How is "Transitory" Inflation Going?

How is "Transitory" Inflation Going?

Inflation is no longer transitory, but is it here to stay?

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50 Comments

  1. James Burron on December 26, 2021 at 1:27 pm

    Krugman’s theory that the internet will have no more effect than the fax machine. Try as I might, I can’t get my fax to spot out pages at 24/second to watch a video.

  2. CRONIC078 on December 26, 2021 at 1:30 pm

    Tourist Cruiseships are for the most part bad for economy (tax evasion) and for the ecology. If there is one industry i would like to see not boot up again after the pandemic its the cruiseshipindustry.

  3. Abdel El man on December 26, 2021 at 1:30 pm

    Buying bitcoin end ether like a motherf.

  4. Tsvetan kunchev on December 26, 2021 at 1:30 pm

    Fun fact, there is a huge amount of people who are over the retirement age but haven’t done so.
    And I know noone who would retire willingly.

  5. blue diamond gem on December 26, 2021 at 1:31 pm

    Let’s go Brandon. FJB

  6. NA on December 26, 2021 at 1:31 pm

    So they’re prioritizing keeping safe the investments of the rich at the expense of the costs of goods (primarily impacting the poor). Good going US.

  7. Nick Siekierski on December 26, 2021 at 1:32 pm

    I’ll judge the legitimacy of the CDC Covid death stats as soon as I finish the full Federal Reserve audit report.

  8. Eran Hertz on December 26, 2021 at 1:33 pm

    The silver lining is that no more decisions paralyze when shopping…

  9. Jack Arizona on December 26, 2021 at 1:33 pm

    fix your vocal fry bogan……

  10. Remo Gaggi on December 26, 2021 at 1:33 pm

    The only way the US can escape inflation is raising rates. Raising rates crashes the stock market and essentially the bubble US economy. The US empire has terminal cancer.

  11. Ph4r40h89 on December 26, 2021 at 1:33 pm

    @4:30 You got the definition of inflation wrong. Inflation is an increase in the overall money supply. If it were an increase in the price level of goods over time, then every time OPEC decided to increase the price of oil (and therefore the price of everything) then OPEC would be the cause of inflation. Sounds a little silly to me. Also if we say it is an increase in money supply then we keep the analogy with physics in that inflation is an increase in the size of the universe rather than just a local spreading out of stars or galaxies.

  12. mrparts on December 26, 2021 at 1:33 pm

    I always find it funny that economists are trained to believe that the purpose of all human life is to live for "The Economy". If older workers are retiring and living happy their remaining years with their family is a bad thing for "The Economy", then the conditions for them must get worse to force them back to work for "The Economy". LOL

  13. MEGALITHdotORG on December 26, 2021 at 1:40 pm

    "More Americans have died of Covid than in both World Wars". <– Maybe not a mistake, but definitely an idiotic comparison. It would also be true to say "More Americans die from cardiovasuclar disease every year than Americans died in both World Wars". Still, cardiovascular disease and obesity never led to any economic crises. In addition, WW2 was not bad for the American economy. Quite the contrary, it maybe got the US out of the Great Depression. So, this comparison is bad on several levels. In future, you should maybe compare diseases to diseases and wars to wars.

  14. Finxy on December 26, 2021 at 1:40 pm

    14:33 Mistake: By your definitions the unemployment rate does not have the working age population as a denominator, which is what your pie chart is representing. 4.2% represents the unemployed/(unemployed+employed) meaning that: {for every (100-4.2)=95.8 employed people there are 4.2 unemployed people} = {for every employed person there are ~0.04384 unemployed people}. Multiplying this by the percentage of employed people we get: 59.2%*0.04384≈2.6% which should be the proportion of the unemployed to the working age population.

  15. GoodChannel on December 26, 2021 at 1:42 pm

    I appreciate the hard work. You I think avoided a few more political points. 1, because of mandates people have also left the job market. 2, you missed the point with m1 supply that savings regulations have changed as part of the spike. Savings no longer limit the number of transfers. 3, lock downs, you can’t make stuff if you can’t work… And you can only import so much before hyperinflation pays for the lack of exchange. 4 you pointed out the number of Americans dead from covid, sad bad etc, but that numbers is less than the number of babies aborted every year since 1970, significantly less. The problem with an aging population is one side of the coin, we need people to replace them. We are teetering on a population collapse. But I appreciate your points, and understand you don’t want to be considered bias, which can be its own bias.

