9 yrs later this video is still helping students like me

Thank you so much, these are great for revision! I wish our teacher was this clear in explaining. You do a marvellous job.

Very helpful, and I mean it !! Short and effective !! Slight correction at min 1.03 ; should be 'price fall'.

HI Phil Thanks soo much for these videos, Every single person that has watched these videos appreciates your work. thanks again

Finally! Thank you sir😊😊😊i am so grateful for the service you are providing online.

my school needs teachers like you! you seem very interactive & your explanations are succinct & clear. please do continue with your valuable lessons!

Thank you so much. I have an economics module next week and you may have saved my life.

Dear Phil, THANK YOU SO MUCH! I've got my Micro Economics retake in like 5 hours and as i have 3 exams tomorrow, I didn't have enough time to look through all of my economics notes. I've watched all of your videos and i found it so helpful - you have a gift of explaining. Keep posting videos, I'm going to use them for my Macro Economics understanding. Thank you again!

Eternal Atake just dropped 🔥

If you made a dvd you'd be the most minted economics teacher on the planet. How is it possible to be this good?? I've got an A level exam tomorrow on the EU and I've learnt more in the last 30 minutes from your videos than this entire year at school!!!!!!!

you are seriously amazing, i wish i had you as a teacher, i thought i would be hopeless for my economics mock exam tomorrow BUT I NOW HAVE HOPE, in the past 10 months i have learnt nothing in comparison to the past 45 mins of your videos

thank you so much !!! It is very well and clear explained

Thank you so much this is very helpful to me I will use this for now on thank you for going step-by-step with us

Useful video! Thank you.

Thank you. Your lessons are amazing! Please keep up the good work!

Once again made things soo much clear and interesting. Thanks.

One of the best economic teachers ever! What you have produced in all your videos is nothing short of amazing. Its clear and concice and actually understandable - your MINT!!! And you should create a DVD i know i would buy it lol

I love your videos. They have really helped me to understand theories of Economics much more clearly. Thanks for your effort.

never am i taking economics again, but you've just made it so much easier, appreciated.

Thank you for making things clear for me. If only there were more lecturers like you!

Great video- taught me in 5 mins what my teachers couldn't in a year!

our econ teacher recommended this video.. this makes so much more sense than what our teacher taught us xP

If i do well in my Economics exam next week it will be solely down to you, seems to actually make sense when you teach it. Thankyou!

you were made for this...you should just do this all day thx again...a lot of help for ib exams

Thanks for commenting - In that they don't pass on all the subsidy in the form of lower prices to their customers.

If this is true, then why is education, even with inflation factored in, more expensive now than it was before it was subsidized by the government? Shouldn't it be cheaper now?

i like the last action u did soooo sweeet ......bidawy tnk u...... ur videos r rly helpful .

Could you (maybe within a short period of time) add a video about export subsidy? On the one hand there is one video on youtube, but your way to explain is excellent.What I especially have problems with is the background: Why does the price rise with an export subsidy. Why does it effect on the world market how it does effect etc. Would be very kind :-)

THANKS PROFESSOR!!! LOVE FROM SWEDEN

wow this sounds crystal clear now. Thanks

Thanks for this video! Really helped on explaining the benefits/consequences of subsidies for a globalization class!

Thank you sooooooooo much. I could not thank you enough. Honestly, a massive thank you, keep doing what your doing, your doing an amazing job Sir THANK YOU :D

Love your videos. Life Savers. Thankssssssss.

How do governments determine the magnitude of the subsidy (how much money they should give per unit produced)?

thank you very much pajholden!! ur much better then my teacher!

Paj-conomics is awsome.. I really appreciate it..!

Great help for my economics class, thanks a lot.

Thank you soo much well explained❤❤

Life saver🙏🏻

very helpful video and greatly explained! thank you

hi rfvo. I suppose that if the point of a subsidy is to boost production of a positive externality creating good, then assessing the correct size of the required subsidy to lift the market generated output to the socially optimal level could be difficult. What if the subsidy was over estimated? Couldn't that lead to over-production - that is to a level of output beyond the socially optimal level? It's a bit like not getting the tax right on negative externality products... Regards, Phil Holden.

best teacher ever yeah....

