Planning? Not the Millennial Way…
I started at Florida State University in 2008 when we entered a period of time known as the Great Recession. This is when home values, the stock market, all dropped significantly and unfortunately caused a lot of people to make emotional decisions with their financial assets. For times like these, this is why it is important to be planning for the future. So, if you are interested in learning more…. please continue reading. I will preface by saying, it is going to be about money stuff (BORING), but planning ahead of time can pay you dividends.
According to NBER.com, the average length of time where the U.S. economy does well (expansionary period) between the years 1945-2011 is 58.4 months (4.87 years). Since the Great Recession, we have been on a roll for the past 9 years. It doesn’t take a mathematician to know that typically everything reverts back to the mean.
I cannot predict when the stock market will go up and down, which is why it is important to educate yourself where we are as a whole.
Have you ever heard of the Free Trade Order? This is what has been in place since WWII where the United States Navy essentially protects the trade routes to allow other countries to send their goods to help build up their economies. With the United States having the world’s best Navy, you can imagine that this is expensive for us to be policing the waterways for other countries that don’t provide us any benefits!
Regardless of what your political opinions may be, the Free Trade Order is the reason why these new “tariffs” are being placed on incoming goods from outside countries. We are not attempting to start a trade war, but if something is not working well for our economy, shouldn’t we stop doing it?
According to Peter Zeihan who is a Geopolitical Strategist, the United States trade was never about improving our economy, it was all about security! When it comes to trade, we are the least involved country in the world when it comes to exports & imports. What does this mean?
This means that for our country to do well, we are not dependent on trading with other countries!
To be continued….