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Twenty Minute Lifestyle (TM) for Global Prosperity July 23, 2008

Posted by Bipin Agarwal in Global Economy, Real Estate Development in Global Economy.
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Concept of Twenty minute Lifestyle if followed vigorously can fast track the world to prosperity and get us out of this dooms day forecast everybody is making. This is a bold statement, yes, but is based on real thought process and not Jim Cramers way of making you rich without any accountability.

What is Twenty Minute Lifestyle – This is a very old concept refined over million of years, and all the great civilization have used it.  The concept now has been refined to accomodate bigger population. Population of the world is likely to reach 7 B by 2013, compared to earth’s ability to manage about 1.5 to 2 B people with balance in nature. This means more apartment based living as opposed to open huge house. It is simple, you provide for most of the need for the people in a community centric environment. People live in peace with each other and nature. All the activity for everyday life including housing, commercial, entertainment, health care,  shopping were included in this community. People visited other communities for meeting friends, relatives and that is how tourism was promoted.

How this concept will help different industries and countries.

Energy – No excessive usage of oil, people mostly walked to different facilities, used solar power efficiently. This will create a significant new industry around solar energy. Oil usage will reduce dramatically and there is plenty of oils for million of years if used in this fashion. Oil should be at Dollar 6 to 8 per gallon in US to encourage people use energy efficiently.

Politics – Talking about the global economy and prosperity without addressing US election and the political alignment of other country is hard. Both Obama or Mcain can embrace this concept and address the dominant issue that US faces related to economy. I predict, the candidate who embraces this will win the election. Same is true for other countries. Economy has to become local while leveraging global information flow, everybody can not create vibrant economy just by exporting.

Manufacturing – will be done locally for most of the items. There is no need for a can of tomato to be produced in mexico, packed, and shipped to US for consumption or for that matter anything.  Economy of scale will be achieved by sharing the knowledge not by co-locating all the manufacturing in one country.

Environment – There is no need for so much packaging and shipping.  Less waste, less oil burning will create blue sky. There is no need to cut forest in Brazil to create Soy, or to cut forest to makes wooden houses, or to destroy the Oceans by drilling there in a reckless way. If possible put a green tax. Do not panic if I said more tax, Trust me, it will lead to innovation. Light material for planes, solar energy, electric car charged using solar energy, local farming.

Financial – companies will benefit because there will be significant developed of public infrastructure, housing, etc. People will buy stuff and financial company will make money by giving loans to business and families.

Healthcare– People will benefit from healthy living. More walk, less stress, more family time, all of this will result in lower spending on health care and better health.

Real Estate – Biggest beneficiary.  All new development for housing, commercial, etc around the public infrastructure.

All the economic benefit are quantified and well documented. They can be made available for discussion about any specific question.

If you have a question, about Global economy, feel free to ask.

http://www.redhawkinvestments.com

Bipin Agarwal
https://twentyminutelifestyle.wordpress.com/about/

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Strong future Global Economy – Four legs of the table? July 10, 2008

Posted by Bipin Agarwal in Global Economy, Real Estate Development in Global Economy.
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Which country, region will have strong future economy if future is defined as next five to ten years. This is a complicated question, best answer is, it depends on unknowns. If we were to make an attempt to identify the key factors, at this time I will identify, Energy, food, commodity, and consumers as the four major factors.

Energy – What is it? it is not just oil, it is all form of energy that can be generated, converted, stored and used. It is not going to be all about rising demand but also making the energy usage efficient. When oil prices go high, innovation will lead to more efficient usage and alternative energy usage.

Food – Any thing that is consumed to provide energy or pleasure to living beings, human or animal, is food. Some of you will argue that human are also evolved animals. Does not matter.

Commodity – These are items mother earth provides, unfortunately we can only use them and can not create more of it. This is iron ore, metals, water, etc.

Consumers – to simplify, I am referring only to population of living beings.

How many of the above legs a region or country need to control, to create economic future? It depends on the motivation of the people living there, political leadership, defense capability, etc. If everything was equal, you could argue that country with maximum consumers should win, not really, they need food, they need energy and commodity. Country that controls the other three legs can win? not always. It depends on the technology, defense capability, political leadership, etc.

What is the answer? Based on the current environment, America, India, China are well positioned. They seem to have the combination of different factors in their favor. What about Middle East, Russia, Australia?  long term economic prosperity is not certain as they are too dependent only on commodity.

If you have a question, about Global economy, feel free to ask.

http://www.redhawkinvestments.com

Bipin Agarwal
https://twentyminutelifestyle.wordpress.com/about/