An In-Class Experiment to Teach Marginal Revenue Product Using the Baseball Labor Market and Moneyball (Wooten & White)May 23, 2018
Pokémon GO: Applications for the Economics Classroom (Al-Bahrani, Mahon, Mateer & Murphy)December 7, 2018
The gross domestic product (GDP) expenditures approach is an effective way to address the components of GDP. However, when it comes to net exports, textbooks often lack detail. Twenty principles-level textbooks were examined for their treatment of net exports within the GDP expenditures approach. Using a scoring rubric, I conclude that only half provide enough detail for an uninformed reader to arrive at a correct understanding of net exports. In this paper, I will correct misconceptions, make three specific recommendations for improving GDP instruction, and provide a short lesson that can be easily implemented in the classroom.