The Economics of Foreign Exchange

[@EconomicsExplained]

Thanks for watching EE nation! ❤️ If you enjoyed, please consider supporting the show on Patreon! 😎 See new videos early, participate in exclusive Q&As, and more! ➡️ www.patreon.com/EconomicsExplained

[@erich2099]

Bretton Woods is in New Hampshire, not Washington. And Taiwan 🇹🇼 is NOT part of CCP China as indicated in the map in your video. Taiwan has its own currency, democratically elected multiparty government, military, economy, laws, environmental regulations, passports, etc.

[@luisalbertodiaz8138]

Just wonderful, been searching for "currency forex trade trading" for a while now, and I think this has helped. You ever tried - Harperzon Forexify Equalizer - (should be on google have a look ) ? Ive heard some interesting things about it and my buddy got cool results with it.

[@olukayodemayomi5028]

Bretton woods, New Hampshire.

[@mikevictor2428]

The rich stay rich by spending like the poor and investing without stopping then the poor stay poor by spending like the rich yet not investing like the rich

[@adedejiadeleke1231]

Actually trading Forex has not been easy, ever since I started trading I have Blown my account thrice, Had several mental breakdown because i was not using accurate strategies, Secondly no professional trader to back me up! I even almost gave up in trading Not until I got in contact with Mr Carlos @Carlos_1uptrades on IG, now i earn $12,000 weekly with his genius strategies, I really appreciate his good works and can't help but let others know about it

[@mrkanenas]

The more i learn about economics the more i realize that i dont know anything about it

[@MrCher2]

Good! That is the first step to start to learn anything. Because we don't learn what we think we know.

[@emilebichelberger7590]

Yes, I’ve learned enough about a few things to realise I need to go on a proper course before I do anything.

[@Avenus112]

Same as anything complicated. It's a rabbit hole.

[@iftikharshipar]

Welcome to economics

[@AvoidTheCadaver]

And that makes you smarter than a lot of other people. Knowing that you don't know something is the first steps towards wisdom

[@c0r313]

Can we all just stop for one second and appreciate the amazing parking job at 3:10 (bottom right)

[@drvanon]

That is the city I live in! (Heidelberg, Germany, Google for alte Brücke)

[@jryde421]

But how they gonna get out?

[@Knightstalker45]

@@jryde421 same way he got in

[@kisame7080]

WHAT THE F*CK! this is a japanese level of precision!

[@ithilweenshadowsong8151]

Didn't notice the first time lol

[@gamerx112]

you can actually hear someone say "what?!" after nixon temporarily dissolves the gold standard.

[@LuigiSimoncini]

nice spot!

[@McWrisk]

“Temporarily” key word there.

[@rockystaatz521]

It doesn’t seem temporary

[@rockystaatz521]

peace leader interesting concept. You haven’t been paying attention for a long time, even governments have started to develop crypto entangled currency. The old will fund it to control it.

[@rockystaatz521]

peace leader everything expands & evolves until it’s extinction, windmills that actually work?

[@Christensend]

I put in 10k into various assets this time last year and flipped into six figures within a year and some months and still going. I’ve always been an advocate of investing because it has been rather rewarding. I hope to attain financial freedom soon. One more thing, I always look forward to your content brother, keep up the good work.

[@Christensend]

It’s not rocket science. As I said previously, I got into ETFs, index funds, REITs, and some cryptocurrencies myself but wasn't getting the results I wanted the first couple of months. Got tired of taking losses and decided to seek mentorship from Jonas Herman, a certified fiduciary who helps oversee my investments in ways that have made me good roi. Now I sit back and reinvest at intervals while I focus on my 9-5.

[@Pathston]

Sounds like I need help so bad. To me, investing is not worth it and I know that's the same mindset holding me back from taking a step forward in my finance. I guess I'm just scared since I'm green to it.

[@Roymysterio]

Over the years, I've been part of numerous investment programs, sifting through a barrage of information. Yet, none comes close to the sheer clarity, depth, and precision of Herman’s instructions and insights. It's akin to finding a diamond in the dirt.

[@Roymysterio]

Hermanw jonas that’s his gmail okay

[@Halllaand]

I never feel pressured into making hasty decisions with him, and all fees and commissions are clearly explained upfront. This level of trust and integrity is rare in the financial industry, and it is a testament to Jonas’ dedication to me as his client that he always has my best interests at heart.

