THE FUTURE OF WORLD ECONOMY
by Demos Sympetheros

THERE ARE MANY SCHOOLS OF THOUGHT
IN ECONOMICS.
FROM WHAT I HAVE OBSERVE IN SO MANY
YEARS OF STUDY ONLY ONE THEORY
APPROACHES THE REALITY OF  ECONOMIC
LIFE.

IT IS THE THEORY OF  RATIONAL EXPECTATIONS.
BUT EVEN HERE  THE LAWS OF PHYSICAL
DYNAMICS WILL SOONER OR LATER PREVAIL.
THAT IS THERE WILL BE AN END IN THIS THEORY
AS THERE IS AND END EVERYWHERE AND TO
EVERYTHING IN THE UNIVERSE.

LET ME BE MORE SPECIFIC.
NOWADAYS, AFTER SOME FORTY YEARS 
WHEN THIS THEORY WAS FIRSTLY INTRODUCED
IT SEEMS THAT THE WORLD IS FULL OF
"RATIONAL EXPECTATIONS AGENTS".
THAT IS THERE ARE MANY CAPITAL FUND
INSTITUTIONS WHICH FIGHT EVERY DAY, EVERY
MINUTE TO PREVAIL ONE ANOTHER OR I
WOULD BETTER SAY,  THEY FIGHT TO FORESEE
ANY KIND OF PROFIT THAT MAY APPEAR IN
A COMPUTER WINDOW...!

OK.. WE HAVE FREE ECONOMY AND PEOPLE
ARE FREE TO DECIDE WHAT THEY ARE GOING
TO DO WITH THEIR MONEY.
IN THE WESTERN WORLD THEY  FIND HELP
FROM REGULATIONS, THAT IS FREE FLOW OF
CAPITAL;

BUT LIFE TEACHES US THAT AS THIS CAPITAL FLOW
GOES FROM COUNTRY TO COUNTRY INSTEAD
OF BRINGING GROWTH IT BRINGS UNEMPLOYMENT
AND RECESSION.
IN ADDITION IT BRINGS AN ABANDONMENT
OF PRODUCTION IN TWO VERY IMPORTANT
SECTORS THAT IS IN INDUSTRY AND AGRICULTURE.

AS THIS THING GOES, PRETTY SOON THERE WILL BE
NO MORE LABOR TO SUPPORT SUCH KIND OF
BUSINESS.
THERE WILL BE NO MORE CITIZENS TO GIVE
"FOOD TO RATIONAL EXPECTATIONS AGENTS".

AND THIS WILL HAPPEN BECAUSE OF THE
NONSTOP-ABLE  DYNAMICS OF THIS PROCESS.
AN END WILL HIT VERY SOON LARGE
WESTERN ECONOMIES SUCH AS GERMANY,
FRANCE ETC.
THE END UP GAME DUE TO FEEDBACK LOOP
WILL EVENTUALLY HIT THE COUNTRY WHERE
THE WHOLE THING STARTED FROM.
THAT IS USA!

TO ME THIS AN INEVITABLE PROCESS WHICH
WILL LEAD TO THE COLLAPSE OF THE WESTERN
ECONOMIES.
IN OTHER WORDS WILL PUSH AMERICAN AND
EUROPEAN CONTINENTS TO A HARSH CLIFF!

SOME ECONOMIST SAY THAT THE REAL THREAT
IS CHINA.
I DO NOT AGREE BECAUSE ITS A VERY
IMPORTANT WORLDWIDE PARTNER AT THIS
POINT IN TIME.
CHINA NOW STABILIZES THE WORLD INFLATION.
IF CHINA STARTS TO DYSFUNCTION THEN THE
WORLD WILL BECOME MORE POORER.
AND OF COURSE THE MAGIC FINANCIAL
INSTITUTIONS WILL START TO SEE THEIR
PAPER MONEY TO BE "ON FIRE"...!

SO HERE WE HAVE A WORLDLY PARADOX.
IF ALL VARIABLES REMAIN AS OF NOW,
CHINA INEVITABLY -SOONER OR LATER-
WILL "SWALLOW THE WHOLE WORLD".
MOSTLY BECAUSE THERE IS NO OTHER
ECONOMIC PLAYGROUND FOR USA AND
EUROPE  TO PLAY THEIR "RATIONAL
EXPECTATIONS" GAME.
AND THAT BECAUSE SOON, THERE WILL
BE NO CITIZENS...! AROUND THE WESTERN
COUNTRIES DUE TO POVERTY...!

EXCEPT IF RATIONAL EXPECTATIONS AGENTS
WILL SOON DISCOVER THAT THIS IS AN END 
GAME AND BECOME "RATIONAL HUMANS"