This I Believe

Paul - Cave Creek, Arizona
Entered on September 26, 2007
Age Group: 65+

I have been reading many of my favorite writers – in economic terms. Some believe that the Fed should have raised the interest rates rather than lowered them. Some believe that we are in a far greater inflation rate than the pronounced 2% (I agree with that.) Some believe that you should invest in foreign currency. (I agree in the short run). Some believe that investment in commodities – oil, copper, zinc, iron, lead, platinum, silver or gold – as a hedge against inflation. (like foreign currencies.) Some believe that the Fed was behind the curve and did 1/2% to catch up. Some believe that underlying all of this – is a way to shake the Chinese away from our $1 – they have tied their currency to our $ come hell or high water – because we are their biggest consumer – and – they are our biggest supplier – and tying the currencies – keep “their game going well!” – among other things. Some think that if our economy falls – so does the world economy (I sort of agree with that.)

This is what I believe:

1. That everyone is guessing and the more knowledge they have in this area – the more that knowledge gets in their way – These are new times – probably the best people to ask what they think are our, brightest and best, 12 to 15 year olds. Lay the facts out for them – let them talk between themselves – and come with some thoughts…they’ll be no better or worse than the entire George W administration – Congress and the Fed.

2. Markets have a way of working themselves out – without interference – from the guy peddling something on the corner – to the multi-national behemoth Corporation that deals in 300 countries.

3. We are in unknown times – without historical perspective – why do they keep punching buttons and pounding on the side of the machine – thinking that something will happen – but – don’t have the patience – to let what they fear happen – happen!

4. As most of you know, I am “off the grid” in my head and in my lifestyle. Yes, I have to go to town – and get some things – “in the market place” but I’m flexible.

5. We all know that 70 to 90% of what we fear never happens – so let’s go on with our business and daily routine – and see what knocks on the door.