[@jadenephrite]

Regarding 5:03, the Bretton Woods Conference in July 1944 did not occur in Bretton Woods, Washington. Instead it occurred in Bretton Woods, New Hampshire at the Mount Washington Hotel.

[@DavidGao-tn7yp]

Yes, at the Mount Washington Hotel in Bretton Woods.

[@zotac1018]

Can you expand on the issues why china artificially devalued their currency that would be highly interesting 😁. Following u for about 6 months now and not one ( NONE) of your videos were sub par . So great job man and lots of love 😍.

[@jonastjepkema]

And as a follow up, why Switzerland used to do the same to keep the swiss franc 1.2 Frs = 1€?

[@TheMrNalsur]

Main idea lies in this: when country's currency becomes weaker compared to, let's say the USD, the products from the said country become cheaper as well... (you will be able to buy more of Chinese stuff for the same amount of the USD) The Chinese exports become cheaper on the international market, making them more desired. This causes the exports to grow. This is generally good for export-based countries. When the currency becomes stronger, it discourages export, as for outsiders the products of the said country become more expensive. However, for an import based economy, this may be a better option as people will be able to buy more for the same amount they have. In general however, it is preferred for the currency to stay stable, more or less. It doesn't matter that 1 USD = 100 Yen. The 'weakness' of the Japanese Yen doesn't make it any less valuable. Sure, you have a few more zeroes, but that's about it. The Japanese can still buy whatever they want. Sudden increase in currency's value will hurt the exports, while sudden decrease in the currency will hurt the purchasing power of the said country. (And vice versa, moderate increase enhances purchasing power, while moderate decrease enhances exports). DISCLAIMER: I hold no degree in economics. Never practiced the field. Take my words with all the salt in the world. :D

[@guitistic]

@@TheMrNalsur that would be too much salt. I'll only take a grain, thank you.

[@martymcfly5423]

A devalued Renminbi compared to the US-Dollar makes ALL chinese products cheaper. Thats great for american consumers, cuz then everything is cheap 👍 A devalued Renminbi compared to the US-Dollar pisses off american producers of the same products, cuz now they cant sell their higher cost products 😁

[@rjimpervious8261]

We'll if you really want a short and concise answer. it can be summarized in 4 main points: 1. It boost exports. As the the value of a currency say yuan (RMB) goes down and dollar goes up. It only make sense to export more as more profit can be made by exporting to a higher value currency. 2. It increases domestic spending. (specifically on locally made products). As imported products gets more expensive (as foreign currency value goes up), the populance would tend to purchase locally made products (which will be comparatively cheaper). This would boost GDP. 3. Shrinking Trade Deficits. This is in relation with point 1. As imports gets more expensive and imports will be more likely, trade deficits can be managed by devaluing currency. 4. Finally, Reducing the Burden of Foreign (External Debt). Usually foreign debts are paid in fixed amounts and thus is your currency is devalued overtime it will make the debit less expensive in large span of payment period.

[@boonedockjourneyman7979]

One of the most important videos on YT. You should redo it yearly. This is the core of econ agony in half the world.

[@matth8924]

I absolutely love your videos. Your channel is blowing up and it is absolutely deserved. Keep up the fantastic educational content. Your videos should be showed in school courses on economics.

[@babitabajaj571]

Dude i am learning about economics more from you than what is taught by my school books and teachers! Keep up.the good work

[@boulama]

these videos teach me way more than my macro/micro economics classes.

[@MauLi2010]

Great Video. I enjoyed that this ‘older’ one is a bit slower than the newer ones. The breaks between make it easier to understand. Thanks a lot!

[@stambeto1337]

To begin with, your content is just amazing. You kept my attention and curiosity throughout the whole video. The way you explain things is so good that even though I have never studied economy in any way, I still understood how the forex works. Now I'm really interested in learning more about the economy and how money works. Keep up the good work!

[@connorsamsky3227]

Bretton Woods is located in the state of New Hampshire, not Washington.

[@abcd123906]

I noticed that too haha

[@jeffbenton6183]

@@리주민 There's also a Cairo in Ohio, not to mention Paris, Texas Memphis, Tennessee. I think the US also has an Athens and a Corinth somewhere too...

[@SMD1999]

Connor you bug dummy. He said mount Washington

[@jamesjackson4736]

And about the first US hotel with an electric elevator!

