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What theories of macro economics can we use while playing the monopoly game?

Economics Dec 14, 2020

What theories of macro economics can we use while playing the monopoly game?

Expert Solution

The board game monopoly, one turns up to be a winner after they have made the rest of the players run out of money by charging and taxing them and other means. The economic theories that one uses when playing the game Monopoly include:

Keynesian theory- Keynesian theory states that excessive saving is a threat to the well being of the economy. In the game monopoly, one has to invest their money in buying a property. When a player keeps on saving money without investing, they will end up spending all the money when they land on other people's investments and will end up bankrupt.

Neoclassical theory- one of the principles of this theory is that people rational choices after considering the values, mostly monetary value, that the preferred choice comes with. In the game Monopoly, players decide on their investments with the hope of emerging winners at the end.

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