Luke Skywalker Learns Laws of Demand and Supply

Star Wars teaches us what happens when a new speeder is invented

Luke Skywalker is strong in the force. Even more impressive than this, he seems to intuitively grasp economics!

This video focuses on supply and demand when Luke Skywalker is selling his speeder with Obi-Wan Kenobi in the original Star Wars movie, which was released in 1977. Luke sells his speeder but gets a lower price than what he wants, because the demand dropped. Why? As we discuss in the video, when substitutes are released the demand for a product will fall, resulting in a lower price.

In this video I am joined by joined by Ben Smith, an economist at the University of Nebraska at Omaha, to discuss.

The Star Wars series can teach us a lot about economic concepts, and I am in the middle of series highlighting these economic lessons. Please subscribe to receive updates and share with friends who are fans of the Star Wars series!