Ray Dalio: Our System Is in Jeopardy - Debt, AI & the Cycle That Destroyed Rome

Ray Dalio returns to the podcast to discuss the current state of the global financial system, focusing on debt cycles, wealth gaps, and geopolitical tensions. Dalio suggests the U.S. government's finances are unhealthy, marked by a substantial deficit and growing debt, and that a 3% deficit to GDP would stabilize the situation. He views gold as a safe, established money and reserve currency, recommending a portfolio allocation of 5-15%. The conversation touches on potential wealth taxes and their impact on asset sales, as well as the role of tariffs in addressing trade deficits and building economic independence. Dalio also compares the U.S. and China's economic philosophies, particularly regarding AI development and usage.