Categories
Externalities

Cover Your Cough

Negative externalities occur when someone is imposing external costs on others, but not taking into account those costs when making their decision. In this brief scene, a patient in a clinic is shown coughing in front of a poster reminding people to cover their cough. When people are sick, the infection may be spread through the air, which means people choosing not to cover their coughs may be causing others to get sick.

Categories
Externalities

Bug Bombs

Dina wants Mateo to use his connection with the distract manager to get things fixed in the store, but Mateo doesn’t have that privilege. He decides to do the things himself, like fumigating the breakroom and changing parking lot lights, to make it appear as though he does have that privilege. While changing the lights, the ladder falls and breaks Glenn’s car window. While trying to fumigate the breakroom, he uses way too many cans and the fumes are poisoning his coworkers. The hazmat team ends up being called to correct the situation. Multiple people are injured or harmed because Mateo was too embarrassed to admit he doesn’t receive special privileges.

Categories
Health Principles

Allocating a Flu Shot

There’s a long line of customers hoping to get a flu shot, but there’s only one vaccine left. Jonah has been tasked with identifying which customer will get the last flu shot for the day. Jonah argues that it should go to the person who needs it most, which would be an argument based on equity. The next person in line believes that he should receive the shot, which could be an argument in favor of efficiency. Because of the low price, there appears to be a temporary shortage. Rationing and a lack of a market for price adjustments creates shortages and inefficient allocations. The store could raise the price of the last remaining few shot as an incentive to have others return tomorrow for the normal price.

Categories
Externalities

Annoying Roommates

Garrett and Jonah became roommates after a tornado destroyed Jonah’s apartment, but it turns out that their habits aren’t exactly conducive to being roommates. Garrett passively aggressively lets Jonah know that he’s messy when it comes to taking a shower so he buys Jonah a bathmat. In return, Jonah suggests that he get Garrett a pair of noise-canceling headphones since he’s so bothered by every noise Jonah makes. The two go back-and-forth listing the various ways they annoy each other.