[@carterinman4258]

I think he might of commented on this specifically in one of his "mistakes made by economics explained videos" lol

[@DaseRowin]

Not a video essay without mentioning the Toyota Corolla :D

[@JGeMcL]

DaseRowin it’s a currency in itself

[@DarkDemonSider]

13:36 😂

[@flyingdragon6275]

and in some sites, Golf GTI

[@jameswaters3249]

@@JGeMcL underrated comment 😂

[@catalyst7269]

I found your channel last night, and have literally watched every single video.

[@EconomicsExplained]

Thanks mate glad you are enjoying :) welcome to the channel!

[@МахамбетМамыров]

Do you love Norway yet?

[@NightRyder19]

@@МахамбетМамыров Yes.

[@aidenblaine7979]

➕③②④⑥0②①⑧④③③

[@Adam-oc6pq]

anyone else impressed with the parking skills of the person at 3:14?

[@TheAlexN1305]

Omegalul. Impressive indeed. :D

[@notPlSSFINGERS]

That’s in Heidelberg, Germany I believe (:

[@shashwatsinha2704]

Great

[@richard165s]

He really fucked over that black Porsche behind him 😂

[@axlr8467]

OMG

[@lucusjames9892]

Great video, thanks for making it easier for me to understand. Much appreciated.

[@lucymartin881]

Brilliant tutorial. I could listen to you all day. An excellent teacher!!

[@sapilomentor9308]

The good deeds of lucy Griffin truly paves way for her, am not an investor but with what I have heard about this lucy Griffin.i believe she is a good woman and honest one too.

[@lilywatson8460]

Hello anyone there?

[@lilywatson8460]

Who's this proffesional everyone is talking about I always see good recommendation about her on top comments on every KZbin video I watched

[@victoriaouellet4999]

Thank God I traded last week

[@mattr791]

"Derivatives" flashbacks to calculus

[@swapnilgohil7280]

This

[@EconomicsExplained]

Fortunate son starts playing

[@kyledavis4202]

More like flashback to 2008

[@hpdpco6634]

I failed my calculus. And i am a doctor.

[@aryankumarprasad1574]

Years of academy training got wasted

[@munobatoor6604]

literally one of the best videos I ever watched, you explained all those so beautifully and every single person who watch this video will understand it. thank you sooooooo much

[@billtafalla2378]

Never thought that you can make interesting videos out of those topics that makes me sleep in class

[@SangoProductions213]

Actually, Chinese manufacturers *are* interested in being paid in foreign currencies. But yes. We see the point you're intending to get at.

[@theuniversalbox]

@iqbal sahibil The United States' Gross Federal Debt represents 106,1% of the country's GDP (2018) whereas the Eurozone's Government Debt represents 85,1% of it's GDP (2018). Even individual countries in the Eurozone that are known for their high levels of debt such as France and Spain still have lower debt relative to their GDP. The main reason why international trade is made in USD is due to the Bretton Woods Agreement when the USA mandated that countries peg their currencies to the Dollar rather than gold.

[@stafer3]

@@theuniversalbox EU is interconnected market. More than 60% of trade of member countries is with each other. But debts aren’t shared. So average debt for EU countries is there just for curiosity. Because it’s not like there is just one entity, that has 80% debts and therefore in better position than US. It’s a group of countries some which have really high debt and low growth and which just struggle to keep it together. And some of which have low debt and their economy is fine, until you realize that those countries are fine because they export in those countries that are flirting with collapse, and if those collapse, exports of those “fine” countries will collapse as well, with unemployment, decrease in economy and all that jazz. And there just isn’t political will to redistribute those debts. If German government would send 1 trillion euros to Italy from their pension funds to help up struggling Italy. And said their people that their pensions will be now lower. They would be probably kicked out of government instantly. With “little bit” of riot in the streets. Just look at Greek debt crisis. Germany poured there “just” 60 billions. It took half a decade of screaming and arguing. Relations between Germany and Greece are problematic even decade after the fact. So obviously if such small country with 10 million people managed to bring whole continent into decade long financial crisis, while US managed to recover from their crisis within 3 years, it obviously doesn’t lend that much confidence. No country exists in vacuum. On paper you have strong economy like Germany. But it’s important to know that they are export driven economy. Where their exports make 47% of their GDP. Compare that with USA where exports make 12%. Or even China, which is at 19%. So if you look at US, you can almost ignore outside world influence, everything that matters is their own economy, if their economy is in good shape, that’s everything you need to know. But if you look at countries like Germany. Looking at their own economy in vacuum is not good enough, you have to look at economy of their trading partners if those don’t have problem. Or not even that, you have to look whether those trading partners allow them to trade. That’s exactly the reason why even though there is trade war between USA and China, EU is sweating the most. Because without those two markets, there is no growth at all in EU.

