the role of sunk costs in the decision-making process. Sunk costs should be ignored because that time/energy/money cannot be recovered in the present.

Thanks to Matt Rousu for the clip.

Tarzan — Strangers Like Me

Jane decides to help Tarzan increase is human capital by learning some new “human” skills. After learning these various skills, Tarzan should be much more productive.

Thanks for the clip recommendation  Courtney Conrad!

Newsies — Unionism & Profit-Maximization

When Mr. Pulitzer decides to raise prices in the distribution channel by forcing the newsies (the newspaper boys) to pay higher prices for a pack of 100 papers, the newsies decide to go on strike. Without raising the price to the final consumer, the price increase essentially just lowers the profits the newsies can collect. They decide to go on strike and create a newsies union to have more monopoly power in the process.

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