Where does money come from? The government right? They print it then give it to civilians to pay for services. The civilians then trade it amongst themselves so as long as all the money doesn't end up in a single persons(or a single group) possession. However, all of that money is given to banks over time to pay off the interest people who have loans are forced to pay for that loan, which pretty much every company and civilian has 10's or 100's of thousands/millions of dollars worth of debt. Doesn't that require the government to print enough money to keep up with interest payments of every single person/company in the country?
9.44 He mentions that more people are in work, but I would question whether or not those jobs hold anything like the value of 10 years ago. Most of the jobs available are for around 16-20 hrs a week
Why do I wish the planet could stop and I could just get off. If we have a record number of jobs can someone explain why so many are out of work? I don't believe the figures I hear for unemployment. What food banks?
The British govt clearly got spooked with what happened in Greece, Austerity clearly was not needed, when really stimulation of the economy was needed post GFC - Britain in 2024 is still feeling the affects here of austerity
It is now May 2014. The latest report posted by the BBC on official figures is that the pound has risen on factory surge, the jobless is at a 5 year low with wags growth outpacing inflation, GDP is back to pre crisis levels , Economic growth uo 0.8% in the last quarter, interest rates are on the increase by 0.25% to 0.75% and UK retail sales are up in March . The Office of National Statistics reported GDP was 3.1% higher than the same period of 2013. That is the result so judge this Mr Krugman against your prdictions and faulted theories!! Have you lost your voice on this one. How convenient if you have to ignore it !!
TheTokkin Not impessive. I wondr if they have started using the method of accounting they used ten or even twenty years ago. Changes in methods can make the same outcomes look quite different and affect the figures. Would like to seee what the next figures show. I will be looking.
bighands69 That is correct. The political motives behind the lack of will for Congress to reduce the deficit is the real problem in the USA as it is in a lot of countries who have a growing central governemnt which relies on overspends and don't want to address long term issues. Why they do not address these issues is a problem world wide which is not being addressed since federal governments answer to nobody higher than themselves and control the fiscal and moneary policy of the whole country. It would be different if they had to get agreement from states on what they overspent. This would dilute their power of abuse.
The economy is cyclical, it's just a case of how much you want to fuck people over during a recession. You can invest in people and infrastructure with Govt spending on hospitals, flood defences etc OR you can shrink govt and entice private growth. it's no surprise Tories went for that which favours the private sector
STOP IGNORING THE FACTS !!! 2nd GREAT DEPRESSION - 1st GREAT DEPRESSION ... had its many causes; but a major cause was the exclusion of the second largest economy; GERMANY - 2nd GREAT DEPRESSION ... no question this problem also has multiple of factors with a sum of our current situation here... but i will point out the critical happening that pushed the worldwide economy's into crisis mode was the exclusion (SANCTIONS) of the 6th largest economy in the world as the end of 2013; THE RUSSIAN FEDERATION... PUTIN himself even announced this during a speach shortly after the US and its NATO members decided upon these sactions... And he made a good point during this speech; "Russians are used to living with austerity, and you (the west) are not!" Basically suggesting are you sure your willing, or even able to live with the consequences of this decision?!?!
Where does money come from? The government right? They print it then give it to civilians to pay for services. The civilians then trade it amongst themselves so as long as all the money doesn't end up in a single persons(or a single group) possession. However, all of that money is given to banks over time to pay off the interest people who have loans are forced to pay for that loan, which pretty much every company and civilian has 10's or 100's of thousands/millions of dollars worth of debt. Doesn't that require the government to print enough money to keep up with interest payments of every single person/company in the country?
These guys are all wrong. The key is government austerity, not austerity on the free market. That means decrease spending, while also decreasing taxes. If the economy isn't growing enough decrease taxes more. Of course raising taxes is going to hurt the economy. Don't ever do that during a recession or depression.
@@brucevilla7490 Where does money come from? The government right? They print it then give it to civilians to pay for services. The civilians then trade it amongst themselves so as long as all the money doesn't end up in a single persons(or a single group) possession. However, all of that money is given to banks over time to pay off the interest people who have loans are forced to pay for that loan, which pretty much every company and civilian has 10's or 100's of thousands/millions of dollars worth of debt. Doesn't that require the government to print enough money to keep up with interest payments of every single person/company in the country?
Where does money come from? The government right? They print it then give it to civilians to pay for services. The civilians then trade it amongst themselves so as long as all the money doesn't end up in a single persons(or a single group) possession. However, all of that money is given to banks over time to pay off the interest people who have loans are forced to pay for that loan, which pretty much every company and civilian has 10's or 100's of thousands/millions of dollars worth of debt. Doesn't that require the government to print enough money to keep up with interest payments of every single person/company in the country?
Austerity cuts growth in the economy
Where does money come from?
The government right? They print it then give it to civilians to pay for services. The civilians then trade it amongst themselves so as long as all the money doesn't end up in a single persons(or a single group) possession.
However, all of that money is given to banks over time to pay off the interest people who have loans are forced to pay for that loan, which pretty much every company and civilian has 10's or 100's of thousands/millions of dollars worth of debt.
Doesn't that require the government to print enough money to keep up with interest payments of every single person/company in the country?
Pieces of paper does not grow the economy
@@matrixman8582 I don't really know what you mean. Nobody's claiming that inflation always results in growth...(?)
