The economic concepts of market formation, industrial organization, and the behavioral implications of market structure are difficult for students to conceptualize. In this paper, we establish an interactive entrepreneurship game that can be played in a single class period. This game introduces the concepts of entrepreneurship, markets and equilibrium price formation, and firm profit. In a single class period, students form markets and observe “the invisible hand,” form collusive cartels, and see competitive profit driven to zero. In addition, the game can be easily extended to bring new economic topics into the existing framework over the entire course.
Daniel M. Settlage and Jim R. Wollscheid