Inflation Explained in One Minute

A one-minute video explanation of inflation. No matter what it is you currently do for a living, at the very least knowing a thing or two about inflation is a must.
Otherwise, you risk losing purchasing power without even realizing why and most importantly, without being in a good position to figure out what to do about it.
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[@OneMinuteEconomics]

GiganticWebsites.com is a project through which I make it possible for people to build truly gigantic websites (thousands of articles each!) at ridiculously low prices. If you have a great domain you want to turn into an amazing website or an existing site you'd like to upgrade/scale, visit our website or check out the One Minute Economics presentation video below: kzbin.info/www/bejne/nXabqniFhquArNE Please note that this comment is not an ad for a third-party service provider. GiganticWebsites.com is my baby 100% and I will personally be involved in each and every project so as to ensure the website turns out great :)

[@Stable_Money]

great video

[@MaximilianFischer497]

To be honest, the market crash and high inflation have me extremely anxious and concerned about my retirement prospects. I've been experiencing losses for a while now, and despite the silver linings others point out, I'm feeling overwhelmed. However, I'm trying to keep things in perspective and remind myself that investing is a long-term game. I need to focus on the bigger picture and ride out the storm, rather than getting caught up in short-term market fluctuations.

[@EvelynBrooks0]

With retirement just three years away, I'm struggling to focus on the long-term when my immediate concerns are pressing. Despite having a solid portfolio with reputable companies and a substantial investment, my profits have plateaued. I'm worried that the current recession and market instability are limiting my opportunities to take calculated risks and generate returns. Are there still ways to navigate this challenging landscape and make profitable investments, or should I reassess my strategy?

[@MarshalWagner457]

While there are numerous strategies to capitalize on lucrative opportunities, even in a down market, executing such sophisticated trades requires expertise and nuance. Only seasoned market professionals possess the knowledge, experience, and skills to navigate complex investment techniques, making it challenging for individual investors to replicate their success without guidance.

[@henryallard245]

That's truly impressive! I could greatly benefit from the expertise of these advisors, as my portfolio has been struggling significantly. Who is the professional guiding you? I'd love to learn more about their strategy and potentially seek their advice to help turn my investments around.

[@henryallard245]

Truly impressive! I could greatly benefit from the expertise of these advisors, as my portfolio has been struggling significantly. Who is the professional guiding you? I'd love to learn more about their strategy and potentially seek their advice to help turn my investments around.

[@henryallard245]

Truly impressive! Who is the professional guiding you? I'd love to learn more about their strategy and potentially seek their advice to help turn my investments around.

[@caseybills5517]

Stability is a result of our economy's struggles with uncertainty, housing issues, foreclosures, global volatility, and the pandemic's consequences. To restore stability and promote growth, all sectors must respond quickly to concerns about growing inflation, slow growth, and trade disruptions.

[@JamesLongman-v5r]

Consider hiring financial advisors, estate planners or tax experts. They can provide specialized knowledge and help you navigate complex financial decisions.

[@StacieBMui]

True, initially I wasn't quite impressed with my gains, opposed to my previous performances, I was doing so badly, figured I needed to diversify into better assets, I touched base with a portfolio-advisor and that same year, I pulled a net gain of 550k...that's like 7times more than I average on my own.

[@cowell621]

This is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? i'm in dire need of proper portfolio allocation

[@StacieBMui]

Rebecca Nassar Dunne is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.

[@BateserJoanne]

I looked her up, and I have sent her an email. I hope she gets back to me soon. Thank you

[@DonaldMark-ne7se]

I'm not kidding when I say that the market crash and high inflation have me really stressed out and worried about retirement. I've been in the red for a while now and although people say these crisis has it perks, I'm losing my mind but I get it Investing is a long-term game, so focus on the long run.

[@NoorFrohock]

I can’t focus on the long run when I should be retiring in 3years, you see I’ve got good companies in my portfolio and a good amount invested, but my profit has been stalling, does it mean this recession/unstable market doesn’t provide any calculated risk opportunities to make profit?

[@PhilomenaCopple]

There are a lot of strategies to make tongue wetting profit especially in a down market, but such sophisticated trades can only be carried out by proper market experts

[@PitcockRoth-9876]

Thats true, I've been getting assisted by a FA for almost a year now, I started out with less than $200K and I'm just $19,000 short of half a million in profit.

[@NoorFrohock]

That's impressive!, I could really use the expertise of this advisors , my portfolio has been down bad....who’s the person guiding you.

[@PitcockRoth-9876]

Credits to 'Carol Vivian Constable' she has a web presence, so you can simply

[@steveclarke1857]

This doesn't explain Inflation. It explains the effects of inflation on wages.

