I do appreciate how you always show both sides of the argument. I think the idea behind Keynes is to pay back the debt at some point, when the economy is healthy. That's why it bothers me when politicians want to keep increasing the debt even when the economy is healthy.
"The debt" is the money, as the economy grows there's more need for money to make transactions otherwise you get deflation which you don't want. The debt aka money needs to keep growing unless you radically want to cool down the economy, which is the opposite problem we've had for the last decades.
@@ArturHonzawa Not quite. The government takes out loans which crowds out private investment. If the economic is in a recession, you have a liquidity trap, which means private investment wasn't going to happen anyway, but in a healthy economy, you need to cut the spending to put it back in the hands of the private sector.
@@kunallobo4136 That I totally agree with I think. But by "cutting back" do you mean decreasing the debt? Because that would mean reducing the quantity of money when the GDP is growing and surely you don't want to do it past the point where you're creating deflation right? Shouldn't you adjust money creation (aka the debt) to the target inflation of 2%, whether that means increasing or decreasing debt?
This proves that you do not need hours of tense boring classes to teach you a concept. When done right like these videos, it is useful, entertaining, and you are actually hungry to learn more. This is the most effective teaching technique I have seen. You are an amazing teacher Mr. Clifford. You remind me of a teacher I had in high school who made Physics a piece of cake, everyone loved his teaching and we could not wait to enter the room to get his class. How many times do you see a line of students happy to enter a Physics class? Teaching does not have to be something where you use all these heavy words to show how impressively smart you are or confuse everyone with so many terms that you hate the subject and end up learning absolutely nothing. I can say that Physics was my favorite subject thanks to this teacher, and now I am 53 taking an Economics class, and I could not be happier learning from you, Sir. Beautiful teaching.
Sir, could you write a book about how to make economics more interesting and send it to my teachers in college? You could name it "How to not be a boring professor". I learn more from your videos than from my teachers.
+ACDCLeadership Haha, thanks. I'll laugh when I come across it next time. Btw, I recently found your videos. Thank you so much for these. They help me immensely.
+ACDCLeadership Oh yes I know but I still prefer this channel, crash course is a little fast for my taste, I associate good animations with crash course. This channel helps me understand better. Thanks!
Hey there! I'm a law student from one of the premier law schools in India. Hailing from a background of Science, it was always an onerous and exasperating task to deal with economic graphs and theories especially, when one has got to cover both micro and macro units in a six month span. Thank you for these awesome videos that helped me sail through and clarified my rudimentary concepts in Economics.
+ACDCLeadership its obviously good. I had watched that and it had given me a overlook on the topic. A more detailed one would be appreciated. Woah I'm formal :)
well i dont know about free... it doesnt cost you or me anything, but im sure that it costs him time and resources that could be used doing other things.
I've been studying Economics at a Postgraduate level all year (2016-17). Not only have your videos helped me understand the micro and macro economic concepts - they have also been an excellent revision tool prior to exams. You present so clearly! Awesome work - keep it up :-)
+Dimitre Vavov Hey, Dimitre. It is great to hear from you. I hope you are doing well. Are you excited about becoming a grandpa? We are all looking forward to it.
+ACDCLeadership Jake - your video work - so fine tuned! Details matter and make a difference. We are well; and can only humbly thank for undeserved mercy. Blessings to everyone in the Clifford families.
No mention of the other part of Keynes: that governments should save and cut taxes during times of prosperity? The problem isn't with Keynes (who I admit had some really good insights about economics), but the application. There has to be a point of diminishing returns with government spending, let alone stimulating the economy is a recipe for corruption (we have infrastructure that is crumbling, and very little of the economic stimulus was spent on that). Ultimately most economic thought is neither good or bad, but I question who it really serves.
+ACDCLeadership It's more than crony capitalism , but outright corruption. Even with a perfect understanding of economics, it would all fall apart with corruption. Even the most ardent laissez-faire supporters understand that a degree of regulation is needed to support free markets and Hayek even conceded some degree of socialism is needed for a healthy economy, but the corollary restricting government interference/spending with the market isn't there. Keynes himself heavily backtracked on his ideas seeing what post-war England was becoming. Seeing the level of debit England carries 60 years onward would have made him think more heavily about controls.
i honestly love your videos, i learn so much and i don't even feel like im in class. I've been passing all my economics classes by watching your videos. Thanks.
great video! this channel is such a good supplemental tool for AP macroeconomics! In my opinion it was definitely worth it, when we bailed out banks during the 2008 recession we essentially stopped abother depression. the government had the option to do this in 1929 and failed to do so, forcing banks to close and making the great depression worse. Keynesian economics works, it's just costly
+Tallformyheight Spoken like a true economist. The people we need to be afraidof are the ones who adamantly support a policy but don't recognize the cost. Unfortunately, sometimes that's the politicians.
