If you want to make money, you’ve got to understand the world around you. “Around you” might not be a very big place at all. In fact, some people get rich by simply noticing a business need in their immediate community. There’s a lot to know just within the few blocks around where you live. But as your financial knowledge spreads, you’ll learn to see where the money is moving, and how you can become a part of the flow. It’s a talent that takes a lifetime to develop. You may be able to accelerate the process with learning and experience. But you can be sure that as you learn more about the financial world around you, you will increase your standing within it. Let’s look at how to approach this process in each one of these fields: local, regional, and international.
- Local: Your local economy is full of opportunity. It’s important to think about business in all its forms to understand who’s pulling the strings. Let’s start by thinking about real estate. People and businesses own all of the buildings around you. Some are collecting rent from their renters, others are living and operating businesses out of these spaces. The most obvious businesses are the ones with open storefronts, selling goods. But lots of businesses work online, simply taking up a small office space or perhaps even just an address. FX Trading is one such business class which takes up very little geographic space but nonetheless moves money in big ways. Back to physical processes, your local economy will be based in large part upon population, whether growing or shrinking. A shrinking population will strain a local economy, and your wallet, especially when the population drops for a long time.
- Regional. This takes us into a look at regional economies. This is especially easy to understand in cities. Americans have historically been leaving many cities for decades, leaving cities with a lowered tax base and creating wealth that is very dispersed during the rise of the suburbs. Many of these cities are seeing population growth again, leading to technological innovations as well as standard-of-living improvements that can only occur when the economics of scale allow municipalities to implement best practices unavailable in smaller population areas. If you want to make money in your regional economy, understand the changing of the times and the direction of population growth. Position yourself to take advantage of these trends.
- International. International economies are becoming much more fluid. Money is getting transferred overseas faster and in greater quantities than ever before, and this is only going to increase with time. International Money Transfers are becoming cheaper and faster for individuals all the way up to world governments. As such, trade is going to make national wealth change a lot faster than we have historically seen. If you put your focus on international wealth building, you’ll have to keep a sharp eye on global trends. Opportunities will be many.
There are financial opportunities at every level of the world economy. But to learn the ropes, it’s best to understand the factors that take place right around where you live, building from there.
About Carson Derrow
