The “high school algebra” laws of exponentiation fail in the ordinal arithmetic of sets that generalizes the arithmetic of the von Neumann ordinals. The situation can be remedied by using an alternative arithmetic of sets, based on the Zermelo ordinals, where the high school laws hold. In fact the Zermelo arithmetic of sets is uniquely characterized by its satisfying the high school laws together with basic properties of addition and multiplication. We also show how in both arithmetics the behavior of (...) exponentiation depends on whether the empty set is an element of the base. (shrink)