Using his example of a growing village bank, Sal (the narrator) explains the ins and outs of the banking business, mainly from the banker's perspective. This point of view can be helpful for people who see the bank as an institution that...

This video introduces the institution and function of banks in society by walking viewers through the concept of banking with colorful annotations and simplified narration. The lecture evolves naturally into a discussion about interest...

In the context of a discussion about real wealth versus the representation of wealth (money), Sal explains the multiplier effect and how 1000 pieces of gold can become 2710 pieces of gold. Viewers will appreciate the annotations and...

With just 1000 pieces of fictional gold, Sal takes viewers through fractional reserve banking. He explains how deposits made into a bank can be assets and liabilities, and the role of having reserves. Additionally, he demonstrates the...

Demonstrating not only the working definition but also the mathematical model of financial leverage, Sal shows viewers how leverage can keep a bank safe—or multiply its losses. Particularly helpful for a class session on bank regulation...

Chronicling the "first wave" of the financial crisis with a short review, Sal goes on to explain how bad choices and unfortunate moves by several banks can lead to total disruption of the financial system. Sprinkling real-world examples...

The saga of Sal's fictional bank - as it relates to the very real-world banking world today - continues in this video, which covers ways to account for an asset (mark-to-model vs. mark-to-market). Sal does not hide his opinion here,...

Examine the two ways a company can raise capital: equity and debt. Sal breaks down the differences between these and the pros and cons of the investors. He explains the implications of having a publically traded company and draws a stock...

By examining data from the U.S. treasury, Sal shows scholars the large discrepancy between US exports to China and US imports from China in 2009. He also examines foreign-owned assets in the United States, pointing out China's position...

To start this video Sal lists the liability and assets of an imaginary bank and then discusses how banks acted with different levels of caution, which then led to some loans backed up but others defaulted on.

To present a potential inconsistency in the price-to-earnings ratio, Sal creates a scenario based on two entrepreneurs who each purchase a pizzeria with identical assets. The first pays the entire cost outright, while the second pays 10%...

Discusses how a startup company raises money from an angel investor, and explains pre-money and post-money valuation.

Video lecture explains market value of assets. [4:12]