  16. cadavernl nee on December 26, 2021 at 1:42 pm

    Sure the death toll of covid is higher than both world wars combined. BUT, it is mainly the old and/or sick people who die and were on the road to their grave already. Those already had a tendency to have less economical impact on society than the deaths of the world wars, which was mainly of youngish men who would have had a bigger futuristic and longer lasting economical impact.

  17. Promethalus on December 26, 2021 at 1:42 pm

    and long haul covid folks are also not gonna enter the workforce anytime soon :/

  18. DeathToMockingBirds on December 26, 2021 at 1:44 pm

    Why saying nothing of the fact PROFITS are reported to be at an all time high across sectors? Seems that it indicates the inflation has at least another source. Many business that jump on the bandwagon of nearly interest free loans, cutting positions and jobs, profiting of the pandemic to mechanize more, raising prices because others are doing it too. From there, the rest follows. Use this point of view to re-analyze the situation, you’ll see that the role of the FEDs is more adaptive than proactive.

  19. More MileyPlease on December 26, 2021 at 1:45 pm

    What happened to the idea the Fed won’t raise rates because the U.S. debt is so high. At this point, merely balancing the budget would put us into pretty deep recession. Higher interest rates, putting us into recession, followed by a then necessary fiscal retrenchment, could cause another economic depression. If inflation seems out of control, the Fed will only be able to fight it by baby step interest rate hikes, but mainly by restricting credit. I’m guessing the Fed will not stand in the way of wage inflation, as that is actually good for debtors. Like the U.S. Government. By the way, being the world reserve currency is nice in terms of wielding power, but the overall economic costs are high & unwelcome.

  20. Cam Robertson on December 26, 2021 at 1:46 pm

    If the Australian government can decide a recession after 2 x quarters of GDP contraction they can decide inflation after 2 x quarters of CPI rises and make interest rate adjustments upwards to cope. But their CPI ‘basket’ is improperly weighted and they just ignore soaring petrol and energy costs, private medical premium rises, house price rises, educational and transport fare rises. They seem to put all the weight on electronics and see how cheap they’ve become. What inflation?

  21. Mark Rosolowski on December 26, 2021 at 1:47 pm

    Can we make it to November 2024?

  22. Mr Hamgolian on December 26, 2021 at 1:48 pm

    Make everyone rewatch your videos again.

    Viewflation.

  23. Kristijan Lujanovic on December 26, 2021 at 1:48 pm

    so you are saying bicoin hits 75k before summer?

  24. EC T on December 26, 2021 at 1:53 pm

    Wondering what car EE’s father is working on in his garage..

  25. Stephan Dimopoulos on December 26, 2021 at 1:53 pm

    I struggled with Economics at uni. I struggle to keep up with everything you say in your videos, but for some reason i enjoy watching them lol

  26. Everything Econ on December 26, 2021 at 1:53 pm

    4:50 *fewer goods. There’s a mistake for ya

  27. slop123456789 on December 26, 2021 at 1:54 pm

    Here’s your first mistake:

    There’s actually remarkably little hard evidence to support the assertion that some level of inflation is necessary and desirable – despite the insistence of Keynesian economists. Many of the greatest periods of economic development and human civilisation have taken place against a backdrop of hard money and price stability or even deflation (reflecting the abundance that technology brings); the Pax Romana, the European Renaissance and the post-Civil War Reconstruction USA are the first examples that come to mind. This did not cause "hoarding" of money, rather it discouraged frivolous and wasteful consumption and encouraged and enabled saving and long term productive investments which further increased and compounded the wealth of those societies in a positive feedback loop. No "relief", "support" or "easing" from Central Banks was required.

  28. ME911119 on December 26, 2021 at 1:56 pm

    Usury and lending money on interest will be the downfall of civilization and the root of all modern slavery.

  29. FriedEgg on December 26, 2021 at 1:57 pm

    The Bank of England recently put interest rates up from 0.1% to 0.25%.

  30. Adeyemi adeyemi on December 26, 2021 at 1:57 pm

    1:16 I love that keyboard. How can I get it?

