South Park FTW on Economics and Gullible Old People

[falconplayer11]

Apparently last night's South Park episode had some great economic insight. Thought I'd share the article with you guys.

http://hanseconomics.com/2012/03/22/...ark-economics/

Imagine an entrepreneur really finds out some business venture is making large profits by taking advantage of people. Imagine he is as depraved as Cartman, and he enters the same line of business, what would happen? First, he would drive prices down to compete with the home network. As there is a large discrepancy in the cost and asking price, this would certainly happen. Second, the price of the cheap jewelry would go up as Cartman (and other businesspeople) increase the demand for cheap jewelry. As a result of this arbitrage, the profits the home shopping network makes would disappear.

It’s unclear if South Park was trying to make this point, but they certainly laid the ground work for it. Stan’s dilemma with his grandfather was a family issue with economic repercussions. Imagine the limitations of a government solution: a new law that would take ages to pass and get votes, and months more to implement and enforce. And after all that, Stan’s grandpa would still look for a cheap way to buy his grandson’s affections.

A better solution is the one provided by markets. Let entrepreneurs like Cartman (however disgusting) bid the price of jewelry sold to the old folks down and the cost of the jewelry from India up. This would eliminate the profits. It’s a chilling conclusion, but in their haste to take advantage of people the scumbags stop making windfall profits.

[dannno]

I haven't seen the episode yet, but it wouldn't surprise me if South Park is the only show on TV to get anything right on economics.

[Athan]

I haven't seen the episode yet, but it wouldn't surprise me if South Park is the only show on TV to get anything right on economics.

That can't be right. I'll figure a way to refute this. I can't think of one right now though. Oh god... there has to be at least one possible TV show.

[eduardo89]

That can't be right. I'll figure a way to refute this. I can't think of one right now though. Oh god... there has to be at least one possible TV show.

I was thinking the same, but really can't come up with another TV show that's as economically or politically "savvy" as South Partk

[Schiff_FTW]

I was thinking the same, but really can't come up with another TV show that's as economically or politically "savvy" as South Partk

I don't know, I remember the episode on the bailouts was pretty bad, IIRC the moral of the story was basically that infinite credit can be created without consequence. Trey and Matt definitely seem more like 'Reason' libertarians as opposed to austrians.

edit: last night's episode was pretty good / brutal toward the Home Shopping Network. The week's before lampooning the TSA was even better.

[eduardo89]

I don't know, I remember the episode on the bailouts was pretty bad, IIRC the moral of the story was basically that infinite credit can be created without consequence. Trey and Matt definitely seem more like 'Reason' libertarians as opposed to austrians.

edit: last night's episode was pretty good / brutal toward the Home Shopping Network. The week's before lampooning the TSA was even better.

They're not perfect, but at least they have their moments. The TSA episode was great.

[enoch150]

I don't know, I remember the episode on the bailouts was pretty bad, IIRC the moral of the story was basically that infinite credit can be created without consequence. Trey and Matt definitely seem more like 'Reason' libertarians as opposed to austrians.

I thought the point was to pay down debt and stop buying stupid stuff, but to not stop buying things entirely because when people stop buying things entirely the division of labor reverses and we end up living in the stone age.

Everything on the Treasury Department chart was a bad idea:

[farrar]

I don't know, I remember the episode on the bailouts was pretty bad, IIRC the moral of the story was basically that infinite credit can be created without consequence. Trey and Matt definitely seem more like 'Reason' libertarians as opposed to austrians.

edit: last night's episode was pretty good / brutal toward the Home Shopping Network. The week's before lampooning the TSA was even better.

They are not very economically literate so they got help from their uncle who is an economist of the Keynesian persuasion. Don't watch south park for the economics. The social issues can be heart warming... or embarassing depending on who else is in the room. My god do they push boundaries. lol.

[onlyrp]

I don't know, I remember the episode on the bailouts was pretty bad, IIRC the moral of the story was basically that infinite credit can be created without consequence. Trey and Matt definitely seem more like 'Reason' libertarians as opposed to austrians.

edit: last night's episode was pretty good / brutal toward the Home Shopping Network. The week's before lampooning the TSA was even better.

Reason libertarians are not Austrians?

[BamaAla]

That can't be right. I'll figure a way to refute this. I can't think of one right now though. Oh god... there has to be at least one possible TV show.

Breaking Bad...supply and demand at work.

South Park is a real gem; although, it has gone down in quality in the past few years imho.

[devil21]

Breaking Bad...supply and demand at work.

South Park is a real gem; although, it has gone down in quality in the past few years imho.

They used to be more about lampooning celebs and pop culture. Now the show is somehwat more big picture, politically oriented. I can't even remember the last episode that a celeb was skewered.

[dannno]

lol, the kid who wrote that article studies economics at a city college and has a better understanding of it than most pHDs in economics.

[onlyrp]

I like how this episode illustrates the price of free market, gullible people will waste money. Which is probably a good thing to some people here.

They tried to show something wrong with how gold is recycled back and forth, when in fact, that's the BEST part of it. Think of all other things you buy which have no recycle value.

[BlackTerrel]

It's a pretty brilliantly done show - I don't think their point is always clear in one episode and many times they'll take multiple points and show the logic and false logic of both sides but what I love about the show is it has at time made me question my opinion on certain topics - that's pretty rare for a TV show - and the fact that it started as this gross out cartoon (and in many ways still is) is pretty incredible.

[Ricky201]

South Park is about Anti-Authoritarian as you get. They've stood up for big tobacco by addressing how things like smoking bans are a form of fascism. They've stood up for big business and though they definitely have a tongue cheek way of supporting the LGBT community, they had an episode where Big Gay Al basically explained that it was okay for the Boy Scouts to not allow gays be scout leaders (even though they probably didn't take notice that the scouts aren't completely a privately funded organization...but the point was very libertarian in message).

As Penn Jillette said, the creators are some of the most moral people out there with their triumphant stances on freedom of speech and association. As well as individuals making decisions without interference from the nanny state.

[Keith and stuff]

They've stood up for big business and though they definitely have a tongue cheek way of supporting the LGBT community, they had an episode where Big Gay Al basically explained that it was okay for the Boy Scouts to not allow gays be scout leaders (even though they probably didn't take notice that the scouts aren't completely a privately funded organization...but the point was very libertarian in message).

Maybe that issue was related to the news stories about how the Boy Scouts gets welfare as it is allowed to rent out government land for free.

[eduardo89]

South Park is about Anti-Authoritarian as you get. They've stood up for big tobacco by addressing how things like smoking bans are a form of fascism.

http://www.southparkstudios.com/full...07e13-butt-out

funny episode