Both the approaches lead to the same conclusions, i.e., the price level or the value of money depends upon the money supply. In other words, there is direct proportionate relationship between the money supply and the price level and inverse proportionate relationship between money supply and the value of money. If the money supply is doubled, the price level is also doubled and the value of money is halved. sir apne kaha dono kaha dono theory alag hai kase conclusion same hai
Ankit it's just like Thomson, Rutherford and Neil Bohr model in which Conclusion is almost same way to define things are different....... Here also, both approaches are different but the main focus is money supply is directly proportional to price level and inversely related to value of money........
Conclusions are not equal but there are different from each other. Quantity theory of money that there is direct and proportionate relationship between price level and money supply but inverse proportionate relationship between price level and value of money. But cash balance approach of quantity theory of money states that there is not any direct proportionate relationship between money supply and price level. CTA gives more impotance on money supply and CBA gives more impotance on money demand. I think u can better understand if u understand difference between CTA and CBA
@@khoshalmobeen Because with changing price level, you need more money in pocket to buy the same amount of goods and services. The money in your pocket is the nominal value of money without taking inflation into consideration. If the price level increases by a certain amount, you need more cash to buy the goods and services and thus, demand for money would increase and take an upward slope. Always remember that whatever you have in your pocket is not real value of the money if evaluated in terms of general price level prevailing 10 years ago, cuz the real value would determine how many commodities could be bought with that nominal value in current year. With an increase in price level, you have to carry more to equate with real value value of that paper currency.
you might have seen in fishers approach md is downward sloping when we have 1/p on y axis. Since now we are relating Md with p rather than 1/p the demand curve's shape get reversed. That's what i think . I Hope it helps.
Sir ap Panna city se belong krte h Kya sorry sir it's personal question but I feel that I saw you in my college you're lectures are so helpful for me sir thanks sir ☺️☺️
Nahin sana men Aligarh se belong karta hon aur saudi arab men rehta hon. neeche diye link par click karo, mera introduction he th-cam.com/video/MHpGYgA1Is4/w-d-xo.html
Tribhuwan University Nepal B.A. 2nd year ''Intrest is the reward for parting with liquidity for a specific period of time''. Explain. which theory related with this statement? please sir
According to u that when demand for money for cash balance increase it leads to price increase p1 to p2... but when people will hold more money means they will spend less then how price will increase....? I think something is wrong....
I'm glad to see .i am from nepal🇳🇵 .Now I'm clare about it
Both the approaches lead to the same conclusions, i.e., the price level or the value of money depends upon the money supply. In other words, there is direct proportionate relationship between the money supply and the price level and inverse proportionate relationship between money supply and the value of money. If the money supply is doubled, the price level is also doubled and the value of money is halved. sir apne kaha dono kaha dono theory alag hai kase conclusion same hai
Ankit it's just like Thomson, Rutherford and Neil Bohr model in which Conclusion is almost same way to define things are different.......
Here also, both approaches are different but the main focus is money supply is directly proportional to price level and inversely related to value of money........
Why Md is taken upward slope ?
Conclusions are not equal but there are different from each other. Quantity theory of money that there is direct and proportionate relationship between price level and money supply but inverse proportionate relationship between price level and value of money.
But cash balance approach of quantity theory of money states that there is not any direct proportionate relationship between money supply and price level. CTA gives more impotance on money supply and CBA gives more impotance on money demand.
I think u can better understand if u understand difference between CTA and CBA
2:59
Whatever, you guys didn't notice that he farted 😂
@@khoshalmobeen
Because with changing price level, you need more money in pocket to buy the same amount of goods and services.
The money in your pocket is the nominal value of money without taking inflation into consideration. If the price level increases by a certain amount, you need more cash to buy the goods and services and thus, demand for money would increase and take an upward slope. Always remember that whatever you have in your pocket is not real value of the money if evaluated in terms of general price level prevailing 10 years ago, cuz the real value would determine how many commodities could be bought with that nominal value in current year. With an increase in price level, you have to carry more to equate with real value value of that paper currency.
Bhut time baad mila h itna accha TH-cam channel....
Second year complete honey wala h ab mila h channel.....✨🌟
Hahaha. Take care
The best teacher in human plannet 🌍
Tons of thanks dear😊
Very well explained sir ✨⭐💯🔥
Thanks alot to you...i saw ur videos recently tday nd i really understood theory of fisher nd cambridge...thank you sir...
Great sir👍👍explained so good
Very nice sir ji 😘❤️ aap bhot acha pdaa te ho
Sir ur the best teacher...can u explain Keynesian theory of money and prices plllzzzzzzzzz
Hi
Hi
Sure priya. Will make soon
Thank you sir ur the best
@@DrNavedClasses when sir??
Also marshal & walrasian 😊😊
Thanks a lot sir!!!!!! really nice content....
Thanks sir.. check sir suits you sir best..
😊 lot of thanks Dolly
Really sir ur teaching is great u start always with basics...I watches all ur videos From Micro to macro.. Really very thankful for ur reply..
😊
@@dr.dollysingh6923 🎉
Superb video sir very helpful👌👌👌🙏
it means a lot for us
thank you sir😍
U r most welcome
Thank you so much sir 😊😊🙏🙏🙏
Maja aa gaya sir video pura dimag me chala gaya.