[@kevaljani5808]

kzbin.info/www/bejne/n4epmoOKndh-mJo

[@mitchlassaline6484]

david abe nothing exists because of an effect. Everything exists because of a cause.

[@averagedepechemodefan]

*the deviant art fetish*

[@DiegoSantos-oe4vg]

True kkkkkkkkkkkkkkkkkkk

[@vivalavida4503]

It does explain inflation, but it doesnt explain how value of 100 in year 1 equal to value of 10000 in year 3

[@HodgeChris]

I see the rising interest rate as a very big problem, as more investors will definitely pull out more money from the Stock market. This might have worked when I was still invest-ing with a couple thousand dollars, but it is more difficult now to decide whether to pull out more than $365k from my port-folio. I know some inves-tors still make that despite the strong bear market. In wish I could pull that feat

[@brucemichelle5689.]

I think the whole thing about holding stocks for long term will always apply. So I think you should get a quality broker who is able to analyze and pick stocks that will do well in the long term, else you will be in a long bear ride.

[@KaurKhangura]

You have a very valid point, I started investing on my own and for a long time, the market was really ripping me off. I decided to hire a broker, even though I was skeptical at first, and I beat the market by more than 9%. I thought it was a fluke until it happened two years in a row, and so I’ve been sticking to investing via an analyst.

[@PatrickFitzgerald-cx6io]

This sound interesting. I’m not really one to use pro analysts, but I guess it would not hurt to try one. My portfolio is in the red waters right now

[@PatrickFitzgerald-cx6io]

Thanks a lot for this suggestion. I needed this myself, I looked her up, and I have sent her an email. I hope she gets back to me soon.

[@AGamerPS3]

It always comes down to the first thing I learned in economics. Supply and demand.

[@OneMinuteEconomics]

The third video I've published on this channel is about just that :) kzbin.info/www/bejne/faLIg6GuiNp_fKs

[@DiegoSantos-oe4vg]

@@OneMinuteEconomics you to be here last five years hahahaahah

[@naradbhandari609]

It’s not just that simple it’s value of money. There are many factors such as monetary policy, Government policy etc

[@pebblepod30]

@@OneMinuteEconomics Hello ONE; Thanks for your short video. I suggest the channel Money & Macro for more info - a professional & non-ideological at that. Your video doesn't include the definition of what inflation is (businesses & other owners of basic costs of living continually raising their prices....for some reason). It gives one possible cause. This is my understanding: In today's world & historically there are only three causes that i know of why businesses (e.g. Carpenters) would raise their prices: input costs going up, or profiteering (& not enough competition which allows it), or bc some wealthy payers pay more, and lack of competitors in the market mean they can all raise prices or expect non wealthy to pay similar. The latter usually is from a currency Soverign Govt being able to pay almost anything. Logically, Too large money supply would only mean inflation (businesses raising costs) if it was used as reasoning for raising one's own profits, since it wouldnt increase input costs. What causes these? Aren't they all a form of either scarcity or greed or if a rich entity pays too much (without increasing supply of good or service to serve poorer people)?

[@GoldIRA]

Cash will only lose value because of inflation so its better to protect your investment by doing the right option. You see, lots of people nowadays choose gold to protect them from such catastrophe. The gold market has the record of staying high for a long period of time. Be it any country of the world, the gold markets touches the peak and continues to stay there for a long period of time which is why people consider it to be the best way of preserving their wealth.

[@AdiJuttofficial]

i just didn't get that, i want to know properly what INFLATION actually is?

[@icancounto9994]

They change the definition of the word. It originally ment increasing the money supply. It the debasement of money that cause the rise prices in goods.

[@BrockJamesStory]

@@icancounto9994 listen to this guy he has it right prices rise because of inflation not that when prices rise it's inflation

[@termainedavis]

This video sucked. Heres a simple version. Its all about purchasing power. The cost of goods are expected to increase 3% annually. This means that the $1.00 water today will cost $1.03 next year. If you are making 50k this year, due to that 3% increase in good cost or (inflation) your need to make at least roughly 52k next year to purchase the same things you can purchase this year.

[@ashleytaylor994]

@@termainedavis It seems most wages are fixed and don't really go up in comparison to the 3% annual increase in products and services. Most employers don't match the 3% increase in wages do they?

[@termainedavis]

@@ashleytaylor994 Yes you are correct. In general, salaries aren't adjusted for inflation.

