I have studied economics at my grad, currently pursuing CFA and working in a bank for more than 6 years now. There's no such thing I have across so long which links concepts in text books to this detail.
Thank you so much for this excellent piece of work as always. Love all of your work you post here.
I'm not having any thoughts for this now but this will be conversation starter within my circle definitely.
Thanks again. Please bring on further video on this.
they're basically typing it on the duck keyboard😉
I understood how wealth creation and money creation are different!
I understood How wealth creation and money creation are different!
And American people think Trump will solve this problem hahahaha. It would look like a comedy if I weren't in it.
To me the biggest scam in human history is that banks can charge you interest for lending money they don’t have.
I began my investment journey at the age of 33, primarily through hard work and dedication. Now at the age of 38, I am thrilled to share that my passive income exceeded $5k in a single month for the first time. This success reinforces the importance of the advice mentioned earlier. It is not about achieving quick wealth, but rather ensuring long-term financial prosperity.
Buy Gold, Silver or any precious metal. Think about it.
Bitcoin>>>>
Whoever made this comment did not learn anything from basic Macro Econ class, he is wrong the bank can’t lend money it doesn’t have, the reason it can lend is because is required to keep only a few percent of the money in reserve the rest can lend out, that’s why they can’t cover deposits if there is a bank run
What would happen if there was a cap on how much money could be printed, what would then to the economy and inflation?
So the government creates money by selling bonds to itself, bonds that it just created? Did I get that correct? My little brain is screening with pain now. That makes no sense!
Freeload a few fleet of those to me for my use
only gold bullion
In what sense printed paper or digits on the screen are the Money ?
I really loved your statement !"you can print money,but you can't print wealth"
The theory is that the government can print until inflation happens. Also stock market valuation is dictated by interest rates, so in theory it can go higher than the gdp. For average folks, just buy stocks, don't hold currency, so you don't get left out from the income inequality.
Direct from Tate and adin!!
magulo, nagkwento panahon ni nixon bigla tumalon ng 17th century. lalo lang gumulo
This "we" and "us" thing is real weird.
Buy Bitcoin is the solution ❤
So Bonds are the ultimate invented fake money.
Please use proper grammar.
Many and many thanks for sharing such great and invaluable advice from the most-loved and admired multi-Billionaire in the whole world.
Let's say that you deposited 100 in the bank, and the bank has a 10% reserve requirement. The bank will have to keep 10 in case you (or any other depositors) want to withdraw your money and the bank is free to use the remaining 90 to make a profit. How do they make a profit? Let's say I want to buy a T-shirt worth 90 and I don't have the money, I'll borrow it from the bank! I'll take the money from the bank and buy the T-shirt. Eventually, I'll pay the 90 back + interest. The interest is the bank's profit, and the 90 is what the bank will have to give you in case you withdraw all your money (in addition to the 10 that have been kept aside).
Now, how much money exists in this example? The video creator says that you have 100 plus the 90 I borrowed, so it's 190! Why does he count the 90 as an additional money? Because you can still buy for example shoes for 100 and transfer this money to the bank account of the shoes shop. You see, you spent 100, and I spent 90.
But don't you see a flaw in this answer? If you think so, then you are right! Here is my critique..
There is a difference between money and obligation. I'm obliged to pay the 90 back to the bank. If I did, then I'm no longer obliged to pay anything. The obligation does disappear. Money, on the other hand, does not. Whether I buy the T-shirt by my own money or by loan, it's the same money. The only difference is that I'll have to earn 90 later and pay it back.
Yes, there is an obligation, but no more money has been created. The bank will pay you as well, and the bank's obligation is met too. You and the bank made some profit (because I had to earn 90 + interest to pay the bank, and the bank paid you with interest too, because I wanted that T-shirt quickly, I had to work more to earn more to pay my loan) but again, no money was created. I could have been more patient and bought my T-shirt later and kept the difference for myself!
Even if you bought shoes by your 100. It's the same 100, but instead of paying you, the bank will pay the shoes shop owner (when he withdraws this 100 from his bank account)
Finally, the video creator thinks if I was a bank, and instead of buying a T-shirt, I did the same thing as the first bank (kept 9 and lended 81) more and more money was created!!
All because his assumption that debt equals money, which is just misunderstanding.
So what has more value 3 cents or a $10 bill?
Daniel Thurman flat 4/40 leopold rd Felixstowe ip11 7 np gets fake bank transfers from china and gets away with it every time / all ways loaded always on gambling machines
I have studied economics at my grad, currently pursuing CFA and working in a bank for more than 6 years now. There's no such thing I have across so long which links concepts in text books to this detail.
