Friday, January 2, 2009

Kondratieff Cycle

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The Kondratieff wave cycle goes through four distinct phases of beneficial inflation (spring), stagflation (summer), beneficial deflation (autumn), and deflation (winter). I have included seasons attached with each economic cycle because of the apparent link between weather and economic fluctuations. The "K" cycle is a 54 year cycle which Nikolai Dmyitriyevich Kondratieff (1892 - 1938) found within capitalist societies. Each 54 year cycle is broken down into three 18 year cycles. Then every 18 year cycle is characterized by three 6 year cycles. Each cycle is uniquely defined by its own set of economic and weather patterns.

The chart above illustrates that we have entered the third & *final* 6 year cycle of an 18 year cycle. Personally believing that these cycle structures are fractal in nature, this signals that significant geo-political events will occur within the next 6 years. The fractal importance of our current cycle can be easily understood by approaching these cycles as though you would a set of Lego Blocks. Since a 54 year cycle has more relevance than an 18 year cycle, the third and final 18 years which complete a full 54 years is extremely significant. Necessary to the "K" cycle, we must have a final 6 year cycle which completes a final 18 year cycle which then completes a full 54 year cycle. It is through the completion of the next 6 year cycle that we complete a full 18 year cycle.

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