@@AjayPatel-so8zs First of all, becoming a lecturer requires you to know how to keep an audience intrigued. Second, most people just go to work to pay the bills, without love or real interest for what they do. They'll usually just do the bare minimum to make it to pay day. He's not alone on the fact that many youtubers make far better teachers than actual "teachers".
Thank you Shamnah! Good luck to you! Econ gets a bad rap. It's fascinating once you dig in. That is, if you like understanding human behavior and the consequences! Best, Roman
This explanation is so broken down, clear and easy to understand and the analogies were spot on. Maybe of this guy was my 12th grade econ teacher, I wouldent have failed with a 58.
using your example, how do the folks calculating GDP know if the eggs were purchased and consumed versus the eggs being purchased to make a finished product?
@@sanctumsomega how does that work exactly? i'm assuming smaller societies buy big quantities of products from bigger societies on a special market, but i might be wrong. can you explain?
People rarely talk about the mindset, internal strategy and emotional perseverance that is involved with financial freedom. It's something I feel like we struggle with as humans because how fast our life moves which makes it so important to be reminded that if we get our mind right and set a goal we can achieve. I own 3 rental properties, I started my own business and my net worth increased by $830,000 in 4 years
@Anderson Varley WOW!!!. I will be retiring early and i want to expanded my $380k reserve to $1M or more. Please who helped you and how can I count on him/her?
@Anderson Varley I searched for Katherine using her full name and found her webpage, read her resume, education, qualifications and it was really impressive. She is a fiduciary who will act in my best interest. So, I sent a message and I hope she replies soon
#FBI "financial freedom" is literally banking fraud criminals to avoid work. This is what the Glass-Steagall Act was for. Money making money is not GDP.
Firstly, i wanna thank u for explaining these concepts in a very simplest manner...!!! Now my question is with respect to finished good and intermediate goods..... As you have mentioned if a bakery buys eggs it will not be counted, but if a consumer buys it, it will be counted, so how does the supermarket come to know purpose of buying or i would say how would they come to know if its for commercial use or domestic?
Through store channel i guess, if a retail store is selling than most likely it is for end consumer But if a distributor( distributor are not manufacture) is selling that it will be mostly likely to retailer like super or hyper markets and so on. In Bakery owner product will be on deliverable or reselling. As long as complete Product is delivered to consumer it will be considered. this is my assumption only. so GDP data is collected from 2 points 1 Manufacture 2. point of sales.
@@spartan187 So, would you count cement in the GDP or not ? Cause cement industry is a huge industry but house/building is the finished good here and hence only houses should be counted in the GDP. Wouldn't adding up the numbers of cement industry give an idea of real estate of the country ? Cause counting number of NEW BUILDINGS is a quite a difficult task but as cement industry is dominated by only 3-4 companies here in India, wouldn't it be easy to add up their financials to get an estimate?
I had the same question! What if a baker (or restaurant owner) buys products from a supermarket which are then used in their business to produce a finished good. Seems like the individual products, albeit small in value, would be counted as a finished good at supermarket level and then counted "again" as a finished good at the business level. This example probably doesn't have a "major" effect on GDP, but it's clear GDP is not a perfect number, more like a good estimate of market value.
0:23 - market value of all finished goods and services produced and sold in a year 0:49 - GDP = all the sold goods or services 1:06 We don’t count goods that baker buys in GDP - because those products will go into a finished product that will get sold 1:32 To calculate GDP - we seem to only add up goods sold to consumers (not businesses) 2:17 - if an old house is sold this year - but not produced this year - it does not count towards GDP 2:39 - imports add to countries GDP - so if you buy bottle of wine from France, the sale counts towards France’s GDP
Money making money is not supposed to be counted as GDP. This is what the Glass-Steagall Act was for. "Earning" interest rates is counted as GDP. [After the Glass-Steagall Act was repealed]. A business loan is counted as a business expense. Say if our banks have 75% unsecured bonds on the books. AKA ponzi scheme. That would include GDP. Home flipping is GDP. Now. If this financial ponzi scheme "GDP" stops. The world goes into a resection. Not that building real products ever stopped. Like a stock can go up but the company never sold more products. Yes. Ponzi schemes count as GDP. This is why if the financial system colaspes, it takes the real products with it. This is the Glass-Steagall Act.
