how the economic machine works

abcd of economics. by billionaire Ray dalio.

The economy is like a machine. At the most fundamental level, it is a relatively simple machine, yet it is not well understood. I wrote this paper to describe how I believe it works. My description of how the economy works is not the same as conventional economists’ descriptions so you should decide for yourself whether or not what I’m saying makes sense. I will start with the simple things and build up, so please bear with me. I believe that you will be able to understand and assess my description if we patiently go through it. How the Economic Machine Works