Economic Lessons from The Office
Michael Scott has a Budget Surplus - and No Work is Getting Done!
We continue our series examining economic lessons from The Office when Michael discovers he has a $4,300 budget surplus. He shares the news with the Dunder Mifflin staff and they split into two camps: some want new chairs and some want a new copier. Michael Scott holds all the power - and people are being really nice to him. But what does this teach us about rent-seeking, public choice theory, and perverse budget incentives? Watch the video for more!
This is part of a series examining economic lessons in The Office. I'm joined by Dan Kuester from Kansas State University for this conversation.
Key concepts we cover:
* Rent-Seeking Behavior: How resources are wasted on lobbying rather than productivity.
* Public Choice Theory: The unintended consequences of budget policies.
* Perverse Incentives: Why “use it or lose it” budgets encourage inefficient spending.
* We also explore Michael’s leadership style—bribes, flattery, and ego—and how these dynamics mirror real-world economic behaviors. Spoiler: the office isn’t selling much paper during all this!
For More, Watch the Video: