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Principles of economics, translated 

Yoram Bauman
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"Mankiw's 10 principles of economics, translated for the uninitiated", by Yoram Bauman, www.standupecon... . Presented at the AAAS humor session, February 16, 2007. For the record, the talk contains two unattributed quotes ("9 out of 5" is adapted from a line attributed to Paul Samuelson---although apparently he said it about Wall Street indices, not macroeconomists---and "wrong about things" is paraphrased from P.J. O'Rourke's Eat the Rich) and, of course, the Einstein "simple" quote is an intentional misquote. The talk is based on a published article in Annals of Improbable Research (see www.improb.com/... ), which sponsored my talk and to which you should subscribe (improb.com/subs... ). In the paper you can see the "constructive example" of how trade can make everyone worse off (or you can just wait 50 years to see what happens with climate change). More info and other clips on my website (www.standupecon... ), and please sign up for my email list. (No spam I promise.)

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4 окт 2024

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Комментарии : 292   
@BigGerny
@BigGerny 15 лет назад
"now people who are not trained might think that that is no different than being offered one snickers bar, but that sort of sloppy thinking will never get a tenured track position" HAHA, pure GOLD!
@akinochojonathan7147
@akinochojonathan7147 2 года назад
I don't get it ?
@tastytesty
@tastytesty Год назад
@@akinochojonathan7147 he means that it's just a Snickers bar, but if you want to get a tenure, you have to pretend that you understand their differences which never existed in the first place.
@MarshallFlores
@MarshallFlores 15 лет назад
There's a follow-up video on Dr. Bauman's website regarding the footnote. It basically shows how economic activity creates pollution (externalities) that can make everyone worse-off.
@kerrialtis8358
@kerrialtis8358 10 лет назад
My econ professor showed this at the beginning of his 1st lecture. Classic lol
@risanaomi4958
@risanaomi4958 7 лет назад
Why I am here. Lol.
@wenxuyao5934
@wenxuyao5934 3 года назад
My lecturer did the same
@alecbelcher7782
@alecbelcher7782 2 года назад
here i am
@hansmusterchen4634
@hansmusterchen4634 6 лет назад
Wer isch au weg de mikro folie vode uzh da :)?
@LeXx0r
@LeXx0r 4 года назад
gib mer grad s gfühl als würdi öbbis mache anstatt würkli öbbis z mache ;)
@clarakhong1148
@clarakhong1148 4 года назад
same. aber es Johr spöter :)
@sensey01
@sensey01 4 года назад
@@clarakhong1148 ' Bisch au voll lost? .
@ekio3572
@ekio3572 3 года назад
mikro 2021
@aggelikipapafloratou920
@aggelikipapafloratou920 День назад
jaaaa
@christophersteward9375
@christophersteward9375 12 лет назад
He's explaining that when people face trade-offs there is an opportunity cost to the choice, If you value a snickers bar for 1 dollar and there is no other option, there is no other opportunity cost. But if you have to choose between a M&Ms and a snickers, but you value the M&Ms for 70 cents, the difference between the two is 30 cents (The opportunity cost of choosing M&Ms over the Snickers)
@xecutioners1fan738
@xecutioners1fan738 8 месяцев назад
wow, 11 years ago! you may not even get this msg or notification lol but what I don't get what was funny with this joke? he slammed the m&ms down and people laughed? Trying to understand the humor, please explain the joke if you are able, thx!
@MrSyCoe
@MrSyCoe 13 лет назад
Absolutely brilliant! Loved the bit about the circular reasoning. One of the VPs at a company I used to work for said "If all the economists were laid end-to-end, that would be a GOOD thing!". Thanks for posting the vid!!
@tclam95
@tclam95 12 лет назад
Opportunity cost is what you give up to get something. If someone offers you a snickers (valued at $1) and you take it, you haven't given up something else to get it. However, if he offers you a choice between 2 identical snickers, you have to give up 1 of those snickers. So basically, you have to give up a snickers bar to get a snickers bar. Therefore your net profit is zero.
@Pastshelfdate
@Pastshelfdate 13 лет назад
@TheSpiritOfTheTimes Hardly. First off, he doesn't expect anyone to take him completely seriously. Second, he makes our limitations a lot more bearable. I can confirm from personal experience (ranging from harshly painful and crippling to wonderfully happy and productive) that laughter really is good medicine. And who needs more laughter than practitioners of "the dismal science."?
@skeptorr
@skeptorr 10 лет назад
I'm going to think about this lecture every time I eat a snack bar.
@theyoutubechannel4633
@theyoutubechannel4633 7 лет назад
It comes to my mind every time I stumble upon a snickers bar on a grocery shelf
@infokemp
@infokemp 17 лет назад
So true! I thought I was smart before studying economics now I just confused. Economics = deconstruct everything they told you before and put it back together. Then try to tell people about simple things using complicated language that you can't understand yourself!
@MrBrettimus
@MrBrettimus 12 лет назад
Skimming through RU-vid comments oft reminds me of principles three and four.
@tiony2
@tiony2 17 лет назад
i showed this to my class of first years and they really enjoyed it- well i think they did...
@wsinvariance
@wsinvariance 12 лет назад
After I attended AEA meeting, I check this video again. It is always cool!
@FatherTime89
@FatherTime89 17 лет назад
this is great stuff, I even quoted this guy for a research paper.
@MrEpruitt
@MrEpruitt 9 лет назад
Haha, this is great! I love the humor.
@spikesmth
@spikesmth 16 лет назад
Awesome... when I'm taking my econ exams I always think of it that way... It's the only way I can connect the theories we learn to why the world doesn't look anything like the theories.
@dejavujoyeriaybisuteria4568
@dejavujoyeriaybisuteria4568 2 года назад
I just discovered your channel. Please upload more content! it really helps me to understand my class and I loved it!
@gairabad
@gairabad 14 лет назад
I need to hang out with more economists.
@zaby9215133
@zaby9215133 8 лет назад
Wish I could pass my upcoming exam but just using the translated principles
@AmazingHadouken
@AmazingHadouken 10 лет назад
This was shown at my economics class hahahaha
@infokemp
@infokemp 17 лет назад
The difficult part is explaining and solving. Thanks for the reply, its good to have discussion.
@Seven-pu5wj
@Seven-pu5wj Год назад
wow, i cant believe this was 16 years ago
@devine122
@devine122 16 лет назад
supply and command is pretty easy to understand, you supply the oil, you command the money
@YangWangPhD
@YangWangPhD 8 лет назад
the bit about trade and government is actually pretty deep
@banrionaiasc
@banrionaiasc 17 лет назад
i just adore this. my friend is studying economics at UCL. can't wait to send it to her!
@rafaelsilvawagner3634
@rafaelsilvawagner3634 7 лет назад
still a legend
@arobins74
@arobins74 17 лет назад
Yoram! You crack me up. I love this routine!
@nysrcnc
@nysrcnc 15 лет назад
Now I understand where to find that Bliss point.
@LadyTwenties
@LadyTwenties 16 лет назад
LOL! This is my book for this semester, and we will be going over the ten principles on Friday! It'll be hard to focus on them while thinking of this! :)
@aidanlam5336
@aidanlam5336 8 лет назад
As funny as this is, it didn't help me at all lol
@schlirf
@schlirf 11 лет назад
Have to admit Professor Dr. Dr. Mankiw is one pretty smart guy; his $325 required textbooks kinda prove it.
@FatherTime89
@FatherTime89 17 лет назад
I haven't laughed this hard for a long time, great work.
@MacManLtd
@MacManLtd 15 лет назад
We watched this in my economics class a few months ago :)
@zxcv73
@zxcv73 12 лет назад
@lee0122333 I didn't suggest anything. I simply said that as an economist you don't deal in the realm of good vs bad, if you do you are going outside the realm of economics. A physicist's job isn't to explain the morality of gravity, just to explain the implications of it. A physicist may judge if things always falling is a good or bad thing, but that has nothing to do with physics. Understand?
@rbrtchng
@rbrtchng 16 лет назад
Trade can OBVIOUSLY make everyone worse off. But, those trade just don't happen. I've actually read his detail at his website. He does explain how trade can make everyone worse off. However, the trade that makes everyone worse off, usually don't happen.
@Questfortruth86
@Questfortruth86 15 лет назад
This is the textbook I used last semester. After I was done with the class, I decided to burn the book rather then reselling it. It provided the greatest net utility for me. The man advocated negative interest rates for fucks sake.
@davidpinto0
@davidpinto0 17 лет назад
this is real good... i'm going to try some of this in class....
@10ccalanarkush
@10ccalanarkush 13 лет назад
the einstein quote really is - "make everything as simple as possible, BUT not simpler" not "IF not simpler" which means something wholly different
@trisix99
@trisix99 16 лет назад
being influenced to action by things that influence action is pretty deep information about people!
@rbrtchng
@rbrtchng 16 лет назад
Bauman's idea on margin is also wrong. People do think at the margins. For example, when you buy oranges, you think "Hmm, this batch of oranges exceeds the market value of oranges." That translate to people thinking "hmm, this batch of oranges is cheaper than I expected, so I'll buy them." Any normal person would buy things when they think has a marginal surplus value to them. Hence, people do think at the margins. Each unit does not necessarily mean each item, hence the error in Bauman's theory
@Questfortruth86
@Questfortruth86 15 лет назад
Value is never measured in cents or dollars. You want something, you're willing to pay a wide array of prices for it. The price you pay on the market is much less than you're willing to pay, in most scenarios. It depends; but again, value is never measured in dollars or cents.
@CoryTheRaven
@CoryTheRaven 17 лет назад
Great shades of my marketting class!
@enzovalentini
@enzovalentini 15 лет назад
@agentmel that is precisely why people's economic rationality is not very used outside microeconomic classes. It would seem naive at least to think that forcing people to make certain choices is a solution. The fact is that people do trade despite being better or worse if they're rightly persuaded; why they do it when they get worse is a much harder question...
@MainMite06
@MainMite06 9 лет назад
Just met this guy today with my high school economics class and I was impersonating Kool Aid Man's ~"OH YEAAAH!"~ for answers!
@Tharenii
@Tharenii 16 лет назад
i love you man! I AM STUDYING FOR MY ECONOMICS TEST which is in 15 hours
@clarakhong1148
@clarakhong1148 4 года назад
Good Luck man. Hope it went well.
@systemistoomuch
@systemistoomuch 16 лет назад
Perfect. Of course.
@Hank-ry9bz
@Hank-ry9bz 5 месяцев назад
A friend of mine majored in philosophy and minored in economics. So he's unemployed, but he understands why.
@thechimpgod
@thechimpgod 17 лет назад
The decrease in the US dollar simply means that our domestic goods will become cheaper internationally and so US exports will increase resulting in higher output. This is hardly "very very very BAD."
@ThreeCrowns
@ThreeCrowns 17 лет назад
the sad thing is that i spaced off listening to this, not to mention my own real economics class
@Napoleon997
@Napoleon997 13 лет назад
@Villainy03 I totally understand you. However, I am an economics major....I think in this case (for me, anyway) it's just that the American sense of humour is vastly different to that of Europeans, Australians, etc.
@zxcv73
@zxcv73 12 лет назад
@lee0122333 Economics isn't a philosophy of morality vs immorality aka good vs bad. It's a philosophy to explain the world. You do A you get X, you do B you get Y. You can judge which outcome is more moral to you, but that has nothing to do with Economics.
@rbrtchng
@rbrtchng 16 лет назад
"Principle #5 ("Trade can make everyone better off") leads to Principle #6 ("Governments are stupid"). After all, if trade can make everyone better off, what do we need government for? But the translation of Principle #5 ("Trade can make everyone worse off") leads to Principle #7 ("Governments aren't that stupid"). After all, if trade can make everyone worse off, we better have a government around to stop people from trading!" That's stupid because he is acknowledging both interpretations of #5
@patrickmc12
@patrickmc12 17 лет назад
Good stuff. What is the "AAAS humor session"?
@TrainDr101
@TrainDr101 14 лет назад
I wish it were this simple in my AP Econ class.
@gma683e066736
@gma683e066736 15 лет назад
And in econ you never have to put values along the axis of your graphs - just sketch a curve and voila!
@Hallo2244
@Hallo2244 17 лет назад
Im a junior in high school and just got through this chapter. I think I would like this guy's view better but the book is good so far :)
@diraemada4410
@diraemada4410 12 лет назад
The Poushal, they laugh at the Einstein quote probably because the original quote is: "Everything should be made as simple as possible, BUT NOT simpler" :)
@TonioLoewald
@TonioLoewald 17 лет назад
His criticism of "rational people think at the margins" is pretty damn good. Aside from that, yeah -- good one-liners. It seems like item 9 is probably worth making fun of too, since governments these days don't "print" most of the money.
@IvanMercadoTV
@IvanMercadoTV 13 лет назад
Queridos estudiantes de Economía, este video del Dr. Yoram Bauman de seguro "les abrirá la cabeza" sobre los famosos "10 Principios de Economía" del amigo Manliw. LOL
@MrMrdelivery
@MrMrdelivery 12 лет назад
Of cource economics is a social science, those that disagree must have a social disease... Like Yoram said last night here in Seattle: " People are stupid "...Thanks, had many healthy laughs last night... Yoram Bauman; What a mensch...
@infokemp
@infokemp 17 лет назад
What I stated originally is correct because in reality niether jamaca or iceland have the same natural resources. Comparitive advantage;Iceland could still choose to grow bannanas because it has the technology to do so, however to do it it would have to give up say more fishing, in order to invest in greenhouses to grow bannanas.
@asammieawa
@asammieawa 13 лет назад
i wanted principles of economics explained to me. If i wanted to have a joke and giggle i would have watched eddie murphy...
@samsonlovesyou
@samsonlovesyou 12 лет назад
All of the profound economic comments posted.... No one seems to be stopping to point out that this guy is absolutely hilarious. That was TV worthy.
@bobshouse123
@bobshouse123 17 лет назад
You don't need to study economics to find this funny. Good job mate, quite good.
@xxxslayerxxx666
@xxxslayerxxx666 14 лет назад
@jaffijoe i don't understand how the government can use legal tender as the new standard of exchange...how is it legal?! and how does fractional reserve banking work?, i've watched videos explaining it, but then came across a comment that was saying "what you just described is illegal and banking doesn't function like that, it's a complicated process where all the countries work together so that when one person deposits $100, the banks get 10 times that!" why must it be so confusing?!
@rbrtchng
@rbrtchng 16 лет назад
I'm sorry, as an economics student who actually studied Mankiw's textbook about the 10 principles of economics, Bauman is actually wrong about choices. He misinterprets what "opportunity cost" is. It's "what you give up to get something." Which means that if you choose to buy the Sneakers, you give up $1, regardless of choice or no choice. The M&M does not account for more cost because it's not something you earn. I'm running out of chars, so I'll end right there, I'll explain if needed.
@hesrobinson
@hesrobinson 16 лет назад
Wow - some people who've commented here really don't understand humour! I love this guy - I've even seen him live - he is AWESOME (and a Climate Change Economist - so extra kudos there).
@usernameisnowtaken
@usernameisnowtaken 16 лет назад
i'm gonna buy an orange, i'm gonna buy another orange, i'm gonna buy another orange
@tgordon681
@tgordon681 15 лет назад
That was a translation.
@auspwns
@auspwns 13 лет назад
that guy is FTW LEGEND
@shnglbot
@shnglbot 7 лет назад
Fucking brilliant.
@mike23984
@mike23984 14 лет назад
I really enjoyed that video!
@MrDenGun
@MrDenGun 13 лет назад
This is my kind of class.
@radovieredhingberg7790
@radovieredhingberg7790 12 лет назад
Economics roots reach all the way to the ancient Greeks, it doesn't have to do with money, it's based on family household, that's basic Econ.
@G0dP0wer
@G0dP0wer 12 лет назад
lol why is there a louis C.K. video in the related videos section
@KennethTangCF
@KennethTangCF 16 лет назад
I'm majoring in economics and have never thought of the principles that way! very funny!
