Why are UK Debt Costs Higher than the United States’?
2025-09-18
Ultimately, it all comes back to supply and demand.
Debt costs are higher in the UK than in the US because the British pound is no longer a reserve currency. It’s not an effective storeholder of wealth because people aren’t transacting in it like they do with US dollars.
Since many people around the world transact in dollars, that increases the demand and ultimately helps when it comes to servicing debt. @MasterInvestorChannel
You can watch the full conversation here: ?si=1nUp9HME9GFIrC95
Ray Dalio’s Thoughts on Democracies with @ChrisWillx
2025-09-17
The increasing political polarization we’re seeing today isn’t anything new. It’s similar to what we saw in the 1930s, and it’s even something Plato wrote about a couple thousand years ago.
In democracies, people vote for their interests. And since people generally want more, politicians want to give it to them — and are willing to go into debt to make that happen.
Ultimately, things reach a breaking point where discipline is needed. People want somebody to get control of the government and make it work well.
But there are two versions as to who that somebody is.
In the 1930s, this led to the rise of fascism (for people who wanted a strong leader to lead a command economy) and communism (for people who wanted to redistribute opportunities).
Inevitably, these two clashing visions
The Big Cycle: How Great Powers Rise
2025-07-28
When great powers rise throughout history, they generally do so for the same reasons. These successful new orders are typically started by powerful revolutionary leaders doing four things:
1) Winning power by gaining more support than their opposition
2) Consolidating power by converting, weakening, or eliminating that opposition
3) Establishing systems and institutions that make the country work well
4) Creating systems that pick successors well over several generations
#principles #raydalio #history #empire
My New Book How Countries Go Broke: The Big Cycle
2025-07-14
I’m very happy to learn that my new book, How Countries Go Broke: The Big Cycle was selected by @barnesandnoble as one of their Best Business Books of the year.
The book conveys what I’ve learned over the past 50 years as a macro investor about the mechanics of how countries go broke — and what that means for the US today.
I hope you’ll read it and learn about it so that you understand what we’re dealing with, and what you can do to navigate the interesting times ahead.
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