Let's learn about the concept of the loanable funds market in this video. We'll start by covering the economic models of saving (private saving, public saving, and national saving) and investing. Then we'll discuss how a financial system channels savings into investments like financial markets and financial intermediaries. Finally, we'll look at the market for loanable funds, how its supply and demand relates to interest rates, and what affects the loanable funds supply: propensity to save, tax policy, monetary policy, and more.
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00:00 Intro
00:29 Saving and investment
02:44 The financial system
03:28 Market for loanable funds