  31. Jo Co on December 26, 2021 at 1:57 pm

    DEMOCRAT SUPPORTERS GETTING WHAT THEY VOTED FOR. 80 MILLION. ✊🏿✊🏾✊🏽✊🏼✊🏻✊

  32. Trip Immigration on December 26, 2021 at 1:58 pm

    here in Japan have a Dollar tree store the name is three coins means three coins of 100 yen around 3 usd
    however because the inflation now the store need to rebrand as three coins + plus.
    this is the first time in 5 years I saw this. it’s a scary

  33. Economics Explained on December 26, 2021 at 1:58 pm

    Links to enter the giveaway! 👇
    TypeForm ➡ https://economicsexplained.typeform.com/mistakes
    Mistakes spreadsheet template ➡ https://www.dropbox.com/s/b5h6vtkogi6i054/EE%20Mistakes%20of%202021.xlsx

  34. Trader Terence on December 26, 2021 at 2:00 pm

    That contest with the trip to Australia is actually a job interview, get to work everyone!

  35. Asdayasman アズデイ on December 26, 2021 at 2:01 pm

    Hang on, why is unskilled workers having (more) negotiating power a good thing? Surely we want AS MANY disincentives to remaining unskilled as possible.

  36. jbcola74 on December 26, 2021 at 2:01 pm

    You should use the shadows stats instead of the official manipulated numbers

  37. Yayfro on December 26, 2021 at 2:02 pm

    Your biggest mistake is trying to make every single person, go through every video, and list every error. Ie. wanting a lot of people to do the same job, ie. not much respect for the value of timme of others. I am already in Sydney, how about I take you out for a day skateboarding instead.

  38. Cyclops Vision on December 26, 2021 at 2:02 pm

    car dealerships adding markups to a vehicle is rare? tell that to customers that want to buy a Ford Mach E, or F150 Lightning

  39. Izaac Chapman on December 26, 2021 at 2:03 pm

    More Americans didn’t die of covid

    They died WITH covid

    A covid death is any death within a set amount of time of a positive test.

    You could test positive isolate then go and get hit by a car and it’ll be classed as a covid death.

  40. I EAT CRAYONS on December 26, 2021 at 2:05 pm

    please put time stamps for the giveaway. It lasts too long and I’d just rather skip it

  41. Pro2eus on December 26, 2021 at 2:07 pm

    Mistake to point out. the big numbers of people dying are not dying "of" covid. It’s nearly always noted as "with"covid. co-morbidities seem to be pretty significant, and also just having a positive test within 28 days in many cases puts you in the stats. Your dad seems like a pretty cool chap and I hope he enjoys his retirement flying fun stuff

  42. Tsvetan kunchev on December 26, 2021 at 2:07 pm

    For 5 days to check out 100 videos and write in a spreadsheet is quite a bit of a challenge for the holidays…
    Though the approach is admirable!

  43. Jumbo Egg on December 26, 2021 at 2:10 pm

    What they meant by transitory inflation is transitory "much higher than normal" inflation. So things are going to cost a lot more in the near future. It certainly does not mean prices are going to come back down again. The effects of this transitory high inflation completely depends on whether we have "transitory rapid wage growth" …I don’t see that happening, not for regular workers anyway.

  44. Be Co on December 26, 2021 at 2:10 pm

    Does the misuse of ‘begs the question’ count as a mistake? ‘Raises the question’ would be correct. Begs the question is for circular reasoning. Eg: I like coffee because it is nice. (I would normal suppress the urge to be this pedantic but I felt goaded by the request for mistakes.)

  45. stratacat2000 on December 26, 2021 at 2:11 pm

    America was founded on violence, America well come to a end on violence, Its a Cutthroat capitalism world

  46. Brendan Mangan on December 26, 2021 at 2:11 pm

    I have often heard a deflationary spiral for a currency but is there actual examples of this all non hold backed currency’s I know of have ended in a inflationary death spiral

  47. Chadx M on December 26, 2021 at 2:13 pm

    i see

  48. Bennie Vredestein on December 26, 2021 at 2:16 pm

    Fantastic video bro, Merry Christmas

  49. Wahyu Setiawan on December 26, 2021 at 2:17 pm

    wait. . . adding markup to car is crazy and rare. . we live in different world i see

  50. Freedom is Transitory on December 26, 2021 at 2:19 pm

    Why fix inflation when you can just keep printing and blame everyone and everything else for the inflation? Financial stabilty, productivity, and freedom are all transitory anyway.

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