9.44 He mentions that more people are in work, but I would question whether or not those jobs hold anything like the value of 10 years ago. Most of the jobs available are for around 16-20 hrs a week
Why do I wish the planet could stop and I could just get off. If we have a record number of jobs can someone explain why so many are out of work? I don't believe the figures I hear for unemployment. What food banks?
Ask the corporate leaders.
There have never been any government spending cuts AFAIK. So what is actually meant by "austerity"? Lower spending per citizen?
Krugman made Hancock sound like a blubbering child.
weird im doing an economics essay about austerity and stumble by chance on a video with matt hancok who a few nights ago came third on im a celebrity
12:55 Matthew Hancock's lizard voice briefly escapes
The British govt clearly got spooked with what happened in Greece, Austerity clearly was not needed, when really stimulation of the economy was needed post GFC - Britain in 2024 is still feeling the affects here of austerity
its the tax rises not the spending cuts
It is now May 2014.
The latest report posted by the BBC on official figures is that the pound has risen on factory surge, the jobless is at a 5 year low with wags growth outpacing inflation, GDP is back to pre crisis levels , Economic growth uo 0.8% in the last quarter, interest rates are on the increase by 0.25% to 0.75% and UK retail sales are up in March .
The Office of National Statistics reported GDP was 3.1% higher than the same period of 2013.
That is the result so judge this Mr Krugman against your prdictions and faulted theories!!
Have you lost your voice on this one. How convenient if you have to ignore it !!
After one of the longest depressions recorded, 0,8 growth is not impressive at all.
TheTokkin Not impessive. I wondr if they have started using the method of accounting they used ten or even twenty years ago. Changes in methods can make the same outcomes look quite different and affect the figures. Would like to seee what the next figures show. I will be looking.
Rob Mews
Debt levels are still through the roof. And the government deficit is not being decreased enough.
bighands69 That is correct. The political motives behind the lack of will for Congress to reduce the deficit is the real problem in the USA as it is in a lot of countries who have a growing central governemnt which relies on overspends and don't want to address long term issues. Why they do not address these issues is a problem world wide which is not being addressed since federal governments answer to nobody higher than themselves and control the fiscal and moneary policy of the whole country. It would be different if they had to get agreement from states on what they overspent. This would dilute their power of abuse.
The economy is cyclical, it's just a case of how much you want to fuck people over during a recession. You can invest in people and infrastructure with Govt spending on hospitals, flood defences etc OR you can shrink govt and entice private growth. it's no surprise Tories went for that which favours the private sector
STOP IGNORING THE FACTS !!! 2nd GREAT DEPRESSION
- 1st GREAT DEPRESSION ... had its many causes; but a major cause was the exclusion of the second largest economy; GERMANY
- 2nd GREAT DEPRESSION ... no question this problem also has multiple of factors with a sum of our current situation here... but i will point out the critical happening that pushed the worldwide economy's into crisis mode was the exclusion (SANCTIONS) of the 6th largest economy in the world as the end of 2013; THE RUSSIAN FEDERATION...
PUTIN himself even announced this during a speach shortly after the US and its NATO members decided upon these sactions...
And he made a good point during this speech; "Russians are used to living with austerity, and you (the west) are not!" Basically suggesting are you sure your willing, or even able to live with the consequences of this decision?!?!
Where does money come from?
The government right? They print it then give it to civilians to pay for services. The civilians then trade it amongst themselves so as long as all the money doesn't end up in a single persons(or a single group) possession.
However, all of that money is given to banks over time to pay off the interest people who have loans are forced to pay for that loan, which pretty much every company and civilian has 10's or 100's of thousands/millions of dollars worth of debt.
Doesn't that require the government to print enough money to keep up with interest payments of every single person/company in the country?
These guys are all wrong. The key is government austerity, not austerity on the free market. That means decrease spending, while also decreasing taxes. If the economy isn't growing enough decrease taxes more. Of course raising taxes is going to hurt the economy. Don't ever do that during a recession or depression.
That is pulling money out of the economy and that is a failed policy.
@@brucevilla7490 Where does money come from?
The government right? They print it then give it to civilians to pay for services. The civilians then trade it amongst themselves so as long as all the money doesn't end up in a single persons(or a single group) possession.
However, all of that money is given to banks over time to pay off the interest people who have loans are forced to pay for that loan, which pretty much every company and civilian has 10's or 100's of thousands/millions of dollars worth of debt.
Doesn't that require the government to print enough money to keep up with interest payments of every single person/company in the country?
@@brucevilla7490 Pieces of paper does not grow the economy
a report by the bbc,that must be correct then, not
live within your means.
Tell that to the thousand's of students that just took out a loan to go to university.
ryan cliff the means for many as been stolen from them by the torys
Where does money come from?
The government right? They print it then give it to civilians to pay for services. The civilians then trade it amongst themselves so as long as all the money doesn't end up in a single persons(or a single group) possession.
However, all of that money is given to banks over time to pay off the interest people who have loans are forced to pay for that loan, which pretty much every company and civilian has 10's or 100's of thousands/millions of dollars worth of debt.
Doesn't that require the government to print enough money to keep up with interest payments of every single person/company in the country?
@@hashtagboss2935 A loan given to them by the govt
Kinda hard when your means arent enough to afford a basic living
Britain Can this 2016 have superb politician withPM Theresa May whose cabinet excellence with role home office must force