The Economics of The Office
Learning economics from the world's best boss
Huge Turnaround for Profit
Dwight corners the market on Princess Unicorn dolls! This is a good opportunity to discuss the relationship between expected future prices and changes in demand. Dwight knew that the demand for these dolls would increase as Christmas drew closer. Advanced students should be able to draw a supply and demand graph for this market and see that in the very short run the supply of this good is perfectly inelastic in the Scranton area. This makes the profit opportunity for Dwight even greater.
Season 5 Episode 11 "Moroccan Christmas"
Information and Market Efficiency (G14) Microeconomic Behavior: Underlying Principles (D01)
FaLaLa CaChing
Dwight corners the market on Princess Unicorn dolls! This is a good opportunity to discuss the relationship between expected future prices and changes in demand. Dwight knew that the demand for these dolls would increase as Christmas drew closer. Advanced students should be able to draw a supply and demand graph for this market and see that in the very short run the supply of this good is perfectly inelastic in the Scranton area. This makes the profit opportunity for Dwight even greater.
Season 5 Episode 11 "Moroccan Christmas"
Information and Market Efficiency (G14) Microeconomic Behavior: Underlying Principles (D01)
Arbitrage
In this example Dwight exploits an arbitrage opportunity. He buys a good at a low price and then sells it at a much higher price. We think in efficient markets consumers or firms will look to exploit these opportunities until they no longer exist.
Season 4 Episode 16 "Did I Stutter?"
Information and Market Efficiency (G14) Microeconomic Behavior: Underlying Principles (D01)
Babysitter
In this clip, Jim and Pam discuss how difficult it is to find a good babysitter for their kids. They are only willing to hire a babysitter with highly specialized skills. Therefore, they should be expected to pay a premium price for a sitter. It's not that there is a shortage of available babysitters as much as there is a shortage of sitter who have demonstrated the skill set they think is required.
Season 4 Episode 3 "Andy's Play"
Information and Market Efficiency (G14) Microeconomic Behavior: Underlying Principles (D01)
