Ray Dalio: History Repeats.. We Are in the Phase Before Great Chaos and Collapse

American investor Ray Dalio, founder of Bridgewater Associates, warned that the world is going through a critical phase in what he calls the "Big Cycle" of the global system—a historical cycle that repeats over time and witnesses the rise of monetary, political, and geopolitical systems, followed by their decline and collapse.

Dalio, who has worked in global macro investing for over 50 years, explained that he studied the history of the last 500 years and observed that these cycles typically last approximately 75 years. He believes that today's world is passing through the fifth phase of this cycle, which is the phase preceding a period of great chaos and collapse.

He pointed out that this phase is characterized by rapid increases in government debt, growing geopolitical tensions and conflicts, which raises concerns about the value of fiat currencies and drives some investors and central banks toward gold as a safe haven to protect their wealth.

He also highlighted that widening income and wealth gaps within countries lead to rising populism and sharp political divisions, which makes it difficult to reach compromises or maintain the stability of democratic systems.

Dalio added that history also shows a shift in the global system from a phase of dominance by a single power to a phase of conflict between major powers—a pattern that previously occurred before World War II. He believes that what is happening today closely resembles the period preceding 1945, meaning that the coming years may be completely different from what the world has become accustomed to since the end of World War II...

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