I'm pretty sure stagflation started before 1980. Oh, and starting in 1945 means starting with competing countries having their infrastructure destroyed and needing to play catch up. We can't exactly count on a World War to keep doing that, can we? Not to mention the long term ramifications. Spending money now leads to voters not wanting to stop spending money later. Voters always want more. That's why bi-partisanship is all about cutting taxes and increasing spending. Heck, cutting the rate of spending increases is nearly impossible.
The problem with Keynesian policies is that politicians only apply half of it (spend more and increase debt in recession) but they never reduce deficits and lower spending in prosperity
Cheap credit misallocates resources to undemanded/lesser demanded ventures at the same time as higher order production, increases the present consumption & acquisition of goods (which distorts our time preference), creates a dependency on continuous overvaluations, & distorts price signals (because of relative price stickiness, unequal velocity within different sectors, the cantillon effect, & circular demand within scarce demanded goods [assets]). Speculation increases as lesser educated consumers spend & borrow. When these malinvestments inevitably must end & the spigots of cheap credit are cut, a _'deflationary death spiral'_ must ensue. You *have to* allow resources to be freed up, consumption to be detered, & then properly allocate them to where they're demanded. If not, attempting to correct malinvestments within the system will crash the economy. Market set interest rates & a scarce divisible currency naturally fix this. Lenders & borrowers must compete for scarce savings. Through sound credit standards based on proper price signals, these funds are allocated to demanded ventures. In direct proportion to how demanded they are & how much consumption is detered through saving. Since there's no inflationary effects, our time preference of consumption & production is balanced, thereby allowing projects to reach their full potential. Artificially cheap inflationary credit interferes with needed corrections & exacerbates structural issues. We need to raise rates, default, & let the market properly restructure. Building up our productive capacity is the only way to viably get demanded goods & services. There's no shortcut.
I'm sorry but where is the data suggesting that "the dollar is inflating?" Or whatever that is supposed to mean. Inflation is well bellow 2%, and compared to all other currencies the dollar has gained value since 2010: On 2010 one dollar would purchase 80 Yen, now it is exchanged for 104. On 2010 one dollar would purchase 0.60 euros now it purchases 0.70 The Swiss frank has remained constant and so has the Yuan. The Federal Reserve may have expanded the monetary base by 4 trillion dollars, but the money multiplier has dropped from 1.6 to 0.8. Which is why the money supply has remained constant and we have not seen hyper inflation. I would say that this video is nefariously misinforming the uneducated, but the fact that they use the word "Fiscal" when talking about the Federal Reserve, only comes to show its creators do not have the slightest understanding of monetary policy. I am not here to defend the FED nor to burn it. There are many things that can be criticized about Quantitative Easing, but this video doesn't name any. Instead this video panders to the lowest common denominator by throwing in improperly used economic terms that have very little to do with the current situation. UA-cam is not the place to learn about economics, because as this video has shown any idiot with a digital camera can tell you a bunch of lies. If you would like to learn about Monetary Policy, I recommend you read the text book "money and banking" by Mishkin. I guarantee you that it will be more informative than some creep dancing with a microphone, throwing words that are too advanced for his vocabulary.
Martin Bradford interesting point Martin. I am no economist but it looks to me all the currencies you are comparing the dollar against have also had aggressive currency weakening policies through the years, so when you compare you may actually be comparing two fiat currencies losing value at a similar rate. Certainly China, Japan, and switzerland have all have policies to weaken the currency. Maybe look at gold and house prices as a measure? How many more dollars do you need today to buy a them than 10years ago?
"Dear Santa, I like blowing bubbles. Are there any jobs at the Fed I could apply for?" I'd be proud of that kid.
So good. I just read that but you’d already commented. 👍🏻
This is my favorite Christmas song, hands down. I watch it every year...and it never suffers from an inflationary decrease in worth.
"you keep the keynes" LOOOOL
stevenpaddybwoy I had to pause it in wonder
Simon Kanner It's been applied well in Europe for decades, but libertarians like to ignore that...