[@econ4every1]

For those looking for an explanation of inflation, you should be more confused about what inflation is then before you got here. Let me see if I can help. Inflation is when the demand for goods and services exceeds the supply of them. Basically, when things run short (become scarce) assuming demand for them remains about the same, the price will increase. However, creating money does not _cause_ inflation. Think about it like this. If the demand for Cheetos rises by 10%, does Frito Lay increase the price, or create more Cheetos? Hopefully, you realize that they will just increase output. But if you think they would raise the price, imagine going to the store and seeing the prices of snack chips right around $3.50, but Cheetos are $4. Which one would you buy? Most people would swap to something else, meaning that Cheetos will find their sales and market share decrease and their competition will increase. So when would prices rise? That depends. What caused the shortage? Let's say that demand has stayed roughly the same, but the supply of raw materials needed to make snack chips increase. Maybe a drought cut the supply of potatoes, corn and wheat. This would cause disruption in the supply chain and costs would rise. The other kind is much less common kind of inflation is called demand pull. This supply stays about the same and there is a sudden unforeseen demand and as a result, supply runs short. I say it's much less common because if snack companies are able to predict future increases in demand, they will overproduce and create inventories. Think about Christmas, if it was true that increase demand causes prices to rise, why is everything on sale on Christmas a time when about 20-30% of all sales happen? Even in cases where demand outstrips supply and prices rise, those increases usually lead to increased incentives to supply the industry that's running short. Case in point. Oil/ Gas prices. Froma bout 2005-2013 gas prices were elevated. That incentivized new energy opportunities and as a result of that increase in demand North America is not the oil capital of the world. In the end, just as a glass can be 1/2 full or 1/2 empty, inflation can usually be looked at more than one way. It's important that you see and understand the whole picture before making judgments.

[@arabbkenny]

Creating money does not cause inflation, it is inflation. The definition of inflation used to be "expansion of the money supply". I might cause prices to rise but maybe it just causes prices not to fall. The definition has since been changed because it makes it clear that governments and central banks are to blame for dishonestly stealing our purchasing power

[@officialarchiemo]

Prices stay goin up and people still buy the same shit wit more money

[@mikeconner9905]

Thank You

[@mikeconner9905]

@@arabbkenny Exactly

[@DiegoSantos-oe4vg]

Wow!!! Help!!!!!!!!!!!!!!?!!!!!!!!!!!!!!

[@lukey9487]

Ok so basically the government makes more money and the more money the less valuable it becomes and everything gets more expensive

[@OneMinuteEconomics]

Do keep in mind that a lot depends on what happens to the newly-created money. If it simply ends up being used as reserves by the banking system rather than chasing goods and services, the inflationary effect won't be there :)

[@lukey9487]

Thank you for completing the point

[@ToTheNines87368]

The most common type of inflation is demand pull inflation, which we are seeing a lot of right now. I don’t think this video did particularly well explaining inflation.

[@OneMinuteEconomics]

Appreciate the feedback Christoffer, let me know what you would have liked to see more of and if you have suggestions with respect to future videos. There are, in my view, a lot of misconception with respect to the nature of today's inflationary forces, so I intend to tackle this topic through a series of videos.

[@killer14bee]

How do you calculate how much a currency lost its value?

[@OneMinuteEconomics]

Right now, the inflation rate is determined based on the CPI (consumer price index): en.wikipedia.org/wiki/Consumer_price_index However, not all economists agree that this is the best approach. Still, here's how you do it based on the CPI: 1) Find out what the CPI has been for the year you have in mind as well as for the year you want to compare it against (for example 2010 compared to 2000) 2) Subtract the older CPI from the most recent one (if it was 100 in 2000 and 150 in 2010, the result will be 150 - 100 = 50) 3) Divide the result from #2 by the initial CPI, multiply by 100 and add the "%" symbol at the end (50/100*100=50%) ... the result is that the CPI increased by 50% from 2000 to 2010 :)

[@killer14bee]

And how is the modern monetary system a Ponzi scam? Please answer!

[@Diamondragan]

@Pierre Gleize This comment has aged well.

