Of Two Minds

A strong currency exports inflation to those nations which do not issue the currency. Though it’s difficult to be confident of anything in the current flux, I am pretty confident of three things: 1) price is set on the margins 2) currencies are the foundation of every economy 3) the financial forecasts issued to calm the public do not reflect operative geopolitical goals. Every national government has “global interests.”

Own your work. Don’t give it away or let others profit at your expense. Leverage it when opportunities arise. What can The Beatles teach us about management?

The problem for global corporations feasting on “Inflation” profiteering is that the vast majority of consumers can’t afford another lavish vacation, overpriced vehicle or specious subscription.

Systemic corruption on this vast scale optimizes failure and collapse. Debating which nations will “win” as the global economy unravels is a popular but pointless parlor game. Since the status quo in every nation is deeply, profoundly, systemically corrupt, there won’t be any “winners,” there will only be losers.

How much gold will you trade for a few eggs? It depends on how hungry you are. Two ideas will help us understand the rest of this tumultuous decade: core-periphery and the revaluation of what’s truly important: systemic adaptability, transparency, accountability, risk, capital and resources.

Greed is good until all the vulnerabilities and fragilities of systemic risk asymmetries manifest. When you put too many eggs in one basket, you create systemic fragility: if anything knocks that basket over, the loss is so overweighted that the entire system unravels. Why do we put too many eggs in one basket?