The changing world order: The new paradigm

LinkedIn/Ray Dalio/1-4-2022

“For reasons explained in this report, I believe the current paradigm is a classic one that is characterized by the leading empire (the US) 1) spending a lot more money than it is earning and printing and taxing a lot, 2) having large wealth, values, and political gaps that are leading to significant internal conflict, ad 3) being in decline relative to an emerging great power (China). The last time we saw this confluence of events was in the 1930-45 period, though the 1970-80 period was also analogous financially. In this piece, I will explain my reasoning and show charts that display these things happening.”

USAGOLD note: Dalio says the old order is giving way to a new. He advises against owning dollar, euro and yen denominated credit instruments and tells why in the essay linked above. Dalio has repeatedly advised gold ownership as means to hedging the difficulties he sees brewing for the  global economy and financial markets.