Abed is running the fryer in the cafeteria and is in charge of the most popular item on the menu: chicken fingers. The school’s Spanish teacher wants those tenders and trades Abed for a box of tenders. The exchange? A 10% bump in his study group’s grades. Exchanges can be achieved through a barter system when someone has something that the other one values. This double coincidence of wants is required for a successful exchange.
Castlevania — The Importance of a Ship Captain
Issac and his friends are in search of a ship and finds a captain who isn’t current sailing. Issac threatens to kill the Captain and take the boat, but the Captain reminds him of how important it is to have the captain on the boat since he knows how to actual sail the boat. Isaac thinks that sailing a boat can’t be that hard, but the Captain points out that sailors exist for a reason. He is willing to sail Isaac and his friends as long as he is paid and promised not the be murdered. This scene is a good example of the double coincidence of wants and the importance of specialization and trade. The Captain has years of experience sailing ships while Isaac does not. It’s worth it to Isaac to trade coins for the Captain’s skills.
Thanks to Bryan Sloss for the clip recommendation
American Express — Tina Fey
In this American Express commercial, Tina Frey highlights the economic concept of gains from trade. A man in front of her gets the last goat cheese garden salad, but she really wants that salad. She has to figure out what he might possible want from her. She offers to buy his movie and include her snack box if he’s willing to exchange the salad that he had just received. Both parties benefit from their ability to trade with each other.
Thanks to John Raby for the submission!
Adam Ruins Manufacturing
A lot of the recent discussion on the manufacturing industry has framed the loss of employment as a reduction in manufacturing capacity. The US manufactures more physical goods than ever, but it’s using labor as the primary input. In this segment of Adam Ruins Everything, we meet Hank who has recently been laid off from his job at the factory. In an earlier segment, Hank and Adam discuss major economic measures like GDP and Unemployment. In this segment, they discuss some of the misperceptions about manufacturing.
Adam Ruins Everything is a half-hour informational comedy where host, Adam Conover, debunks popular myths. Each episode is divided into 3 segments with some common themes. In the Spring of 2018, James Tierney and I sat down to go through all three seasons of Adam Ruins Everything to pick out examples in each episode that could be used in an economics course.
In the Summer of 2020, the paper was officially published in The Journal of Economics and Finance Education, which you can read online.
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!
Scrooge McDuck & Money
In this animated short from the Walt Disney Company, Uncle Scrooge discusses the history or money and the importance of money in the overall economy. There are A LOT of great teaching opportunities in this clip and would make a great summary of a money supply lesson or a required video to be watched before the lesson.
Opening to 7:15
History of Money
Huey, Dewie, and Louie visit Scrooge McDuck and request that he help them save the money they had earned. Scrooge goes through the history of money and discusses the role of salt as the original salary that Roman soldiers received. He then goes on to describe money from other societies and why money was important following original barter economies. The characters even discuss the role of money as a medium of exchange!
7:15 to 9:59
Inflation
After learning of the importance of money in the economy, the brothers question why central banks don’t just print more money if everyone wants it. Uncle Scrooge discusses the role of fiat money and why it’s important for the money to be backed by something or someone who can promise to pay the notes that are printed.
10:00 to 13:20
Financial Planning and Taxes
Uncle Scrooge teaches the brothers about the importance of budgeting. People need to make sure that they allocate a portion of their income toward rent, food, and other necessities. He also teaches them about the role of taxes and how important it is for governments to have a budget and make sure that they collect taxes to pay debt.
13:20 to End
Velocity of Money & Investment
The boys are curious why Scrooge keeps so much money in his vault if he tells them that it’s important to put money “to work.” He teaches them that the money in his vault is just his petty cash and then goes on to discuss the importance of money circulating through the economy. The ending portion discusses the role of corporations issuing stocks and shareholders collecting dividends. At the end, he signs the boys up to manage their funds, but charges them a fee. The boys aren’t happy, but he laments that “nothing is ever free.”
LetGo — Lawnmower as Money
In this Super Bowl ad, a bar patron tries to pay for a round of drinks with a lawn mower, but this has apparently been an issue before as the bar has a sign that lawn mowers aren’t accepted. This clip is a good, quick introduction to the role of money in an economy and why bartering would be hard to accomplish.
Thanks to Brittany Pifer for the video
CNBC — USMCA Overview
CNBC Power Lunch provides an overview of the major differences between NAFTA and the USMCA agreement, particular when it comes to automobiles, access to Canadian dairy markets, and changes in product markets from technological advances.
Rick and Morty — Bartering for Bread
The clip shows a good example of the double coincidence of wants and how a barter system is difficult to maintain. The seller of bread needs somebody to take care of his kids and the guy who can take care of his kids wants extra bread. They need what the other has and have what the other wants. The trouble is determining how much work is appropriate to get a loaf of bread and then managing the system to make sure everyone gets paid.
Thanks to Mathew Abraham for the suggestion
Boss Baby — Gains from Trade
Tim doesn’t like green beans, but his baby brother sure loves them. Whenever the parents leave the kitchen, the boys realize there’s an opportunity for trade. The Boss Baby knows he needs a favor in exchange for eating his brother’s beans because he isn’t just giving away his services for free.
Thanks to Catherine Madrid for the reference!