[@Diamondragan]

@Pierre Gleize Traditional investments return profits because the capital funding allowed a successful business to form or expand. Bitcoin is not a business, and it's not a success either; bitcoin is not even a proper currency, because it's ludicrously unstable. Everything on the market is subject to speculation, and investing is itself an endless ponzi scheme that businesses and brokers use to feed off of everyone else. Bitcoin is no different. Decentralization is just a different kind of organization, the same way anarchy is a form of government. Of course it would be nice if someone's idle dollars were put to work helping build successful businesses that do good in the world, but that is becoming exceedingly rare in a market of increasingly profit-seeking businesses either creating or living on the misfortunes of consumers. Twenty years from now, there will be no need for bitcoin to exist. Either the world will have erupted into chaos, or we will have overcome the seldom few reasons people ever thought something like bitcoin needed to be created. For all intents and purposes, bitcoin is just a worse version of something we already have. Specifically regarding my previous comment: I was calling you out on being wrong. No one can tell the future, and the 'market' is not subject to your idea of why anything is happening. I read my Money app every day for news, and it's bullshit article after bullshit article after bullshit article because correlation does not equal causation, especially in an arbitrary fiat ecosystem of misguided humans and robotraders. Nobody knows why anything is happening, but everyone thinks they do. I recommend not being one of those people. Hype and hope do not pay the bills. Success in your 'field' is literally someone else's loss, akin to theft. Exchanges are zero-sum. You do not create anything, and therefore there can be no value in it. Fractional-reserve banking is a sad joke, but all currency systems are made up. The real question is whether full-reserve banking is even more sad, and therefore worse.

[@econ4every1]

@Pierre Gleize I bet you don't know what happens when borrowers don't repay.

[@Imotbro]

This video looks painfully similar to "OHOOOHHOHOOHOHHOHOHOOH CAILOU, HOW DARE YOU SNEAK INTO CHUCK'S AND CHEESE, THAT'S IT, YOU ARE GROUNDED GROUNDED GROUNDED GROUNDED GROUNDED GROUNDED GROUNDED FOR 63467845868867346784367 YEARS, GO TO YOUR ROOM NOW!"

[@NetProfitPath]

Very Educational. I would recommend this video for educational purposes!

[@lucasgarcez5101]

This video does not explain what is inflation, he talk about a effect of inflation: The lost of purchasing power.

[@StevenDeLeon19]

I have 15 and I'm studying economics and it looks fun! I hope one day i can be a economist and do analyzings and decisions!

[@andreastw3638]

"Then I heard what sounded like a voice among the four living creatures, saying, “Two pounds of wheat for a day’s wages, and six pounds of barley for a day’s wages, and do not damage the oil and the wine!” - Inflation 😂

[@SelfHaircutSaloon]

Great video! Great visuals with the text! How is this made!?:)

[@OneMinuteEconomics]

Hi Tom, it's GoAnimate - >Vyond

[@johnbehneman1546]

THANK YOU SO MUCH.

[@OneMinuteEconomics]

Thank you for the kind words :)

[@colby9743]

Previously watched this video in class several years ago. Glad that it appeared on my feed. Needed a refresher. ✨

[@OneMinuteEconomics]

It's the very first video I've published on KZbin haha... memories! :)

[@colby9743]

@@OneMinuteEconomics Well you should be proud of yourself because the Professor utilized your video as subject matter. He didn't want to deal with a long explanation.😆 On behalf of several Economic development college students in LA. We want to thank you for getting to the point in rapid speed.🤘 Side note: You should have a 'Cliff's Notes' type book with video imagery. School districts would most likely purchase in abundance. Similar to my way of doing presentations. *PowerPoint, Right to the Point*.✨📊✨ Cheers.🤘

[@OneMinuteEconomics]

Thanks a lot guys! Nothing makes me happier than seeing the one minute concept validated. Among (too many, heh) other things, I'll be releasing a textbook one of these days :)

[@colby9743]

@@OneMinuteEconomics You absolutely should. As an Economic Development Gem and business solution specialist. I can state that you have an open market, potential and a gift to help those with ADHD. Sending you awesome vibes for abundance and Prosperity ✨

[@nostalgiainsomia8077]

Hi. I just wanna know if there`s a chance a could use one of your vid. Just a 2-3secs only and gonna put a tag on you?

[@OneMinuteEconomics]

Sure thing! If possible, of course, any help with respect to spreading the word about my work would be greatly appreciated :)

[@maharlikanstvchannel1907]

Awesome video clips, thanks for sharing.

[@vickieheard1054]

Great videos! Question: Could I put these on my Facebook page for my real estate business? (of course, credit going to you!)

[@OneMinuteEconomics]

Sure :)

[@chuckf3109]

You got a video on modern monetary theory? I'd be down to see a video explaining MMT.

