George Friedman Quotations

A research division develops marketing material for its deal makers. We have no policy position. If you have a policy position you can't possibly forecast.

Constraint theory defines for you what outcomes are possible and what outcomes are impossible. It also eliminates wishful thinking.

There is no difference in a country between military, economic, and political affairs. It's useful for Business Insider to divide things that way. That's useful for a college program. But a country is a country. How do you understand China's economy without China's army? If you take these all into account you're ready to explain a question like, "How come the US doesn't have a debt problem?"

So as soon as you want something to happen you begin skewing the data to support it. Our stuff is invaluable to decision-makers precisely because we have no ax to grind.

Italy is the fourth-largest economy in Europe and the eighth-largest economy in the world, and its banking system is collapsing. And Germany is desperate. It must maintain its standard of living. It can only do that with exports and Deutsche Bank is very exposed to Italian debt. But so is the rest of Europe.

Germany is the new pig. Germany depends on exports and its markets are drying up. When the Germans start getting 10% unemployment, 15% unemployment, which is the real variable, how are they going to handle it?

Italy spills over to everything. Italy is a huge banking system. It has been the major banking system in Eastern Europe. It's worked with Austria's banking system. There's all sorts of interplays there. So it's not the PIIGS one should worry about. Germany hasn't even begun falling yet. And when Germany falls, and it will, that's when the panic begins to set in.

Politicians are enormously smart and rational. They don't have the same interests as businessmen ... But a man rises to the top of the United States. He's clawed his way out of 330 million people. OK. He didn't do that because he was dumb, or lucky, or something like that. He understands power. And he understands how to take it. And he understands how to keep it.

Now if you can recognize and memorize a grandmaster's game, and you have the respect to understand [Zimbabwean president Robert] Mugabe who has survived past anyone's expectations, and make the simple assumption it wasn't an accident, and you understand why he did what he did, now you're ready to predict ... The key to forecasting is to understand both the constraints nations are under and the manner in which the struggle for power shapes leaders.

I'm not a journalist. So I didn't down and let Assad charm me. I didn't walk away and say "my god he's got an Apple computer and he really likes Beyonce so he must be a liberal."