Profits ultimately come from risk, so even though you do all the work, most of the money goes to the boss.
Because the market rewards those who bear risk, not those who labor. #ReadingNotes#
The market issue with leveraging up is that there are too many projects you can work on but no money. Without leverage, there are no sure-shot money-making opportunities.
So certainty is the prerequisite for placing your bet.
People cannot acquire specialized knowledge through formal education. It can only be passed down through apprenticeship and hands-on mentorship. Specialized knowledge is typically highly technical and creative. It cannot be outsourced or automated.
A family’s legacy consists of the experience and knowledge held by those within the family who could only pass it on through apprenticeship rather than formal schooling.
You cannot become rich by cheaply renting out your time.
You must own property — a stake in a business, equity — which means controlling means of production that can be passed down and continuously generate wealth, rather than trading your time for meager pay.
Always remember: create wealth-generating assets that can be inherited.
Working 80 hours a week at a restaurant won’t make you richer.
To build wealth, you need to understand what to do, who can do it, and when to do it.
Hard work is unavoidable, but you should put in effort the right way. If you’re still unsure what to do, the most important thing is to figure that out first.