Thank you so much for this excellent piece of work as always. Love all of your work you post here.
I'm not having any thoughts for this now but this will be conversation starter within my circle definitely.
Thanks again. Please bring on further video on this.
they're basically typing it on the duck keyboard😉
I understood how wealth creation and money creation are different!
I understood How wealth creation and money creation are different!
And American people think Trump will solve this problem hahahaha. It would look like a comedy if I weren't in it.
To me the biggest scam in human history is that banks can charge you interest for lending money they don’t have.
I began my investment journey at the age of 33, primarily through hard work and dedication. Now at the age of 38, I am thrilled to share that my passive income exceeded $5k in a single month for the first time. This success reinforces the importance of the advice mentioned earlier. It is not about achieving quick wealth, but rather ensuring long-term financial prosperity.
18:20 made me laugh "shhhhh"
Take Heart 16 : 33
Buy Gold, Silver or any precious metal. Think about it.
Bitcoin>>>>
Whoever made this comment did not learn anything from basic Macro Econ class, he is wrong the bank can’t lend money it doesn’t have, the reason it can lend is because is required to keep only a few percent of the money in reserve the rest can lend out, that’s why they can’t cover deposits if there is a bank run
What would happen if there was a cap on how much money could be printed, what would then to the economy and inflation?
So the government creates money by selling bonds to itself, bonds that it just created? Did I get that correct? My little brain is screening with pain now. That makes no sense!
Freeload a few fleet of those to me for my use
only gold bullion
In what sense printed paper or digits on the screen are the Money ?
I really loved your statement !"you can print money,but you can't print wealth"
The theory is that the government can print until inflation happens. Also stock market valuation is dictated by interest rates, so in theory it can go higher than the gdp. For average folks, just buy stocks, don't hold currency, so you don't get left out from the income inequality.
Direct from Tate and adin!!
magulo, nagkwento panahon ni nixon bigla tumalon ng 17th century. lalo lang gumulo
This "we" and "us" thing is real weird.
Buy Bitcoin is the solution ❤
So Bonds are the ultimate invented fake money.
Please use proper grammar.
Many and many thanks for sharing such great and invaluable advice from the most-loved and admired multi-Billionaire in the whole world.
10:50 wrong! Here is why..
Let's say that you deposited 100 in the bank, and the bank has a 10% reserve requirement. The bank will have to keep 10 in case you (or any other depositors) want to withdraw your money and the bank is free to use the remaining 90 to make a profit. How do they make a profit? Let's say I want to buy a T-shirt worth 90 and I don't have the money, I'll borrow it from the bank! I'll take the money from the bank and buy the T-shirt. Eventually, I'll pay the 90 back + interest. The interest is the bank's profit, and the 90 is what the bank will have to give you in case you withdraw all your money (in addition to the 10 that have been kept aside).
Now, how much money exists in this example? The video creator says that you have 100 plus the 90 I borrowed, so it's 190! Why does he count the 90 as an additional money? Because you can still buy for example shoes for 100 and transfer this money to the bank account of the shoes shop. You see, you spent 100, and I spent 90.
But don't you see a flaw in this answer? If you think so, then you are right! Here is my critique..
There is a difference between money and obligation. I'm obliged to pay the 90 back to the bank. If I did, then I'm no longer obliged to pay anything. The obligation does disappear. Money, on the other hand, does not. Whether I buy the T-shirt by my own money or by loan, it's the same money. The only difference is that I'll have to earn 90 later and pay it back.
Yes, there is an obligation, but no more money has been created. The bank will pay you as well, and the bank's obligation is met too. You and the bank made some profit (because I had to earn 90 + interest to pay the bank, and the bank paid you with interest too, because I wanted that T-shirt quickly, I had to work more to earn more to pay my loan) but again, no money was created. I could have been more patient and bought my T-shirt later and kept the difference for myself!
Even if you bought shoes by your 100. It's the same 100, but instead of paying you, the bank will pay the shoes shop owner (when he withdraws this 100 from his bank account)
Finally, the video creator thinks if I was a bank, and instead of buying a T-shirt, I did the same thing as the first bank (kept 9 and lended 81) more and more money was created!!
All because his assumption that debt equals money, which is just misunderstanding.
So what has more value 3 cents or a $10 bill?
Daniel Thurman flat 4/40 leopold rd Felixstowe ip11 7 np gets fake bank transfers from china and gets away with it every time / all ways loaded always on gambling machines
money is energy currency represents it.
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