5 Economic Principles My Kids Learned on Halloween

Trick or treating has long been something children do each and every Halloween. The act of trick or treating might not treat them about trading, but the trading of the candy that they do with friends and siblings just might. When children are trading candy, there is negotiations and coercion. Just like there would be in a real trade situation. If you try to give up a certain piece of candy that isn’t as valued as another, this would be a bad trade.

Key Takeaways:

  • Halloween is a strictly voluntary affair. Neighbors decide if the enjoyment they get seeing kids in costume is worth the time and money spent on giving out candy.
  • Opening up trade to more participants broadens the variety, quality, and amount of possible exchanges. Restricting trade to within our borders limits our personal and collective gains.
  • The value of things we trade for is subjective. It does not reflect any inherent value of a particular item, but rather the value we ascribe to that item.

“While Halloween was more subdued than usual, my children returned home from trick-or-treating with a large bounty to trade among themselves and with neighborhood friends.”

Read more: https://fee.org/articles/5-economic-principles-my-kids-learned-on-halloween/