[Script Info]
Title: 
[Events]
Format: Layer, Start, End, Style, Name, MarginL, MarginR, MarginV, Effect, Text
Dialogue: 0,0:00:00.00,0:00:05.29,Default,,0000,0000,0000,,♪ [music] ♪
Dialogue: 0,0:00:11.11,0:00:13.71,Default,,0000,0000,0000,,- [Don] The astonishing\Ngrowth in prosperity
Dialogue: 0,0:00:13.71,0:00:15.37,Default,,0000,0000,0000,,in the last two\Nor three hundred years
Dialogue: 0,0:00:15.37,0:00:17.69,Default,,0000,0000,0000,,is one of the greatest events\Nof humankind.
Dialogue: 0,0:00:17.69,0:00:21.04,Default,,0000,0000,0000,,Take the average human\Nin, say, the year 1000 BC.
Dialogue: 0,0:00:21.50,0:00:24.98,Default,,0000,0000,0000,,He's poor, fighting to find food\Nand to fend off diseases.
Dialogue: 0,0:00:25.57,0:00:28.35,Default,,0000,0000,0000,,Fast forward 500 years\Nto the time of classical Greece.
Dialogue: 0,0:00:28.72,0:00:30.60,Default,,0000,0000,0000,,Still poor, still hungry.
Dialogue: 0,0:00:30.79,0:00:32.81,Default,,0000,0000,0000,,How about another\Nthousand years after that?
Dialogue: 0,0:00:33.14,0:00:34.72,Default,,0000,0000,0000,,It's the dark ages.
Dialogue: 0,0:00:34.72,0:00:36.81,Default,,0000,0000,0000,,Wow. Still poor.
Dialogue: 0,0:00:37.26,0:00:39.88,Default,,0000,0000,0000,,Then jump to the 18th century\Nand forward.
Dialogue: 0,0:00:39.88,0:00:41.76,Default,,0000,0000,0000,,Things change rapidly.
Dialogue: 0,0:00:43.52,0:00:45.90,Default,,0000,0000,0000,,This phenomenon is known\Nas the hockey stick
Dialogue: 0,0:00:45.90,0:00:47.88,Default,,0000,0000,0000,,of human prosperity.
Dialogue: 0,0:00:48.15,0:00:50.60,Default,,0000,0000,0000,,Take what is surely one\Nof the most important measures
Dialogue: 0,0:00:50.60,0:00:53.23,Default,,0000,0000,0000,,of human well-being:\Nlife expectancy.
Dialogue: 0,0:00:54.23,0:00:57.18,Default,,0000,0000,0000,,Before the Industrial Revolution,\Nlife expectancy
Dialogue: 0,0:00:57.18,0:00:59.03,Default,,0000,0000,0000,,was around thirty years.
Dialogue: 0,0:00:59.03,0:01:01.78,Default,,0000,0000,0000,,Today in the United States,\Nwe expect to live
Dialogue: 0,0:01:01.78,0:01:03.69,Default,,0000,0000,0000,,to be about eighty.
Dialogue: 0,0:01:03.75,0:01:08.29,Default,,0000,0000,0000,,Prior to the industrial revolution,\None in four kids would die
Dialogue: 0,0:01:08.29,0:01:10.11,Default,,0000,0000,0000,,before the age of 5.
Dialogue: 0,0:01:10.15,0:01:13.65,Default,,0000,0000,0000,,Today in developed countries,\Nit is more like 1 in 200.
Dialogue: 0,0:01:14.33,0:01:18.01,Default,,0000,0000,0000,,Due to better nutrition,\Nwe grow to be four inches taller
Dialogue: 0,0:01:18.01,0:01:20.21,Default,,0000,0000,0000,,than we were just 250 ago.
Dialogue: 0,0:01:20.82,0:01:22.66,Default,,0000,0000,0000,,Remember this disease?
Dialogue: 0,0:01:22.66,0:01:25.88,Default,,0000,0000,0000,,No you don't,\Nbecause it was eradicated in 1977.
Dialogue: 0,0:01:26.40,0:01:29.22,Default,,0000,0000,0000,,Look around -- you'll find a roof\Nover your head
Dialogue: 0,0:01:29.22,0:01:31.41,Default,,0000,0000,0000,,and a hard floor under your feet.
Dialogue: 0,0:01:31.41,0:01:34.06,Default,,0000,0000,0000,,Most of our ancestors\Nlived in huts with dirt floors
Dialogue: 0,0:01:34.06,0:01:35.42,Default,,0000,0000,0000,,and thatched roofs.