@Oliver Ridderstolpe perhaps you have money, but you have never thought what would happen to the people who rely on pensions, 401k or social security. Oil prices are rising non stop
Simplifaction: Keynesian economics is a belief that their will always be boom and bust cycles, during boom cycles the government is to tax the richer and high earners most and during busts the government should use that money for the poor. This will make booms and busts less apocalyptic for everyone and help the economy get back on track more.
YOUR VIDEOS ARE GREAT!!! They are the perfect length, to the point, filled with info, and entertaining (bonus). Well done and thank you for helping me through this class!!
Hey, thanks so much for these videos. I have watched most of them, but this is my first time commenting. I think that you missed a critical part of Keynesian theory by not mentioning surpluses. Keynes never said to just borrow during bad times. During good times you also have to use budget surplus to pay off the debt. This allows the government to (theoretically) maintain an average of 0 debt, but still have the effect of stimulating the economy. This sounds nice, but in practice it doesn't really happen. What actually seems to be the pattern is borrowing during bad times, and then when the government has a surplus, we just increase tax refunds, and cut taxes instead of paying off the public debt.
I don't agree with Government Spending nor Keynesian Economics (I fall into Austrian, Neoclassical, and Classical Schools of thought). But I do think that he has some good ideas and insights into looking at Macro economical Trends.
shall we break all windows? hah hah, I watched all videos on your channel and got a lot of knowledge. you saved my life in many campus exams! Thank you. one day I will be like you
I watched your videos in high school and now I'm a senior doing my undergrad at UC Berkeley taking an upper division Political Economy course and I still find your videos to be incredibly informative, easy to understand, and conveniently succinct! Thanks ACDC Economics!!!
Pioneer of Macro economics.....his contributions are precious and more practical as compared to classical thoughts....Now all the countries are looking forward to increase job opportunities and consumers spending through the public expenditure-what keynes said this in his famous book called General theory
Wowwww I am so thankful for your videos and am so lucky to have found you pr channel!!!!!!! You make economics so interesting and relevant with easy to understand examples. You changed my lofe believe it or not! I know what to major in now thanks to you!!!!! I owe it all to you Mr.Clifford!!!!!!! Where can I learn intermediate micro and macro from you or math for economics?
+gloriaa0214 I'm glad my videos have been helpful. I'm not sure about the best place to gofor the math. I'm sure there are some good UA-cam videos out there.
I think it's hard to discuss economics purely philosophically. This is why I hate talking about it on Facebook. People assert "obviously you need to give people money to spend to boost the economy" or "obviously you can't just print money because value comes from somewhere" without anyone doing any math. It's just easier to say the other side us a bunch of morons, but then I have to say goodbye to old friends. But maybe the human factor makes the calculation intractable. I don't know. Which countries are doing well? Can we do what they're doing?
+James Craver Good point. We can theorize all day, but even when we look at what countries are doing better some complain that it is becuase no two economies and cultures are identical. I agree with you though. We have to look at the data, not just the textbook.
I've heard two descriptions of Keynesian Economics. The 1st one says that Keynesian Economics works like standing in a bucket & trying to raise yourself off the ground by grabbing the handle & lifting as hard as you can. The 2nd compares Keynesian Economics to scooping buckets of water out of one end of a swimming pool and dumping it into the other end with the expectation of raising the level of water in the pool.
Government spending would feel the full weight of the multiplier effect since governments don't have a marginal propensity to save as ordinary households do. Indeed, every dollar of the fiscal stimulus would be spent to get spending going, as opposed to if every household's marginal propensity to consume is subtracted from total income and spent instead of total income. The only reason a government would implement fiscal stimulus would be if households and the private sector weren't spending anyway, so the conjecture that "individuals can spend better than government's because individuals know what they want" is ill-disposed when put into Keynes' theoretical context because it forgets that the economy is in recession and that combating the recession must be prioritized. Nevertheless a good video. Definitely subscribing. Your channel is a very convenient review for anyone who is familiar with the concept but needs to be reminded a thing or two.
I learned about Keynesian Economics. It was never to be use as a long term solution. Keynesian Economics was a short term solution, such as increasing government spending and cutting taxes to increase GDP during recessions. But once you plug in the effects of government spending and tax cuts in the long run, it decreases GDP
Video are kinda corny but I don’t care, it helps, you have a great way of explaining stuff. You’re UA-cam channel is basically from Econ 1011 all the way too 3500 level, great kept it up!
