This clip presents a standard graphical derivation of the IS/LM model. The IS curve collects all equilibria of the goods market; the LM curves equilibria of the financial market.
I really don't have time to go through those fat books since I am working; this helps me a lot for my degree exams.. Nicely explained with all the required graphs
i missed my last class where this was explained, where my professor would have taken an hour to explain what you did in 16 mins. kind of glad i missed class now xD keep up the great econ lessons!
Very good presentation. The lack of comments and questions is a great sign that you're able to convey this effectively. :) People should push the like button more often.
Exactly... You begin to understand what exactly are functions, increasing decreasing..etc etc only when u study economics... This is why I think high school lives are wasted for many...
well for one, neither model describes the labor market. there is as well a substantial debate about whether these models are a fundamental misinterpretation of keynesian thought. still, you can take is/lm as a good starting point!
my only query is what is the difference between Aggregate demand, aggregate expenditure, income and GDP? lots of people are saying its the same? surely this is only true in equillibrium? since you say AD=f(income), they both have the same underlying variables but arent equal right? only in equillibrium? also when you say income rising makes expenditure rise, do you just mean a rise in gdp would encourage more consumption?
I'm really finding it hard to construct the IS and And LM functions and to calculate the equilibrium interest rate and equilibrium output. Please help 😥
This was 2 years ago. Im pretty sure you got it but I think it because When Expected income increases investment increases and interest rate decreases. i2 is below i1 because if the interest were to increase, people would want to save more and invest less as it cost more.
Can someone tell my why I have to get the easiest explanation of economic videos either right after the midterm or a couple of hours before my exam? Eh RUclips Algorithm please help ur boy out
Dear you first decide yourself you want to sleep or you want to teach . with such voice you can only make people to sleep not to understand what you are trying to teach .
The speed of the speech is just right for people to take in the information.
You just saved 2 hours of my life - thanks :D
Great explanation of IS-LM curve, thank you for saving me hours of reading bla bla bla. More of such videos will be much appreciated
Puts me right to sleep at night. Thanks!
Jonathan Bell same here for me with all of this guys videos
hahahahaha
Yes dumbo
@@neraisejimo oopppppp
😂😂
this is the best of all the videos i explored a day b4 exam and highly effective 😘
oh my God, my life makes sense now. thank you so much for this video, my smartarse textbook couldn't be bothered to properly explain derivations
Great work, just 2 months back I searched for a good video on the same topic and couldn't find it, Thank you.
WOW you're the only person that I understood with the IS/LM model...
Best explanation on IS-LM model so far.
I really don't have time to go through those fat books since I am working; this helps me a lot for my degree exams.. Nicely explained with all the required graphs
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Thx man, ur lessons gave me more insight then my course of 600 pages
That's right, I'm saying "income" where I should say "interest rate." Thanks for pointing it out!
that's one way to bring down the inherent complexities of this topic
@3:16
Congratulations to this awesome tutorial. It is very easy to understand even as a german viewer.
i missed my last class where this was explained, where my professor would have taken an hour to explain what you did in 16 mins. kind of glad i missed class now xD keep up the great econ lessons!
The gym yggg nyyngpvhymhjyy
Good Job. I am Chinese and I feel understandable what you say! THX
Awesome, just about right speed, explaining everything from where it comes etc. - thanks man!
I was sobbing.. thanks god I finally got this IS curve clear in my mind...
Very good presentation. The lack of comments and questions is a great sign that you're able to convey this effectively. :) People should push the like button more often.
Great Vid Bro. Simple & Str88 To The Point. Mad Respect.
Excellent explanation!! Thank you so much.
thank you very much this video it's very help full in ECONOMICS.
Wow, I had no clue on how to calculate the IS/LM curve, but this video helped me indeed.
If maths in secondary school was taught with reference like the IS/LM model I would've paid more attention in class.
Exactly... You begin to understand what exactly are functions, increasing decreasing..etc etc only when u study economics... This is why I think high school lives are wasted for many...
