What Caused the Great Inflation of the 1970s?

► Discover the Future of Trading. Powerful wealth-building trading strategies at your fingertips.

► I use Epidemic Sound, sign up for a 30-day free trial

In this video, we'll explore what caused the Great Inflation of the 1970s and what policies were put in place to try and fix the situation.

If you're curious about the history of the 1970s, then this video is for you! We'll explore what caused the Great Inflation of the 1970s and how it was fixed. We'll also talk about Paul Volcker and his role in the inflation crisis. Finally, we'll look at stagflation, the economic condition that followed the inflation crisis.

Welcome to Roth To Riches: the one-stop shop for all things money. I'm going to provide you with financial education and smart money tactics so that you can make informed decisions about how to best invest your hard-earned cash and make more of it.

At Roth To Riches, investing will be made simple. No more complex formulas or jargon-filled investment advice. I will provide you with easy-to-understand money tips and resources so that you can build and make the most of your wealth without having to worry about the hassle of researching hundreds of different investments or trading strategies.

#RothToRiches

Credit: Michael Bryan / Federal Reserve Bank of Atlanta (editorial framework)
-----------------------------------------------------

ADDITIONAL DISCLAIMER:
The material and information contained herein is for information purposes only. The information is not intended as an offer or solicitation for the purchase of stock or any financial instrument. The information and materials contained in these pages and the terms, conditions, and descriptions that appear, are subject to change without notice. It is not intended as research, a recommendation, advice, an offer, or a solicitation to buy or sell any financial product or service, or to be used in any way for evaluating the merits of participating in any transaction. Past performance is not indicative of future returns. Ghost Capital Media LLC and affiliates do not provide tax, investment, trading, legal or accounting advice. This content is not intended to provide, and should not be relied on for, tax, investment, trading, legal or accounting advice. You should consult your own tax, investment, legal, and accounting advisors before engaging in any transaction. The information and material on this website are provided "as is" without any warranties, representations, or guarantees, either express or implied. Your use of any information that is proprietary to Ghost Capital Media LLC or a third-party information provider, shall only be used on individual devices without any right to redistribute, upload, export, copy, or otherwise transfer the information to any centralized interdepartmental or shared device, directory, database or other repository nor to otherwise make it available to any other entity/person/third party, without the prior written consent of Ghost Capital Media LLC. This material is provided on a confidential basis and may not be reproduced, redistributed, or transmitted, in whole or in part, without the prior written consent of Ghost Capital Media LLC. Any unauthorized use is strictly prohibited.

Without limiting any of the foregoing, to the fullest extent permitted by applicable law, in no event shall Ghost Capital Media LLC and affiliates have any liability for any special, punitive, indirect, or consequential damages (including lost profits or lost opportunity) in connection with the information contained in this material, even if notified of the possibility of such damages. You are solely responsible for your own actions.

© 2023 Ghost Capital Media LLC. All rights reserved.

[RothToRiches]

💰 SEE HOW I INVEST AND WHAT I'M BUYING BEFORE I INVEST (up to 40% Returns)

[real-taylor]

💯 We are repeating history but on a different level on purpose.

[rickjensen]

It was caused by incompetence at the Fed, incompetent politicians and a lack of understanding of what was going on by economists. Not sure anything much has changed to be honest.

[cg]

I'm really glad to see this time period covered on YouTube or anywhere. This stuff happened during Generation X's childhood. No one was getting ahead. Some were falling behind faster than others. Plus, we keenly felt the loss of the Vietnam war.

[RipMinner]

Unconditional war on poverty. Looks like we lost that one too.

[drbassface]

In the fall of 1979, I started College in Boston. Completely paid for via a BEOG and a SEOG from the government. Tuition was $1, 150 a semester. Pretty good and affordable times compared to now.

[kswa]

It wasn't until half way through the video when it was finally mentioned that energy costs went up 4X's. in the early 70's and even more later in the decade. Could it be that this massive supply shock played a much bigger role than monetary policy?

[rodneykingston]

The 1970s was the decade that the big surge of baby boomers were entering the workforce. Every month, more people became work eligible, and work seeking and high unemployment was the result of the lag of the economy to absorb them into jobs. But these people WERE getting jobs, eventually, and so there was a steady growth of grocery buyers, car buyers, gas buyers, home buyers - more money chasing a (temporarily) fixed amount of goods, hence inflation.

[jaiwadhawan]

How does this gem of a video not have more views
Great job bro ❤️🙌🔥

[floydblandston]

I'm continually amazed how few people know of the collapse of the 'Bretton Woods' agreement.

[MusicFanOnline]

Thanks for this video. I recently became curious about this when I saw some stats about how high the inflation was during that period. I did a related search on YouTube a couple of weeks ago, and I guess the algorithm picked that up, so, luckily, YouTube recommended me your video this week. Thanks for explaining it so well.

[CesarAnton]

I wish the world got back to basing currency on precious metals, which worked great for centuries instead of faith in the American economy which created the greatest wealth gap in history between people and also between nations in just a few decades.

[mingdianli]

15:58 "in October 1979, the Federal Open Market Committee announced that it would target reserve growth instead of the Fed fund's rate as its policy instrument"

How did it achieve this? Quantitative tightening?

[detectiveofmoneypolitics]

Economic investigator of money and politics YOUR content is Spot on Great to see so i Started watching your very informative content
cheers Frank Melbourne Australia 🇦🇺

[patki]

Excellent. True economic news. This is economic theory and practice. Thank you.

[miketracy]

Sounds just like what we have had since 2019, and more so since 2021, with the wrong people in charge.
It may also be worse than 1970 to 1984 due to our 31 trillion dollar debt.
More big government control always results in bad unintended consequences.
When will the voters ever lean and stop electing incompetent politicians?

[iliabochkov]

Deserves more views! Thanks for the nice info, man!

[QUESTFORWINS]

Answer: detachment of the dollar from the gold standard

[dtpbarbr]

1962 crash was similar in the S&P as the covid crash on a 3 month chart

[vladracul]

Countries DO NOT NEED GOVERMENTS THE WAY ARE TODAY- ANY GOVERMENT SENATOR OR REPRESENTATIVE SHOULD HAVE A DIFERENT JOB AND GO TO THE CAPITOL HILL WHEN SOME LEGISLATIVE THING HAS TO BE DONE - SENATORIAL OR REPRESENTATIVES - ARE NOT A FULL PAID JOB - YOU BECOME A SENATOR OR A REPRESENTATIVE TO BRING GOOD FOR THE COUNTRY - YOUR SERVICE TO THE COUNTRY WILL BE REWARDED WITH SOME POINYS TO YOUR RETIREMENT.