[@joey199412]

@iqbal sahibil The EU growth rate is almost 1% higher than that of the US. Also while the US has a higher GDP the EU has the biggest middle class in the world and is also the biggest market in the world. No the US doesn't have more tools to increase growth, taxes and deficit. Most EU national companies are still private the EU could easily allow for fast short term growth by privatizing a lot of their public sectors. However the US is almost completely privatized already and with a lot more debt to GDP than the EU. Uncertainties like Brexit have almost no effect on the Euro itself because the UK wasn't a Euro nation, they use the pound and the economic effects of a Brexit could even help the EU as British business and workers move to the EU due to Brexit. Also total EU debt shrunk 30% since 2009 while US debt grew almost 20% from 2009 to 2019. I have no idea why you think all of these things without even googling the rates yourself. The EU is doing extremely well economically right now.

[@theuniversalbox]

@iqbal sahibil I get what you mean and it's true that the USA has a higher GDP than the EU. The USA has also proven itself to demonstrate higher growth and generally speaking a faster healing after financial/economic crisis. However, surely you can't deny that the largest economic crises that the world has known started off from the USA because their financial security institutions such as the SEC have repeatedly failed to put the necessary safeguards in place and have more or less let the bankers do what they pleased until problems arose. Just look at the 2007 housing crisis that was was caused by CDOs being created from subprime mortgages. These collateralised debt obligations shouldn't have existed in the first place. I'm not saying the Euro should be the world's 'legal tender' i'm just saying that there's reason to believe that the US dollar isn't an ideal option as the FED has historically been oblivious and irresponsible and the currency primarily serves the US's interests.

[@theuniversalbox]

​@@stafer3 First of all, i'd like to thank you for your very complete answer. I know that European member states' debt isn't shared, I was making a rather simplistic answer to a rather simplistic comment. You're definitely right when you say that the EU is complicated due to the fact that it is often hard to reach a consensus between the different member states which adds to the lack of sense of unity. All of this ultimately results in a decreased productivity, reactivity and economic resilience for the EU. I also agree with you on the fact that there is no will to redistribute debt. Which is mostly due to the lack of feeling of unity between the various member states. What you also said about the EU's exports making up a large part of its GDP is very true as well. All this to say, I personally don't believe the Euro should be the world's global currency. It would by the way defeat the whole purpose of creating a currency which primary aim is to boost trade within Eurozone. To me the real problem is that our global economy is based on a fiat currency, unbacked by any tangible assets. It's this 'virtuality' of money that enables central banks to apply QE basically whenever they feel like it (just ask the FED what they've been doing since September). This is costing trillions of dollars to the average individual around the world, may he be American, German or French due to inflation.

[@timalp3680]

This channel is probably my favourite channel on KZbin. I wonder, how do you go about learning all this? Cheers

[@brianjung160]

Text for further information on how to make money from bitcoin I made up to $65,750 a day

[@jadenephrite]

Regarding 12:38, “One pound sterling was exchangeable for one pound of sterling silver.” That was originally from 760 AD when Anglo-Saxon King Offa of Mercia had one troy pound weight of sterling silver weighing the equivalent of 373.242 grams coined into 240 sterling silver pennies. However 1,056 years later during The Great Recoinage of 1816, the Royal Mint recoined one troy pound weight of sterling silver into 66 shillings which were 792 sterling silver pennies having a total worth £3.3. Therefore a distinction needs to be made between a troy pound weight of sterling silver versus a pound sterling unit of currency.

[@RobertBrown..]

There is potential for considerable wealth increase with the correct strategy. I want to know; How can one take advantage of compound interest and potentially grow your retirement savings/net-worth to about $3M over time?

[@MattDouglas-hj9wh]

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[@graceocean8323]

What steps can I take to engage in this opportunity? I genuinely aim to secure my financial future and am enthusiastic about taking part.

[@zoeytank2921]

Laurelyn Gross Pohlmeier is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment..

[@Screlon]

If only this video existed when I was still in school... would've helped so much with my finance and econ courses!!

[@ericcadwell5193]

Wonderful presentation. As someone with FOREX experience, I found this very insightful.

[@TrungPham-sg7du]

You are the most hillarious and interesting economic chanel I've seen on KZbin. Appreciate your work

[@robertYTB78g]

Great videos, I always get the feeling that they cover material that everybody (me included) really ought to know, but doesn't...

