Why the Rich Get Richer -Robert Kiosaki

Online, February 7, 2011 (Newswire.com) - Doug Allen, author of "Million Dollar Profits,", reviews the latest from Robert Kiosaki's essay entitled "Why the Rich Get Richer."

According to both Doug Allen and Robert Kiosaki, everything in life has a cause and effect relationship, including the overall markets, and your personal wealth.

The following excerpt explains the concepts.

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Source: Robert Kiosaki

Alexander Tytler (1747-1813) was a Scottish-born English lawyer and historian. Reportedly, Tytler was critical of democracies, pointing to the history of democracies such as Athens and its flaws, cycles, and ultimate failures. Although the authenticity of his following quote is often disputed, the words have eerie relevance today:

A democracy is always temporary in nature; it simply cannot exist as a permanent form of government.

A democracy will continue to exist up until the time voters discover they can vote themselves generous gifts from the public treasury. From that moment on, the majority always votes for the candidates who promise the most benefits from the public treasury, with the result that every democracy will finally collapse due to loose fiscal policy, which is always followed by dictatorship.

The average age of the world's greatest civilizations from the beginning of history has been about 200 years. During those 200 years, these nations always progressed through the following sequence:

• From bondage to spiritual faith;

• From spiritual faith to great courage;

• From courage to liberty;

• From liberty to abundance;

• From abundance to complacency;

• From complacency to apathy;

• From apathy to dependence;

• From dependence back to bondage.

Tytler's Cycle and the U.S.

In looking at American history, we can see Tytler's sequence in action. In 1620, the Pilgrims sailed to America to escape the religious bondage imposed by the Church of England. Their spiritual faith carried them to the new world.

Because of their deep faith, the Pilgrims left England in spite of the high percentage of deaths incurred by earlier American settlements. For example, when Jamestown, Virginia, was founded in 1607, 70 of the 108 settlers died in the first year. The following winter only 60 of 500 new settlers lived. Between 1619 and 1622, the Virginia Company sent 3,600 more settlers to the colony, and over those three years 3,000 would die.

In 1776, the Declaration of Independence was signed. From spiritual faith the new Americans were garnering great courage. By crafting the Declaration of Independence, the colonists knew they were essentially declaring war on the most powerful country in the world -- England.

You can learn more on Doug Allen's Million Dollar Profits blog.

You can also review previous articles "The Secret to Million Dollar Profits" and "7 Steps to Million Dollar Profits" on this site.