+mannylora The dollar is gaining in value, gold is down, oil is down, all commodities are down. We have been I a deflationary economy for 8 years now. 60% of all the money made is taxed at 16%(capital gains tax). While the poor and middle class pay 45% to 52% in taxes on thier wages. Our conservative congress refuses to implement any Keynesian style reforms. Tariffs on imports, raising taxes on capital gains, increasing social security, repair roads, bridges, dams, and the power grid.
I could your videos all day long. It is very easy to understand and follow, especially when English is my second language. love your videos. Greatly appreciate it. thank you thank you
I have been working for the federal government since 1976 and the last people I would want my tax dollars being spent by is the federal govt. There are essential constitutional spending that is required (e.g. defense) but if we think that additional spending, above and beyond what is specifically called out by the constitution, the state and local governments should be taxing their respective citizens and being answerable to those citizens via local elections for those spending decisions. Federal Government spending might keep things from getting worse, but the best thing to do is for the govt to get out of the way of business and when businesses fail, then those investors (monetary as well as their workers) should pay the price for those failing business decisions. If workers don't like the business decisions that may lead to a company going out of business, then they should go work elsewhere and as quickly as possible.
I think Keynesian policy can help to smooth out the depths of recessions (stimulus and tax breaks), but if applied consistently it also has to in turn smooth out the highs of economic booms (austerity in the form of reduced spending and tax increases), which is politically inconvenient. This inconsistency in it's application is why it has a tendency to increase debt long-term. That being said, The Great Recession was caused by some systemic problems in the US economy, and the increased government spending in response to it was just a band-aid that, while it helped in the short term, did nothing to address the systemic issues that caused The Great Recession in the first place.
+calculon000 Good point. So do you think we are heading into another economic calamity or do you believe the Fed when they say that the systemic issues have been addressed and that the worst is behind us?
+ACDCLeadership I don't think they really fixed anything. The Glass-Steagall Act still remains repealed as far as I understand it. No one was really prosecuted for any actions that lead to the 2008 crisis, and it seems in recent years when the US government does bother prosecuting large companies for financial crimes, that it ends in a settlement of no admission of wrongdoing and a fine that is a fraction of the profit gained from those same activities, effectively making it a crime tax. Thus there is no incentive for the people who caused the crisis not to engage in the same behavior again. It may not be a house of cards based on bad mortgages, but it will take another form.
If we can figure out that "other form" and get rich form it before everyone else does:) That's a joke, but there actaully may be people saying that right now. Yikes.
I understand the logic behind Keynes’ theory of government spending increases overall spending in the economy due to the multiplier effect. My question is, is Keynes referring to deficit spending or just general government spending? It seems general government spending through taxation is a broken window fallacy regarding economic growth because the money that is taxed away from individuals cannot therefore be spent by those individuals. Therefore, government spending via taxation is merely a matter of the allocation of spending in the economy and therefore has a net zero effect on GDP. However, I do agree that if the government borrows and then spends new money into the economy we should see GDP increase. Just curious as to your perspective on that. Thank you for doing these videos, you are one in a very few that makes economics fun!
+Joel Powers Great question. The Keynesian philosophy is to deficit spend when the economy is doing poor and to run a budget surplus when the economy is growing.
All your videos clearly take a lot of time and dedication. But they have been invaluable for me, so I thank you from the bottom of my heart! I enjoy your cosplay in all forms. :D
I am new to economics and really enjoy the way you teach it. From what I have taken I like the Austrian economic theory best. It seems to be the best for libery than any other. If the money is in the hands of the people the know what they each need/want. They see the needs in the community and can start business or services, where someone taking the monies ie taxes and spending it for them on things that are not needed or what they think is needed. Does not always produce the valocity they are wanting.
+Albin Lundholm It's never really been tried, honestly. And the countries who've come the closest to a free market economy have been quite successful. Such as Estonia and Hong Kong.
+john lynch don't forget Chile. Their economy was saved by Milton Friedman and his Austrian economics principles after the fall of the socialist party.
THE MASCULINIST MGTOW Very true. The more I study economics, the more I realize that the closer a certain country comes to a free market, the better off the economy will be. It's fairly well known that the government is rather inefficient when regarding the allocation of resources.
***** it's alright, I used your videos in high school for micro, but I'm in a macro course in college new and they include it. Thank you for everything you do! Without you, I probably wouldn't have gotten my 4 on the AP micro exam!
