No, Rick Santorum, We Don't Need a Little Inflation

[saintearth]

We had all better shit or get off the Santorum.

[aaaaaaaaaa8920]

Santorum is a complete idiot. It is embarassing!

[NosoCOMINSOON]

@aaaaaaaaaa8920 Which is why he is a perfect presidential candidate.

[harleykman]

Damn

.

Ph. D. guy demolishes idiot talking head Rick Santorum

.

[grapevinelane]

The state of the Israeli Govt and this sickening love for that Jewish state created in the Holy Land in 1948-1949 and their dual citizenship cronies here in the USA are brainwashing our Christian politicians to the point of absurdity and dangerous to our national security.

[grapevinelane]

Santorum obviously is basically an ordinary family guy who is very religious. He's not exceptional in intelligence, he reminds me of an overgrown snobby punk boy. To even consider him for president of the United States of America would is a disaster in the making. American voters are becoming more mindless everyday.

[frogman92981]

@grapevinelane ya....he always looks like he's gonna cry...it makes me want to punch him in the face

[SirTenenbaum]

The most horrible economic fallacy that almost everybody believes is that consumer spending and monetary creation lead to economic growth. If you don't understand why this fallacy is wrong, you need to research more.

[SirTenenbaum]

Wow. People just don't know things--including the people who are president of the US or are running for the US. "You always want some inflation" is what Santorum said?! "The dollar has always lost value" is what he said?! This is why you need to educate yourself first and then educate others.

[KillBaddBugz]

Santorum will be the next weak link to drop out of the race. And rightly so.

Ron Paul 2012

[alistairproductions]

First you inflate, the you deflate, and then you've got santorum! eww

[erentheca]

Tom, what's going on with Google and Mozilla? Google wouldn't let me get to your website, and Mozilla popped-up a "StopBadware" message that I had to navigate through just to get to your site.

[RockAFellerX]

Google let me through, but only after I clicked through two pages worth of warnings advising me that suspicious activity had been detected. Probably worth getting with the site admin.

[baryonyx550]

Correct me if I'm wrong, but does inflation promotes spending, and deflation promotes saving?

[erentheca]

@baryonyx550 That sounds about right to me :D

[RockAFellerX]

@baryonyx550 That is correct, and by extension, inflation also promotes debt. If the dollars I borrow from you today are worth more than the dollars I will have to pay back to you tomorrow, I will borrow all I can. This is why the Fed and governments absolutely insist on targeting what they call "healthy inflation."

[Slipknotyk06]

@baryonyx550 - inflation does not promote spending. When inflation hits, the savings of individuals become worth less over time. In order to adjust, the individual has to save more, and spend less (including the all-important investment spending).

Deflation promotes both saving, and investment spending, because it is the equivalent of giving people a raise over time. They spend more on consumer products, while taking out less debt. More individuals also have money left over with which to invest.

[moybutter]

The gold standard has its merits, but it is not perfect. Meaning that it cannot ultimately prevent inflation or deflation. For example, if the supply of gold increases prices will rise as if the money was printed. If too much money leaves the economy or economic growth/output exceeds the money supply then you will have severe deflation as was experienced in the late 1800's. So I do not advocate a strict gold standard but I like it much better than what Bernanke is doing. Discipline is needed.

[signal899]

@moybutter Yes, but it is hard to call more gold flowing into your country a bad thing at all since gold is intrinsically valuable, as opposed to paper, making you more wealthy! Same with economic growth, when is it ever a bad thing? Like he said, in history there is no correlation between deflation and depression.

[megatherium100]

@moybutter You are right in that regard, when the spanish conquistandors came to what it´s now latin america, a lot of gold and silver went back to the spanish motherland and because it was so great the influx of those precious metals, they experience hyperinflation and that´s what brought down the spanish empire. That being said, it was a very peculiar event in the history of the world that most likelihood will never occur again

[patgoodall1]

Tom Woods is THE MAN!

