During the live class, Professor Murnane generated economic inputs based on responses from the students themselves, and then examined how the new data influenced the model in question. For instance, he asked students questions about the demand for private schooling. Each question changed an input: the cost of the private school, the quality of the public school alternative, etc. In one particular scenario, he asked students how much they'd be willing to pay to attend a private school. The PITF then used the response data to generate different demand curves (for private schooling) based on how the responses changed with each new piece of information. Students were able to see that demand curves shifted in the way that the theory predicted. This innovation helped students see that economic theory is generated based on real-world consumer behavior.

Teaching Challenge:

Professor Murnane wanted to help students develop a more intuitive understanding of certain economic concepts underlying the A-205 class material.