Animating Consumer Demand News Today

Of their other speeches of their conferences. and under pressure today, the t.e.d. organization finally released that video. heres nick hanauer, venture capitalist who became the first non-family investor in amazon.com. >> i can say with confidence that rich people dont create jobs. nor do businesses large or small. jobs are a consequence of a circle of life like feedback loop between customers and businesses. and only consumers can set in motion this virtuous cycle of increasing demand and hiri...

Hanauer, author of "the gardens" nick, your message is a very simple one. its taught somewhere around the first week or so of any kind of economics course. which is that consumer demand rules everything. and its something that henry ford knew. he knew when he was making -- when he was mass producing cars that the workers in his factory had to be able to afford to buy them to generate and keep that demand going. >> correct. correct. only consumer demand can animate hiring. although its not quite ...

Is a complete and bogus lie. and that the true job creation lies in animating consumer demand and the feedback loop that comes from it. >> i want to show one more piece of your speech. for two reasons. one, because its been suppressed and were exciting we have it. and the other, it beautifully puts this notion about consumer demand and how the rich absolutely cannot generate enough consumer demand. lets listen to that. >> sure. >> there can never be enough super rich people to power a great econ...

Which is that consumer demand rules everything. and its something that henry ford knew. he knew when he was making -- when he was mass producing cars that the workers in his factory had to be able to afford to buy them to generate and keep that demand going. >> correct. correct. only consumer demand can animate hiring. although its not quite true that economics textbooks reflect that idea because that idea is -- whats necessary in order to reach that conclusion is to understand that the economy ...

Food has always been a gift for us and something we appreciated but never had to think about in terms of budgeting. >> yeah. you had to go into the market place as it were, struggling to put something on the table and try to make it stretch. i mean, did you find by day three that you were coming up with different stretching the dollar strategies? >> well, i think stretching the dollar is the key to this in understanding that if you can, shopping at more than one store was the key to understandin...

>> i can say with confidence that rich people dont create jobs. nor do businesses large or small. jobs are a consequence of a circle of life like feedback loop between customers and businesses. and only consumers can set in motion this virtuous cycle of increasing demand and hiring. in a sense, an ordinary consumer is more of a job creator than a capitalist like me. thats why when business people take credit for creating jobs, its a bit like squirrels taking credit for creating evolution. its ac...