Answer by Noh-Joon Choo:
Bill Gates: “This knowledge would help everyone as investors and citizens. Watching is a worthwhile 30 minutes investment.”
Andrew Ross Sorkin, The New York Times: “Forget Econ 101. Take a look at the lessons in Dalio 101.”
Sal Khan, Khan Academy: “Explains macroeconomics in a practical way.”
Paul Volcker, Federal Reserve Chairman (1979-1987): “Ray Dalio’s ‘template’ may be unconventional but it casts strong light on how the economy actually works.”
- When I was an analyst at a hedge fund, I quickly learned that Ray Dalio commanded massive respect from buy-siders and investors. And this video and his papers below are some of the reasons why. At, we know we can’t predict the macroeconomic future, but we try to understand the moving parts, especially in the way Dalio has laid them out.
- Dalio, founder of Bridgewater Associates, the largest macro hedge fund in the world with $165 billion AUM put together a pretty cool video on the way the “Economic Machine” works. The video was inspired by a series of papers that were previously written by Dalio. These papers are linked below, as well.
- I’d urge you to watch the video and read the papers to see what you agree with and what you disagree with, but I respect him for coming up with his own framework/mental model of how the world works, as we should all try to do the same in the end. There are no experts in the investment business, I was once told.Source: http://www.economicprinciples.org/
- Papers (that elaborate on the concepts outlined in the video):
- I. HOW THE ECONOMIC MACHINE WORKS
- II. DEBT CYCLES LEVERAGINGS & DELEVERAGINGS
- III. PRODUCTIVITY AND STRUCTURAL REFORM WHY COUNTRIES SUCCEED AND FAIL, & WHAT SHOULD BE DONE SO FAILING COUNTRIES SUCCEED