Turning point of the times - four suggestions for ordinary people (dispel hostility and embrace peace) Recommended reading: ★★★★★
Introduction: Although the content is too long and not easy to read, I really hope you can read it patiently. If it is useful to you, please give me a thumbs up.
The recent volatility and decline in the crypto market has gradually worn away people’s patience and aroused the anger in many people’s hearts. In fact, it is not just the crypto market, but the entire global economic and financial market. Although the US stock market is rising happily, the hidden threat behind it is actually not small, and it is enough to make people uneasy.
In fact, if we look at the global economy, the economic downturn and consumption downgrade are not isolated cases. In fact, this also means that the end of the third globalization is coming to an end, and history and the times will usher in a turning point. This is true from the global economic mapping to the investment market and even the crypto market. When the world is facing high interest rates and insufficient water resources, more people will face the problem of "water shortage".
Preamble:
"Zero-sum game"
The entire financial capital market is always a "zero-sum game". If someone makes 1 dollar, someone else will lose 1 dollar somewhere on the planet. And every penny in the market is "bloody".
"Excessive money supply"
For currency, no matter how much it is over-issued, whether it is inflation or deflation, the total amount of assets in the real world remains unchanged, the world is still as big, and the resources are still as much as they are now. For real assets, currency is actually just used to increase leverage and bring about asset bubbles. Because the total amount of real assets does not increase or decrease significantly, it needs to be distributed to everyone in the world in the form of bubbles.
For the world's top capitalists, although the total amount of global assets remains unchanged, the population has been growing in the previous stage, and every increase in the world's population provides them with more sources of wealth.
Because no matter the poor or ordinary people, they all need to buy the services and goods provided by capitalists to ultimately achieve their own survival and development. This leads to a fixed flow of wealth, with the inflow of capitalists being continuous and the outflow of wealth from the poor and ordinary people. This creates a situation where the rich are always rich and the poor are always poor.
"Demographic Dividend"
The economic prosperity before 2018, when the global economy was generally on the rise, was actually the benefit of the rapid population growth, which we call the demographic dividend. The population growth of some countries may have slowed down, but the population in most parts of the world is still growing rapidly. At that time, we often saw a question discussed in the media - what kind of disasters will the earth's overpopulation bring, whether humans will need to immigrate in the future with overpopulation, etc.
But what about now? Who is still talking about the problem of overpopulation? More media are talking about the collective decline in fertility and the aging of the population, which is the so-called negative population growth. If the population stops growing, the demographic dividend will disappear, and the capital that relies on the demographic dividend will face problems.
What does the demographic dividend bring?
Under the demographic dividend, people are living better and better, and many people attribute this to their own abilities. But in fact, these upward improvements are often due to the dividends and trends of the entire country or era. For example, in the domestic stock market in 2015, a bull market brought the A-share market to 5,000 points. At that time, a saying came out: even a pig can take off if it stands at the outlet of the wind. But when a bull market comes, you can make a profit, but can you say that you are a stock god? In fact, most people should know that they just have the opportunity to make money because of the bull market in the stock market.
But then, the A-share market fell all the way from 5,000 points back to 3,000 points, and the vast majority of people in the market showed their true colors. At this time, there was a saying in the stock market: "When the tide recedes, you will know who is swimming naked."
The current global economic situation is actually very similar to the process of the A-share market's decline from prosperity. The only difference is that the stock market's bull-bear transition may take a few months or a year, while the transition of the times requires a longer period, so it is more easily overlooked.
However, as the dividends brought by the third wave of globalization have gradually faded and the tide has slowly receded, many people may have to face the prospect of swimming naked before they even have time to put on their clothes. At the same time, many people have to pay for wealth and opportunities that they did not deserve before. Many of them have already discovered this problem and crisis, and have fallen into anxiety and self-consumption.
"The Troubled Times and the Heroes"
The so-called troubled times are a process of redistribution of social resources. In this process, some people will be successful and some will be sacrificed. In this process, all social resources will be more inclined to those who do not rely on social dividends and are truly capable. However, such people are very few and far between. In a troubled time, truly capable people may be fewer than the national treasure giant panda, so these people are called heroes in troubled times.
"Heroes or Ordinary People"
The difference between ordinary people and heroes lies in the ability to predict the general trend in advance. So how can one acquire the ability to predict?
text:
In fact, most of what was said in the previous article was about the global economy, the trends of the times, and heroes in troubled times, but these terms and meanings can be applied to the crypto market.
Global Economy → Crypto Trends
Trend of the times → Market bull and bear
A hero in troubled times → a holder who can make a profit,
As I said above, when the tide recedes, we can see who is swimming naked. This also applies to the crypto market. As the market gradually enters a recession and low liquidity, many altcoins gradually withdraw on a large scale and their returns shrink. This is the receding tide. At this time, many people are already swimming naked, which arouses their anger and causes many people to consume themselves mentally.
Therefore, whether you are an ordinary person or an ordinary trader in the crypto market, I believe that you should study hard when the market is getting worse and prepare for the next high tide of the times. At least when the next tide recedes, we will not be swimming naked.
I recommend four directions for your study:
1. Learning history and predicting future trends do not rely on imagination, but rather on making bold assumptions about the future based on the cyclical nature of history and carefully verifying them. The focus of learning history is on political and economic history. Reading political history can help you understand the past, development, present and future of an economy. Reading economic history can help you understand the causes and consequences of the global economy, as well as its past and current status. At the same time, you can read some biographies and understand the historical status of the text from the side through the descriptions in the biographies.
2. Learn economics, especially macroeconomics. As for macroeconomics, many big names in the crypto market have discussed the application of macroeconomics to the crypto market and its future role.
I will not repeat it. Macroeconomics will help us better and more clearly understand the future direction of society and investment markets, thereby drawing trends and improving the accuracy of future judgments.
3. Pay attention to current events. With an understanding of history and a preliminary understanding and blessing of economics or macroeconomics, you can verify what you have learned through observation, self-interpretation, and discussion of current events. The bold guesses and careful verification mentioned above, and paying attention to current events are actually a verification process. This will consolidate your learning success, summarize your experience, and then learn more content better.
4. To understand human nature, we need to be able to predict the future and judge future trends. The ultimate goal is still to consider one word - profit. This profit can be in exchange for actual income, reputation, rights, etc. However, profit often refers to income.
You must know that no matter at what stage, every penny of our income comes from the expenditure of others. Understanding human nature is to understand the changes in people's needs under the changes in society and the times, so as to get their support from others and increase our income.
If you can be prepared before the times change, when people don't even know what they need, then when the times change and people's needs increase, you will be the first person who can meet their needs, and they will naturally be the first to spend money on you, and your income will soar in the short term due to the dividends of the times.
No matter it is you or me, as long as we have experienced such a process once in our life, we will inevitably have a real opportunity to turn things around and truly achieve a class leap.
Conclusion:
To become a superior person, you don’t have to endure the most difficult hardships, because in the perception of many people, suffering comes from labor and physical strength. To truly achieve a turnaround and a class leap, you must have a cognitive gap with others.
When your cognitive habits and behaviors are different from those of most people (different in a positive way, not in a way that is unconventional or unique), God will give you a reward, and this is the opportunity in life.
So don’t always complain, don’t always be angry, and don’t complain to anyone or that God is unfair. In fact, everything is very fair.
If some people are both smart and hardworking, while others are dull-witted and lazy, how can these two types enjoy the same treatment? I think that is a huge injustice.
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