Novus Ordo Seclorum
The phrase "Novus Ordo Seclorum" is a Latin expression that translates to "New Order of the Ages" in English. It is one of two Latin mottos featured on the reverse side of the One Dollar Bill and the Great Seal of the United States.
The European Central Bank recently altered its policy. Christine Lagarde began lowering interest rates ahead of the Federal Reserve, initiating a new order for some time.
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The values of the EUR, USD, and GBP were once strongly correlated, reflecting the interconnectedness of their elite and highly efficient money markets. This correlation was also indicative of the lower interest rates prevalent in regions that prioritized equality. Equality tends to facilitate product sales, which in turn reduces risks and interest rates within the approximate area of NATO.
The decision by the ECB has brought about a change. It demonstrates a mindset that is one step ahead. Communication and regulation aid in the movement of capital. However, not all things are shared among the billion people. The multitude of languages in Europe has historically hindered the free movement of labor until the invention of LLMs. The author recently engaged in discussions with EU managers about AI projects that assist in determining the optimal locations for power plants across various jurisdictions within the EU. This creates an opportunity and leads to a reduction in interest rates, despite the civil war in Ukraine.
The decision alters a principle that has been in place for hundreds of years. Since the eighteenth century, the British Empire has sought to undermine unity on the continent by forming and breaking alliances. The rationale was to limit the power of Napoleon's navies that could pose a threat to the islands. Even today, research, visibility, and startup funding are concentrated in circles around the area west of London. Visibility and funding for research and startups fades by distance examining Germany, Italy, and Bulgaria.
Allowing currencies to strengthen due to the success of more efficient enterprises should be welcomed. Sometimes, such success, resulting in higher volumes of cheaper exports, can lead to policy changes or protective measures to balance the flow in the money markets. However, it is important to note that such actions can limit the individual liberties of founders, and a healthy growth of such ventures.
Although such decisions may be temporary, a certain degree of currency value fluctuation is beneficial. US startups often excel in safe investments that yield higher returns. These returns can readily offset inefficiencies arising from regulations, lawsuits, or disruptive, typically temporary, migration in highly efficient capital markets. The reason is straightforward: capital markets are more efficient than the strength of economic communities overseas on both sides of the Atlantic.
Cinco de Mayo, which translates to "Fifth of May" in English, commemorates the Mexican army's victory over the Second French Empire in 1862. Despite common misconceptions, it is not a celebration of independence in the Pacific Southwest. Essentially, it was a conflict sparked by unpaid debts. It is about the conflict of interest between the individual liberties and the obligations due to the decisions of state officials.
However, the current interpretation places too much emphasis on the original concepts of independence and nationalism. This focus tends to overshadow the importance of individual liberties in relation to government debt. Europe maintains a robust internal market that allows for the free movement of its citizens. This is not a characteristic shared by NATO's most defensible asset, the US-Mexico border. Here, Cinco de Mayo symbolizes a history of lawlessness and widespread repression of individual liberties. The end of colonization and the attainment of independence are both highly significant but last century. Respecting individual human rights and property rights is even more crucial in this century to prevent the recurring violence observed across the globe.
The currency valuations of the Mexican Peso (MXN) to the Euro (EUR) since 2001 clearly illustrate this. The consequences of not repaying debt have evolved in the 21st century. In this context, it suggests that failure to repay debt can lead to reduced trade, increased prices, and fewer choices for consumers.
It was unfortunate that the US government began to engage in bilateral trade tariffs and quotas between 2016 and 2020. The world had moved beyond this approach to trade many decades ago. People trade themselves with Microsoft Outlook. It's unfortunate that numerous European countries have engaged in the confiscation of Russian assets, a practice reminiscent of the 1950s. It's unclear whether these assets are state-owned, belong to registered companies, are owned by citizens, are associated with language speakers, are tied to DNA relatives, Ex Cathedra, or they are linked to certain opinions. The protection of private property is the core precondition of money markets.
Similarly, instead of forced confiscation of equity, governments should embrace competition. The government is violating the property rights of hardworking ByteDance investors. The government should eliminate Ivy League privileges, trade quotas, and marketing backdoors instead, so that companies like ours can effectively compete with solutions such as TikTok.
The influence of Russia and China poses a significant challenge that demands well-thought-out, long-term solutions.
The landscape of distributed trade seems to reflect well-considered policy decisions, with lower rates facilitating housing for families with infants, improved infrastructure, and a strong stance against local conflicts. It has nothing to do with K-Pop.
This article was revised on July 9, 2024.