inflation rates - how they are calculated

[Tannzyllah]

thnks...it was vriiiii helpful

[tungturungtungtung]

This is so helping! thank you for sharing :) :)

[MrThesandisk]

good and lucid



[magaan4717]

A million thanks to you. I did not know the relationship in inflation to what "the numerical value" of what my Dollar can purchase was all about. Hence, the relationship in what other monetary values had to do with the basket of goods offered.

[TheJasmineee]

i ruv ruv ruv yew!!!

[shakespearenapoleon]

I love all of your videos. I am guessing that you are the economics (micro- or macro-) teacher with the biggest classroom in the world^^

[iycepuff]

This is the best thing to watch...especially when you can't be bothered to read textbooks :)

You sire are... AMAZING. Thank you!

[Supplementreviewdude]

Got my macroeconomic a-level retake tomorrow need a B AGHHHRR

[raikkonenowns1]

@Supplementreviewdude same lol

[Supplementreviewdude]

@raikkonenowns1 how did you find it?

[raikkonenowns1]

@Supplementreviewdude decent, i did Edexcel board :) was much better than jan for sure

[LethalGee]

you have to be the best teacher out there on youtube!!!

[alih15]

Just a quick, would you say CPI hides quality improvments? Like the price of inflation may be low but the goods and services may of increased in quality?

[Supplementreviewdude]

@alih15 Its unlikely that the quality of goods would increase without a change in price, as usually raw material and labour cost would increase in order to imrpove the quality, therefore retail prices would increase to cover the cost.

[CreativeMaster1994]

I replied my survey!

[tepstolog]

Only the FDR Glass-Steagall principle will separate commercial from speculative banking, thus freeing the nation from obligations to Wall St. and the City of London, and re-establishing a credit system for rebuilding the nation.

H.R. 1489, Return to Prudent Banking Act of 2011, is before the House of Representatives, which aims to revive the separation between commercial banking and the securities business, in the manner provided in the Banking Act of 1933, the so called 'Glass-Steagall Act

[sdasdfgdfsg]

"When tobacco changes price some people suffer from inflation"

Hurrhurrhurr

[iycepuff]

@sdasdfgdfsg LOOOL I think what he was explaining was that for those who spend money on tobacco they suffer the ''effect of inflation'' i.e. when tobacco price rises. This is unlike those who do not spend on tobacco where there is no effect. Therefore supporting the fact that individual spending patterns vary, hence CPI is an unrepresentative measure of inflation . MAIN POINT... items in the basket of goods doesn't apply to us all...for some of us item significance=0...i.e. carries no weight.

[TheHooolagon]

You made me laugh at 5:50, hahaha lol

[WoundedEgo]

You are an extremely effective communicator. Awesome. Thanks so much.

May I put a bug in your ear, to consider the "natural resource factor" in macroeconomics? In this day of dwindling supplies of natural resources, it seems hollow to speak as if they are not a factor!

If you have an ocean full of Tuna, you are NOT on a level playing field with a land locked country.

[bryce2197]

When I took Intermediate Macroeconomics we calculated inflation in a simple way. I believe we took the % growth of the money supply - %growth of GDP. Is that an accurate way to calculate inflation or is it just an approximation in either Keynsian or Monetarism?

[thisisouraccount]

YOU ARE A GREAT TEACHER.

[IriaMaiden]

You are awesome!

[Bjornisen]

thanks for these videos! my lecturer is a Swedish grey dude who looks like Freud and has spontaneously stumbled upon the cure for insomnia. In ten minutes you explain things that my lecturer does in 2 grueling hours of gut wrenching verbal diarrhea. cheers!

[sunnago]

This is really useful! especially for lazy students like me that start studying a few days in advance for their economics 101 exam :D At least now I'm hopeful I might actually pass...

[reenz1231]

isnt it 670 goods in the basket?

[MrTobyLangley]

lad

[3293ben]

pajholden is a tank

[18esi]

you are an amazing teacher!!!!! thank you...

[guscus69er]

pajholden saves!

[xCHibiiEverlastingx]

you are so much better at explaining than my crummy old textbook. i only wish you were a maths and psychology teacher too (wait. are you?!). thank you for helping us out :)

[TheAnnaShowUk]

personal inflation rate questions and queries? THERES AN APP FOR THAT!!! (I wish)

[TheGodGibbo]

Thanks for everything. I'm just studying in Dubai and you're a life saver

[qaluuu]

THIS IS EXACTLY THE QUESTION (ME) IB ECONOMICS HL STUDENTS GOT IN PAPER 1 YESTERDAY i.e. 19 May 2010

CHEERS !!!