[@brianjung160]

Hi guy's I made up to$65,750 a day

[@upscsunny9798]

Better than my Coaching Classes.

[@campbellmorrison8540]

You have the best explanations of economic stuff I have ever heard, Thank You. I still get the feeling there is something fundamentally wrong but, as you say, I cant put my finger on it :)

[@arseniyorlov7965]

your strategy works great, it’s well explained, detailed and very experimental! Enjoy your stuff, keep up the good work!

[@danchoni90]

Finally, someone who actually explains things. You gave me more in 15 min than I have learned in the past year and a half. Thanks dude. Keep the forex info coming ! Subscribed!

[@koipen]

A couple notes on your ending tenets about the 'intrinsic value' of goods vs. currency 1) Intrinsic value for currencies *is* very much real; the pattern of counter-cyclical appreciation of the dollar is a good example of the value of being an extremely liquid asset that people are willing to trust when all other assets look shaky. n.b. this is for the dollar strictly as an investable asset, not including the intrinsic functions all currencies already perform; liquidity for consumers / legal tender etc. 2) Shares in companies also have intrinsic value beyond their market price; they entitle the holder to a share of the profits of the company, i.e. dividends. This expected cashflow is in many ways the fundamental driver of stock prices beyond the potential gains from unaccounted price fluctuations. n.b. these two types of 'intrinsic' value arise from very different reasons - the value pound sterling converts to USD at is completely arbitrary [consider that tomorrow the Bank of England announced it would swap all old £10 notes to new £100 pound notes; no effect on the real economy but the new GBP would depreciate by a factor of ten] - but I think it's important to note that the value [i.e. what people are willing to pay for it] is there, even if it's not the most immediately apparent 'bread stops hunger' type of value.

[@mookosh]

Hey, I think a video on the liberalization of the south Korean economy and the collapse of the Chaebols would make for an interesting video. Also an examination of the IMF might be cool too. Seems in line with your international essays on economics and fiscal/financial policy

[@lowkeybeams5663]

UK pound no longer as valuable

[@punarvigowda313]

Day before yesterday it tumbled 3%

[@megharshagowda2232]

It has gained back after Rishi take over

[@christianquayee7828]

Yes sir

[@M3ganwillslay]

Never was.

[@mike-746]

Yeah some stats have not aged well, needs an update!

[@kevinkang4427]

Explained it better than my economics professor in one video

[@FroddyPlay]

Wow your channel has really been blowing up, thanks for the good quality videos!

[@unintentionallydramatic]

Last time i was this early people still speculated with Rand.

[@anonimato1987]

I'm currently studying this and your video is so easy to understand! Thank you!!!!

[@jadenephrite]

Regarding 12:36, $1 USD was exchangeable for 1.5 gram of gold. That means U.S. gold at that time was equivalent to $20.73 per troy oz.

[@tn15_]

Thank you Jade, very cool!

[@darshitjilka8656]

Will you make video on " Why china is devaluing its currency?"

[@klebersonnn]

General theory would assume that it is to ensure exports stay competitive as countries importing from China will have stronger buying power the weaker the Chinese Yuan is, however this is a pretty basic explanation and there are probably other reasons that he could cover

[@bisayadong]

To attract investors.

[@comradeofthebalance3147]

Darshit Jilka It dosen’t anymore

[@blue7lvn245]

thank you for being so honest about fiat currency

[@aliasalin2]

6:55 - a "technical trader" at its best - great work btw

[@ExxonMobilCompany]

Several of the biggest market experts have been voicing their opinions on exactly how awful they think the next downturn would be, and how far equities may have to go, as recession draws closer and inflation continues well above the Fed's 2% objective. I'm trying to build a portfolio of at least $850k by the time I'm 60, therefore I need suggestions on what investments to make.

[@obodoaghahenry9297]

There are many other interesting stocks in many industries that you might follow. You don't have to act on every forecast, so I'll suggest that you work with a financial advisor who can help you choose the best times to purchase and sell the shares or ETFs you want to acquire.

[@marcelrobert9569]

@@obodoaghahenry9297 I've been in touch with a financial analyst ever since I started my business. Knowing today's culture The challenge is knowing when to purchase or sell when investing in trending stocks, which is pretty simple. On my portfolio, which has grown over $900k in a little over a year, my adviser chooses entry and exit orders.

[@charlotteflair1043]

@@marcelrobert9569 Would you mind, how do i find the F/A guiding you on dis??

