Connecting the keynesian cross to the IS curve | Macroeconomics | Khan Academy

Courses on Khan Academy are always 100% free. Start practicing-and saving your progress-now: www.khanacademy.org/economics...
Introduction to the Investment/Savings curve
Watch the next lesson: www.khanacademy.org/economics...
Missed the previous lesson? www.khanacademy.org/economics...
Macroeconomics on Khan Academy: Topics covered in a traditional college level introductory macroeconomics course
About Khan Academy: Khan Academy offers practice exercises, instructional videos, and a personalized learning dashboard that empower learners to study at their own pace in and outside of the classroom. We tackle math, science, computer programming, history, art history, economics, and more. Our math missions guide learners from kindergarten to calculus using state-of-the-art, adaptive technology that identifies strengths and learning gaps. We've also partnered with institutions like NASA, The Museum of Modern Art, The California Academy of Sciences, and MIT to offer specialized content.
For free. For everyone. Forever. #YouCanLearnAnything
Subscribe to Khan Academy's Macroeconomics channel: / channel
Subscribe to Khan Academy: kzread.info_...

Пікірлер: 59

  • @herptim
    @herptim Жыл бұрын

    This channel is a god-send. Higher school of economics can only wish they could be this concise and good at explaining this subject.

  • @morganwalden127
    @morganwalden1273 жыл бұрын

    i'm currently on a macroeconomics video binge before a test and i've never been more grateful for you

  • @PunmasterSTP

    @PunmasterSTP

    7 ай бұрын

    How'd your test go?

  • @eliasdanielozuna
    @eliasdanielozuna10 жыл бұрын

    Thank you so much Khan Academy!! you're filling all the gaps in my knowledge of economic theory

  • @merante8
    @merante811 жыл бұрын

    nothing like last minute studying

  • @chawankawa4506

    @chawankawa4506

    6 жыл бұрын

    Mitch Merante 5 years passed and now I’m in your state 😂

  • @chefcinco8625

    @chefcinco8625

    6 жыл бұрын

    Chawan Kawa 2 weeks passed now I'm in your state😂😂😂

  • @commonsense202

    @commonsense202

    5 жыл бұрын

    word

  • @lenac8744

    @lenac8744

    3 жыл бұрын

    7 years passed and im in your state

  • @alexneroo1203

    @alexneroo1203

    3 жыл бұрын

    8 years passed and im in your state

  • @yowanyowan5168
    @yowanyowan51683 жыл бұрын

    Thank you so much sir.i learn lot from you sir.🙏🏼🙏🏼🙏🏼🙏🏼🙏🏼

  • @AbhinavKumar-hj2wg
    @AbhinavKumar-hj2wg5 жыл бұрын

    Thank you from India

  • @PunmasterSTP
    @PunmasterSTP7 ай бұрын

    This video IS really good!

  • @mc2gregory
    @mc2gregory12 жыл бұрын

    At the end, I kept thinking about the early 2000s, when banks and mortgage lenders lowered the interest rates (and criteria!) for loans, and so many people invested. Right before disaster struck....

  • @litfilm6969
    @litfilm69692 жыл бұрын

    Very good video!

  • @ferdiadi8519
    @ferdiadi85196 жыл бұрын

    Just like the old days, awesome !

  • @sergegainsbourg2851
    @sergegainsbourg28514 жыл бұрын

    Why is the letter Y used so liberally and interchangeably to mean Income, Expenditure, GDP. It confuses what are relatively straight-forward concepts until this notation is introduced

  • @Sky-lb1lp

    @Sky-lb1lp

    2 жыл бұрын

    I think it is because it is surrounded by the idea that somebody's spending is somebody else's income. So all in all, it should mean the same thing.

  • @shrutisharma48

    @shrutisharma48

    2 жыл бұрын

    Y denotes money. Be it income or expenditure. It confused me too and still confuses!

  • @sumedikanishadi3388
    @sumedikanishadi3388 Жыл бұрын

    Thank you so much

  • @domdubz7037
    @domdubz70373 жыл бұрын

    And what happens to the Keynesian cross when nominal interest rates are negative?

  • @y0urSJ
    @y0urSJ6 жыл бұрын

    can someone help me A decrease in government spending reduces output more in the Keynesian-cross model than in the IS-LM model. Explain why this is true.

