Tag: mergers

Parks & Rec — Verexxotle

In this satirical mock advertisement from Parks and Recreation, a local television station promotes a fictional mega-merger between Verizon, Exxon, and Chipotle. We learn that they have formed one of just eight remaining companies in America by the year 2017. The ad cheerfully celebrates the merger while glossing over the disturbing level of market consolidation.

This clip is a clever and funny way to introduce students to oligopoly and market power. It demonstrates how mergers can reduce competition and concentrate economic power in the hands of a few large firms.

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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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