@54spiritedwill54
@54spiritedwill54 16 лет назад
this is great stuff
@Kernel15
@Kernel15 14 лет назад
@mrboycom I don't think it's caused by economics. Learning economics won't necessarily make you want to commit suicide. It's human greed that's screwing everything up.
@FatherTime89
@FatherTime89 17 лет назад
Yes but he is a stand up and he is using these purely for humor. He doesn't expect people to take his arguments seriously (I hope). Although at face value some of his arguments do seem logical.
@zxcv73
@zxcv73 12 лет назад
No it's not. It is just an equation really. [A county's standard of living](x) [depends on](=) [ability to produce goods and services](y).
@maxgunn555
@maxgunn555 14 лет назад
actually in thery choices are bad because they increase the probability bf making a wrongchoice and therefore being unhappay y.
@cammiltaank
@cammiltaank 10 лет назад
This is the funniest 5 mins of stand up ever
@xxxslayerxxx666
@xxxslayerxxx666 14 лет назад
@NeoOneOrg everything made sense except your use of the word forage in both comments....all that i found is that it is some plant that is fed to animals, wtf?!
@timetraveler3797
@timetraveler3797 15 лет назад
I tried to read the footnote but it got too blurry...
@randallbabb
@randallbabb 15 лет назад
My microeconomics professor showed us this video in class and seemed to agree... What does this tell me about my $400 investment in microeconomics?
@TheMTJOE
@TheMTJOE 12 лет назад
Just seen him today in LSE!
@jhlbjaaa
@jhlbjaaa 13 лет назад
@TheLisaGRAHAM You're thinking about finance/commerce degree but talking about economic. Money, interest rate and statistics are part of economic but not all of it. Ultimately economic is the study of how individual household, firm or even government made choice out of limit resources. BTW interest is not a made up thing, it is the compensation of the bank pay to the saver for not spending their money.
@rbrtchng
@rbrtchng 16 лет назад
you can't understand what I've said, probably.
@MarshallFlores
@MarshallFlores 15 лет назад
This is pretty effing awesome
@slurpeeday
@slurpeeday 14 лет назад
hilarious. though for those of you who haven't taken economics; the snickers joke is not actually how opportunity costs work.
@moneyandsociety
@moneyandsociety 13 лет назад
Blah Blah Blah- I actually said that phrase during one of my macroeconomics lectures. Unfortunately, my professor didn't view your video Bauman. She would have learned that blah blah blah is a useful explanation for macro lol.
@lazeritch11989
@lazeritch11989 17 лет назад
it is obvious to the most casual observer 2:47
@Questfortruth86
@Questfortruth86 15 лет назад
"You value the snickers bar at 1 dollar and eminems at 70 cents." This makes no sense in economics at all.
@lewis8097
@lewis8097 16 лет назад
Why did it stop at number 5? Do you have the rest of the presentation?
@BeAtLeBoAr
@BeAtLeBoAr 14 лет назад
Really cool video
@infokemp
@infokemp 17 лет назад
I've got the Text book in front of me. Just to see if I was wrong(!) absolute advantage; is when acountry can produce all goods/services better than another nation at all Quality/ price levels, ie more cheaply, when both countries have the same resources. therefore if I was talking about Iceland or Jamaca as being and examples of Absolute advantage, Jamaca should not be able to compete with iceland.
@00BillyTorontoBill
@00BillyTorontoBill 15 лет назад
I need to breathe....lmao Nothing less than brilliant. His points seem to describe our society perfectly.
@clamapinto
@clamapinto 14 лет назад
haha actually we have nolan miller at the University of Chicago!
@infokemp
@infokemp 17 лет назад
Therefore its better for iceland to specialise in fishing and IT and jamaca in growing bannanas and making rum. Jamaca does not have an absolute advantage in growing bannanas and making rum, since Iceland can still grow banannas and make rum but it would have to give up more IT and Fishing to do so.
@TheFlowLox
@TheFlowLox 14 лет назад
love it
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