Bailout 8: Systemic Risk

Courses on Khan Academy are always 100% free. Start practicing-and saving your progress-now: www.khanacademy.org/economics...
How the banks are connected. What happens when one bank fails.
More free lessons at: www.khanacademy.org/video?v=gX...

[@bharati1986]

super cool. don't think any other source online comes even remotely close to explaining stuff this well. better than any of my uni lectures..brilliant!

[@Alex-mv7ym]

Wow. I wonder if Khan still employs such good teachers?

[@TheNeilChatelain]

That guy in the video is Sal Khan himself. He has a degree in computer science, math, a MS in engineering and computer science, and a MBA from Harvard. Also, he worked 6 years for a Hedge Fund.
And yes, apart from being the CEO, he still makes a lot of the videos.

[@Alex-mv7ym]

TheNeilChatelain Thanks for the answers. I was unaware of most of this.

[@kohlismunishk]

Hats off to u for taking out time for such a valuable information in simple way.

[@maccagrabme]

Very clear explanation, thank you for that. It's a shame that mainstream media does not take 10 mins of primetime to explain this to viewers as it would highlight just how ridiculous the situation really is, particularly the UK right now.

[@mashhype]

thank you for breaking down a complex topic into manageable parts!!!

[@tomcen]

Bank C got a loan from Bank A who went to bankruptcy. So what happen to that loan?
Does Bank C still need to pay off the loan?

[@omgiheartpie]

excellent stuff

[@anhdang400]

This is so interesting.

[@dexterlecter7289]

I often wonder about the Lehman situation. Perhaps company control and ties?

[@pongman]

lol, yeah I know but it doesn't have the hedge fund aspects, short selling, nor the AIG part. I think there is a software game called Capitalism but not certain how much detail that entails.

[@pongman]

I think this should be a board game. Perhaps someone should call Milton Bradley?

[@Chnamanjx]

Lehman Brothers was Mr. Smith. The Financial System is the Matrix.

[@Clayphish]

You're ok, I'm basically doing the same as you.

[@Fj8282haha]

Funny for 14 yrs after this video uploaded , only 200 thumbs up…. People r poor for a good reason…

[@aaaaa8744]

Once again, this man explains the REASON that the banks went broke...not simply that they couldn’t get loans paid...but a huge portion of their assets had no value....thank you again!

[@bcnicholas123]

They fall like dominoes

[@MrMuskaaan1]

Pretty hairy,omg i died

[@seanbarilari]

In conclusion, CSO's kinda suck.

[@1missenglish]

Banks make money for bankruptcy from corporate entity reform and the federal reserves prints more money.

[@wmacorlando]

it's called monopoly