[garrethdavis]

Thank you

[realjoeplummer]

For those who want more information on how our so-called "Federal Reserve System" operates (how it drives prices up, creates booms and busts, transfers power from the productive class to the parasitic class, creates inescapable debt, etc.) there is a short / free book available online. (Google "Meet The System")

[MrRickroll23]

Healthy inflation is needed for GDP growth. He is right about needing inflation but only should grow about 5%.

[leafwatch]

@MrRickroll23  Did every historical and academic reference and every fact and concept in the video elude you? Why do you parrot an ignoramus like Santorum?

[thetimman00]

Any gangster can tell you that if you skim a small percentage off a large amount of money, you will be enriched well beyond your real value. Seems like not much to Joe Bag-o-donuts.

[P0LICEstateWATCH]

@TheHomelandDefender go crawl back under the rock you came from TyrannyDefender

[theCrimsonBeard1]

@TheHomelandDefender Well, I can't argue with that logic. QED.

[nurbSoldier]

@TheHomelandDefender because you say so?

[BIackOp]

@TheHomelandDefender Not a valid argument.

[mala265]

I always look forward to your videos. You could never upload to many.

[VaudevilleVillain]

Santorum disliked this video.

[SuperSneakySteve]

PAUL / WOODS 2012!

[annajanek1]

Ron Paul 2012!!

[olhsaoagpaigfbp]

Drug market shows supremacy of free markets,it is illegal so it makes it a high risk businesses and makes it expensive,but other than that there are no regulations,never had any large scale long-term market crashes or recessions(ie.police busts dealer in a city and drugs are not available for few days and prices rise until new dealer starts dealing),and yes there are illegal drug stock markets,we should use drugs as currency. I personally never traded or consumed illegal drugs.

[LiveFreeorDieReport]

well done once again

[thumm99]

The one dislike is Barrack Obama

[KiwiTomCrawford]

GTFO america, this morning in my country of new zealand, under the orders of the FBI, 3 new zealand citizens were arrested from their homes in new zealand, these are the founders of the megaupload website, a website that up untill this morning made up 4% of the entire global internet, a website with 1 billion induvidual users and 50 million daily users, endorsed by many celebrities including kanye west, lil john and chris brown, they were arested for violating PIPA which isnt even law yet!!!!!!!

[eviljagtech]

@KiwiTomCrawford don't yell on you tube about that, we the people can't do shit about what our stupid (very stupid) Gov is dong around the world atm. You should be made at your own country for not protecting it's own people and kicking them out. Instead they let them come over and arrest them, i don't agree with that BUT we have little power to stop them from doing that, your country should have arrested them, them being the American police force that came over.

[milo476]

Next- Rick Santorum on the Twin Paradox of Special Relativity.

[Columbasta]

Looking good Tom! And as always, talkin' straight ;)

Kind regs from Holland, Amsterdam

[KenMacMillan]

But Tom, We're American'! Our greatness outweighs the laws of economics!

[dynamicwellness33]

Tom you have lost weight, I can see it in your face! Keep up the good work!

[cowboy1165]

@dynamicwellness33 Probably from chasing the kids around the house.

[carcabe]

Ron is the only candidate on either side who has a clue about economics.

Ron Paul can and will win IF we all get behind him and give it our all. One man can't do it alone. This is our fight, our cause, our future. The Founding Fathers pledged "our lives, our fortunes and our sacred honor". It will take nothing less today.

Give something. Do something. Then repeat.

ronpaul2012(dot)com ronpaulcountry(dot)com

[emmit127]

Did anyone try to access tomwoods.com yesterday? I was getting repeat malware alerts from multiple computers/browsers.

[titan13131]

Tom, didn't you know? a little inflation is good but a lot of inflation is bad, duh =)

Stealing a little purchasing power = good for the economy. It'a a negative for the economy when people start to notice it and complain about it. Funny that.