If there is expansionary fiscal policy (tax cuts), which means more money for the households and businesses to spend, wouldn't that cause a decrease in government spending since there would be a decline in tax revenues? If that is the case, the action by the government would likely to not have any real effect on the economy; they'd just give their spending powers away to the private sector (households and businesses). If the government borrows to spend more along with the increase in spending by the private sector to boost the economy, that would lead to a whole new problem. Keynes has some great ideas, but I'm more in favour of classical economics. And by the way, your video was quite funny Mr. Clifford, especially the last part. May God bless you...
Did Keynes ever address the other half of the economic cycle? In other words, did he state that gov't fiscal policy should be employed to raise taxes during boom times to 1. pay back expenditures of during the previous deficit spending, which would additionally 2. reduce the store of public funds availability that would otherwise further goose an already overheating economy?
This is the best video and full of humurous dialouges. By the way to answer the question asked in the last - I believe that if the government reduces taxes and encourage public to invest more and more - it will ultimately help the economy to be safe from recession.
I love your economics videos! While I am laughing I am also learning and that is awesome!
That is awesome. Usually I'm being laughed at rather than laughed with, but I take what I can get.
+ACDCLeadership worry not, this laughing is the with variety
You have made my life so much brighter
Tom B-H this is. rewalls cool ;0
oh the humbleness 😊😊ure a great person@@JacobAClifford
I do appreciate how you always show both sides of the argument. I think the idea behind Keynes is to pay back the debt at some point, when the economy is healthy. That's why it bothers me when politicians want to keep increasing the debt even when the economy is healthy.
"The debt" is the money, as the economy grows there's more need for money to make transactions otherwise you get deflation which you don't want. The debt aka money needs to keep growing unless you radically want to cool down the economy, which is the opposite problem we've had for the last decades.
@@ArturHonzawa Not quite. The government takes out loans which crowds out private investment. If the economic is in a recession, you have a liquidity trap, which means private investment wasn't going to happen anyway, but in a healthy economy, you need to cut the spending to put it back in the hands of the private sector.
@@kunallobo4136 That I totally agree with I think. But by "cutting back" do you mean decreasing the debt? Because that would mean reducing the quantity of money when the GDP is growing and surely you don't want to do it past the point where you're creating deflation right? Shouldn't you adjust money creation (aka the debt) to the target inflation of 2%, whether that means increasing or decreasing debt?
@@ArturHonzawa Yes, it would mean you have to increase taxes or cut spending -- preferably decreasing spending
@@ArturHonzawa who wants inflation though?
Keynes assumes resources to be infinite and also debt to be free.
This proves that you do not need hours of tense boring classes to teach you a concept. When done right like these videos, it is useful, entertaining, and you are actually hungry to learn more. This is the most effective teaching technique I have seen. You are an amazing teacher Mr. Clifford. You remind me of a teacher I had in high school who made Physics a piece of cake, everyone loved his teaching and we could not wait to enter the room to get his class. How many times do you see a line of students happy to enter a Physics class? Teaching does not have to be something where you use all these heavy words to show how impressively smart you are or confuse everyone with so many terms that you hate the subject and end up learning absolutely nothing. I can say that Physics was my favorite subject thanks to this teacher, and now I am 53 taking an Economics class, and I could not be happier learning from you, Sir. Beautiful teaching.
Sir, could you write a book about how to make economics more interesting and send it to my teachers in college?
You could name it "How to not be a boring professor".
I learn more from your videos than from my teachers.
agreed
I swear I can feel u omggg
I feel being boring is a commen thing in economics teachers unfortunately 😞
Economics in one Lesson by Henry Hazlitt.
My teacher just gives us these videos
"Great idea! Perhaps we could bury the windows first..." Haha this is the best channel on UA-cam!
+Connor -J- Evans Thanks Connor. I was waiting for someone to recognize the genius of that joke.
I don't get it, can you explain?
I guess if I have to explain it, it's not that funny. The joke is that Keynes was big into burying things.
+ACDCLeadership Haha, thanks. I'll laugh when I come across it next time. Btw, I recently found your videos. Thank you so much for these. They help me immensely.
I'm glad that you like my videos
ACDC>Crash Course
+Shrey Mittal You do know that I am making the Crash Course Economics videos right?
+ACDCLeadership Oh yes I know but I still prefer this channel, crash course is a little fast for my taste, I associate good animations with crash course. This channel helps me understand better. Thanks!
Cool! Thanks. I appreciate the shout out
+ACDCLeadership really you should get a million likes i wonder why ratings are so low inspite of such quality teaching sir
+Shrey Mittal It just takes time, but it starts with you. Please share and tell other econ lovers about it.
Hey there! I'm a law student from one of the premier law schools in India. Hailing from a background of Science, it was always an onerous and exasperating task to deal with economic graphs and theories especially, when one has got to cover both micro and macro units in a six month span. Thank you for these awesome videos that helped me sail through and clarified my rudimentary concepts in Economics.