It is also measured quarterly to see where we are in the economic cycle. Two consecutive quarters of negative (falling) GDP indicates a technical recession.
Thank you for all these wonderful videos as i not only ace my exam , i understand the concepts economics and apply them in my everyday life .. Thanks a million.
Is it me or do they not teach this shit in school, like you’re just supposed to figure it out yourself. Am I the only one who finds economics so taxing, no pun intended?
I loved your video so much, thank you for the efoort of making macroeconomics clear and easy to understand! Does anybody else have a problem when trying to enter the practice question website? I do not know why but mine isn”t working.
Definition doesn't include selling of the product. Suppose a slipper reaches a market then it would be included in GDP only if it gets sold but by definition it should be included as it is produced.
I have a question, why is the tractor considered a finished good when the wheat that the tractor harvested can be made into breakfast cereals, beers, vodka, and breads, so why is it considered a finished good?
you guys are far better than my lecturer
Maybe you're just dumb bro
@@AjayPatel-so8zs First of all, becoming a lecturer requires you to know how to keep an audience intrigued. Second, most people just go to work to pay the bills, without love or real interest for what they do. They'll usually just do the bare minimum to make it to pay day. He's not alone on the fact that many youtubers make far better teachers than actual "teachers".
my lecturer uses this video to teach us about GDP 🤷💯💯💯
I don’t even have a lecturer, doing it online :|
ua-cam.com/video/rAUoG-1dNgA/v-deo.html&si=beRqNw5ANDr0rZEz
One big hug to you guys for making these videos and helping neophytes like me to try and understand economics. Thank you
Thank you Shamnah! Good luck to you!
Econ gets a bad rap. It's fascinating once you dig in. That is, if you like understanding human behavior and the consequences!
Best, Roman
Shamnah Usman
@Myrrg Greenwich from Google, neophyte = a person who is new to a subject or activity.
Thanks shamnah, I learned a new word because of you. '' NEOPHYTES''
Faizan Sayed word?
These guys have really made good efforts to make Economics interactive.
Economics is incredibly hard to understand, but this video gave me so much information in such an easy way! Thank you!
Thanks to this video I could answer the classic "are polar bears counted in GDP?" exam question
This explanation is so broken down, clear and easy to understand and the analogies were spot on. Maybe of this guy was my 12th grade econ teacher, I wouldent have failed with a 58.
using your example, how do the folks calculating GDP know if the eggs were purchased and consumed versus the eggs being purchased to make a finished product?
@@sanctumsomega how does that work exactly? i'm assuming smaller societies buy big quantities of products from bigger societies on a special market, but i might be wrong. can you explain?
Cristea Andrei usually Restaurants buy directly from a distributor or farm instead of through a supermarket
@@eduardd.1086 one before one after I guess
People rarely talk about the mindset, internal strategy and emotional perseverance that is involved with financial freedom. It's something I feel like we struggle with as humans because how fast our life moves which makes it so important to be reminded that if we get our mind right and set a goal we can achieve. I own 3 rental properties, I started my own business and my net worth increased by $830,000 in 4 years
@Anderson Varley WOW!!!. I will be retiring early and i want to grow my $380k . Please who helped you and how can I count on him/her?
@Anderson Varley WOW!!!. I will be retiring early and i want to expanded my $380k reserve to $1M or more. Please who helped you and how can I count on him/her?
