Life in Pieces — Garage Sale of Gifts

 

Heather and Jen complain to Greg about all the awful gifts that they have received from Joan over the years. They realize this is the time to sell the items at a garage sale, but they can’t sell the stuff at Joan’s garage sell. They decide to host a simultaneous garage sale that focuses only on the bad gifts that they have received. This is a good example to show that the value Joan paid for the gifts will be much higher than the price Heather and Jen could expect to receive from a garage sale, which can be used to show the loss in economic surplus from this exchange.

Life in Pieces — The Stress of Regifting

 

Joan tries to give Jen and Greg a gift certificate for a couples massage because of how stressed they are. It turns out that Greg and Jen had already given her that gift certificate and caught her in the act of regifting the item. Joan claims they didn’t really need it because they were never really stressed so it was better to just give it back. One of the transactional issues of gift giving is that it’s hard to know exactly what the other person values, which creates losses in surplus.

Just Go With It: Negotiation Scene

Maggie (Bailee Madison) negotiates a deal with Danny (Adam Sandler) when he asks her to act like his daughter. This scene does a great job opening a discussion for consumer/producer surplus in a principles class (or economic rent in a labor class).

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