[@chrishung7582]

i still don't understand why the pound is relatively important than other currencies, but i still learned a lot in this video.

[@tomkandy]

10:00 how on earth did you manage to explain hedging without actually using the word "hedging" once?

[@JamesQuintero18]

I don't even think he explained it well. I didn't realize he was talking about hedging until after the example.

[@kevinboi-h7v]

tomkandy and he didnt mention the words forward market neither..

[@WealthyBanker]

Makes me suspicious, this video is sponsored by the banks. Funny how they didn't include central banks and financial institutions in the market players section, when those guys practically run the market. And like you said no word hedging said but complex explanation given.

[@pages1128]

The Kuwait Dinar is the most valuable currency on earth. It's just not traded on the international market as much

[@stevo728822]

Haha...I used to work in FX trading settlements. I remember checking the transaction of an FX deal for the drummer of the Beatles, Ringo Star.

[@Joker-yw9hl]

That's pretty cool

[@meiyokechan1396]

thank you for clear explanation of comparative advantagen and the foreign exchange rate mechanism. This is much more understandable than inj Economics Textbooks

[@jimlbeaver]

Great video. Thanks! Can you possibly do a related video on how the oil market being traded in US Dollars affects things and how this would change if say the Yuan would be used? Keep up the good stuff.

[@brianjung160]

Hi guy's I made up to $65,750 a day

[@justinpamela7184]

Success is not final; failure is not fatal: it is the courage to continue that counts. Business opportunities are like buses, there’s always another one coming.

[@walshoffame]

The map of China shows Taiwan as part of China. Also when talking about the most valuable currency I think mentioning the USD dominance as the global reserve currency would be helpful. Overall good video.

[@idirhhrin8876]

Tommy Walsh Taiwan is China tho😹😹

[@mcz9733]

Taiwan is part of China lmao

[@greatwolf5372]

@@mcz9733 Taiwan is actually part of Serbia lmao

[@alexdunphy3716]

China is actually Taiwan

[@Chungus581]

@@idirhhrin8876 it’s not the CCP though

[@rajeevaloysius]

The Kuwait Dinar is probably the most valuable unit for unit. An excellent well researched and presented video

[@jaivekkanabar6865]

Ok if u go to African small city u can’t change Kuwaiti dinar but u can change British pounds that the value he is talking about

[@heckabro2309]

Starting hsc topic 1, thanks for this bro!

[@crocodilegamingtv1178]

Fantastic video man.

[@kavishgarg2504]

EE: "The UK Pound is more valuable than any other currency" Kuwaiti Dinar: Am I a Joke to you?

[@dylan__dog]

Real currency*

[@peachtpm2528]

The Kuwaiti Dinar is fixed to the US Dollar and I think that's why he considered the British Pound to be the most valuable 'independent' currency.

[@alexsmith2766]

@@peachtpm2528 Kuwaiti Dinar is not fixed to USD, its fixed to a basket of unknown currencies which the USD is only a portion of this basket. Also, British Pound (along with all currencies in the except of USD) were all fixed currencies at some point. So should we say "GBP was not a currency in 1960 because it was fixed to USD" ? The same applies to Chinese Yuan today, its also fixed to a basket of currencies. They are real currencies, they fit the definition of the currency. The uploader was misinformed and you're trying to twist the definition of a currency to fit your narrative

[@bladeslad8434]

@@alexsmith2766 i dont think the uploader is misinformed its more likely that he didnt considered it because its not a majorly traded international currency. so while yes it has more physical value then sterling and the international scale not so much

[@ericmohler5609]

Excellent informative videos. Thank you! Just a quick note that Bretton Woods Hotel is in New Hampshire not Washington…

[@Jaronite]

3. TL:DR £ was strong because the impact of removing gold standards was much more than that of silver standards. And £ was tied to silver standard.

[@sandworm9528]

But why

[@russellmellott452]

There was a mistake in your video. Bretton Woods didn’t happen in Washington, it happened in New Hampshire. I live only a few miles away from the grand Hotel that the conference took place in. Other then that though, wonderful video!

[@seb9940]

Oh thats not the only mistake in this video, its ridiculous how little research he did on this topic. Its like he used his own knowledge as facts and thought his knowledge was the right one. But 90% of the people watching either dont care or dont notice these false statements...

[@shashwatsinha2704]

@@seb9940 People would ignore such things if they understand. Take what is good, leave the rest. If someone had anyone better who could explain, they wouldn't be here.

