Monetary and fiscal policy | Aggregate demand and aggregate supply | Macroeconomics | Khan Academy

[@alibabashero]

How come its the same voice for nearly every Khan Adcademy video that I have ever listened to, This guy must know everything that is needed to know about everything!

[@VickiBee]

alibabashero On the medical videos he almost NEVER talks. All doctors do. I work in medicine. I only watch the finance videos bc some guy I'm friends with does it for a living and thinks I know nothing about it, which he's right. But I won't learn if I don't keep trying. And he could help more but never mind.

[@SnowWhite-fm4iq]

exactly hahah his name is Sal

[@TheGGbond]

or maybe he is just the guy who reads the scripts, who knows.

[@VaibhavKatkade]

The guy used to be a hedge fund banker and has a knack for teaching - so that perhaps explains it.

[@03raq]

@@VickiBee also in the biology lectures i think there were a lot of parts done by someone else, but yeah mostly is him xD

[@edwardthompson8982]

>Inflation is killing my budget and my salary. I can't invest and it seems like I will need to sell all of my risk assets to keep my head above the water this year. What is the best solution right now? These are really though times.

[@kendrickmason2577]

investing in forex cryptocurrency market through a professional to guide you avoid losses because the signals are not really easy to read that's why you need to invest with an expert to a better profit

[@kendrickmason2577]

I had this your experience during the last downturn and I thought I had lost it all but thanks to Mrs Jennifer Marie Ferguson who managed my portfolio,I recovered all my losses.

[@kendrickmason2577]

Stop managing your portfolio and write her since you keep lossing money , she is a Pro in trading. She'll help you earn passively.

[@alessiaroca4966]

@@kendrickmason2577 I lost a lot in the stock market crash, please I need help. Thank you 🙏

[@edwardthompson8982]

@@kendrickmason2577 Thanks for the advice 😊

[@alexandralorincz9574]

8:24 all you need to know in a small amount of time

[@basakyildirim]

Alexandra Lorincz THANK YOU!

[@intellegence63smart]

100% ON EXAM, THANKS KHAN! MY GPA IS PERFECT BECAUSE OF YOU. THE FREAKING GOVERNMENT IS PAYING ME TO STUDY.

[@psikochick2]

Thanks Khan Academy, I love watching your vids because I can't afford college right now and this is what I'd want a degree in if I could, along with Political Science :-)

[@Adino1]

Most the people in college can't afford college. That shouldn't stop you.

[@javierjimenezgutierrez8346]

come to europe. Cheap and quality education.

[@onepath2645]

There's not even a need for attending college or university.. At the end of the day you wana earn money.. Be business minded and earn as much as money as you can. Absorb as much knowledge as you can & make youtube source of your income

[@whitevalentino6148]

@@javierjimenezgutierrez8346 quality? questionable

[@user-db9vy2gh3v]

@@onepath2645 You still working at your local supermarket?

[@xBlackShadowsZz]

Is this guy like, god???

[@Jason-zo1cv]

Might be lol I know that he is also teaching Statistics

[@sandramguni1485]

I understand some topics better than when I'm in class thank you so much to KZbin

[@jranney1]

The only problem with this video is that the supply of money in normally shown as a vertical line since it is 100% controlled be the Fed. Also, the horizontal axis should be "Quantity of Money" not "supply of money." Interesting tie-in to fiscal policy. I'm going to be checking additional videos from Khan Academy and be assigning them to my classes. I suggest also Jason Welker's work and that of Steve Reff ("Reffonomics"), both are excellent and designed specifically for AP Econ.

[@bhavyaagrawal7895]

Sal has the knowledge of everything in the Universe and the Universe itself!

[@BrutusAlbion]

@wisdomtrek He's mostly talking theory, which he is doing perfectly. Those things are for future video's or not at all since they are not relevant to the theory itself.

[@harvir74]

i wish you were my teacher you makes tings look so easy and it makes sense too..

[@ViswaVirinchi]

"They dont stuff it in their mattresses" was a LOL moment.

