How the Markets Influence Governments

To illustrate how the markets influence government you must know that our constitution forbids us from having a democracy.

Whoa! Whoa! Whoooooaaaaa!

What kind of crazy statement is that?

Yeah, it’s true.

Yet, most people have been wrongly taught that the US is a democracy.

It’s not.

We are a Constitutional Republic.

And it’s the primary reason we’ve survived for over 235 years.

Here’s the difference:

1) A republic allows citizens to vote for representatives who then are supposed to carry out the will of the people.

2)  A democracy (more like a “mob-ocracy”) allows everyone to vote directly on issues.

So, the process of a republic is slower but also allows for cooler heads to prevail especially over controversial or volatile issues.

So, what’s this got to do with the markets?

Plenty.

Why Markets Influence Government

Let me explain because most people get this concept backwards.

The markets influence governments…Not the other way around.

This is why having free markets is so important.

It’s also why Socialism never works.

Right now, I can hear some of you saying, “But aren’t the markets manipulated?”

Yes, you’re right.  But it’s not in the way that you might think.

The markets can only be manipulated in certain segments and at certain times.

This is why we constantly remind you that everything is connected…EVERYthing. 

And one segment of the market cannot override the global trends and cycles.

What happens in the US, Asia, Russia, the Middle East, etc., affects the big picture.  So, in order to understand it you need to be able to “Connect the Dots.”

Example:  For the last 30+ years China has been the classic case of markets influencing their government.  They’ve shifted from Communism to Capitalism.

And their phenomenal growth is ample proof.

Our founding fathers were divinely inspired when they wrote our constitution and established America as a republic.

Our model still leads the way for the rest of the world.

The bottom line?

We can’t let what made America great disappear because most of DC has been corrupted.

Be sure to vote in November.

In the meantime, learn how to prosper AND thrive in Turbulent Times (HERE).

And, while you’re at it, learn how to “Connect the Dots” (HERE).

Share this with a friend…especially if they think we’re a democracy.

They’ll thank YOU later.

We’re Not Just About Finance.

FYI

But we use finance to give you hope.

https://www.financialsmatter.com/category/in-plain-english/

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When Markets Influence Government

 Laughs in British