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fiscal policy and the multiplier effect

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Uploaded by on Aug 22, 2008

how does fiscal policy work for a government? Why does the multiplier effect make demand management so difficult?

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Education

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Uploader Comments (pajholden)

  • You sir, are the Feynman of Economics!

    Thanks. I shall hope to pass my exam with flying colours with your videos this week!

  • @123conundrum That is the nicest (though undesreved) compliment I have ever received! Thank you so much and best of luck with those exams. Phil.

  • Καλη συνεχεια! Τα βιντεακια σου με εχουν βοηθησει πολυ σε επαναληψεις

  • @kotsaris87 efharisto file mou. Eimai eftihismenos me ola afta comments - kai dikia sou. Pou easai; Athina; Pou spoudasies;

Top Comments

  • A day before my exam, you've taught me more than my teacher has in a year!

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  • from now on you are my economic teacher !!!!

  • Suddenly my entire AS economics course makes sense!

  • Wow. Phil Holden you are a demigod.

  • I love how I understand everything and Im doing IGCSE :D

  • I love how you can explain something in 9 minutes better than my AP Econ teacher can in 2 hours.

  • Simple question... My Economics teacher says that if the National expenditure in a closed economy C + S is=100, L= 20, C= 80 the multiplier (1/MRL) is 5 (1/0.2)... then total output ( National Expenditure, The Arrow on the left of the CFI) Would rise to 125 from 100... How? Cos I would have presumed that the increase would be 1/5 of Output + total Output which would = 120... not 125?Sorry for my abysmal vocalisation of my problem... If anybody can explain, it would be a huge blessing?!?!?! :)

  • i think i'm in love with you ; ) thank you so much for everything.. you have supplied without demanding any price.. you are inelastic haha.. i will have only you to thank when i pass my exam tomorrow

  • THANK YOU SO MUCH!

  • Wow. Professor Holden, get thee out of Greece, and to a school that will pay you what you are worth. You are an amazing communicator.  Your ability to articulate complex economic concepts is simply stunning. Best wishes to you. JS.

  • why can't u be my college professor. THANK YOU MAN!!! i have a midterm in 2 hours and this is going to help so much!! helped me understand a lot!! thank you so much! you are amazing

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