What do you think of John Maynard Keynes? Sinner or Saint? Mastermind or moron? Let me know!
+ACDCLeadership Can you make a video on LS-IM curve .
I'll put it on my short list
+ACDCLeadership Hello Mr Clifford, can you pls add Balance of Payments on your "short list"?
I made one a few years ago. It's good:
ua-cam.com/video/W0YwGLz50TA/v-deo.html
+ACDCLeadership its obviously good. I had watched that and it had given me a overlook on the topic. A more detailed one would be appreciated. Woah I'm formal :)
So…..we aren’t gonna talk about this beautiful Keynes cosplay?? The acting was so good lmao
you are doing free education..
well done
well i dont know about free... it doesnt cost you or me anything, but im sure that it costs him time and resources that could be used doing other things.
opportunity cost.. xD
youtube pays
@@JehucalTillForever advertisers pay
You are the most funniest you-tuber I've ever seen teaching economics (such a hard subject) , thanks I've learned loads from you 😊😊
I've been studying Economics at a Postgraduate level all year (2016-17). Not only have your videos helped me understand the micro and macro economic concepts - they have also been an excellent revision tool prior to exams. You present so clearly! Awesome work - keep it up :-)
IT is the best educational video with right humor I have ever seen. Thank you so much Mr.Clifford for making amazing videos.
"Stimulate? Haha I like it!" -
-John Maynard Keynes
@Arthur Doradoux I made this comment three years ago. I'm surprised people are still liking it.
@@ilikemusic5039 just liked it
nah! this is the BEST TEACHER OF THE YEAR!!
UA-cam, when do the nominations begin plsss?
Great video! I wish I had it in the late sixties, when I was studying hard... Political Economy...
+Dimitre Vavov Hey, Dimitre. It is great to hear from you. I hope you are doing well. Are you excited about becoming a grandpa? We are all looking forward to it.
+ACDCLeadership Jake - your video work - so fine tuned! Details matter and make a difference.
We are well; and can only humbly thank for undeserved mercy. Blessings to everyone in the Clifford families.
@@DVavov How are you doing my man?
No mention of the other part of Keynes: that governments should save and cut taxes during times of prosperity?
The problem isn't with Keynes (who I admit had some really good insights about economics), but the application. There has to be a point of diminishing returns with government spending, let alone stimulating the economy is a recipe for corruption (we have infrastructure that is crumbling, and very little of the economic stimulus was spent on that).
Ultimately most economic thought is neither good or bad, but I question who it really serves.
+quintessenceSL Good point! Cronny capitalism is a problem and the people often best served are the wealthy.
+ACDCLeadership
It's more than crony capitalism , but outright corruption. Even with a perfect understanding of economics, it would all fall apart with corruption.
Even the most ardent laissez-faire supporters understand that a degree of regulation is needed to support free markets and Hayek even conceded some degree of socialism is needed for a healthy economy, but the corollary restricting government interference/spending with the market isn't there.
Keynes himself heavily backtracked on his ideas seeing what post-war England was becoming. Seeing the level of debit England carries 60 years onward would have made him think more heavily about controls.
Keynes would be horrified at current debt levels..
Love how entertaining and informative your videos can be, thanks!
This channel deserves millions of views and subscribers!
Just want to say thank you for these videos! They are saving my life for my upcoming econ final. I don't know what I would do without them.
+Jenna Leis You are welcome. I'm glad I was able to help. Please subscribe and tell your friends :)
i honestly love your videos, i learn so much and i don't even feel like im in class. I've been passing all my economics classes by watching your videos. Thanks.
Jacob all of your videos are excellent. Thank you! My students noted they like the newer videos because you aren't talking so fast :)
Your videos certainly have a multiplier effect on the amount I learn from my textbooks :D Thanks!
great video! this channel is such a good supplemental tool for AP macroeconomics! In my opinion it was definitely worth it, when we bailed out banks during the 2008 recession we essentially stopped abother depression. the government had the option to do this in 1929 and failed to do so, forcing banks to close and making the great depression worse. Keynesian economics works, it's just costly
+Tallformyheight Spoken like a true economist. The people we need to be afraidof are the ones who adamantly support a policy but don't recognize the cost. Unfortunately,
sometimes that's the politicians.
It's not working rn lmao, inflation is here to haunt you
@Oliver Ridderstolpe perhaps you have money, but you have never thought what would happen to the people who rely on pensions, 401k or social security. Oil prices are rising non stop
It's 2022 and it's still the best video I've watched...
you help me a lot for finals tomorrow :""") love youuuu
such a good video! i was searching the web for hours just to find an easy-to-understand video. keep it up :)
Thank you, Jacob! You make macro easier to understand! I wouldn't be passing without your videos.