[@我是猛男]

His handwriting seems to improve

[@chrisg1499]

你是猛0吧

[@MohsinAli-zi5yr]

Dear Sir, Kindly make a video on Mundel-Fleming model

[@Xandufarr]

The Federal Reserve does not print money. The Bureau of Engraving and Printing, which is part of the Treasury Department, prints it. The Federal Reserve then purchases it.

[@Xandufarr]

F u diot.

[@peterohnstad4299]

Jonathon Thompson lol i just love the savagery in this comment

[@teyozambia9144]

You making school easy....

[@thisiskeels]

I guess you and I share a huge difference of opinion about who holds the power at the Fed.

[@nitish282]

God bless you Sal!

[@jerryfan8862]

Thisis soo helpful thank you so much

[@cyubahiroeric2822]

i want to ask a question with illustration what will happen to out put and price level when central bank loosen its policy b.when goverment increases taxes c.when the goverment increases its spendings

[@cowmonsoonred]

Cyubahiro Eric A.when the central bank loosens it's policies,it means the bank aims to increase the money flow in the economy.it wants all the commercial banks to lend money to the people and get the economy reved up.Generally,as far as the policy measures go,the central bank keeps a optimum check on the money supply ensuring the right level of Inflation of the economy. B. When the govt increases the tax levels ,it leads to less money flow in the economy.This will curb the Inflation and motivate people to invest in tax saving govt schemes. C.when govt increases it spending it essentially wants to do away with the recession or economic stagnation.The increased expenditure will lead to money multipler effect reviving the economy and leading to growth and prosperity.The GDP of the nation will rise leading to employment generation and poverty alleviation.

[@basketweaver1144]

"print less money" my brain: print negative money

[@Deshammanideep]

Central banks can also pull money out of system if needed.

[@basketweaver1144]

@@Deshammanideep that's usually the job of oil, the US set the price

[@randomkrieger2625]

lol, I'm a year late to this but this is hilarious XD

[@AyeshaKhan-uh2gz]

I have exam today, it helped a lot 😊

[@yivonneng1119]

ok,im ready for my final this week✌🏿️😂thank you💕

[@modabinomar]

final in 26 hours 😟

[@jgrds7324]

but who do they (central banks etc.) buy the debt from? what is a debt market and whose debts are in it? haven't really understood that part yet

[@fatffatable]

Thank you very much for making these videos!!

[@AsianAnimeRuLe]

What the fuck is this Khan guy??? Does he know everything of everything about university classes and courses/subjects. I wish you were my uncle

[@davidbutler1857]

I put in some long long hours watching Sal describe the damned physics of the universe. The dude is a legend.

[@urielgaribay2880]

Haha was literally thinking this then scroll down and see your comment.

[@ronalyncaingcoy9157]

Yeah... Seems like he knows everything. I have watched a lot of his tutorial in mathematics and then now, he also shares about economics. What a man?

[@andrewrobinson2985]

MIT Student @ paid $15mil by Microsoft to do these videos.

[@vivek09chaturvedi]

Hats off to Sal Khan..great job.

[@BillyK79]

Yay! First comment. Khan You Rock.

[@vibhaskulkarni]

I liked that software...

[@chiyonglee8475]

I always confuse about interest rate. In this topic, what interest rate are you using? Is it the prime rate, fed rate or treasury bills rate. How are those rate related. If you said that the rates increased, does it mean that all kind of interest rate increase as well?

[@LunHaolai]

He mean the bank rate... As bank rate increases banks adjust the interest rates accordingly

[@MultiSciGeek]

Can you explain this in a non-US context please? Simplify it if you can.

[@epimetheus9053]

the central banking system runs almost in every country, so this is not limited to the US economy , and is not so innocent as khan makes it look , in theory it is overviewed by government, but practically you cannot audit it nor can be scrutinized by a judge or an attorney general ... its a rogue printing machine governed by certain individuals and they can make a government look good (they buying debt and make the economy look prosperous)

[@sachinjaveri1]

Thank you very much sir...😊

[@divyateja939]

As usual. Crisp and clear

[@karfar8029]

Monetary policy is actually just setting the price of banking by setting the target overnight interest rate. The Fed uses securities to manage the overnight interbank market to maintain that target interest rate. Printing money is done via fiscal policy. Whenever Congress appropriates funds for spending, new dollars are created. Also, securities has nothing at all to do with lending the government money. A security is nothing more than a timed payout savings account and monetary tool. Federal taxes are how dollars are extracted from the private sector and destroyed. Federal taxes, like securities, are not a funding mechanism for the federal government.

