Liquidity Traps- Macroeconomics
- Published on Nov 27, 2017
- Hey internet, this is Jacob Clifford. Thank you for watching my videos. So, what's so weird about the US economy today? Well, interest rates are extremely low, banks have extra money that they are not loaning out, and the massive increase in the money supply starting in 2008 hasn't resulted in inflation. In this video I discuss why and explain the idea of a liquidity trap.
All data from St. Louis Federal Reserve
FED article about Excess Reserves
FED article about missing inflation
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Thanks again. You rock!