Omg Jacob Clifford as John Maynard Keynes! This is so great!
Simplifaction: Keynesian economics is a belief that their will always be boom and bust cycles, during boom cycles the government is to tax the richer and high earners most and during busts the government should use that money for the poor. This will make booms and busts less apocalyptic for everyone and help the economy get back on track more.
most interesting video on Keynesian Economics and loved to meet John Maynard Keynes
I'm glad you make an effort to not include bias
YOUR VIDEOS ARE GREAT!!! They are the perfect length, to the point, filled with info, and entertaining (bonus). Well done and thank you for helping me through this class!!
Hey, thanks so much for these videos. I have watched most of them, but this is my first time commenting.
I think that you missed a critical part of Keynesian theory by not mentioning surpluses. Keynes never said to just borrow during bad times. During good times you also have to use budget surplus to pay off the debt. This allows the government to (theoretically) maintain an average of 0 debt, but still have the effect of stimulating the economy.
This sounds nice, but in practice it doesn't really happen. What actually seems to be the pattern is borrowing during bad times, and then when the government has a surplus, we just increase tax refunds, and cut taxes instead of paying off the public debt.
+Richard Gittings Great point. I should have added that in but you are also rght that it doesn't happend as much as it should.
@@JacobAClifford late as I may be professor , perhaps you could have pinned his comment
I don't agree with Government Spending nor Keynesian Economics (I fall into Austrian, Neoclassical, and Classical Schools of thought). But I do think that he has some good ideas and insights into looking at Macro economical Trends.
I didn’t want to laugh at this. I wanted to be all serious and economicsey. But goddammit you made me chuckle.
I absolutely hated economics but now i absolutely love it . Thanks mr clifford 😅
thank you and be nice to keynes
shall we break all windows? hah hah, I watched all videos on your channel and got a lot of knowledge. you saved my life in many campus exams! Thank you. one day I will be like you
I watched your videos in high school and now I'm a senior doing my undergrad at UC Berkeley taking an upper division Political Economy course and I still find your videos to be incredibly informative, easy to understand, and conveniently succinct! Thanks ACDC Economics!!!
Pioneer of Macro economics.....his contributions are precious and more practical as compared to classical thoughts....Now all the countries are looking forward to increase job opportunities and consumers spending through the public expenditure-what keynes said this in his famous book called General theory
I'm surprised by your acting!!! Keep up the great work!
Wowwww I am so thankful for your videos and am so lucky to have found you pr channel!!!!!!! You make economics so interesting and relevant with easy to understand examples. You changed my lofe believe it or not! I know what to major in now thanks to you!!!!! I owe it all to you Mr.Clifford!!!!!!! Where can I learn intermediate micro and macro from you or math for economics?
+gloriaa0214 I'm glad my videos have been helpful. I'm not sure about the best place to gofor the math. I'm sure there are some good UA-cam videos out there.
my love for keynes continues
You are an amazing teacher , you make learning seem so easy ❤
Sounds like more of a German accent but still love it Mr Clifford. You rock man!!
Wow at 2:49 it shows the the nation debt was $18 trillion. Now 8 years later, it has almost double with $34 billion
You are wonderful. Thanks for lecture and the way you present 😊😂❤
You are amazing man, really appreciate the every little detail and effort you put into these videos. Thank you for everything.
I think it's hard to discuss economics purely philosophically. This is why I hate talking about it on Facebook. People assert "obviously you need to give people money to spend to boost the economy" or "obviously you can't just print money because value comes from somewhere" without anyone doing any math. It's just easier to say the other side us a bunch of morons, but then I have to say goodbye to old friends. But maybe the human factor makes the calculation intractable. I don't know. Which countries are doing well? Can we do what they're doing?
+James Craver Good point. We can theorize all day, but even when we look at what countries are doing better some complain that it is becuase no two economies and cultures are identical. I agree with you though. We have to look at the data, not just the textbook.
I love your videos, Mr. C! Wish all my teachers had been like you!
Still laughing about "perhaps we could bury the windows first!"
You're helping me pass Economics with A's and ease; thank you!
I've heard two descriptions of Keynesian Economics.
The 1st one says that Keynesian Economics works like standing in a bucket & trying to raise yourself off the ground by grabbing the handle & lifting as hard as you can.
The 2nd compares Keynesian Economics to scooping buckets of water out of one end of a swimming pool and dumping it into the other end with the expectation of raising the level of water in the pool.
