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Tell us about your trip to America, Hans.
Yeah, yeah. What did you saw there?
CHILDREN: Yeah, yeah. Tell us, Uncle Hans.
- Quiet, children. Shh. HANS: Ha, ha.
What I saw in America.
Well, first, the boat went into the harbor to the dock...
... where the passengers got off from.
- Hans. - Willie.
Aunt Frida sends by you a present, a Bavarian cheese.
Bavarian cheese. Mm.
HANS: It's good, no?
It's good, yes.
[HORNS HONKING NEARBY]
My, this America, it's such a busy place.
Uh, you ought to see it in the rush hour.
Hey, be careful.
You're in a big town now.
[SPEAKS IN GERMAN]
All those automobiles, so many rich people.
They're not all rich, most of them are just working guys.
Working guys?
With all those new automobiles?
They're not all new, some of them are a few years old.
Well, here we are, Hans, my home.
You live here?
I find it convenient.
Be my guest.
[HANS WHISTLES]
Ah. What conveniences they have here.
Machines just to wash the poker chips.
MAN: Going up?
Second floor. Lamps, clamps, postage stamps...
...roasters, coasters, electric toasters. Watch your step.
What's this? All these people buying? What is?
Uh, that's mass consumption.
MAN: Third floor. Clippers, nippers, bedroom slippers...
...socks, clocks, bagels and locks. Watch your step.
Clippers, nippers, bedroom slippers, all these things, what is this?
That's mass production.
So why all this mass production?
Uh, through mass production, they can buy and sell cheaper.
Why do they have to sell cheaper?
WILLIE: That's why.
Mass production, mass consumption, what is this?
Well, you see, it's like this.
Mass production's created by the competitive market...
...and a high volume and, uh, like that.
I can see this isn't getting through to you.
Come on. I'll take you to a friend of mine. He'll explain it to you.
WILLIE: So you see, professor, he'd like you to explain it to him.
It would be a pleasure to expound this economic phenomenon.
Competition is the driving force that compels a businessman...
...to cut his costs in order to attract the mass market.
For example, the people on this page...
...compete to sell things to the people on that page.
The competition between the people on this page...
...makes prices as low as possible for the people on that page.
Does that straighten you out?
Oh, yeah. Sure, sure. That straightens me out...
...just like a pretzel.
Herr, professor, ich thought ich saw ein pussycat.
Competition makes the businessman try to sell his product...
...for less than his rivals.
To attract customers, a manufacturer must reduce his profit margin on each sale.
But he can only go so low...
...he must then lower his costs. Do you understand?
- Yeah. You understand. Simple, isn't it? - Yeah, yeah. I understand.
Now, to continue.
By efficiency and research...
...the manufacturer reduces costs and improves the product.
He doesn't make as much on each item but he sells more items.
"Machines, markets, medicines, mica, mice!"
Slim profit and huge volume create demand for more production.
Resulting in more employment and higher wages.
Class dismissed.
We are faced with a problem of mouse consumption.
And don't forget...
...all this has raised our standard of living to the highest level in the world.
And now do you all understand mass consumption and mass production?
Understand mass production? I'm a victim of it.
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