  • @AwayFromTheWorld
    @AwayFromTheWorld12 жыл бұрын

    To me the relationship between R and P1 are intuitive like you say, all though showing it mathematically and visually verify that conclusion in my mind. To me the question is how should that real interest rate be regulated? As I know it the current system to regulate the R is an adjustment made by the Federal Bank to adjust the interest rate to induce the market to increase GDP. The idea that makes the most sense, in my limited experience, is to allow the Free Market to influence R, thoughts?

  • @Alig3388

    @Alig3388

    4 жыл бұрын

    If you let GOC/FED do it, they'll just manipulate themselves into a hole...where we are now.

  • @indiangamerz3788
    @indiangamerz3788 Жыл бұрын

    4:01 what does y and t deonites and yp underscore 1 denote in here?

  • @lukeliu7042
    @lukeliu70422 жыл бұрын

    Thank lord you are here to save me

  • @Saminnik
    @Saminnik4 жыл бұрын

    What would happen if real interest rate wanst constant???

  • @improvmaniac
    @improvmaniac5 жыл бұрын

    Sal keeps referring to the "last video". Does anyone know the name of that video?

  • @elfmas

    @elfmas

    4 жыл бұрын

    kzread.info/dash/bejne/c4tnxLKaddW7h7g.html

  • @harshadajoshi2462
    @harshadajoshi24624 жыл бұрын

    In this explanation, C, G and NX are assumed to be constant right?

  • @akseldyhr3701

    @akseldyhr3701

    2 жыл бұрын

    from my understanding they are asumed to be known - and thereby constant.

  • @kennyphan6524
    @kennyphan65242 жыл бұрын

    literally a 50 min lecture explained in 10 min

  • @VarunGupta45
    @VarunGupta454 жыл бұрын

    4.40, if income is 0 then how we have a positive expenditure intercept? Can anyone explain?

  • @wangshiyao

    @wangshiyao

    4 жыл бұрын

    People will still have savings that they can spend. Since people need to at least buy food from each other, spending is a must even at zero income.

  • @MolotovBg
    @MolotovBg11 жыл бұрын

    I am interested in a theoretical Macroeconomic question. Let's say a country X has very high debt to GDP ratio, and the government uses a policy to reduce that debt. How would we use the IS/LM model to explain the advantages/disadvantages of that policy in short and long run? What policy would you suggest to be used, monetary or fiscal and why ? Thank you !

  • @juergenmueller4110

    @juergenmueller4110

    5 жыл бұрын

    Good question!

  • @shaochiavang

    @shaochiavang

    5 жыл бұрын

    The IS/LM model is pretty much for short run economics. Government spending in the short run increases GDP. But in the long run hurts GDP. Why? Bc interest rates will go up which depressed investing and that lowers capital in the long run.

  • @2leet2cheet
    @2leet2cheet12 жыл бұрын

    "Cheaply engineered money for the gov't to borrow. vs. higher real inflation" Sorry, but aren't those the same things?

  • @heyptech1726
    @heyptech17266 жыл бұрын

    At low interest rate I would not save more because it is not worth it to lend my capital to the bank. I would prefer to spend it whereas keeping it ....

  • @akseldyhr3701

    @akseldyhr3701

    2 жыл бұрын

    correct, that is part of keyns school of thought.

  • @abz998
    @abz99812 жыл бұрын

    The Austrian school video was quite good but shame you had to get rid of it for no reason. Why explain Keynesian and not describe the alternative (and IMO the better alt)

  • @wangshiyao

    @wangshiyao

    4 жыл бұрын

    Oh god thanks for letting us know that Khan Academy conducts its own censorship

  • @selenah3697
    @selenah3697 Жыл бұрын

    🙏🙏

  • @ThaUnpronounceable
    @ThaUnpronounceable12 жыл бұрын

    :D

  • @Thegamemakur
    @Thegamemakur12 жыл бұрын

    @chosebwt2 何を?

  • @jsmu1234
    @jsmu12344 жыл бұрын

    Easily understood........ but when u mentioned "Inventory and surplus.", it add complication to the idea of equilibrium. Avoid using these two words for this simplified video. Afterall, good work.