So much love for you Paj. Unit 1 resit next next - Bring it onnn!

I was hoping to understanding deadweight loss , CS and PS with subsidies.

I would divide the profit for the supplier with tax again. Because to get a subsidy, you also have to lobby (bribe from the potential profits) politicians.

another good one!

well price cannot effect the demand curve, but it can effect quantity demanded. As the demand curve is affected by non price factors, eg. Advertising, change in price of compliments and substitutes and so on. But to a consumer the subsidy is a change in price so it would not affect the demand curve.

dwl is the triangle on the far right between old supply and new supply and beyond the demand curve. make sense?

great explanation

Mr. Beannnnnn

@fromage92 Hey I know I'm not Mr.Holden, but hopefully I can help? This might be good revision for me too. Um, If the price elasticity of demand is inelastic this means the demand curve will be relatively vertical. This means the area on the diagram of subsidy passed onto consumer will be greater. And also, logically, if consumers are relatively unresponsive to changes in price then the firm can "absorb" more of the subsidy as it will not effect the demand of the good, right? I could be wrong..

definitely pajholden to sort out the world economic crisis

Thank you. These videos are amazing!!!

Producers may use the subsidies to cover cost, and not pass it down to the consumer. Why else may subsidies not decrease price?

thanks man, you helped me a lot for my econ's test preparation

what about elasticity? what happens if demand/supply are inelastic for example?

@fromage92 @fromage92 You actually have the concepts mixed up. When the PED is INELASTIC, consumers are irresponsive to changes in price, so the producers pass on the incidence of tax on to them, in the form of higher prices. But, when the PED is ELASTIC, producers cannot risk losing sales by increasing their prices, so they end up paying a higher portion of the tax. Hope that helped! =)

thank you sooo much for explaining this!

That's mean the new producer surplus must be below the demand curve which positioned itself above the ruling place?

You are just perfect!!!

Thank you, was very helpful!

very helpful video, thank you so much!

you should make an economics tutorial dvd or something for a-levels

Greece should put this guy in charge

Thanx! Helped a lot. Very clearly explained :)

absolute legend!!!

pajholden, so what are the effects of say subsidies on price volatility of agricultural commodities?

real good. thanks..

Very helpful, thanks :)

Thank you sooooo much!

Yesss! Thank you!

What does consumer and producer surplus look like?

God, thank you so much!

@RTX94 very well put!

As always, THANK YOU! :)

It would be better if you label everything!

well done!

GREAT!

Phil Holden the daddy of Economics

Thank you for the video! Very helpful indeed! Just had a doubt though on how the subsidy amount shaded can be divided into the producer's gain and the consumer's gain? if you could explain that again, it would be great! Thanks anyways!

very helpful! thanks!

What about subsidies given to consumers so they can purchase more?

@pajholden Thank you! Coming from you, it means a lot! =) Since you're online, let me take the opportunity to thank you for all the videos you've uploaded. My AS Economics Exam is in 3 days, and you're videos have helped me out a LOT.

doesn't it create deadweight loss?

Thanks very much

what about the demand curve?

Can a subsidy ever effect the demand curve?

What is the consumer surplus and the producer surplus after subsidy?

Legend!

i like your videos :)

What happens with producer surplus after subsidies? And what is the deadweight loss? Thnks

you have now replaced one of my teachers! great vids

good question, PAJ EXPLAIN!!!! :D

i have a question, would the consumer and producer surplus also represent the amount the consumers expenditure and producers income?....or are consumer surplus and consumer expenditure, producer surplus and producer expenditure two different things?

May you please explain the welfare loss in this graph? +pajholden

잘보고갑니다!

thank you so much! :)

2:35 saved lives.

so the producers keep the L shaped block at 3:08?

My fav TEACHER! A*