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From: BasicEconomics
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  • Deficits and inflation graphs:

    google deficts vs inflation graph market skeptics

  • This guy is out to lunch.

    "In the process of managing this debt they have three tools to manage inflation".

    It is THE Budget Deficit what causes inflation. Everybody talks about 'borrowing from china', but actually half of it is just outright printed by the fed.

    Outlawing deficit spending, but giving the market direct access to the money supply at 0%(instead of through the banks) will solve all this b**s**. Inflation is not the market's fault, that's just a lie made to distract.

  • Overall, good videos. Two points:

    1. I agree with @MooseOfReason. This sort of "inflation" seems unsustainable or very localized. Without increasing the money supply, a rise in the prices of some goods will have to coincide with a decrease in prices of other goods.

    2. I would consider removing the negative portrayals of Obama - no reason to alienate people that might otherwise agree and learn something.

  • Aclass benefit tutorial. Very good

  • It depends on your definition of inflation.

    I preferthe "Inflation is an increase in the money supply not countered by an increase in the money demand".

    So you can have inflation, while no increase in the CPI.

    For instance the extra money can be made on products out of the CPI or imports for instance.

  • @00:20

    HAHA you racist

    I love how as an example of inflation you have a pic of a black guy carrying a bunch of money money!!!

  • This douchebag is an apologise for the bankers who have enslaved the entire population of your country (wherever you live).

    Inflation is caused by the fractional reserve banking system, i.e. COUNTERFEITING by the banks, on a grand scale.

    He doesn't seem to grasp that if a PRIVATE bank can just write money onto its balance sheet, that is counterfeiting, and THAT is what devalues the dollar, i.e. CAUSES INFLATION.

    What a douchebag, he thinks he can get away with this on the internet!

  • Inflation is an increase in the money supply. Nothing else.

    The cost push Keynesian nonsense is not inflation. If oranges get more expensive due to crop failure, weather phenomena or something, other fruits or items will be cheaper.

  • Best lesson on inflation

    thank u

  • Thnx a lot.....gr8 info......

  • So don't empty store shelves in preparation for something dumb like 2012 predictions because that'll cause huge inflation.

  • Another name for "Government Union" = "Socialist Dead Beats" They never pay for anything just socialization of their dead beat spending!

  • Amazing how this person does not discuss overhead cost of government workers. At more than 30+% of the population this group pays no taxes, are completely funded by tax payers and retire at 55 yrs with 80% of pay and medical insurance where the remaining population have to work until 72 yrs and get no free insurance. This cause inflation pressure, debt and deficit spending and reduction in purchasing power and enslavement of the general population.

  • If corporations always maximize profits why raise prices because of income taxes ,they already have the prices that maximize return

  • The four videos that make up Lesson 3 on inflation are a decent look at the way the the subject is generally taught. It is helpful in understanding the assumptions under which the government and many economists operate.

    However, the common usage of the word "inflation" to simply mean a rise in prices is incredibly misleading, and results in a whole host of problems in understanding the subject.

    Please see this video:

    /watch?v=eN7lEMXZRMM

  • Very Helpful and easy to understand!

  • makes life easy, thank you

  • Maybe I'm the one who gets it wrong, but won't the landlord demand as much payment as the renters are willing to pay independently of his own economic situation? Anyways, great video. Thanks for making them :)

  • Some REAL inflation (dollar debasement) education for the producer.

    Google "value of the dollar since 1913" and view the charts illustrating a 95% loss of purchasing power since that time. This is long term, and this is enslavement. Dollar debasement is inflation.

    Your examples of inflation are not true. Your merely pointing out what happens when good crops go bad. This is not inflation. Yes the price goes up as a result, but this is not inflation (dollar debasement).

  • what the frigan heck? u suk

  • MooseofReason is right. Your examples of the increase in the cost of certain things is not inflation.

    Inflation is a monetary issue. Plain and simple. End of story.

    You are using inflation exactly the way that the inflation-policy driven Fed. wants you to, because a blurring of the lines on what is really inflation helps to conceal their actual agenda--which is continual inflation (and I mean REAL inflation through the continual increase in the money supply).

  • Inflation is an increase in the money supply, which lowers the value of money in circulation.

    If the cost of a certain product goes up, like the cost of orange juice as you mentioned, you can't just call that "inflation".

  • yes if you watch part 2 of the inflation lesson, I explain that the money supply is the most significant factor in inflation/deflation. However it is not the exclusive force that promotes inflation.

    The orange juice example is an illustration I used to teach the concept of cost push inflation. I believe I also mentioned substitute goods can defuse the inflationary effect of 1 good going up in price.

    If you watch the entire lesson, you will see your concerns have already been addressed.

  • @BasicEconomics, inflation and rising prices are 2 completley separate things.

    The traditional definition of Inflation is the increase in the money supply. That's it.

    Prices of individual items can rise due to inflation OR other reasons (like you explained).

    But price rises accross the board for a long period of time are only due to inflation.

    .

    If people spend lets say double what they used to on oil, then they have to cut down on other items - which will eventually force their prices down.

  • @BasicEconomics Aye.

    Although I do prefer Mooses definition of inflation.

    But you are right.

  • MooseOfReason

    Excellent definition of inflation.

    Inflation is a fancy word for dollar debasement. Dollar debasement simply means the value of our dollar is going down (worth less).

    As a RESULT, prices go up.

    So to sum this up...

    Increasing prices are a result of dollar debasement.

  • @MooseOfReason you mst be some sort of goomba?

  • @TheMidwestsk8ter Goomba?

  • This makes so much sense, I never thought about it that way...

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