Yep, excellent video. The politicians need to start addressing the issue AND the general population needs to understand that this is a huge problem and some Americans are going to have to make some small sacrifices to fix it before it affects them and the entire global economy in far worse ways. Unfortunately, nobody seems to want to give up ANYTHING. So frustrating!
Hey Rick! Long-time viewer here - love your insights, and it’s clear that you really go beyond the typical surface-level takes. Your research skills are impressive, and you've definitely expanded my perspective on why someone might look outside the U.S. for investment opportunities. Lately, though, I keep seeing this same old narrative recycled about major economies on the "brink" of collapse, particularly China and sometimes even the U.S. The news loves to shout about economic crises, warning of inevitable failure, yet year after year, both economies continue to grow, and people in these countries - particularly in China - seem to be managing just fine, even feeling reasonably satisfied with their situation. So it’s strange, isn’t it? For the past two decades, despite the repeated doom-and-gloom headlines, both countries have managed to carry on and develop, contrary to what we’re constantly being told. So here’s my question: as individuals, is there any real value in stressing over these narratives about economic "failure"? It feels like humanity has a pretty good track record of adapting and thriving despite the endless parade of setbacks. Should we really be losing sleep over this, or does the media just need its steady drip of fear to keep people engaged? I’d love to see you tackle this topic, maybe even in a video on how we, as individual investors and citizens, can approach these economic scare tactics with a sense of perspective. After all, history shows we’ve always found ways to overcome, regardless of what the headlines say. Thanks for your work, really appreciate it!
Hi there, great comment here! Thank you. When I talk about the development of the ratio debt to gdp in the U.S., as well as crises in China or other countries, I always do it with a long term view. There is no short term economic problem that should concern any good investor. U.S. has withstood many crises in the last decades, that's true, but they are not what concerns me. We can have another Dotcom bubble, and I wouldn't be worried. What has to be considered, though, is how certain policies bring a country to slowly decay in a long term cycle. By the way, all the big crises of the last 30-40 years are all within "mid term cycles", not the long term I mean. What the U.S. is doing now (pushing debt to maintain high growth levels) is what every powerful country with great economic welfare would do. Nevertheless it's also the typical behaviour of a mature but declining country. Don't get me wrong, declining doesn't mean here in recession, but with a slowing total growth. A book that I strongly suggest you read is "The Changing World Order" by Ray Dalio - here he describes the rise and fall of nations of the last 500 years and describes the typical stages of a country. The U.S. is clearly in its declining phase and a growing debt to gdp ratio is just one of dozens of factors that I could mention here and Dalio mentions in his book. A wonderful read, give it a try. Now, if we take China, it did have many problems in the last 20 years and in the last 15 years the chinese market returned an average of 2% per year...! So I'd say that yes, being informed on how China's economy was going through could have saved some investors, that potentially invested 10-15 years ago all their money into China, to have a miserable return of 2% per year. Nevertheless I would see this as an opportunity: China has a lot of growth potential for the next 20-50 years. Fazit (sorry for having kept this so long, but it's an important and sensible topic): A good investor is never scared by news about economic developments or possible crises, but he deeply knows what are the variables of a healthy long term growth and how the countries are playing at the long term game. This helps the investor to be able to not being blinded by such a short term view such as "the last 10 years" and maintain awareness of the real long term. I see my channel as a way of teaching viewers and subscribers to really become good investors. To achieve this, I sometimes have to talk about topics that might not be urgent matters, but extremely important concepts nevertheless. I want to give a full picture to my viewers so that they can act in the best way in the short and in the long term!
@@rick.austin Great points there! I do agree that nothing lasts forever. I would say USA would not fall to the extent like the past empires because the US have positioned themselves in a way that depicts the world's economy along with safety due to strong alliances - something unique compared to the past empires, but I would expect that there would be a high chance of power shift where another country or countries would openly share the top stage with the US in the future long term years!
It's great to see how some people are always ready to comment only when it comes to point out a small mistake. Yes - 36 trillions has 3 more zeros. Thank you.
@@rick.austin Hey Rick, you don't know me. I'm not one of those "some people...". I really like your videos and leave positive or constructive feedback. I know how much work it takes to make a video like this. The reason I pointed it out is that you have international audience and it may confuse those who watch the video. I'm originally from Europe and I live in the US so I know the difference between 9 or 12 zeros but other may be confused. For example 1 billion in English has 9 zeros but 1 billion in my mother language has 12 zeros. I hope you understand why I wrote the comment. Keep up the great work 👍
@PetrStary i do man, I apologize for having misjudged you. I get cinic comments all the time after i work night after night to produce one video per week and I get most of comments either from bots or from people there to point out every small mistake. I'd want to see them working on editing a video for 7 nights in a row, 4h per night, after 10 hours in the office. Anyway, sorry for it. Just had a bad day.