Dur hur hur
Your video just helped me, finally I understand and I ain’t gonna fail my exams😂
You're the best...Love from Bangladesh ❤️
Great videos. It makes it so fun to learn economics!!! Thanks!!!
best. keynes. impersonation. ever.
Government spending would feel the full weight of the multiplier effect since governments don't have a marginal propensity to save as ordinary households do. Indeed, every dollar of the fiscal stimulus would be spent to get spending going, as opposed to if every household's marginal propensity to consume is subtracted from total income and spent instead of total income. The only reason a government would implement fiscal stimulus would be if households and the private sector weren't spending anyway, so the conjecture that "individuals can spend better than government's because individuals know what they want" is ill-disposed when put into Keynes' theoretical context because it forgets that the economy is in recession and that combating the recession must be prioritized.
Nevertheless a good video. Definitely subscribing. Your channel is a very convenient review for anyone who is familiar with the concept but needs to be reminded a thing or two.
Amazing! How are u now? This really helped me. Thanks a ton!
just watching this, now, for understanding the Keynesian Theory -
few minutes before my Economic test
I learned about Keynesian Economics. It was never to be use as a long term solution. Keynesian Economics was a short term solution, such as increasing government spending and cutting taxes to increase GDP during recessions. But once you plug in the effects of government spending and tax cuts in the long run, it decreases GDP
Video are kinda corny but I don’t care, it helps, you have a great way of explaining stuff. You’re UA-cam channel is basically from Econ 1011 all the way too 3500 level, great kept it up!
You are the best Mr.Clifford .... Your videos sure help me a lot ! :D
Great video! I like the ACDC belt btw
The accent is awesome and so funny, thank you!
Enjoyable and informative!
Thanks for this! You look so confident in your presentation!!
Great teacher great actor
I have close to zero economics knowledge so I am slowing down the playback speed of your vids to .75
18.6 trillion dollars in debt, a dollar which lost 90% of its value, and a consumption-based economy has done really well for us. Thanks, Keynes!
+mannylora Well said
+mannylora The dollar is gaining in value, gold is down, oil is down, all commodities are down. We have been I a deflationary economy for 8 years now. 60% of all the money made is taxed at 16%(capital gains tax). While the poor and middle class pay 45% to 52% in taxes on thier wages. Our conservative congress refuses to implement any Keynesian style reforms. Tariffs on imports, raising taxes on capital gains, increasing social security, repair roads, bridges, dams, and the power grid.
"18.6 trillion dollars in debt"
Would you rather have faced a recession that could have prolonged for a decade?
"18.6 trillion dollars in debt"
Would you rather have faced a recession that could have prolonged for a decade?
"18.6 trillion dollars in debt"
Would you rather have faced a recession that could have prolonged for a decade?
It works great ....For the Fed accomplishing their final solution and historically their largest wealth transfer ever.
Thanos might have killed half the population, but at least Mr Clifford brought life to my econs grade.
I could your videos all day long. It is very easy to understand and follow, especially when English is my second language. love your videos. Greatly appreciate it. thank you thank you
I have been working for the federal government since 1976 and the last people I would want my tax dollars being spent by is the federal govt. There are essential constitutional spending that is required (e.g. defense) but if we think that additional spending, above and beyond what is specifically called out by the constitution, the state and local governments should be taxing their respective citizens and being answerable to those citizens via local elections for those spending decisions. Federal Government spending might keep things from getting worse, but the best thing to do is for the govt to get out of the way of business and when businesses fail, then those investors (monetary as well as their workers) should pay the price for those failing business decisions. If workers don't like the business decisions that may lead to a company going out of business, then they should go work elsewhere and as quickly as possible.
Great video sir 👍
I loved watching Mr. Keynes teaching!
thanks,amazing video
I think Keynesian policy can help to smooth out the depths of recessions (stimulus and tax breaks), but if applied consistently it also has to in turn smooth out the highs of economic booms (austerity in the form of reduced spending and tax increases), which is politically inconvenient. This inconsistency in it's application is why it has a tendency to increase debt long-term. That being said, The Great Recession was caused by some systemic problems in the US economy, and the increased government spending in response to it was just a band-aid that, while it helped in the short term, did nothing to address the systemic issues that caused The Great Recession in the first place.
+calculon000 Good point. So do you think we are heading into another economic calamity or do you believe the Fed when they say that the systemic issues have been addressed and that the worst is behind us?
+ACDCLeadership I don't think they really fixed anything. The Glass-Steagall Act still remains repealed as far as I understand it. No one was really prosecuted for any actions that lead to the 2008 crisis, and it seems in recent years when the US government does bother prosecuting large companies for financial crimes, that it ends in a settlement of no admission of wrongdoing and a fine that is a fraction of the profit gained from those same activities, effectively making it a crime tax. Thus there is no incentive for the people who caused the crisis not to engage in the same behavior again. It may not be a house of cards based on bad mortgages, but it will take another form.