Well Explained Sir ... 🔥🔥🔥
Sir u r the best of my knowledge plz making video In RBI approach of money supply 🙏🙏🙏
As soon as possible
Nice explanation Sir.Thank you so much🙏🏽😊.
Just amazing 🔥🔥🔥🔥🔥
He is my first choice on youtube as an economics teacher. ❤
Thanks dear
sir plzz marshall theory ki bi video upload kr doo ek
you teach so well nd good
OK
Thanks a lot sir..
ਧੰਨਵਾਦ ਸਰ 🌟👌
Thank you so much sir.. 🙂🙂🙂
Thanks alot sir👍👍
Sir you are great as usual, I have a request sir kindly give us a lecture how to differentiate b/w classical and keysaian full employment theory..
Ok Hiba
thanks sir... excellent class sir...
Most welcome
Sir thanku so much to explain the theory of demand
Topic Intrest in detail plzz
Sir great👏
Very clear explanation Sir
thank you sir.
macro economics ki sari topic mil jayenge kya.
NET-JRF Eco. UNIT 2: Macro Economics
th-cam.com/play/PLoZyvYVMP4LdcbqMzg6cmdDt01jkdR5yW.html
Wonder explanation nd great job sir . 👍👍👍👍👍👍👍👍👍👍👍👍👍 Jazakallah
Hope this also helps:
th-cam.com/video/LZtCCgEwU-8/w-d-xo.html
Thank you sir .
Sir plz upload the vedio of interest rate differentials and theories of term structure of interest rates
Thanku so much sir 🙏🙏🙏
U are a great sir tq so much for this lecture
Thanks
2:59 that fart 😂
Sir best teaching
Thank u so much sir
Sir many many thanks.
sir please make a video on social welfare function by Bergson
Sir u r best
Why is Money demand curve upward sloping?
Because, demand for money is directly related to the income.
hope this also helps:
th-cam.com/video/LZtCCgEwU-8/w-d-xo.html
Add plezz mcq also related to micro and macro
Ok
Sir,why is demand curve upward sloping?shouldn’t it be downward sloping.
Because, demand for money is directly related to the income.
hope this also helps:
th-cam.com/video/LZtCCgEwU-8/w-d-xo.html
Excellent explanation......
Awesome concept sir
Thanks
Why demand curve KPY is upward sloping
you might have seen in fishers approach md is downward sloping when we have 1/p on y axis. Since now we are relating Md with p rather than 1/p the demand curve's shape get reversed.
That's what i think . I Hope it helps.
Thanku sir
Thanks sir
Liked your video, explained so well.
Sir Could you suggest me a book for Subject (Money,banking and public finance in B.A final year (MGSU)
Best class
Sir, Please share "velocity of money" video link.
OK Jawad,
Why demand curve slopes up ward in this theory and as constant of supply curve why it will increase
Great sir
Nice explanation. Can you please make a video on Functions of RBI in detail.🙏
th-cam.com/video/g5ZezQ4yAiU/w-d-xo.html
Sir ap Panna city se belong krte h Kya sorry sir it's personal question but I feel that I saw you in my college you're lectures are so helpful for me sir thanks sir ☺️☺️
Nahin sana men Aligarh se belong karta hon aur saudi arab men rehta hon. neeche diye link par click karo, mera introduction he
th-cam.com/video/MHpGYgA1Is4/w-d-xo.html
Sir, can you explain theories of supply of money
Tribhuwan University Nepal
B.A. 2nd year
''Intrest is the reward for parting with liquidity for a specific period of time''. Explain.
which theory related with this statement? please sir
Keynesian analysis
Sir dsssb pgt economics ki series wise preparation start krwado.
most of the topics have already been covered, plz click the blow link
th-cam.com/channels/NZMrFuHVmpoW7zcITrN87Q.html?view_as=subscriber
@@DrNavedClasses ok sir
Thanks 👍😊
Thanks
Most welcome
Love from pak❤❤❤❤
What is nominal and real income?
Please give me reply soon.
Nominal income is what you see presently. When we correct this nominal income for inflation, we get real income
Sir aap last me topic se related mcq bta diya kro hmne kitna sikha pta lg yaye
Theek he monu. Men next video se koshish karta hon
Thanks sir .
Sir, why does Cambridge name it "Cash Balance Approach"
Because cambridge economists, like Keynes and Marshall, are associated with this theory.
I'm very tensed for my ba 1 year exams which is to be held on 21 september 2021
Same
22 brother
👍👍👍
According to u that when demand for money for cash balance increase it leads to price increase p1 to p2... but when people will hold more money means they will spend less then how price will increase....? I think something is wrong....
When people have more money they don't store money they will spend more money and that's how inflation works and price level will be increased
Aslamu alikum
Sir plz help
There is a confusion in mind regarding the upward slopping money demand curve Md
Why is it upward slopping
Sir md mee Kpy kun haii
Kindly explain your question
Sir md = kpy formula Kaise bana
Sir notes provide kar do
Sir pls ap jo bhi padhaya kro last main uske regarding ek question diya jaroor diya kro isse answer writing ki practice bhi ho jaegi meri
Sure i will. Thanks
Great sir👍👍explained so good
Thank you sir ❤️
thank you sir
Thank you sir
Thank you sir