[@OneMinuteEconomics]

Hi Chuck, will do my best to publish one later this year. Due to popular demand, my current videos revolve around the 2020 situation and its economic implications :(

[@guilhermebarbosa9246]

Inflation Explained in One Minute (Transcrição) 1 - Let’s assume your monthly income were to somehow double. Congratulations! You can now, for the most part, afford to buy two times more stuff. But what if the monthly income of everyone else were to also double? 2 - Well, in that case, you’d no longer be able to buy 2 times more stuff, because since everyone else also earns 2 times more, there would be 2 times more money chasing roughly the same number of goods. Let’s take things one step further. 3 - What if your income doubles but the income of everyone else triples? In that case, you’d actually become poor. Why? Because making 2 times more money is not enough to keep up with everyone else, who now makes 3 times more. 4 - If there is an overall increase in the price of goods and services of x% this year, you have to earn at least x% more than last year to avoid becoming poor in real terms. History makes the effects of inflation crystal clear. 5 - Today, each a dollar buys you approximately 39 times less potatoes than 100 years ago. Or 20 times less coffee, 24 times less bread, and so on.

[@DiegoSantos-oe4vg]

Mairo Vergara?

[@economicsportal6386]

What do you use to make avatars?

[@someones5551]

Question. If consumer income increases, initially prices will rise with a new equilibrium. But will in the long run prices drop due to competition, leaving the consumer with more income and low prices once again?

[@OneMinuteEconomics]

As (almost) always in economics, the answer is... that it depends :) Among other things, it depends on why consumer income increased, as there's a huge difference between consumer income increasing because faith has been lost in the currency wages are denominated in and consumer income increasing because the economy is booming. Also, the answer will depend on the ideology of the economist who is answering your question. Since I'm ideologically agnostic at this point, I'll share both (main) dimensions: 1) Those who believe in free markets are likely to answer that in the end, the market will sort itself out and as you've mentioned, equilibrium will be reached through forces such as competition 2) Those who don't will share scenarios as to how they believe market forces will lead to imbalances in such situations, with it being necessary for governments and/or central banks to step in so as to correct them

[@someones5551]

@@OneMinuteEconomics Okay understood:), many thanks for the detailed answer, and great quality vids.

[@coopsnz1]

@@OneMinuteEconomics if usa elect Biden expect prices to go up if you introduce federal sales tax 30%

[@luanramos5046]

Inflation Explained in One Minute (Transcrição) 1 - Let’s assume your monthly income were to somehow double. Congratulations! You can now, for the most part, afford to buy two times more stuff. But what if the monthly income of everyone else were to also double? 2 - Well, in that case, you’d no longer be able to buy 2 times more stuff, because since everyone else also earns 2 times more, there would be 2 times more money chasing roughly the same number of goods. Let’s take things one step further. 3 - What if your income doubles but the income of everyone else triples? In that case, you’d actually become poor. Why? Because making 2 times more money is not enough to keep up with everyone else, who now makes 3 times more. 4 - If there is an overall increase in the price of goods and services of x% this year, you have to earn at least x% more than last year to avoid becoming poor in real terms. History makes the effects of inflation crystal clear. 5 - Today, each a dollar buys you approximately 39 times less potatoes than 100 years ago. Or 20 times less coffee, 24 times less bread, and so on.

[@shristimishra5704]

One minute economy is good for understanding concept in less time.

[@OneMinuteEconomics]

Thanks a lot for the kind words, I do my best! :)

[@coolstuffbrazil]

That's true when govermment prints money. However this is impact is not direct because people don't spend all money earned in goods, they save part of it, and inflation could be little bit less. I prefer austiacs economy school explanation.

[@spasmicwaves]

Thanks Andrew Tate for telling me to look this up on Adin's stream!

[@mrmuffin5046]

I don’t get it. If everyone else salary also double why couldn’t I buy the same amount? Wouldn’t I be able to go to the store and buy it?

[@directdebit6078]

If everybody has more money, then products are cheaper to everybody. So businesses have to increase the price of goods and services to receive the same profit they would as previously

[@Plantarlivrosescreverarvores]

Amazing, your brazilians subscribers love your channel . Thank you for information !

[@涵紫-w4u]

tq

[@mohammadabokhalifeh399]

Why not to double the money without increasing the prices?More money ,same prices.what causes inflation i didn't got it

[@lm7bird680]

It's supply and demand. With more money more people want things. This increases demand. The supply remains the same so when demand rises and supply remains the same prices rise to lower demand

[@navya5665]

i've a doubt.can any1 clarify?pls...rbi prints all the cash and makes sure inflation doesn't occur ... why can't it use the excess printed cash to clear off the debts of our country..would it also result in inflation and how? pls explain any1

[@BrockJamesStory]

Inflation is the expansion of the money supply so when you expand the supply of money prices rise

[@narendravarmasusarla]

Thanks so much sir

[@ahmedbassam400]

Great video! Keep it up.

