We are a commune of inquiring, skeptical, politically centrist, capitalist, anglophile, traditionalist New England Yankee humans, humanoids, and animals with many interests beyond and above politics. Each of us has had a high-school education (or GED), but all had ADD so didn't pay attention very well, especially the dogs. Each one of us does "try my best to be just like I am," and none of us enjoys working for others, including for Maggie, from whom we receive neither a nickel nor a dime. Freedom from nags, cranks, government, do-gooders, control-freaks and idiots is all that we ask for.
Very interesting video. It seems that it describes what happens now with the Keynesian economies that have been built up over the years rather than what could happen if economic and monetary policies were changed. So in that way, it helps understand what and why things are happening now which obviously has value. It would be nice to have another video that shows the possibilities resulting from better policies.
I only had one issue with his video, which I'd seen many times before.
Since he focuses on a fiat currency, and seems to think that is 'normal', he assumes that printing money is a good thing if handled 'properly'.
There is no way to know or prove this because it's never been done. Especially when you have people like Krugman saying it's OK to print endless streams of money to pay for debt (that's not really what he says, but it may as well be).
Fiat currency imposes a massive problem of moral hazard on the system. There is a case to be made for linking a currency to total productivity of a nation - but which gauge would you use?
As a result, having a currency linked to a standard is far more manageable and expectations can be managed more effectively. Yes, there are shortcomings (particularly evident during boom times and in agricultural societies), but these shortcomings are often handled by - voila - the market!
When gold-based currencies are 'short' due to economic growth or some other reason, humans get innovative and new 'forms' of currency come into being. The story of the "Ithaca Hours" is one in which outside help was not forthcoming, so a region found a way to help itself.
In the same way, during a boom when currency runs short, bonds or stocks or some other non-money currency can be used to help extend the stock of currency. This is why, today, we have M-1, M-2, M-3, etc.
Even with fiat currencies, moments of currency shortages occur and innovation is needed.