I'm pretty sure stagflation started before 1980. Oh, and starting in 1945 means starting with competing countries having their infrastructure destroyed and needing to play catch up. We can't exactly count on a World War to keep doing that, can we? Not to mention the long term ramifications. Spending money now leads to voters not wanting to stop spending money later. Voters always want more. That's why bi-partisanship is all about cutting taxes and increasing spending. Heck, cutting the rate of spending increases is nearly impossible.
@@SimonKanner-si3it then the inflation star to raise
The problem with Keynesian policies is that politicians only apply half of it (spend more and increase debt in recession) but they never reduce deficits and lower spending in prosperity
"The year home run records were obliterated that was the last time we saw Bonds so inflated"
BROOOO
It goes too hard.
I take the candy, you can keep the Keynes. So hilarious!!
"Dear Santa,
Chris Brown has millions of dollars, is that why the dollar is taking a hit? I heard he is violent.
Love,
Sandy"
Hahahaha
"I like blowing bubbles. Are there any jobs at the Fed for me?"
I've seen calimaris with A.R.M.s in less peril was my favorite.
Remember when we all thought Bernanke printed reckless amounts of money? Wasn't that just so CUTE?
5 years later and the debt has doubled and keeps going up
Lol it gets better. 😉
Still getting better!
"What kind of music do you like"
Me: Its complicated
As with all great humor, this is tragically sad once you stop laughing and think about it..
Continually impressed by Remy! Not so much by Bernanke.
Only gifts should use short term paper. Brilliant!
Cheap credit misallocates resources to undemanded/lesser demanded ventures at the same time as higher order production, increases the present consumption & acquisition of goods (which distorts our time preference), creates a dependency on continuous overvaluations, & distorts price signals (because of relative price stickiness, unequal velocity within different sectors, the cantillon effect, & circular demand within scarce demanded goods [assets]). Speculation increases as lesser educated consumers spend & borrow.
When these malinvestments inevitably must end & the spigots of cheap credit are cut, a _'deflationary death spiral'_ must ensue.
You *have to* allow resources to be freed up, consumption to be detered, & then properly allocate them to where they're demanded. If not, attempting to correct malinvestments within the system will crash the economy.
Market set interest rates & a scarce divisible currency naturally fix this. Lenders & borrowers must compete for scarce savings. Through sound credit standards based on proper price signals, these funds are allocated to demanded ventures. In direct proportion to how demanded they are & how much consumption is detered through saving. Since there's no inflationary effects, our time preference of consumption & production is balanced, thereby allowing projects to reach their full potential.
Artificially cheap inflationary credit interferes with needed corrections & exacerbates structural issues. We need to raise rates, default, & let the market properly restructure.
Building up our productive capacity is the only way to viably get demanded goods & services.
There's no shortcut.
A classic. One of Remy's best.
Is this one not in the Remy Music Videos playlist? I thought I saw them all but this is a nice surprise!
"I'll keep the candy, you keep the Keynes."
As an Econ major I agree. The USD could burst in a few years causing another big recession
Sooo how does it feel being right
Remy is so freaking GREAT!!!!!
Suddenly relevant again.
Remy does it again, laughing my ass off as usual.
Unfortunately this is still as relevant as when it was sung...
I cry in Turkey
The Fed went crazy during this 'pandemic'. We are fucked.
You could even assume he wrote this because of the covid spending..
Even more relevant now.
This will be very popular in a few months, at least Remy's views will
Wow ... Why does this have so little views. Someone tweet this to Powell.
10 years later.....sigh.
Ah yes. Christmas 2020 is right around the corner. Maybe this year will be the one where we will get an end to quantitative easing in our stockings.
This is hilarious and awesome!
This could have been created in 2021
add this song to the reason tv remy playlist
Love U, Remy!
Here we are 10 years later and Remy was wrong. Inflation isn't a problem at all. /s
Awesome! Very clever.
