This video explains the process of simplifying an algebraic expression with negative exponents. The video starts with an example of such an algebraic expression; the expression contains negative powers in both the numerator and denominator. The location of the negative exponents is first pointed out visually. Next, it is observed that there are like based or variables in both the numerator and denominator; however, it is explained that the numerator must first be expanded before the expression can be further simplified. This is because the variables in the numerator lie inside of parentheses and are collectively raised to a negative power. The negative power on the outside of the numerator is distributed two both variables contained within the parentheses. After this is completed, the expression is capable of being simplified, or reduced, and the quotient rule is applied to simplify. The resulting expression contains negative exponents and the expression is further simplified to contain only positive powers; this results in the final answer.