[@seb9940]

@@shashwatsinha2704 yea fair point it just isnt easy to watch these vids withou any cringe

[@vaneakatok]

@@seb9940 the thing is most people will watch one video on exchange rates, call it a day and think they have an opinion on it, if it comes up some time in the future. And of course it's KZbin, not a science commission. But with the channel name economics explained one should have higher standards

[@Sam-by4xd]

Isn't the Kuwaiti Dinar the most valuable currency currently at 2.55 GBP?

[@seb9940]

Jep but this guy doesnt even do serious research...

[@dylan__dog]

And it's also an extremely irrelevant currency

[@ebecerra85]

Its risky, middle east is always in conflict. I wouldn't want to hold onto it.

[@dylan__dog]

@@ebecerra85 Kuwait won't be getting touched any time soon, it is the US' favourite oilfield with a government in the middle east

[@ebecerra85]

@@dylan__dog it's still a mess over there, but it's just MO.

[@saintarj4552]

wow economy is a rabbit hole that I am falling deep into

[@8bit387]

This thing has confused me for years

[@therealnoodles7638]

If you're aussie then you should know Steve Keen. Brilliant aussie economist. One of the guys that predicted the GFC.

[@toadofsteel]

13:37 This video was just copyright claimed by RealLifeLore

[@kemsleymtutuzelidube5094]

Correction: The GBP is NOT the most expensive currency in the world - the Kuwait Dinar is. Great informative video though.

[@beback_]

+1 for Beethoven in the background.

[@Junior-zf7yy]

3:14 accolades to that yellow car. Performed that tight parallel park so well.

[@dimaniak]

Exchange rates are defined by comparative yields of local financial instruments like corporate bonds.

[@tomkandy]

2:00 Comparative advantage as an idea dates back to the begining of the 19th century, 100 years earlier than you're implying. International trade goes back to the iron age.

[@LucificNight]

Yup. Widespread accessibility for a majority of products due to globalisation is a recent phenomenon; International trade itself is not. Think of the ancient spice trade, or how the UK got tea, which is not a native plant. People have been trading with distant lands since forever, the only thing that's changed is the amount of stuff that's finally cheap enough for everybody to enjoy, and not just the aristocracy.

[@MichelleStevens-hk2tg]

Money is like an arm or leg, Use it or lose it.

[@jaynesimpson183]

You're right. People think that investing is a risky undertaking. In fact, the bigger risk is run by those who cautiously stash all their funds away in banks accounts and other low - paying saving vehicles. They risk the certainty that their money will lose ground to inflation.

[@996Ralnmaker]

The forex market is considered to be the most influential market and the biggest as well. But to reduce these risks, you need to diversify your investments and hold stocks in different companies and industries.

[@jaynesimpson183]

True, what's your experience?

[@sleeexs]

@Hannah Oliviera btc

[@Peter-rg3lm]

Kuwait Dinar is a fixed currency. The UK pound has the highest face value worth on any floating currency. I'm sure that's what people are referring to when they say its the most 'valuable' currency. Either that or they are not being completely accurate.

[@gittcazz]

This was a REALLY good video!

[@OmarBattawy]

Economics Explained: the british pound has the highest value in the world. Kuwait: am I a joke to you?

[@lizadey5347]

Omar Battawy It’s interesting that the pound is the oldest continuously existing currency in the world. That being said a £ might have bought half of Berkshire in medieval times.

[@MrBearcatjew]

aw yes the kuawaito dinar backed by the full faith of the inbred royal family, SMART INVESTMENTS!!!

[@sisekelomabena8072]

Loved this! Next could you make a video specifically dedicated to the Kuwaiti Dinar

[@andrewlucky1038]

Are you from Kuwait?

[@salokin3087]

I get the sneaky feeling you upload so late so as to avoid all the Australian shitposters on discord

[@EconomicsExplained]

I upload so late because my first video got removed. Avoiding the aussies was a happy little side effect :)

[@salokin3087]

@@EconomicsExplained lol

[@kyliahayden8483]

I wish I had your channel when I was in college! This is fantastic!

[@davidg5948]

13:07 there is a Seaboard plant where I live. It's a small city so it provides close to half the jobs here lol

[@noahschmartz2354]

first time here, Ill be back, excellent explanation with the questions that pop into peoples minds answered i thought.

[@MAtogable]

You didn’t mention anything on interest rates and capital flows (carry trade). That’s the true driver for Forex.

[@greenpeople1775]

Yeah that's what I came here to learn about.