I am memorizing this. Any chance of getting the backing track for Christmas karaoke Remy?
9 19 2019 these guys never learn
Hannes productions 16 20 2020 defiantly still have not learned
Genius!
maybe if more people took any economics this video would have more views.
Merry Christmas.
So subtle so good
Mrs. Yellen was here apparently. Yep, that's the one odd dislike there.
In 2020, the bubble he was taking about seems nonexistent 🔍
You smoking crack?
@@austinbyrd4164 I'm sure u dnt understand.
This bubble today, is waaaaay bigger than the bubble that started after 2008
@@AndrewCosmos7 oh yeah, true. It is.
@@austinbyrd4164 we live in crazy times brother hahahah
So much win...
Is santa alright? He looks kinda thin
No he isn't. He can't buy enough food because his dollars are so devalued
CJ Franks LMAO
Oh, that's all?
I'm surprised Kizone Kaprow, AKA 1nBox hasn't commented yet. Has he finally seen a psychologist?
Does someone know the Name of the Original Song?
All I want for Christmas is you...
Still making me laugh buddy~ Good stuff!
Can this be a shirt?
Whats tpd?
Great video, very funny song, but Remy isn't nearly fat enough to be Santa.
OMG! A smart and fun man! Marry me now! XD.
nice
You b funny Remy. I'm pretty certain The Fed could not care less, but It's a great Christmas wish.
All i want for xmas is BTC !
The whole vid was funny but when I saw the Chris Brown part I cracked up.
Dear Santa, send us bitcoins, we are going to need them...
I'm from the future. Sell all crypto.
S&P500 chart It looks like hell
🙂😂
Insanity
Love this stuff, although like, there has been no inflation because us Keynesians were right all along
* ducks*
it's monetary policy reason... not fiscal.
Ugh. Sounds like he really wants sound *Monetary* policy. Smh.
Title of the video...
eh didn't really age that well did it.........
Why? It's still relevant.
I'm sorry but where is the data suggesting that "the dollar is inflating?" Or whatever that is supposed to mean. Inflation is well bellow 2%, and compared to all other currencies the dollar has gained value since 2010:
On 2010 one dollar would purchase 80 Yen, now it is exchanged for 104.
On 2010 one dollar would purchase 0.60 euros now it purchases 0.70
The Swiss frank has remained constant and so has the Yuan.
The Federal Reserve may have expanded the monetary base by 4 trillion dollars, but the money multiplier has dropped from 1.6 to 0.8. Which is why the money supply has remained constant and we have not seen hyper inflation.
I would say that this video is nefariously misinforming the uneducated, but the fact that they use the word "Fiscal" when talking about the Federal Reserve, only comes to show its creators do not have the slightest understanding of monetary policy.
I am not here to defend the FED nor to burn it. There are many things that can be criticized about Quantitative Easing, but this video doesn't name any. Instead this video panders to the lowest common denominator by throwing in improperly used economic terms that have very little to do with the current situation.
UA-cam is not the place to learn about economics, because as this video has shown any idiot with a digital camera can tell you a bunch of lies. If you would like to learn about Monetary Policy, I recommend you read the text book "money and banking" by Mishkin.
I guarantee you that it will be more informative than some creep dancing with a microphone, throwing words that are too advanced for his vocabulary.
2% is inflation...
Martin Bradford interesting point Martin. I am no economist but it looks to me all the currencies you are comparing the dollar against have also had aggressive currency weakening policies through the years, so when you compare you may actually be comparing two fiat currencies losing value at a similar rate. Certainly China, Japan, and switzerland have all have policies to weaken the currency. Maybe look at gold and house prices as a measure? How many more dollars do you need today to buy a them than 10years ago?
Martin Bradford - I was going to give that book a read, but then I saw it was 660-pages-long.
He used "fiscal" in "fiscal stimulus" which includes a lot of montery policies of the Fed like quantitative easing.
An alligator is getting closer to you 2% a year. It's easy to not care about it now until it finally bites you in the ass.