World Forecast for 2013.

This forecast covers the period to 30th January 2014 (the last month of the Yang Water Dragon followed by the Yin Water Snake)

We all know that we live in difficult times; but how difficult will it get, and for how long will our difficulties last? More importantly, what can we do to make things better for ourselves - to protect our jobs, our families and our future?

If you look back at our very brief forecasts for the years 2007 to 2011 you will see how accurately Chinese astrology can predict the general pattern of each year. For 2007 we predicted that we would 'spend too much', and it proved to be the year when the western world economy overheated to an alarming extent. For 2008 we predicted that we would 'spend too little', and despite the best efforts of governments to oil the financial wheels by bailing out banks and other financial institutions, the shock of our indebtedness led many of us stop spending - to retrench and lick our wounds.

For 2011 we forecast that the world would 'look inwards' to resolve our own domestic problems. We did not spell out the events of what we now know as the 'Arab Spring', but in substance the populations of many Middle East countries did indeed 'look inwards' - at their own autocratic governments - and they took decisive action to improve their lives. Who can doubt that right now, many of us throughout the world are indeed 'looking inwards' - anxious that our respective governments do the right thing to make our lives better.

The forecast for 2013 is a far more detailed analysis of what will happen in the Snake year of 2013 that leads into the European elections of 2014. And we look back at previous Water Dragon and Water Snake years to see what lessons can be learned from the past. We also draw from economic theorists like the Russian Nikolia Kondratiev and the Dutch economist Samuel de Wolff, who both relied upon cyclical evidence to support their economic predictions.

If you had known in 2006 (as I did) that the property market would reach its peak in late 2007, you could have sold your property before the great crash of 2008. Now we are heading for another crash which I fear will be much worse than 2008. When will it happen, and will you be ready to weather the storm?

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