[joepeeler34]

Santorum thinks that an economy can't grow without inflation, which he defines as higher prices/higher wages. Inflation is an increase in the money supply with the EFFECT, all else being equal, an increase in prices.

We should always refer to monetary inflation as inflation and prices rising as price inflation so that the public grasps the difference. Santorum certainly doesn't.

[titan13131]

@joepeeler34 I have noticed that prices going down often seems to be classified by economists as deflation. But sometimes it's just prices going down, which happens with improved technology and greater investment into capital goods. Real deflation is a retraction of the money supply. Prices going down does not automatically equal deflation, it could just be prices going down, which isn't a bad thing at all. Prices going down means increased purchasing power and a little inflation steals that.

[TrippingTheTube]

Thanks for the video and the education Tom!

[mbarkhau]

Nice selection in the Background: Mises bust, Conceived in Liberty I-IV by Rothbard, Classical Economics (Vol II of Austrian Perspective on the History of Economic Thought) by Rothbard The Roosevelt Myth by Flynn,

New Deal or Raw Deal? by Folsom.

I can't make out the other three.

[countergnom]

santorum (san-TOR-um) n. 1. The frothy mixture of lube and fecal matter  that is sometimes the by-product of anal sex.

[pretorious700]

@countergnom eeeeeehhhhhhh

[biggernworse300]

Hey Tom .. Keep up the Good Work ... i'm probably dumber than rick auditorium when it comes to the economy but jeez even i know that inflation is bad. Oh and Ricky boy might want to look up the definition for the word Money .. lol

RonPaul2012

[irishbug14]

When I was taught in high school (public, yes, but it's not like private schools are teaching Austrian economics, are they?) that inflation could be a good thing, that NEVER made sense to me. To me, that was like saying getting shot in the foot could potentially be beneficial. Idk, I don't claim to be an economic expert, but I know more than Santorum, THAT's for sure.

[jjenson2006]

@irishbug14 It's not that he's stupid. You have to understand that politicians have a vested interest in inflation. Their salaries come from taxes. When taxes go up, people always blame the politicians. This is why they like inflation. It enables them to get more money without increasing taxes directly. When you're in the private sector, greed is good....but when you're in the public sector, it is not. It takes a REAL honest man to be beneficial in the public sector; this is were Paul comes in.

[vjc333]

Looking good, Tom!  Glad to see Paleo is going well

[TheLegalImmigrant05]

What a douche :)

[pretorious700]

Santorum is an idiot.

[nemo227]

@pretorious700 . . . and he has "followers" too. Ooohhhhh, crap! (as HellBoy would say)

[RustyIronloins]

@pretorious700  how about a "bigoidiot"?

[stevesweet55]

Tom is one of the best when it comes to Economics!

[kylben]

Oh, c'mon.... just a teeny bit?  Pleeeese?

[randumbusername]

Santorum just repeating the same info I was taught in public school.

[sadkins1]

@randumbusername I was just thinking about my highschool econ class, in which we were all taught: Is inflation a bad thing? Not necessarily - it may be the sign of a growing economy. Verrrry goooood.

[TWSceptic]

@randumbusername Looks like he never evolved from that level of economic understanding. Not that he evolved from any other level of understanding, the guy is an idiot.

[arcanekrusader]

@randumbusername You shouldn't have shared that info with him.

[BenjaminWirtz]

@randumbusername

Yep and I was also taught that a little unemployment was a good think, didn't think it was right even back then.

[kiffter]

True

[qtutoringhelps]

Good, clear explanation - thanks for the video.

[trick29420]

Yup.

[iannetta11]

Constitution for the United States of America

(Sept. 17, 1787 – Constitution Day)

Article I

Section 8. The Congress shall have Power To coin Money, regulate the Value thereof, and Of foreign Coin, and fix the Standard of Weights and Measures.

Section 10. No State shall coin Money; emit Bills of Credit (paper money); make any Thing but gold and silver Coin a Tender in Payment of Debts.