Every human being, whether rich or poor, weak or strong, hardworking or lazy, CEO or janitor, has this most precious resource that make them who they are.
This resource is more valuable than money. if you trade it well you will be successful in your chosen career.
The rich and the poor use it differently. And this has made all the difference.
I didn't have a clear picture of how people waste their precious resource until I see people in their old age struggling with the basic of life.
These people have never been lazy but what I have realized is that they have engaged themselves doing things things that have low economic value.
So sad!
this video explained the most precious resource you should must not play with if you really want to be successful financially.
What you should stop doing, and what you can do instead that can make you more productive and eventually get out of poverty.
Every human being, whether rich or poor, weak or strong, hardworking or lazy, CEO or janitor, has this most precious resource that make them who they are.
This resource is more valuable than money. if you trade it well you will be successful in your chosen career.
The rich and the poor use it differently. And this has made all the difference.
I didn't have a clear picture of how people waste their precious resource until I see people in their old age struggling with the basic of life.
These people have never been lazy but what have realized is that they have engaged themselves doing things things that have low economic value.
So sad!
This video explained the most precious resource you should must not play with if you really want to be successful financially.
What you should stop doing, and what you can do instead that can make you more productive and eventually get out of poverty.
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Jackossky: Smiles. He is not an economist, so, he seem unable to explain the concept well.
One way banks make their money is through giving out loans; a credit system. They lend money to their customers and collect it later with interest.
Let's say when someone borrows #1000 from bank with an additional interest of 30%, he/she pays back #1300 thereby, the bank profits #300.
Where does the bank get that money from? The primary source is depositors (you and I), assuming with a savings account, bank decides that every month, 5% would be alloted to you, so it means that after every month, you get an additional #50 to your deposited #1000.
Now, let's do a rundown, bank makes #300 after every month while you make #50, What if you had use that money for other profitable venture, it's genial for you to recoup more that #50. So, you benefit more using your money for investment than letting it lie dormant in your savings account. That's why we say savers lose.
2
With the passage of time, prices of goods and services tend to slope upward, this means that with time, prices increase. Some decades back, a beetle is sold for #30000 (assumption), but now in the 22nd century, it's worth millions.
In the same vein, if someone sold his beetle and saved his #30000 in a bank, 20 years later, he would receive back his 30k, would that money be able to buy him/her a beetle 20 years later?
So, he lose by saving that 30k in the bank because what 30k can buy in year 2000 differs from what it can buy in 2020. This is what we mean by inflation, because that man saved his 30k in 2000 and collected it back in 2020, he lose. Though the nominal value is the same but the purchasing power has declined.
Smiles... Don't want to use economics terms but I hope you get what I'm trying to insinuate?
the content creator is also a student of economics if you want to add to the point add and live. The writer understand the time value of money. So contribute and don't criticise. There is a reason for make in short and brief