[@edwinthankan2693]

one of the best youtubes channels ever'

[@meandmetoo8436]

9:20 sometimes I wonder who makes the stock footage.

[@classycassie1118]

Me too. It must take hours and even days to go through footage and find one that fits the script

[@livethefuture2492]

wait, is that the red banner of the Soviet Union?

[@tinycockjock1967]

Live The Future You think?

[@thelusogerman3021]

1:51 salt and vinegar pringles. Person of culture right there. Total chad/stacy 10/10

[@Frunze91]

Omg have you seen this tight parking skills at 3:14??

[@H-Visage]

I was looking for this comment xD

[@Tenere_]

Damn for real

[@evilpimp2475]

You already know that was a guy behind the wheel

[@cowboydup]

best explanation of derivatives ever

[@ignacioc9012]

Do an episode on Argentina, where laws of economics do not apply

[@therealnoodles7638]

Zimbabwe: am i a joke to you

[@sleeexs]

@@therealnoodles7638 btc

[@MrCher2]

Why do you say that laws of economics do not apply in Argentina?

[@TheBlackLionTv]

"a kind of a bit... yeah..~" you really well to described it 😂

[@SuperAwesomeWeirdGuy]

“Derivatives” So like in “The Big Short” where we had indexes based on mortgages?

[@jimmyarmes]

SuperAwesomeWeirdGuy yes. Same concept.

[@xchazz86]

Yup, basically another scam by the central and major banks to their self benefit.

[@SuperAwesomeWeirdGuy]

@@xchazz86 Crazy shit my man. The US does feel like an oligarchy

[@xchazz86]

@@SuperAwesomeWeirdGuy yup...

[@Dadniel1st]

Great explanatory video!

[@Louisswann1324]

Genuinely curious as to what you think about bitcoin as a fellow Aussie @economicsexplained

[@spart3499]

I think he should do a video on the "economics of cyptocurrency" in general

[@joey199412]

Personally not a fan of current cryptocurrency (their technical limitations) however I agree that the economics behind cryptocurrencies warrants its own episode.

[@noober09]

Yes!

[@chris0000924]

@@joey199412 Limitations? Do tell

[@spart3499]

He just uploaded a video on bitcoin today haha

[@sheilanfc]

well thank you, very helpful for beginners like me who are just entering the world of forex, and are now learning in the nfc community.

[@DavisBrown-q1d]

I'm interested in investing, but I'm not sure where to start. Do you have any advice or contacts who can help me out?

[@Archaengelh]

Jonas Herman is the brain behind my success. I've gotten into a plethora of assets with 10k spread across stocks (options and futures) for the short term and Roth IRA, index funds, and ETFs, for the long term. Now I sit back, and just reinvest at intervals while I focus on my 9-5.

[@Archaengelh]

Hermanw jonas that’s his gmail okay

[@FinlayDaG33k]

"It might actually be hard for some people to find something in their house that was produced in their home country" > looks at place > done : > Gotta love them Dutch cheese : >

[@scifience8297]

please do a video on the IMF

[@Shubham-xd4jt]

This video was very informative for a beginner like me. Thank you so much for such simple explanation.

[@erikjohnson1746]

I like how little pump has a quarter billion views and understanding the concept of how money works which effects everyone on the planet only has 2,500 views. Priorities people

[@EconomicsExplained]

Hey in fairness I don’t have the same swagger lil pump has

[@shashwatsinha2704]

@@EconomicsExplained that is not necessary. Just that videos like these require more effort to enjoy. But laziness...

[@magentasound_]

@@shashwatsinha2704 nah it's just different tastes imo 🤷🏾‍♀️

[@stevencooper4422]

The half the world's population has a double digit iq. That's why.

[@monsieurdorgat6864]

The abstract nature of modern currency is nothing short of astounding. We literally trade the idea of value. Countries and people rise and fall on the notions we have about how valuable they are.

[@sandworm9528]

It is pretty amazing

[@LeLaidbackLauncher]

Idk, the picture of the Mt. Washington hotel looks alot like the one that resides in the shadow of Mt. Washington, New Hampshire...

[@Betterhose]

3:14 Props to the person who managed to park their green car in this tiny gap on the right. 😄

[@sammassey3894]

Bretton Woods is in New Hampshire at the Mt. Washington Hotel

[@RudhinMenon]

Thank you for this video. I always used to wonder why some currencies are valued low compared to others, and how the GDP affects foreign-exchange values