Luke M hahahahahah....all right say
13:53 - should be rightward and leftward shifts, not upwards and downwards. Regardless, very useful overall.
Thank you so much. I have a test on Monday and this was very helpful.
Nina Saxena awesome
This is really good stuff. Make it so easy for me to understand. Thanks a lot!!
Excellent presentation. You make a minor mistake in what you state at 3'16", but anyone who is paying attention will realize it'll simply misspoke.
thanks. This is the best video for me
Very nice. Nice derivation going from demand curves to IS curves.
l to
hi how are you
well for one, neither model describes the labor market. there is as well a substantial debate about whether these models are a fundamental misinterpretation of keynesian thought. still, you can take is/lm as a good starting point!
3:16 -Investment decreases with interest rate !!!
@@Chris.in.taiwan No, he said "income" twice when he meant to say "interest rate" the second time.
best explanation in simple and easy language.....best explanation so far
have an assessment test to do and found this kinda more helpful!!!!!!
appreciate that feedback!
Great video, I appreciate the content!!
Very good explanation, thanks a lot!
9₹
what is the 45 degree line?? you didnt mention
great video! thank you so much
Well explained, thanks
You're a saviour
MMMMMIIIRRRRRRR !!!!!!!
Thank you very much for the video? Does anybody know which program is used here to write and drow on PC?
my only query is what is the difference between Aggregate demand, aggregate expenditure, income and GDP? lots of people are saying its the same? surely this is only true in equillibrium? since you say AD=f(income), they both have the same underlying variables but arent equal right? only in equillibrium?
also when you say income rising makes expenditure rise, do you just mean a rise in gdp would encourage more consumption?
There is no difference.... AD consist of all expenditure , which is the GDP
They all mean the same value in macroeconomics. They have different names from different perspectives
I love you so much.
you saved my life!
what is the limitation of IS LM model and Mundell-Fleming model, can you pls give me some understanding about it. thanks
Great...
This is awsome.....
I'm really finding it hard to construct the IS and And LM functions and to calculate the equilibrium interest rate and equilibrium output. Please help 😥
He didn't answer the important question of what is the clearing mechanism between the IS and the LM curves that allows them to settle at equilibrium
Rohan Naik what is it?
amazing
Thank you so much
still relevant in 2023😁
Thank you!
What is the first equation in the IS model? Thanks!
doesn't the aggregate demand in 4:10 must have a negative slope instead?
not there, because the function used isnt graphed depending on the price level. Only then it would have a negative slope.
Liste to me falk: listen to this video at 1.5
what is the speaker saying at 2.55? investment was indiginious?
+mpsndmth Investment becomes endogenous. It isn't given anymore so it will be determined within the model.
6:31 why i2 is below i1?
This was 2 years ago. Im pretty sure you got it but I think it because When Expected income increases investment increases and interest rate decreases. i2 is below i1 because if the interest were to increase, people would want to save more and invest less as it cost more.
Good
very helpful 🖒
thank you
Thank you -->infinity
Can someone tell my why I have to get the easiest explanation of economic videos either right after the midterm or a couple of hours before my exam? Eh RUclips Algorithm please help ur boy out
What the Z stands for?
Aggregate demand
bravoooo
helpfull, thankyou !
i2 is below i1 i dont get how ??
+Rasheed Bil i get it because i2 has lower interest rates
thanks
what is the software you have used?
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thank you
Thank u :)
Apa ini ahmad?
jesus christ I need help on this subject. If I don't understand that in the next hour Idk wtf I'm gonna do.
Nando Silva
R u alive?
Dear you first decide yourself you want to sleep or you want to teach . with such voice you can only make people to sleep not to understand what you are trying to teach .
I greatly appreciate the calm tenor of the voice. High quality teaching, iMHO. Thanks.
If you don't have anything good to say just pass, if it isn't helpful to you just pass, this guy might be helpful to others..🙄
Bashamwe 😂
Ohmaigod thanks! TvT
Helo
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! N!
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sjy
Video starts at 1:35. Skip the bullshit! Thank me later.
speak fluently pls.
thank you so so much