Circular Flow Matrix- How the economy works 

+ACDCLeadership it enslaves us #bernie2016

I think that is what Bernie would say too

+ACDCLeadership I believe that capitalism enslaves us to holding monetary value high in our hearts but at the same time liberates us from a plateau in sectors like technology and other forward thinking fields due to constant incentives in an ever-evolving market (something most other forms of economies wouldn't provide). I do not think the country could be much better/rational with a different economy. p.s. i cant explain how much i appreciate the time you put into your videos! thank you!

+ACDCLeadership Neither. But it does allow me the freedom and opportunity to succeed or fail on my own. Whereas Socialism would try to protect me from failing; Communism would not allow me the opportunity to try.

Well said. Freedom to succeed requires freedom to fail

I'm glad I could help

Wishing you the best literally he so helpful and a genius

@@JacobAClifford The entire model is a lie. ==========< There is the owner and the employee.>========== Ultimately, the 'Employee' makes the products, takes those products to the market, sells the same products, he made, to himself and finally he pays a fee known as Profit to some 'Owner' for a permission to own the same products he made and sold to himself. The owner gets to collect profit for doing nothing.....and many call that 'earning' instead of 'taking'. The way forward to a better society is to increase and maintain a strong minimum purchasing power of the end-consumer using the magic formula. (Magic Formula: 'Your minimum Purchasing Power' = 'minimum wage' + 'Benefits payments' - 'Cost of dignified living from cradle to grave' - 'Taxes, fees, penalties') Firms are no more "legal entities" than your back-up power generator is a "legal entity", and it does not matter if it runs on fossil fuels or if a bunch of humans must run on treadmills all day. Firms are just property and should be treated as such by the laws. Save the minimum purchasing power of the human citizens instead of saving businesses/firms.

I know it's been 5 years but I just went back to school after a decade to try for my MBA. This is SO helpful. hope you got that degree or found a business!

Jesus loves you fr

he was gifted by the gods

This is actually wrong on a number of points. 1. Capitalism didn’t create the iPhone the internet or most major innovations. Look up “current affairs - capitalism didn’t invent the iPhone” literally all the innovation is produced in the public sector then appropriated by the private sector. The ussr had markets too. The ussr had MANY innovations including things like oh I don’t know. Satellites?? Don’t need private markets for any innovations. Also look up “how privatization fails” by the channel Shaun on how things like airlines and railroads fail in the private sector. The other thing that’s never mentioned is Marxian economics. How can you know how captialist economics are if you never study Marxian? Look up Brendan McCooney channel on RU-vid or professor Richard wolff. You don’t know what you think you know about economics. You’re wrong.

A_Socialist_Channel but he was gifted by the gods

@@hopperthemarxist8533 the railroads were literally created my the private sector in America Sure, socialist. Except the USSR is no more while Apple still exists.

@@hopperthemarxist8533 I get what you think you're saying, but I dont think you know what you think you know either. Sure capitalism didn't create the Iphone. It's silly to think an idea and economic system created anything. That really isnt the point. Socialism did not create any of that stuff either. Because socialism is an idea, a system. And that's not really the point either. The impetus for the innovation isn't as relevant as the impact that's generated as a result of it. Said another way, there's a fundamental difference between the discovery or creation of something to meet a need and the innovation of that discovery to provide widely available and cheap access. The former can be the brought on my any mechanism. Ideas are bountiful and know no boundaries. The latter, however, a direct result of capitalism, is the reason Iphones are in every person's hands today

my teacher uses him lol

I teach Economics, and I make his videos part of the curriculum! He is the reason I made it through Economics in college, so why not share the wisdom?

They do lol 😆

My teacher uses his curriculum but NOT his videos and it pisses me off so much. This man I understand so much but my teacher just talks way too confusingly and gets distracted a lot.

my teacher recomends his videos

I know that it has been 8 years, but he is not really a self-proclaimed high school teacher. He has his licences and own school too.

+Spaulding&#39;s Tree Service I'm glad I was able to help. Please subscribe and tell your friends. Good luck on your exam.

So how did you do?

@@agathamystery good xD

How did you scoreee haha

+Jackson Alexander Thanks Jackson. I appreciate it. Please tell your teacher hi for me.

+Marcel Gölz couldn't say it better myself.

+Akos Somoskeoy Wow, that's awesome. I'm glad I was able to help. When you get super rich some day, make sure to think of me.

The entire model is a lie. ==========< There is the owner and the employee.>========== Ultimately, the 'Employee' makes the products, takes those products to the market, sells the same products, he made, to himself and finally he pays a fee known as Profit to some 'Owner' for a permission to own the same products he made and sold to himself. The owner gets to collect profit for doing nothing.....and many call that 'earning' instead of 'taking'. The way forward to a better society is to increase and maintain a strong minimum purchasing power of the end-consumer using the magic formula. (Magic Formula: 'Your minimum Purchasing Power' = 'minimum wage' + 'Benefits payments' - 'Cost of dignified living from cradle to grave' - 'Taxes, fees, penalties') Firms are no more "legal entities" than your back-up power generator is a "legal entity", and it does not matter if it runs on fossil fuels or if a bunch of humans must run on treadmills all day. Firms are just property and should be treated as such by the laws. Save the minimum purchasing power of the human citizens instead of saving businesses/firms.

+Zhongshuhao You are welcome

+TheGerogero I appreciate it. Thank you.

+ACDCLeadership Also question: I was aware that, traditionally, there were three factors of production -- land, labor and capital. Although I think that capitalism liberates us, the first time I saw entrepreneurship included alongside those three, I thought that was conspicuously pro-capitalism (if only because it seems to be fundamentally ethereal in a way that the others are not). Now I'm wondering if it's more the case that the traditional picture is antiquated or incomplete. Do you consider entrepreneurship to be special in some way?

I really didn't put too much thought into it, but you brought up some good points. I think it just comes down to preference and time. I mention four because we are talking about markets economies and I am trying to get the info out quickly as possible. Notice I didn't separate human capital and physical capital either.

***** Thanks!

+Gayoung Lee You are very welcome

+dingviet Thanks. I will take "painfully corny".

And yes. Capitalism does enslave us. It creates a major economic divide and social welfare always takes a back seat in a capitalistic economy.

Jesus loves you fam.