[cjpsyche]

thanks so much!!! this is really very helpful!!! :)

[TheR3volutionary]

When the different prices for the same good are recorded, is an average taken?

[TheMrchilled]

Excellent video, really helped me understand it all!

[hotlikesummer]

thank you!

[yesiamdaz]

Thank you for your efforts, they were muchly appreciated.

[ashwet124]

somewhat good, could be more comprehensive

[helloweoeoeo]

great video, but you forgot to mention how inflation of one year is compared to the base year, the index number, and etc.

[biraj619]

i was thinking the same

the base yr as 100 and all

[khanpreston1]

suppose real gdp in Usa for year 2000 was 3 million$.

but it increased to 1 million$ in year 2005due to inflation.

so should i say nominal gdp in year 2005 is 4 million$?

[KyoukouSuneku]

Real GDP?

[khanpreston1]

yes

[khanpreston1]

whats difference between real and nominal gdp?somebody said its related to inflation.could u explain?

[FromLastNight]

Dude I really wanna put your videos on my Ipod so I can watch them at school and stuff.

How do I put them on my Ipod?

Plz

[biraj619]

appreciated!

thnk u so much

[vinithful]

Very good.Economics GURU

[bullpies]

nice.

[UpTick21]

Great job!!!!

[tejovamsi]

Awesome thank you. I always go through your vidoes whenever I need clarity on my concepts.

Thank you for such great videos

[heleadstheway]

Hey, thanks for taking the time to put these mini lessons up, they're REALLY helpful.

[Iant2]

You are simply the guy!

[Password6201]

lol i like how u just walked out at the end, classic

cheers!

[naturaladornments]

Thank you! I have an A in Macroeconomics because of you

[sarroooj]

Thank you

[Beetowa2]

Wow. I am amazed that you were able to explain all of that information so clearly within ten minutes. I know you've heard this a lot, but I understood everything perfectly and I am so thankful that you have posted these videos! Thank you!

[muziquethatflows]

dude i accidentally gave u a two out of five stars....ure a five especially after the example of no existence of a perfect household with 2.4 children, 1/2 dog or something...that was funny.....it was in the individual spending patterns....

[ikydon]

very helpful i love uu thanks 4 taking time 2 put these up!!

[Kirklb]

Thanks for your time putting up these videos, they really help me validate what i have learnt at college!

Again thanks, really usefull :)

[londonpie72]

Wow thank you very very much as i find your lecture video very helpful as i dont understand my lecturer but i UNDERSTAND YOUR VIDEOS THANKS A MILLION

[Mediterraneanblue9]

that was interesting

[Decebal825]

i agree with veriappelsiini.

and what about the 5th weakness? government & central banks conflict of interest.

the 2nd most important job of central banks are to manage inflation EXPECTATIONS. so they must deliberately understate inflation so as to maintain confidence in their fiat money.

the most important job of the central bank is to create inflation.

[mysticme27]

You got me through Microeconomics last semester and you are helping me in Macro- Thanks for paying it forward. You are a true teacher, meaning you are great transmitter of knowledge.

[smokes90]

Very helpful, Thank you very much

[veriappelsiini]

Inflation doesn't mean a rise in prices but rather a rise in money supply (a rise in money supply weakens the currency and thus the prices are rising). If we were under a gold standard, the money supply would be constant and thus there would be no inflation.

[RealBloppy]

it would be constant unless there were a change in the gold supply correct?

[cathy2708]

can't you come to tilburg university and teach there?

we sure could use a great teacher like you!!

[pajholden]

I suppose they are trying to stimulate borrowing - banks need to be able to borrow from each other and they need consumers to be prepared to borrow as well.

[YoUtiups]

I really love all of your lesson.Can you explain why all the central banks across the world are cutting their interest rate?I do understand that by cutting interest rate, the central bank can curb the inflation and the whole economic will be more efficient.But what i can't understand is that why people are saying that the main reason for central bank across the world cutting their interest rate is to lend support to the battered US economy ? In what way is that it's going to happen?

[maporteous]

absolutely awesome mate, watched all yr vids and have all helped massively for exam prep . ten fold better than my lecturer. cheers again !!!

[jonyoul]

stirling stuff thanks a lot

[msstarrynight]

Thanks!  It helps!