Good one Rick!! Sad to hear but so true though
Thank you Josh! Always glad to hear your comments
Yep, excellent video. The politicians need to start addressing the issue AND the general population needs to understand that this is a huge problem and some Americans are going to have to make some small sacrifices to fix it before it affects them and the entire global economy in far worse ways. Unfortunately, nobody seems to want to give up ANYTHING. So frustrating!
It is! And for us investors it's one of the biggest "IFs" for our portfolio
Hey Rick! Long-time viewer here - love your insights, and it’s clear that you really go beyond the typical surface-level takes. Your research skills are impressive, and you've definitely expanded my perspective on why someone might look outside the U.S. for investment opportunities.
Lately, though, I keep seeing this same old narrative recycled about major economies on the "brink" of collapse, particularly China and sometimes even the U.S. The news loves to shout about economic crises, warning of inevitable failure, yet year after year, both economies continue to grow, and people in these countries - particularly in China - seem to be managing just fine, even feeling reasonably satisfied with their situation. So it’s strange, isn’t it? For the past two decades, despite the repeated doom-and-gloom headlines, both countries have managed to carry on and develop, contrary to what we’re constantly being told.
So here’s my question: as individuals, is there any real value in stressing over these narratives about economic "failure"? It feels like humanity has a pretty good track record of adapting and thriving despite the endless parade of setbacks. Should we really be losing sleep over this, or does the media just need its steady drip of fear to keep people engaged?
I’d love to see you tackle this topic, maybe even in a video on how we, as individual investors and citizens, can approach these economic scare tactics with a sense of perspective. After all, history shows we’ve always found ways to overcome, regardless of what the headlines say. Thanks for your work, really appreciate it!
Hi there, great comment here! Thank you. When I talk about the development of the ratio debt to gdp in the U.S., as well as crises in China or other countries, I always do it with a long term view. There is no short term economic problem that should concern any good investor. U.S. has withstood many crises in the last decades, that's true, but they are not what concerns me.
We can have another Dotcom bubble, and I wouldn't be worried. What has to be considered, though, is how certain policies bring a country to slowly decay in a long term cycle. By the way, all the big crises of the last 30-40 years are all within "mid term cycles", not the long term I mean.
What the U.S. is doing now (pushing debt to maintain high growth levels) is what every powerful country with great economic welfare would do. Nevertheless it's also the typical behaviour of a mature but declining country. Don't get me wrong, declining doesn't mean here in recession, but with a slowing total growth. A book that I strongly suggest you read is "The Changing World Order" by Ray Dalio - here he describes the rise and fall of nations of the last 500 years and describes the typical stages of a country. The U.S. is clearly in its declining phase and a growing debt to gdp ratio is just one of dozens of factors that I could mention here and Dalio mentions in his book. A wonderful read, give it a try.
Now, if we take China, it did have many problems in the last 20 years and in the last 15 years the chinese market returned an average of 2% per year...! So I'd say that yes, being informed on how China's economy was going through could have saved some investors, that potentially invested 10-15 years ago all their money into China, to have a miserable return of 2% per year.
Nevertheless I would see this as an opportunity: China has a lot of growth potential for the next 20-50 years.
Fazit (sorry for having kept this so long, but it's an important and sensible topic): A good investor is never scared by news about economic developments or possible crises, but he deeply knows what are the variables of a healthy long term growth and how the countries are playing at the long term game. This helps the investor to be able to not being blinded by such a short term view such as "the last 10 years" and maintain awareness of the real long term.
I see my channel as a way of teaching viewers and subscribers to really become good investors. To achieve this, I sometimes have to talk about topics that might not be urgent matters, but extremely important concepts nevertheless. I want to give a full picture to my viewers so that they can act in the best way in the short and in the long term!
@@rick.austin Great points there! I do agree that nothing lasts forever. I would say USA would not fall to the extent like the past empires because the US have positioned themselves in a way that depicts the world's economy along with safety due to strong alliances - something unique compared to the past empires, but I would expect that there would be a high chance of power shift where another country or countries would openly share the top stage with the US in the future long term years!
👏👏👏
:)
A trillion has 12 zeros not 9 that is shown at 1:32.
It's great to see how some people are always ready to comment only when it comes to point out a small mistake.
Yes - 36 trillions has 3 more zeros. Thank you.
@@rick.austin Hey Rick, you don't know me. I'm not one of those "some people...". I really like your videos and leave positive or constructive feedback. I know how much work it takes to make a video like this. The reason I pointed it out is that you have international audience and it may confuse those who watch the video. I'm originally from Europe and I live in the US so I know the difference between 9 or 12 zeros but other may be confused. For example 1 billion in English has 9 zeros but 1 billion in my mother language has 12 zeros.
I hope you understand why I wrote the comment. Keep up the great work 👍
@PetrStary i do man, I apologize for having misjudged you. I get cinic comments all the time after i work night after night to produce one video per week and I get most of comments either from bots or from people there to point out every small mistake. I'd want to see them working on editing a video for 7 nights in a row, 4h per night, after 10 hours in the office.
Anyway, sorry for it. Just had a bad day.