[@sachinthasanjana8604]

Can you explain multipliers and sums regarding these things

[@tito1894]

This was on the test I took today.

[@fashionschoolsnitch6866]

Watching thos in 2022. Assignments due 👍🏼

[@madisonscobie3254]

please go donate! it helps everyone :)

[@salonijain852]

How does this affect long run AS curve ?

[@jeffrey8770]

err it should be up to 4.9999% right if u only get 5% in returns? at 4:00

[@cutemagican]

How does monetary policy affects the growth of GDP in a country?

[@arsalanali246]

Helped a lot for finals

[@bktutoring217]

well explained

[@fabianovinabit2537]

thank you

[@feroxcious]

Question for Khan: Let's say a fictional country would make it a constitutional law that the government is not allowed to borrow money for > 0% interest anymore.. ever... What scenario's are most likely during...: - the period in which they are paying off all the debt - the longer term after they have paid off the debt and the economy is used to the new situation. What kind of effects would such a policy have?

[@mistyshawn4066]

thank you sooooooooooo much..

[@kapilesh14]

How can you have a dislike on an educational video?

[@KrunalRindani]

Check his website... Its there under the 'info' tab i guess...

[@M3099G]

Isn't the money supply curve vertical?

[@jerrychu3182]

+IndianTiger only long run aggregate money supply curve is vertical

[@jimminghe5038]

no, the money supply curve is supposed to always be vertical. only the Long Run *AGGREGATE* supply curve is vertical. There is no such thing as "Aggregate Money Supply".

[@sashmira8084]

so both the money supply and long run aggregate supply curves are always vertical?

[@jranney1]

Wowzers5.... The Fed profits come from the interest the government pays on the ton of US bonds and Treasuries that the Fed holds... And yes, the Fed is VERY profitable...

[@fpxdaxbe]

Great review!

[@VeritasVinci]

Hey sal love the content is there any chance you can talk about times where fiscal and monetary policy don’t match. We’re seeing the FED begin contractionary policy while the government is increasing spending.

[@mikhailkb]

how does he explain things so simply

[@xedjflowx]

practice

[@khalidalialghamdi]

What about lowering tax or tax cuts to stimulate consumers spending ? ! Not government spending !!!

[@xxanimefanxx11]

anyone want to explain why we need both monetary and fiscal policy in our economy I'm confused on that.

[@milanpatel3159]

You probably find it on quora 😉

[@davidfaulds9668]

CLOSE THE TREAUSRY DOWN!!! CLOSE IT DOWN!!

[@davidfaulds9668]

+David Faulds LIKE IF YOU THINK THE TREASURY SHOULD BE CLOSED DOWN

[@davidfaulds9668]

+David Faulds yeah man it shoyuld be shut down for sure spot on

[@JamesAndTheGiantPeach]

what the actual fk?! you just comment on your own BS when it's clearly from the same exact user.

[@JayDev65924]

i am an indian too i understand that we are smart

[@wildfirestudios4868]

Who else is cramming for the AP

[@FM-gw1km]

you are helpful

[@ryiinsdfaklsdfl]

I thought the supply curve for money was vertical

[@raymondfung2554]

Ryan Vanzo Long term Aggregate Supply (aka Potential GDP) is vertical

[@skibumwilly1895]

In “Occupying Chairlifts” a simple rule tweak on inheritance ends up changing the direction and purpose of modern human life! Here’s a fair way to transition forward to where we’re rewarded for cooperating and creating instead of competing and conquering. It's something specific we can demand. If this isnt the best answer, at least we’re thinking about what might be. Are we really just this close to having it work right? Oh yeah, it's a Ski movie! “Occupying Chairlifts” on KZbin!