[@OneMinuteEconomics]

Thanks a lot Ahmed :)

[@LOGICZOMBIE]

GREAT WORK

[@OneMinuteEconomics]

Thank you! :)

[@sebastianmendez-blanlot9859]

_Is the following statement somewhat true ?_ : « Inflation is a price paid for variety. » _?_

[@OneMinuteEconomics]

I mean if you wanted to and with adequate argumentative gymnastics, you could paint a picture along those lines but there are other elephants in the room worth tackling before even thinking about pursuing that narrative :)

[@IGSA101]

What happens when we enter a post scarcity society? Does inflation just cease, or does the economy as a whole disappear because half of pricing assumes scarcity? I know it's essentially theoretical, but I think we're just a few technological advancements from reaching that point, even without needing to leave earth. For as much as food prices are rising there essentially is no scarcity in food anymore. Just the US, Mexico, and Canada produce enough to feed everyone on the planet. The main issues are storage and distribution. We just need better refrigeration and transport technologies to completely eliminate food scarcity, and with reliable and cheap space travel all scarcity just disappears, after all there are a billion billion galaxies that each have a billion billion stars that each have multiple planets around them, we won't be starved for resources once we can access that.

[@SuyashDixit]

Great channel, time to watch every single video :)

[@JoseLeybaDiaz]

Just suscribed, Thanks man!!

[@OneMinuteEconomics]

Glad to have you on board Steven :)

[@KiaraWilliamsX]

..what are you saying, some people have to be poor in order to have a balance?

[@robans702]

@kiara Williams Of course somebody has to be poor when you have billionaires!

[@chasegosman7884]

If they made 2 times more then how did they get 3 times more? If they only make 2 times more

[@athxna2095]

Amo seu canal

[@Businessfinance1349]

is this the same as property martket bubble?

[@OneMinuteEconomics]

Nope BUT inflation fears could for example lead to property bubbles, as more and more people are worried about the purchasing power of their currency and it all becomes a game of hot potato, with everyone wanting to get rid of currencies... among other things, also by chasing assets and bidding them up well beyond what reason would dictate :)

[@Mehrdadkh87]

Let me know if i am right,So with considering this points,it s beter for richs that poors make les money ??? But not les than ....ubi

[@nmbsf1963]

Double isn’t twice more, triple is twice more. You are adding x + 2x to get 3x. According to what you say “twice more equals double” is like x + 2x = 2x which is nonsense. Please be careful with what you say trying to instruct others

[@MrGhostTheBigRoast]

Check out king pedant over here. The purpose of language is communication and the narrator communicated his idea just fine. You're head is simply to far up you'r ass.

[@Jay_Bless]

Example of a dollar buying potatoes or coffee confirms the bond between Americans and food.

[@OneMinuteEconomics]

:P

[@shristimishra5704]

Superb video 🔥

[@StickGuyYT]

Hello Jack Paul from GoAnimate

[@italocandidodeoliveira9217]

Mairo Vergara.

[@Timbone07]

Who is this?

[@NicolasTVC]

​@@Timbone07 a brazilian teacher who uses this video to help us in learning english ;)

[@caionunes4192]

0:00 - 0:13

[@FightersMixHD]

You already lost me when you said the word income 😂

[@musicjunk8266]

why do businesses put their prices up just because people are earning more?

[@OneMinuteEconomics]

Because the people who are earning more also for example work for suppliers of theirs, which means those suppliers have to raise costs if they can't or won't "eat" losses associated with increasing costs on their end... and you see where this is going :)

[@mattmoon4395]

Inflation makes the world go round it has to be the only way to keep people working

[@OneMinuteEconomics]

:)

[@universeusa]

Awesome videos. Thanks!

[@caionunes4192]

0:13 - 0:28

[@last_lost_lamenter]

Ive been through tons of videos on this and they all start off with "let's say you have...." There's something wrong here.

[@OneMinuteEconomics]

Let's say there is something wrong, what would it be in your opinion? :D

[@last_lost_lamenter]

@@OneMinuteEconomics in my opinion without hypotheticals, the Fed & central banks are the true problem. My issue wasn't with your video the day I commented. I had just heard enough "what if's" regarding inflation and had enough. Sorry I decided to glitch when your video was up. Nothing on you. Nothing personal.

[@brandonthomas1378]

But isn't inflation what people wanted when they say they wanted to raise the minimum wage to $15?

[@OneMinuteEconomics]

I wouldn't quite put it as "wanting inflation" because there is always a lingering fear that it spirals out of control. Policy choices such as minimum wage increases aim to tackle imbalances/discrepancies more so than generate inflation. How and to which degree they succeed, however, is beyond the scope of this video. I actually have a video on the minimum wage that I'd like to invite you to check out when you get a chance to: kzbin.info/www/bejne/kKfYpp2Jir6Uo8U

[@bluejlight8935]

This explains wages and the fact that executives would rather couse inflation then yo take a pay cut.

