Economics 3 · The Consumption Function · Complete Chapter

Chapter 3 of the complete macroeconomics course: The Consumption Function. All forty numbered lessons in one video, in order, every lesson timestamped below. All About Economics with Michael. #Economics #Macroeconomics #EconomicsCourse #LearnEconomics Chapters: 00:00 Introduction 01:07 The Biggest Single Number in Any Economy 01:58 Whose Spending Counts, and Whose Doesn't 02:47 Durables, Non-Durables and Services 03:39 Buying a Home Is Not Consumption. It's Investment. 04:27 The Strange Fix That Makes Housing Add Up 05:13 How Much of an Economy Is Just People Buying Things? 05:58 Consumption as a Share of GDP, Country by Country 06:57 Why Ireland Appears to Consume Almost Nothing 07:52 China's 40% — an Entire Growth Model in One Number 08:44 The Calmest Part of the Economy 09:33 The One Thing That Matters Most 10:25 What the Interest Rate Does to Your Spending 11:16 Why Consumption Depends on What You Own, Not Just What You Earn 12:03 People Spend Based on a Future That Hasn't Happened 12:51 Milton Friedman and the Permanent Income Hypothesis 13:38 The Difference Between a Pay Rise and a Bonus 14:26 Why One-Off Government Cheques Often Don't Work 15:14 The Households Friedman's Theory Doesn't Fit 16:03 Fear Is an Economic Variable 16:56 Why We Are About to Ignore Most of That 17:44 The Consumption Function, Written Down 18:34 What You Spend When You Earn Nothing 19:25 The Most Important Number in Keynesian Economics 20:11 Eighty Agorot of Every Extra Shekel 21:00 The Average Propensity, and Why It's Different 21:47 Why the Rich Consume a Smaller Share 22:35 Every Consumption Function Contains a Saving Function 23:26 The Marginal Propensity to Save, and Why It Completes the Pair 24:13 The Income Level Where You Consume Exactly What You Earn 24:59 Reading Saving Straight Off the Graph 25:45 Why the MPC Decides How Powerful Governments Are 26:30 Watch One Hundred Shekels Multiply 27:21 The Multiplier Formula, and Where It Comes From 28:09 Why the Multiplier Explodes as the MPC Approaches One 28:55 The First Leak: Taxation Halves the Multiplier 29:46 The Second Leak: Spending That Goes Abroad 30:36 Why a Tax Cut Is Weaker Than Spending — Exactly 31:26 Raise Spending and Taxes Equally — Output Still Rises 32:16 Everything Chapter Two Claimed, Now Proved 33:03 The Consumption Function in One Frame 33:55 Closing