The other evening as I was leaving a meeting, a few stragglers remained. A casual question was asked, “Do you have any big plans for the 4th of July?”
I expected to hear stories of family gatherings with watermelon and hotdogs. However, Nick quickly started complaining about the heat, politics and inflation. He exclaimed, “Given the direction of our country, I’m not sure there is much reason to celebrate anything.”
Arne raised one eyebrow and quizzically said, “Really? How can you be so negative? Don’t you realize that everyday is an opportunity to celebrate freedom and independence?”
Nick snapped back, “Given the problems we face, how can you be so positive? Interest rates are increasing, and we’re headed for a recession.”
Arne is an interesting character. He has traveled the world and lived in several countries. Some countries were rough destinations in emerging markets while other locales were very modern. He is also a big reader.
Arne acknowledged the challenges we face. He also said every nation has similar problems. However, we don’t see them because we don’t live in that environment.
Arne added, “I’ll give you six questions to start each day. They offer great perspective.”
Nick continued to complain about political news he read on the internet that day.
Arne calmly said, “I’m not saying the U.S. is perfect. There is no such thing. Humans of any country are quite flawed by their very nature.”
Arne then offered his six questions.
- Do you have a bed to sleep in?
- Do you have indoor plumbing and tap water you can drink?
- Do you have electricity?
- Do you have food to eat?
- Do you have access to medical care?
- Is anyone shooting at you?
If you can answer “yes” to the first five, and “no” to the last, then you live better than much of the world. After that, it is just a matter of dealing with the details. That is how great our nation is. But we take it for granted this is the way it is worldwide.
Even within the U.S. we fail to understand how much standards have improved. A little more than 100 years ago, the richest man in the land was John D. Rockefeller. Despite Rockefeller’s enormous riches, he didn’t have air conditioning, TV, video games or the internet. For most of his life, he didn’t have air travel. There were no cell phones and penicillin hadn’t been invented.
Currently, world GDP, the total sum of goods and services, is approximately $85 trillion. The U.S. is the top country producing 24% of GDP, or $21 trillion of commerce. Think about that. There are 195 countries in the world, and yet, the United States produces a quarter of good and services. To say we are successful is an understatement.
This rising tide lifts all boats. Assume you invested $1,000 in the stock market a century ago. Despite numerous pullbacks, stocks have grown better than 10% per year. Today, that investment would be worth more than $21 million simply by riding the wave of capitalism!
However, we don’t just sit on the cash. We are an incredibly generous nation. In fact, we are the most financially generous country on the planet. We donate approximately 2% of GDP to charity. That means Americans give $400 billion per year to charity. That also means Americans donate more to charity than 140 countries produce from their total GDP. That is staggering!
There is always room for improvement, and we always want more. It is easy to dwell on the negatives. However, don’t let that strip you of the ability to look back and see how good things are and how much progress has been made.
Our free enterprise system is not perfect. However, it is the platform that delivers the most opportunities. The system our founding fathers built is the envy of the world.
Lastly, with the Russian invasion of Ukraine now in its fifth month, question number six should have profound and serious meaning. Freedom is not free and should never be taken for granted.
Count your blessings. Start your day with six simple questions. Happy Freedom Day.
Dave Sather is a Certified Financial Planner and the CEO of the Sather Financial Group, a fee-only strategic planning and investment management firm.