Dialogue: 0,0:01:35.87,0:01:38.56,Default,,0000,0000,0000,,Everything was infested\Nwith insects and rodents.
Dialogue: 0,0:01:38.57,0:01:41.04,Default,,0000,0000,0000,,Streets and alleys\Nwere open sewers.
Dialogue: 0,0:01:41.04,0:01:43.04,Default,,0000,0000,0000,,There were none of these.
Dialogue: 0,0:01:43.04,0:01:46.02,Default,,0000,0000,0000,,The filth was horrible\Nand often toxic.
Dialogue: 0,0:01:46.64,0:01:48.52,Default,,0000,0000,0000,,Our ancestors ate gruel
Dialogue: 0,0:01:48.52,0:01:51.78,Default,,0000,0000,0000,,and wore the same\Nhome-made underwear over and over.
Dialogue: 0,0:01:51.94,0:01:54.86,Default,,0000,0000,0000,,Now, even the least fortunate\NAmericans
Dialogue: 0,0:01:54.86,0:01:58.23,Default,,0000,0000,0000,,typically have electricity,\Nrunning water, toilets,
Dialogue: 0,0:01:58.23,0:02:02.82,Default,,0000,0000,0000,,refrigerators, televisions,\Nand, yes, cheap washable underwear.
Dialogue: 0,0:02:03.84,0:02:06.42,Default,,0000,0000,0000,,Those of us who live\Nin modern industrial society
Dialogue: 0,0:02:06.42,0:02:10.51,Default,,0000,0000,0000,,are incredibly, amazingly,\Noff the charts rich
Dialogue: 0,0:02:10.51,0:02:12.29,Default,,0000,0000,0000,,compared to our ancestors,
Dialogue: 0,0:02:12.29,0:02:14.72,Default,,0000,0000,0000,,and here's yet another\Nhuge difference between us
Dialogue: 0,0:02:14.72,0:02:16.29,Default,,0000,0000,0000,,and our ancestors.
Dialogue: 0,0:02:16.76,0:02:19.53,Default,,0000,0000,0000,,Before the Industrial Revolution,\Npeople knew how to make
Dialogue: 0,0:02:19.53,0:02:22.33,Default,,0000,0000,0000,,from scratch many of the things\Nthey consumed.
Dialogue: 0,0:02:22.40,0:02:24.23,Default,,0000,0000,0000,,They made a lot\Nof their own clothing,
Dialogue: 0,0:02:24.23,0:02:27.04,Default,,0000,0000,0000,,grew most of their own food,\Nand built their own dwellings.
Dialogue: 0,0:02:28.43,0:02:31.19,Default,,0000,0000,0000,,Fast forward to today\Nand believe it or not,
Dialogue: 0,0:02:31.19,0:02:34.30,Default,,0000,0000,0000,,none of us has a hint\Nof how to make the majority
Dialogue: 0,0:02:34.30,0:02:36.12,Default,,0000,0000,0000,,of the things that we consume.
Dialogue: 0,0:02:36.80,0:02:39.23,Default,,0000,0000,0000,,Just getting ready in the morning\Ninvolves taking many trips
Dialogue: 0,0:02:39.23,0:02:40.65,Default,,0000,0000,0000,,around the globe.
Dialogue: 0,0:02:41.69,0:02:43.20,Default,,0000,0000,0000,,Take this coffee for example.
Dialogue: 0,0:02:43.89,0:02:46.84,Default,,0000,0000,0000,,The beans come from Guatemala,\Nand they were brewed
Dialogue: 0,0:02:46.84,0:02:49.00,Default,,0000,0000,0000,,in this coffeemaker\Nfrom Switzerland.
Dialogue: 0,0:02:49.85,0:02:52.55,Default,,0000,0000,0000,,The container ship that carried\Nthe beans was built in Korea.
Dialogue: 0,0:02:52.89,0:02:55.25,Default,,0000,0000,0000,,It's insured by a company\Nfrom London
Dialogue: 0,0:02:55.25,0:02:58.25,Default,,0000,0000,0000,,and it's captained by a Frenchman\Nwho loves Turkish cigarettes.
Dialogue: 0,0:02:59.15,0:03:02.12,Default,,0000,0000,0000,,We've transitioned from each of us\Ndoing many things
Dialogue: 0,0:03:02.12,0:03:03.85,Default,,0000,0000,0000,,to each of us doing one thing.
Dialogue: 0,0:03:04.06,0:03:07.87,Default,,0000,0000,0000,,Having a job only makes sense\Nin a modern world
Dialogue: 0,0:03:07.87,0:03:11.61,Default,,0000,0000,0000,,where each individual typically\Ndoes only one type of work.