[@OneMinuteEconomics]

Fair argument but let's not worry about (top) executives too much, they have their way of always landing on their feet, be it deflation or inflation... with a little help from Uncle Sam or the equivalent in your country, of course :D

[@coopsnz1]

In sales tax states in Usa , The Government profit most off sales not Business . The guy that made this video is a anti business socialist

[@gorgoniaaldrina.2486]

It explains the demand pull inflation. Not totally the INFLATION.

[@exempligratia2294]

I think this is going to give people the wrong idea of inflation...

[@OneMinuteEconomics]

Hmm... why do you believe that?

[@exempligratia2294]

@@OneMinuteEconomics i think maybe you're describing the effect of inflation but not the causes. The federal reserve and political policy effects inflation in a huge way. When more money is added via cash or contributing factors like unemployment vs. Job availability come in to play, inflation can increase or decrease.

[@MONEYANDTIME]

Although too much inflation is a problem, deflation is an even greater problem to the economy. So much stimulus check and money have been pumped into the economy to mainly avoid a massive deflation. If inflation does not follow, more and more money will be pumped into the economy, basically until we all start spending.

[@OneMinuteEconomics]

However, can we truly say all of those trillions have been pumped into the *economy* when so much currency is just "sitting there" as inert reserves with banks that don't have much of an appetite for lending?

[@AlanSmith-ei5vz]

It's called GREED.

[@brittianyistre]

People getting raises doesn't actually affect inflation. Current data shows that. But this is an old video.

[@williammielenz3752]

Inflation can be a wonderful thing if you can position yourself to be on the receiving end more often than the paying end. Americans rich have figured How to do this.

[@OneMinuteEconomics]

Heh, it can indeed :)

[@danieluchoa8230]

Mairo Vergara

[@wesleyrafael3981]

Br

[@Itsmetahh]

Who’s here because of “Raise the wage Act”🤨

[@OneMinuteEconomics]

One Minute Economics needs your help! Please give me a minute (heh) of your time by watching the following video if you find the channel useful, literally anyone can help (either financially or by spreading the word about my work): kzbin.info/www/bejne/n6CTZZahppaLZ68

[@mattmoon4395]

Explain your reply

[@DiegoSantos-oe4vg]

Fuking.

[@colby9743]

I will totally share it to the CPED community here in LA.

[@josea.deleon2222]

Inflation will continue to happen as long as more goods are made. The House always wins and nothing in rotation can make less than what it costs to produce it.

[@OneMinuteEconomics]

Who is "the house" in your analogy, Jose?

[@aiissah8608]

INFLATION: 9 vérités pour comprendre et s'adapte L'inflation est de retour ! On l'entend depuis plusieurs mois, et on le vit ! Mais nous dit-on tout ce qu'il faut savoir sur le sujet ? Certainement pas. Déjà, on ne nous dit pas que l'inflation enrichit les riches ! Il va de soi que, corrélativement, elle a tendance à appauvrir les pauvres. On ne nous dit pas que l'accélération de l'inflation que nous connaissons en 2022 est largement provoquée par les pouvoirs publics. On ne nous dit pas non plus que l'inflation, bien qu'absente des indices des prix à la consommation, est parmi nous depuis déjà un bon bout de temps. Et que les Français la ressentent sur leur pouvoir d'achat. On ne nous dit pas que face à l'inflation, il y a des stratégies à mettre en place pour son épargne, afin de réduire les risques. On ne nous dit pas que les mécanismes à l'oeuvre sont aussi ceux qui ont fait exploser les cryptomonnaies. Et on ne nous dit pas, tout simplement, ce qu'est l'inflation ! Ce livre ne prétend pas être l'essai ultime sur l'inflation, mais relater des vérités qui sont bonnes à connaître dans le contexte présent et à venir, pour bien comprendre, et pour s'adapter. Il prétend aussi combler un vide sidéral puisqu'aucun livre n'a été publié en France sur ce thème si sensible, tandis que les Français ne sont toujours pas réconciliés avec l'économie. Chaque chapitre est construit autour d'une vérité, énoncée en tout début de texte, comme si elle était le titre d'un chapitre. amzn.to/3GiLnSs

[@trinaog8734]

I just sub too thanks alot for the info

[@OneMinuteEconomics]

Glad to have you on board Trina :)

[@k.y.sisntgood1840]

what the hell Is a inflation fetish

[@Harrysmith8888]

still dont get it.