@Anderson Varley I searched for Katherine using her full name and found her webpage, read her resume, education, qualifications and it was really impressive. She is a fiduciary who will act in my best interest. So, I sent a message and I hope she replies soon
#FBI "financial freedom" is literally banking fraud criminals to avoid work. This is what the Glass-Steagall Act was for.
Money making money is not GDP.
Honestly you guys are better than my lecturer. I understand this way better now. Thank you
Firstly, i wanna thank u for explaining these concepts in a very simplest manner...!!! Now my question is with respect to finished good and intermediate goods..... As you have mentioned if a bakery buys eggs it will not be counted, but if a consumer buys it, it will be counted, so how does the supermarket come to know purpose of buying or i would say how would they come to know if its for commercial use or domestic?
Through store channel i guess, if a retail store is selling than most likely it is for end consumer But if a distributor( distributor are not manufacture) is selling that it will be mostly likely to retailer like super or hyper markets and so on. In Bakery owner product will be on deliverable or reselling. As long as complete Product is delivered to consumer it will be considered. this is my assumption only. so GDP data is collected from 2 points 1 Manufacture 2. point of sales.
@@spartan187 So, would you count cement in the GDP or not ? Cause cement industry is a huge industry but house/building is the finished good here and hence only houses should be counted in the GDP. Wouldn't adding up the numbers of cement industry give an idea of real estate of the country ? Cause counting number of NEW BUILDINGS is a quite a difficult task but as cement industry is dominated by only 3-4 companies here in India, wouldn't it be easy to add up their financials to get an estimate?
I had the same question! What if a baker (or restaurant owner) buys products from a supermarket which are then used in their business to produce a finished good. Seems like the individual products, albeit small in value, would be counted as a finished good at supermarket level and then counted "again" as a finished good at the business level. This example probably doesn't have a "major" effect on GDP, but it's clear GDP is not a perfect number, more like a good estimate of market value.
6yrs ago and still better explanation than CNBC
It amazes me how this 4 minute video covers over 50 pages of my college text book, and I understand the subject more though this video.
1.5 hours of boring class in 4.5 minutes in a fine and good peace video. Thanks for making this (:
I love these videos. It is very easy to understand and very informative. You are making a huge contribution to this world!
Much appreciated!
-Roman
Interesting. Very concise.
Nicely explained.
0:23 - market value of all finished goods and services produced and sold in a year
0:49 - GDP = all the sold goods or services
1:06 We don’t count goods that baker buys in GDP - because those products will go into a finished product that will get sold
1:32 To calculate GDP - we seem to only add up goods sold to consumers (not businesses)
2:17 - if an old house is sold this year - but not produced this year - it does not count towards GDP
2:39 - imports add to countries GDP - so if you buy bottle of wine from France, the sale counts towards France’s GDP
Thanks man for making this I respect for your work for making timeline
Money making money is not supposed to be counted as GDP. This is what the Glass-Steagall Act was for.
"Earning" interest rates is counted as GDP. [After the Glass-Steagall Act was repealed]. A business loan is counted as a business expense.
Say if our banks have 75% unsecured bonds on the books. AKA ponzi scheme. That would include GDP.
Home flipping is GDP.
Now. If this financial ponzi scheme "GDP" stops. The world goes into a resection.
Not that building real products ever stopped. Like a stock can go up but the company never sold more products.
Yes. Ponzi schemes count as GDP. This is why if the financial system colaspes, it takes the real products with it. This is the Glass-Steagall Act.
An absolutely brilliant explanation! Thank you.
thank god! this is even better than spending an hour on a GDP lecture
great video !! presentation and animation made it so easy to understand the GDP !! thanks for uploading
Holy crap, I've searched and searched. This video was all I needed.
Thank you for a straightforward video.
"economics for middle schoolers" meanwhile 99% of American adults: "GDP? is that something to do with climate change? is that a food additive?"
Very well explained, I've learned more economics from ur 4mins video, than wht I've read...ty
Crystal Clear explanation
this video explains everything so clearly and in a simple-to-understand manner, thank u so much for making this video !!
