Freakonomics » How Does the Economy Actually Work? Ray Dalio Explains
Thanks for stashing this.
An economy is the sum of the transactions that happen in all of the markets.
The total amount of spending drives the economy. Because one person's spending is another's income.
A market consists of all of the buyers and sellers of a good or service.
Credit is the most important part of the economy.
Total Credit in the U.S. = $50 trillion.
Total Money in the U.S. = $3 trillion.
Credit causes cycles. The video explains why.