[@OneMinuteEconomics]

If you have additional questions, please ask. I do my best to answer the questions people ask and if I somehow end up not noticing it, perhaps other community members can chime in

[@georgeindestructible]

But the problem with inflation is not really other people making more money but rather that more overpopulation effect is doing the same thing like the increase in wages. So the problem driving inflation is for a good part, overpopulation.

[@OneMinuteEconomics]

Hi George, thanks for dropping by! However, do keep in mind that an increase in population has effects on the supply AS WELL AS demand side of the equation :)

[@georgeindestructible]

@@OneMinuteEconomics Indeed, a loop hole of shorts. So, in theory, all we have to do to keep things from inflating is mostly keep the population from going over a certain limiting (assuming wages and demand doesn't change, even thought all numbers will almost always fluctuate and almost never remain the same anyway), there has to be a sweet spot for the equation. I mean, it's a very complex equation and there are many other factors which affect it but this is one of the biggest ones i believe.

[@OneMinuteEconomics]

The thing is, so far as least, population growth has proven to be an overrated threat. Can this change? Sure, but thus far, Malthusianism has for the most part been wrong and when you get a chance to, I'd recommend checking out the following video that I've published a three years ago: kzbin.info/www/bejne/rIfQcpVug5qhh7s

[@georgeindestructible]

@@OneMinuteEconomics I could be wrong, i will check that, thanks.

[@QuinGracia]

Lies. It was explained in 1:10.

[@RR_DM]

scarcity drives inflation, since fuel is so vital for war and petroleum in so many manufactured goods the war in Ukraine is one reason why fuel prices have reached such exorbitant heights in California $8 or $9 a gallon, sanctions, litany of reasons

[@coopsnz1]

In Usa there no federal sales tax = no tax on retail price why everything cheap to buy . In Australia there 23% tax on imported goods that Government greedy not Business

[@OneMinuteEconomics]

The European Union (where I live) isn't exactly shy on that front either :)

[@randomknowledge5254]

Inflation explained: kzbin.info/www/bejne/mXfJm5WOZpWWnrs

[@MicahBuzanANIMATION]

Economics is truly absurd.

[@OneMinuteEconomics]

It is indeed :)

[@madmanpete]

Solution: Print moar monayss

[@OneMinuteEconomics]

Brrrrrrr to prosperity :)

[@cmj3555]

Inflation is a natural process where products get more expensive. Not by much usually, sometimes just some cents more expensive. What he explained in the video was the effects of inflation where your currency would become weaker.

[@cmj3555]

Also he's giving examples of quite extreme scenarios.

[@farij_the_black_wolf]

I think it was explained in deviantart

[@johnscott2746]

Inflation means something was inflated. What would that be? The money supply. Prices going up is an effect of inflation. The money supply has to increase to keep pace with population growth, but when the government hands out money and increases the amount of money in circulation it causes inflation. Then you have more money chasing fewer goods. The federal reserve aims for a target amount of inflation each year. That makes the money the government borrows less valuable and easier to deal with the debt. Money is also created and destroyed every day in the stock markets but has less of an effect on people. But the main thing is the government creates inflation and they know it. They are just lying to a gullible nation because they know that very few people understand the truth.

[@goldensunsprite]

I am confused

[@OneMinuteEconomics]

If you have any questions, please let me know and I will do my best to answer, or perhaps someone else can chime in :)

[@MonkeyDragonLuffyAvatar]

That’s not how inflation works

[@lutfifawzy9561]

This happen in my country

[@OneMinuteEconomics]

Sorry to hear that Lutfi, let me know if there's anything I can be of help with :(

[@empiresaara9927]

I am an economist🥰

[@OneMinuteEconomics]

:)

[@wtfcurious3651]

Not my fucking problem....u better not bring those people next to me

[@keanpotpot1641]

Is The Chararcters are like from go animate

[@Imotbro]

Yes

[@RR_DM]

that and maybe the fact that gasoline is used to make cocaine and maybe cocaine has become more popular but this data is hard to find, social stigma bias

[@Ru4444]

I know less than before i watch this video

[@OneMinuteEconomics]

If there is something I can help with in terms of information, let me know

[@thecrazytophatman7304]

This video is the symbol of well duh

[@ripwins]

I BET RASICIM IS THE ROOT OF INFLATION

[@raylaaaa9615]

Hellooooo

[@OneMinuteEconomics]

Hi :)

[@gilbermejia7350]

Aleluya

[@al2642]

Am I the only one who sees the senseless nes of all this? It would not be like this if we were communists: money would not be the end, but the mean