Sal continues his argument for "the Plutzy Plan" (named after his friend who initially posed the idea). He outlines both theoretical and practical implementation ideas to restore the financial system. His theories will invigorate your...

Differentiating between a $700 billion "blank check" and the acquisition of assets, this video explores the idea that the CDOs purchased by the government could be worth nothing. Sal takes students through the mathematical and economic...

Introducing the circumstances surrounding the 2008 bailout and financial crisis, Sal uses a simplified analogy to help students see the heart of the matter. He covers the importance of credit and credit scores, as well as what happens...

Some banks escaped certain disaster with a bailout by the government. But, what about the rest? Sal explains the intricacies and dynamics of a bailout down to the details on a balance sheet. He also provides a thorough definition of...

Using several balance sheets, Sal illustrates the connectivity of banks and how one bank failure can affect many. Again, he uses the example of Lehman Brothers as the "catalyst for this chain of events" to explain how one bankrupt bank...

Ripe for discussion in your economics and government classes, this video features Sal's idea for the best possible solution to the financial crisis. He first details the situation and what the plan would entail; he then takes viewers...

What does a bank do when it has reached the end of its equity? Sal demonstrates the eleventh-hour attempts by banks to liquidate all assets before doomsday. He also covers some of the rationale behind not accepting market prices and...

What happens when there is no equity infusion and the bank goes in to bankruptcy. [10:25]

Can the bailout work? This video investigates the Paulson Bailout. [10:59]

Perceive alternate plans and moral hazard associated with government financial bailouts. [12:07]

Sal khan explains balance sheets and the difference between illiquidity and insolvency. [11:25]

Sal Khan discusses why he believes the government bailout to the 2008 economic crisis is a moral hazard and offers alternative plans. [12:06]