[@ericbritt7280]

yea, not sure about this.

[@MultiSciGeek]

I did not understand half of this. Time to start relearning from the start.

[@Y0utubeIsMYFriend]

Why is money supply curve not perpendicular instead of upward sloping?

[@dylanisanerd]

This helps a ton. Thanks Sal :)

[@angadbhatia608]

5:53 people borrow money not to stuff it in. Umm their mattresses😂😂😂

[@kenbobcorn]

Only legal tender is silver and gold and the government is printing money which is unconstitutional.

[@BungieStudios]

Commerical banks are and the Gov & FED let them. They don't need to print money when banks can increase checking account balances. 👌

[@seller6478]

THANKYOU

[@andersbuer]

Why illustrate with ASAD? Wouldn't ISLM be sufficient And more relevant?

[@VickiBee]

I think you should discuss what a debt ceiling is. I'm tired of hearing about it and knowing practically nothing about it. My friend who DOES understand this stuff is supremely UNconcerned about what a government shutdown will do to ordinary people. I OTOH wonder about it.

[@buiquangtrong]

What is the software to make this screen?

[@swapnamaysen8937]

Okkkk but i need more advance topics in economics

[@RRG95]

Instead of literally printing money, cant the federal reserve just buy and sell bonds to increase/decrease the money supply?

[@azadkaya]

***** fuk you

[@RRG95]

Azad Kaya ayyyy lmao

[@amandaherring2195]

***** hhjjj

[@mrroo9658]

In many cases, yes. That would be the better option in the long run too

[@RRG95]

mrroo96 After nearly two years, I finally have a serious answer. Thank you!

[@aliveli3519]

when u print money inflation must go up. your chart said it goes down . what's wrong

[@raz0rx]

When you say the Central bank buys debt, you mean to say that it buys back the bonds that it had sold to the bond/debt holders? Thereby infusing money into the economy. You could also talk about other things like Repo, Reserve repo, those are some major monetary policy instruments in India atleast.

[@thisiskeels]

The members of the Federal Reserve is not a secret. Ever heard of Ben Bernanke?

[@wowzers5432109]

Khan, federal reserve lends money to the federal government? Then why does the federal reserve give all its profits to the u.s. treasury? So if i understand you, Fed lends money to government, so government is in debt to fed, but fed gives government its profits? where does fed get its profits from?

[@Digital_Flesh76]

Monetary long term 😂😁☝️ Fiscal short term 😂😁🤔

[@snowpunk116]

Check out the Planet Money podcast. They've done some really great stories on Monetary Policy and the Fed.

[@ishperson2580]

Help this is going so far over my head

[@kenbobcorn]

Sorry, I support some of his policies and his views but I think his economic policies are a little too radical for a modern day economy.

[@OmarMahmoudov]

totally! :S

[@EgaoNoGenki]

@intellegence63smart Where is your college?

[@jaimec322]

QUASI

[@TheRojavaRevolution]

Sal for president?

[@Ohyeahhahaha]

rather lengthy

[@sobiiboy7205]

Why not discussed the fiscal policy in more depth? actually u didn't even half introduced it!

[@faaizali7328]

*Quasi* Independent

[@kenbobcorn]

Im a Ron Paul admirer but not a Ron Paul supporter.

[@jSONrEEE]

khan is dat you?

[@eyeorigins77]

he sounds so hot istg

[@modabinomar]

thats him (the link i posted)

[@xnr23]

Your on 60 minutes now.

[@AeroSpace1210]

Are you a Ron Paul Fan

[@skibumwilly1895]

In “Occupying Chairlifts” a simple rule tweak on inheritance ends up changing the direction and purpose of modern human life! Here’s a fair way to transition forward to where we’re rewarded for cooperating and creating instead of competing and conquering. It's something specific we can demand. If this isnt the best answer, at least we’re thinking about what might be. Are we really just this close to having it work right? Oh yeah, it's a Ski movie! “Occupying Chairlifts” on KZbin!