Gold is God's money and will stood the test of time.

 In the event of anti christ, only gold and silver will survived.

Price of gold

= gold price x USD conversion rate.

So, if Ringgit weaken, gold price up as USD conversion price appreciate. 

If USD drop, gold will up as gold become cheaper relatively for foreign buyer and there will be more demand for Gold. So, Price of gold up too.

Unless, if USD strengthen relative to a basket of international currency and ringgit strengthen more than USD, we enter catch 99 and gold price will drop as the demand for gold reduce and appreciating ringgit is not supportive of gold price in the local ringgit. 

Gold had stood the test of time since time immemorial.

Gold and silver is God's money

Moral of the story: Bless is those who can predict the future as it is better 20 years early rather than 1 day late.

Be Bless, 

Dr. Lion. 

Armagadeon: Economic Death due to inflation.

 Inflation is a menace for those who are preparing for their future and the more we study about the past the more, we can see the future.

Let's see price of food in 1970s and compare to recent price. In 1970s a bowl of mee would cost you 10 cents and in 2022 it is nearly 10 ringgit. A 100x inflation within a span of 50 years. 

So, in the next 50 years, around 2070, a bowl of mee would cost you 1000 ringgit. 

Therefore, if your current monthly expenses is 2000 per year and you can retire comfortably with 1m of asset. 

Rewind back to the 1970s, a person would only need 20 ringgit to survive on for minimum in a month and you can retire comfortably with 10k of asset.

Fast forward to 2070, a person would need 200000 per month and can only retire comfortably with 100m of asset.

How many of us have 1m for retirement currently and even if you have 1m currently can you grow it to 100m by 2070.

It will take our asset to double every 7 years, if we want to multiply it by 100x in the span of 50 years. 

This is an utopian dream as we need to cover our monthly expenses that is inflated by doubling rate every 10 years and if we want to be able to have a better future, we need to live below our means. 

Not many people, who have 1m asset at current juncture, so the dream of a secure future will only be a dream of the future. 

Therefore, we should just live for the current and let the future take care of itself. 

As we get older, our medical cost will rise tremendously while the expenses for other items will be reduce accordingly. In Malaysia, only the rich can afford private medical care. The average will depend on universal healthcare coverage in our country.

Many business, will go bust sooner or later as with limited resources customer will demand products with higher quality or functions at a lower cost due to competition and market changer. Many companies that failed to change with time had gone under such as kodak, polaroid, nokia and blackberry.

Therefore in business the only constant is change. 

As a result inflation and competition will kill the economy or civilization sooner or later. 

Therefore, what we can do is make sure that our debt is less than our income so that we are solvent and our income is less than our productivity so that we are competitive. 

Moral of the story: Inflation will destroy the economy and our retirement unless we are able to multiply our asset every 7 years.

Therefore, we can only depend on God for our future. and enjoy our lives while we still can.

Be Bless, 

Dr. Lion. 

Dark Days: We are entering the season of tribulation.

 Nearly whatever disaster there is to happen in this world had really happen.

You named it, you got it. 

Plaque, such as Covid in the end of 2019 which leads to many deaths around the world and long period of quarantine leading to misery, hardship and lost of both economical activity as well as death. 

War such as Russian Ukraine war in march 2022 which bring hardship to Russia and Ukraine. 

Earthquake such as the one in Turkey in 2023 leading to building collapse, death and insurmountable economic loss to Turkey.

Soon, the whole world will enter a period of famine. 

These events shows that period of tribulations is coming. 

We need to repent and get forgiveness from God as days of tribulation is approaching. However, the end of days is still far with war and rumors of war getting nearer and nearer. 

Bless is the one that walks with the Lord in truth and in spirit. 

Be Bless, 

God's Mercy endures forever,

Dr. Lion. 

Why a welfare state will fail eventually.

 Let us consider the notion a welfare state.

A welfare state is a condition whereby the government provide us with all we needs without us doing anything in return. This is known as a free lunch. 

In economic, there is no free lunch. If someone get it for free, someone had to pay for it. 

Why welfare state would eventually fail?

Welfare state would fail because welfare state is akin to robbing Paul to pay Peter or what we say as robbing the rich to pay the poor. 

As the poor, get welfare, more people will be demotivated and unproductive to be characterize as the poor to get welfare. 

This will kill productivity as the rich and productive workforce decided to work less as the more they work, the more they will be tax.

Let us see the effect of welfare exam. Say a class in middle school have a bell shaped distribution of 50 percent in the median and 20 percent top scorer and 20 percent low scorer and the teacher tried to do a social experiment on welfare marks so that everyone will past eventually. So, after the exam the teacher said everyone pass without disclosing the low scorer and high scorer. As a result, in the next exam the high scorer will be demotivated and stop studying for the exam and spend more time for leisure and easy going life. While, the low scorer will be more easy going and does not care about the exam anymore. As a result, the school national exam result will drop from the national standard and the student will be demotivated to study anymore. 

Back to a country, if we practice welfare state, the country productivity will drop based on international standard as the rich and productive part of society will be demotivated and not productive anymore and lower productivity leads to lower GDP, higher debt and eventually the country economy will crumble as the rich and productive earn less and the poor demand more, leading to deficit or what we say the country expenditure for welfare will outpace the country income like what happen currently to Sri Lanka and Pakistan. 

Therefore, a welfare state would soon eventually evolved into a socialist country whereby the country will try to tax the rich more and make the asset in the country state own as more resources is needed to creat a safety net for the poor and when this crumble in a country due to debt and hyperinflation such as in China and Russia this can eventually leads to communism as the poor or the masses blame the rich for the economic disaster and wanted everyone as equal without any strata or differentiation in a commune. This, would kill productivity and the country will enter dark ages until the day someone in the country succesfully increase productivity.

Rather than to have a welfare state, what is the way forward?

The way forward is to encourage, the citizens to be more productive. As the citizen is more productive, the citizens will earn and be motivated, while the country produce better result, better GDP and improved their standing in the world. 

With higher productivity, will come higher income and debt will be more manageable whether it is for the citizen or the country.

In summary, make sure our productivity is high and debt lower than income and income lower than productivity so that debt is manageable and our country is competitive in the world economy. 

Fate favoured those who are prepared, 

Dr. Lion.