# The ECM and the Interaction of a Complex Wave Structure

For the new readers is trying to grasp the significance of six waves, the entire structure of the universe is based upon cycles for this is how energy moves. This applies to absolutely everything without exception.

If you stand at the corner of a busy street and close your eyes, listen to the sound of a truck or car. If the sound is getting louder then it is moving closer to you. The frequency of the sound wave is shortening. If the sound is diminishing, then the wave is dissipating as the object moves away from you. This is how energy moves in a wave formation. The energy moving through water creates waves, but the water is not moving.

Now look at an electromagnetic wave. This is how light energy moves. Notice that the wave structure is complex. It is composed of two separate and distinct elements – electric and magnetic fields. It is the magnetic field that binds the electric element and keeps it withing a maximum and minimum range.

The Economic Confidence Model is constructed as a complex wave. We have the standard business cycle wave which is what we can call the electric component. This operates as an 8.6 frequency. The component which binds the maximum and minimum fluctuation of the business cycle similar to the magnetic field is volatility. The frequency here is based upon a unit of 6. This is a significant component to the fractal structure upon which the entire universe is designed.

When we look at the ice core evidence of the energy output of the sun, we can identify a base cycle, but notice the amplitude of that wave is not consistent. Therefore, the complexity of the wave is constructed from the interaction of two frequencies which are not identical.

It does not matter what data series we look at, everything moves in a complex cyclical wave structure. This clashes directly with the way mankind thinks in a linear manner. Even politics projects that vote for a particular candidate and he will reverse some cyclical element which is beyond the power of society.

The Schema Frequency is a pattern that overlays the interaction and dictates when the maximum and minimum will produce major rogue waves that almost appear out of nowhere.

There is interaction also between the different fractal levels. The grand or major level at the 309.6 scale shows that the current major trend is a PUBLIC WAVE. since the late 1700s into 2032.95. This has been the age of big government and the shift from Laissez-faire economics in which transactions between private parties are free from government interference such as regulations, privileges, tariffs, and subsidies. This is the primary difference between a PUBLIC and PRIVATE WAVE.

At the next fractal level down (51.6 year), the sixth wave is the opposite a PRIVATE WAVE. This is because as we go into the final high, people are starting to clash with the idea of big government. We are at the threshold of what could be a two component outcome. The first, is a return to Laissez-faire economics and the rejection of big government. When I was invited to China by the government, I was taken to a highly guarded installation that was monitoring everything in the country tracking price movement. There were 249 varieties of teas. They were observing, not interfering and this allowing the economy to spring to life. This was Laissez-faire.

So the last wave at the 51.6 year fractal level is the clash between big government trying to retain power from the 309.6 year level against the people trying to restore their freedom Laissez-faire at the 51.6 year level.