The multiplier effect in the simple Keynesian model: A change in investment spending

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1. who is the speaker?
2. I been struggling with econ since day 1 & I need to pass these 3 last test to pass the class /: but this video explains it so well! Thank you so much!!
3. multiplier effect tells that saving is not good for market expansion or demand increment??? is this correct ??? becoz saving is also earlier or later is investment or spending.sounds oddd ??? help out
4. I am impressed!. thanks
5. thanks alottt...-india
6. What is the source of this video?
7. you made it clear to me sir! thanks South AFRICA
8. Yay! A South African economics video. PROUD!!
9. this guys axsent fuck me.
10. A very well-presented and catchy video! Thank you so much for helping me understand the concept of multiplier effect
11. So if 20% is saved in banks, how does the banking system affect the economy? at the end all the money saved the banks will also keep 20% and lend the other 80%. So this creates another multiplier effect right? if you only count it without the banking system the 100M would end up being 500M but if you add all the money the bank is lending it is going to end up in even more. Am I right?
12. Good explanation
13. Assuming the investment is one time not a constant flow of money, all of these are one time transactions and this model ignored the way people switched jobs to create this increase in building projects and production and what happens to them once the diminishing returns run out, oh yeah, high unemployment then recession due to decreased future spending of those who are now looking for work, well done, you've explained how government spending causes a recession.
14. Keynesian models suck. Charts look pretty but they are just a distraction:
    >firms throw away 100 million units of currency, only earn back 80 million
    >throw away another 80 million again, earn back only 64 million
    
    That's a good way to bankrupt yourself. Real life does not agree with Keynesian economics. Must be fun to live in a fairytale :)
15. So quantitative easing assumes that an economy has a large store of savings. This would explain why growth has been so anemic despite the Federal Reserve injecting $1 Trillion per year into the economy. Lower interest rates encourage borrowing, but how can you borrow if your already tapped out? This also explains why QE encourages higher unemployment. The United States is heading back into a cyclical recession with already rock bottom interest rates; I don't see this ending well.
16. You're also assuming that the government will allocate its resources in an efficient manner. Governments tend to expend resources less efficiently than the private sector; the reasons are quite obvious. Think about it from an investment perspective; investors who lose their own money become psychologically damaged and in some cases never invest again. Those who invest with other people's money don't react as harshly to losses because it's not their money and they'll live to fight another day.
17. Are these videos part of a larger series. What I mean is: Are there more than these 4 awesome videos?
18. love it love it love it! it's an awesome video!
19. How can you call savings a "leakage", when savings is what you are "multiplying"? You can't "multiply" what isn't spent.
20. Your video shows Y = (1/(1-c)) Abar. Y + 1 = (1/(1-c)) Abar + 1. There's no multiplier effect there either. How do you explain that?