Dialogue: 0,0:03:12.64,0:03:16.73,Default,,0000,0000,0000,,So while we mostly only produce\None thing, doing one job,
Dialogue: 0,0:03:16.73,0:03:19.33,Default,,0000,0000,0000,,each of us now consumes\Na whole bunch of products
Dialogue: 0,0:03:19.33,0:03:22.21,Default,,0000,0000,0000,,that require a whole bunch\Nof jobs to produce.
Dialogue: 0,0:03:23.65,0:03:25.46,Default,,0000,0000,0000,,The question\Nof where prosperity comes from
Dialogue: 0,0:03:25.46,0:03:27.30,Default,,0000,0000,0000,,launched the field of economics.
Dialogue: 0,0:03:27.40,0:03:29.53,Default,,0000,0000,0000,,It's why Adam Smith\Nwrote the first book
Dialogue: 0,0:03:29.54,0:03:31.12,Default,,0000,0000,0000,,in modern economics.
Dialogue: 0,0:03:31.23,0:03:33.51,Default,,0000,0000,0000,,An Inquiry into the Nature\Nand Causes
Dialogue: 0,0:03:33.51,0:03:35.40,Default,,0000,0000,0000,,of The Wealth of Nations.
Dialogue: 0,0:03:36.06,0:03:39.87,Default,,0000,0000,0000,,Back in 1776 when he published it,\NSmith was trying to understand
Dialogue: 0,0:03:39.87,0:03:42.96,Default,,0000,0000,0000,,the causes of modern prosperity\Nthat were just starting to appear.
Dialogue: 0,0:03:43.79,0:03:46.28,Default,,0000,0000,0000,,Poverty and starvation\Nwere still normal as they had been
Dialogue: 0,0:03:46.28,0:03:49.01,Default,,0000,0000,0000,,from the beginning,\Nbut in the late 18th century,
Dialogue: 0,0:03:49.01,0:03:52.66,Default,,0000,0000,0000,,for the first time ever,\Nthe masses began to enjoy riches
Dialogue: 0,0:03:52.66,0:03:54.92,Default,,0000,0000,0000,,once reserved only\Nfor the nobility.
Dialogue: 0,0:03:55.44,0:03:58.91,Default,,0000,0000,0000,,It is this mass prosperity\Nthat Adam Smith sought to explain.
Dialogue: 0,0:03:59.77,0:04:01.37,Default,,0000,0000,0000,,Why was it happening?
Dialogue: 0,0:04:01.37,0:04:03.66,Default,,0000,0000,0000,,What was causing wealth\Nto move from being the exception
Dialogue: 0,0:04:03.66,0:04:05.38,Default,,0000,0000,0000,,to being the norm.
Dialogue: 0,0:04:05.70,0:04:07.32,Default,,0000,0000,0000,,Now we look around,\Nand try to figure out
Dialogue: 0,0:04:07.32,0:04:10.60,Default,,0000,0000,0000,,what causes poverty\Ninstead of what causes prosperity.
Dialogue: 0,0:04:11.54,0:04:14.24,Default,,0000,0000,0000,,You are watching\NEveryday Economics,
Dialogue: 0,0:04:14.24,0:04:16.30,Default,,0000,0000,0000,,a course where we use\Nthe lens of Economics
Dialogue: 0,0:04:16.30,0:04:18.38,Default,,0000,0000,0000,,to explore everyday questions.
Dialogue: 0,0:04:18.82,0:04:20.44,Default,,0000,0000,0000,,This section is about trade.
Dialogue: 0,0:04:21.02,0:04:23.58,Default,,0000,0000,0000,,In the upcoming videos,\Nwe will attempt to explain
Dialogue: 0,0:04:23.58,0:04:26.24,Default,,0000,0000,0000,,how trade plays a role\Nin our prosperity.
Dialogue: 0,0:04:26.97,0:04:29.17,Default,,0000,0000,0000,,You also get to decide\Nwhere the course goes.
Dialogue: 0,0:04:29.50,0:04:31.44,Default,,0000,0000,0000,,Maybe you have some questions\Nrelated to trade
Dialogue: 0,0:04:31.44,0:04:33.20,Default,,0000,0000,0000,,that you've wondered about.
Dialogue: 0,0:04:33.20,0:04:35.37,Default,,0000,0000,0000,,We'll cover the basics\Nand then you tell us
Dialogue: 0,0:04:35.37,0:04:37.65,Default,,0000,0000,0000,,what topics come next.
Dialogue: 0,0:04:37.65,0:04:42.49,Default,,0000,0000,0000,,♪ [music] ♪