If we can figure out that "other form" and get rich form it before everyone else does:) That's a joke, but there actaully may be people saying that right now. Yikes.
Your videos are awesome😍keep it up sir...You are doing a amazing job
I understand the logic behind Keynes’ theory of government spending increases overall spending in the economy due to the multiplier effect. My question is, is Keynes referring to deficit spending or just general government spending? It seems general government spending through taxation is a broken window fallacy regarding economic growth because the money that is taxed away from individuals cannot therefore be spent by those individuals. Therefore, government spending via taxation is merely a matter of the allocation of spending in the economy and therefore has a net zero effect on GDP. However, I do agree that if the government borrows and then spends new money into the economy we should see GDP increase. Just curious as to your perspective on that. Thank you for doing these videos, you are one in a very few that makes economics fun!
+Joel Powers Great question. The Keynesian philosophy is to deficit spend when the economy is doing poor and to run a budget surplus when the economy is growing.
+ACDCLeadership Thanks for the response. That is what I figured, I just wanted to make sure. Sometimes I get too caught up in the linguistics :)
No problem:)
All your videos clearly take a lot of time and dedication. But they have been invaluable for me, so I thank you from the bottom of my heart! I enjoy your cosplay in all forms. :D
+redkarryn lol, I didn't even think of this as cosplay, but you are right. This is economics cosplay.
Economics broken down to digestible bites... Good job.
I am new to economics and really enjoy the way you teach it. From what I have taken I like the Austrian economic theory best. It seems to be the best for libery than any other. If the money is in the hands of the people the know what they each need/want. They see the needs in the community and can start business or services, where someone taking the monies ie taxes and spending it for them on things that are not needed or what they think is needed. Does not always produce the valocity they are wanting.
I'm pretty sure it's never worked though
+Albin Lundholm It's never really been tried, honestly. And the countries who've come the closest to a free market economy have been quite successful. Such as Estonia and Hong Kong.
+john lynch don't forget Chile. Their economy was saved by Milton Friedman and his Austrian economics principles after the fall of the socialist party.
THE MASCULINIST MGTOW
Very true. The more I study economics, the more I realize that the closer a certain country comes to a free market, the better off the economy will be. It's fairly well known that the government is rather inefficient when regarding the allocation of resources.
john lynch I was a socialist myself, until i started studying economics.
This was very helpful!
@ACDCLeadership do you have any videos covering the AE model, and the equations that follow?
+Andrew Hyden No, sorry. I don't teach it. It's not in my curriculum. Sorry.
***** it's alright, I used your videos in high school for micro, but I'm in a macro course in college new and they include it. Thank you for everything you do! Without you, I probably wouldn't have gotten my 4 on the AP micro exam!
Good luck in your macro class.
so if the consumers are spending more does the government reduce their expenditure
This is awesome!
Fantastic British accent, very high brow. Its definitely coming into its own now with covid, in the UK even the Conservative party are boosting AD!
Thanks Jacob, your explaination helped me so much!
I love that everything you're saying is actually being implemented in Indian economic policy 2021.
Fantastic videos, I really appreciate your effort!
He is a saint and a mastermind
He saved us from the Great Depression and helped us recover from the Great Recession
He is a great economist
ww2 saved up from TGD
If there is expansionary fiscal policy (tax cuts), which means more money for the households and businesses to spend, wouldn't that cause a decrease in government spending since there would be a decline in tax revenues? If that is the case, the action by the government would likely to not have any real effect on the economy; they'd just give their spending powers away to the private sector (households and businesses). If the government borrows to spend more along with the increase in spending by the private sector to boost the economy, that would lead to a whole new problem. Keynes has some great ideas, but I'm more in favour of classical economics. And by the way, your video was quite funny Mr. Clifford, especially the last part. May God bless you...
is there a chance you could do an intermediate micro review before the 15th
Sweet vid guys
Did Keynes ever address the other half of the economic cycle? In other words, did he state that gov't fiscal policy should be employed to raise taxes during boom times to 1. pay back expenditures of during the previous deficit spending, which would additionally 2. reduce the store of public funds availability that would otherwise further goose an already overheating economy?
great content
I enjoyed that so much, laughing and enjoying what I learn, immediate subscribe. The accent was more German than English tho
This is the best video and full of humurous dialouges. By the way to answer the question asked in the last - I believe that if the government reduces taxes and encourage public to invest more and more - it will ultimately help the economy to be safe from recession.
Really good!