Daz;336662 wrote:MarkSp;336649 wrote:I would look at Nudge Theory, Robert Shiller and more.....it is about behavioural economics. It is very interesting but then again, I was an economist
Thanks, so like "Narrative Economics – How Stories Go Viral and Drive Major Economic Events" (2019) for example?
These suggestion are really useful, please keep 'em coming and let's not get derailed on the Trump thing! 😊
Are you writing a dissertation and looking for inspiration or are you honestly trying to figure out how to predict market behaviour and trends?
You can only really discern broad trends and whether it will help you with the granular detail of investment choices, like which stocks to buy, is debatable. Because there are always so many variables at work. From the macro down to the micro. It is an interesting question though.
For instance, I can discern that we are moving into an era of the "Great Man" again, and away from the faceless technocrat and bureaucratic process. This was probably already so in most of the real world, but not for the West in revent decades .
We see Trump, Putin, Xi, Netanyahu being of particular significance at this moment. Others are Milei, Modi, Erdoğan. When I say "great" I don't mean "good" or "right", I mean men who cut through and bend things to their will. Trump is proving to be a truly astonishing example of this. He is already taking the US, and the world beyond, by the scruff of the neck. Compare to the ineffectual worms, as typified by the European political elites.
Note that having worms in charge in the West hasn't prevented conflict - arguably made it more likely, and when it has engaged in violent confrontation itself, it has usually been with foolish, idealistic and wasteful ends in mind. Like trying to promote feminism and democracy in the likes of Afghanistan; toppling leaders and unleashing mayhem.
And with this, I anticipate broader changes that might mean trends, in the West and possibly beyond, which are more archetypically male. Direct communication, the real threat and even use of force - but only when really necessary, realistic rather than idealistic goals, a preference for building and getting things done, action, a preference for things that are effective and really work, common sense...
So green energy, which basically involves wasting loads of money on crap that doesn't work very well - this doesn't really fit into that trend. That is form, or ideology, over function. Could be good news for traditional energy resources? Oil, gas and delicious coal. Military hardware. Gold. Promoting traditional values and norms, which have worked and stood the test of time. More of a warrior culture where men are expected to be men, families will be encouraged, rather than encouraging young people to be gay or change genders. Shrinking the public sector and its vast array of fake jobs which waste resources and misdirect peoples efforts; cutting back on damaging legislation, including human rights, equalities. Celebrating winners rather than victims. Things that are of an effeminate nature, like man bags and soy lattes, veganism, solar panels, etc. probably don't fit.
As you can see from the last paragraph, I'm already into wild speculation. Because getting from broad trend to detail will always involve guessing. Even if we expect more military expenditure and it happens (or will the US spend less relative to allies?), this doesn't tell you which company to invest in. How well are the companies being run?
Basically: invest in a global tracker, and it will take care of whatever is going on in the world of private enterprise. Plus some gold, cash, bonds, real estate for balance. You can do it all with 2 or 3 funds/trusts. If you want to be clever and gamble, expect to lose money. I could've said this at the start but, as I say, you've asked a good question and I couldn't resist answering it :) at least partially.