Robert Kyosaki the author, investor, businessman, self-help author and motivational speaker best known for his Rich Dad, Poor Dad series told us what he is expecting for 2010:
1. Will China crash? America’s crash has hit China in the gut. The Chinese are laying off millions of workers. Only massive government bailout is keeping the economy afloat. The Chinese boom will eventually go bust...but will it bust in 2010? Only time will tell.
2. When America stopped importing from China, China stopped importing from the rest of the world. This affects Asian countries as well as Australia, Brazil, and other suppliers of raw materials.
3. Fed Chairman Ben Bernanke is replacing toxic debt with new debt. By protecting his friends in the mega-banks, he is turning the U.S. into a zombie nation. The recession is over, but America is entering an era we will be calling The New Depression, a period when the rich become extremely rich but everyone else becomes poorer. Taxes will kill anyone working for a paycheck.
4. The U.S. dollar will grow weaker. If the dollar strengthens, we will have more unemployment because our goods become too expensive and we will export less.
5. The deficit will increase. The bailouts for the rich are killing the economy.
6. Israel may attack Iran. Israel will not tolerate Iran developing nuclear power, even if Iran claims it is for peaceful purposes. If there is an attack, oil prices will go through the roof.
7. Dead cat bounce. The current stock market rally will probably turn into a dead cat bounce. If the Dow drops below 6500, 5,000 may be the next stop.
5 comments:
Interesting predictions.
When will all of those freshly printed dollars push up the price of real estate like they have stocks and bonds? When will investors refuse to lend more money to the US treasury causing rates to soar? Stagnation and higher prices have to be the result of a government consuming the economy. Unionization, trade wars, and takeover of healthcare will not lead to American prosperity.
Will president Obama be able to convince voters that president Bush caused the severe downturn because of unfunded wars and Medicare drug benefits? Will democrats wait until after Nov to raise tax rates?
Will conservative Americans leave the republican party and form a new one or will conservatives take over the party from moderates like Bush and McCain?
Stagnation and inflation can last a long time before small government, low tax and high growth policies return. If we have a currency crisis with hyperinflation drastic change will come fast.
Great post and fantastic website
Have a fantastic 2010
I highly recommend his Rich Dad, Poor Dad book
Robert
I'm greatly concerned about your "chicken little, the sky is falling" approach.
What do you view as safe or reliable for the working man(or women)?
P.S. Your book is great, thank you.
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