Ray Dalio On How The Economy Works

Ray Dalio runs the world's largest hedge fund at Bridgewater and Associates. According to the company's website, in both 2012 and 2013 Bridgewater was recognized for having earned its clients more than any other hedge fund in the history of the industry. Ray recently created a video, How The Economic Machine Works. The video graphic seems simplistic, however, the three tenants Ray focuses on have served him well over time as his net worth is estimated to be $13 billion. Ray's video cites three main forces that drive the economy: Productivity, the Short Term Credit Cycle and the Long Term Credit Cycle. The thirty minute video is worth taking the time to watch especially in light of the current global deleveraging cycle.

H/T: Business Insider