If you’ve ever pretended to know what “deflation” is then keep reading.
Ray Dalio started his investment company, Bridgewater Associates, at age 26 out of his apartment. After forty years of investing, Bridgewater now manages around $160 Billion.
Normally you have to go to college and sit through hours of lectures to grasp a 10,000 ft. view of the U.S. economy. Lucky for us, Dalio consolidated his knowledge of the economy down to a 30 minute animated video that is actually enjoyable to watch. If only they taught like this in school, I could’ve been done in half the time.
Keep in mind that our economy rarely acts exactly as it should. Ultimately it’s a system of humans (both policymakers and individual participants) with emotions, biases, and incomplete information. Even people like Dalio, who have an in-depth understanding of the economy, can end up being wrong. A great example of this was in 1982, when Dalio was so broke he had to borrow $4,000 from his dad just to cover living expenses.