Thank you so much for this useful and informative video, keep up the good work guys :)
Many thanks
Greeting from Iran ❤
Cheers
Thank You
This is amazing holy cow
Thank you!
-Roman
It is also measured quarterly to see where we are in the economic cycle. Two consecutive quarters of negative (falling) GDP indicates a technical recession.
i’m in 10th grade and my economics final is next week...
wish me luck!
marvel marble best wishes!
Bro I’m in 10th grade and in economics to
@@omf13gamer4 Did you pass man?
very good production/editing as well
Learnt more from this than my teacher thanks
Good teaching 👍
well explained!
Waaaw I like ur vedios so easy thanks thanks sir🥰👍👍
way better than my university lecturer.
In my university lecture even the front row is sleeping.
Thank you for all these wonderful videos as i not only ace my exam , i understand the concepts economics and apply them in my everyday life .. Thanks a million.
really nice video presentation, simple & easy. Thank you !
I got lost with the polar bear example 😂😂
I just love this channel ❤️
Thank you for such detailed explanation
Excellent!!!!!
Excellent!
Is it me or do they not teach this shit in school, like you’re just supposed to figure it out yourself. Am I the only one who finds economics so taxing, no pun intended?
Its almost everywhere I believe, this how its taught at school level that no one understands.
Kleo3392 they do now i have a test on it tomorrow
I’ve had to figure most of the stuff up my self
Awesome video
Excellent
Crystal Clear video ... Thank you for this video 👍
Very useful❤
Great video clear and concise explanation.
Thanks for the clear explanation of GDP
Excellent Video !! I use it for my Instagram tutorials. Incredible channel
Finally someone with a good English, other channels are Indians speaking english
EASY TO UNDERSTAND THANKS
wow thanks for making this so easy to understand! i get it now.
subscribed and looking to watch more videos
மிக அருமை....!!!
thank you and God Bless! and asking for permission to use the information for our tasks in school.
giving polar bears as a possible valuable item is really a brutal capitalistic approach. Nevertheless, good vid.
So helpful, thank you! 😊
Keep up the good work brother.
GDP is really interesting ! I like these stattistics.
Thanks
Bravisimo! Thank you!
Good time to learn how terrible the US economy is right now. Thanks for the great video!
Thank you
Very informative 👍
You really explain good with better example it really makes easy to understand me thanks.😀
Informative and the stock market evaluates the supply and demands of the nations productivity from generation to generation .
I loved the videos, thank you alot !!
start of the A-Level econ journey
thank you
YOU SAVED MY LIFE
But why we need or calculating gdp?
Business is my fav subject
Would be handy to mention that this is the output measure method of calculating GDP. Great video though, examples were relevant and on point.
I loved your video so much, thank you for the efoort of making macroeconomics clear and easy to understand! Does anybody else have a problem when trying to enter the practice question website? I do not know why but mine isn”t working.
Love these videos
Smooth and easy best simplifications
WOW great!
Thanks sir giving this great information with great presentation
Awesome explanation
great analogy!
Thanks for this video now I can understand better
very understandable thanks!
Some rich guy buys a $2 million art work.
GDP: GDP goes brrrrrrrrrt.
Amazing explanation
Awesome video keep it up
Seriously...THANK YOU!!!
Sir, please provide some video lectures on Public finance theories
Thank you so muchhh i love this video
Good
here because i'm taking ECON. thanks!
the best lesson no one ever did
awesome video
Definition doesn't include selling of the product. Suppose a slipper reaches a market then it would be included in GDP only if it gets sold but by definition it should be included as it is produced.
Is your macroeconomics course organized in order?
cool lesson!!!
Thank you.
Informative
I have a question, why is the tractor considered a finished good when the wheat that the tractor harvested can be made into breakfast cereals, beers, vodka, and breads, so why is it considered a finished good?