Why are few people rich while most of us are not?
You probably know the answer; 90% of people are lazy, envious, have a broke mindset, and whatnot.
But, is that right? I mean, sure, there are some people who fit that statement, but what about people who lack resources? People living in war-torn places in Africa or countries destroyed by communism, such as Cuba, Venezuela, etc.
And what about people like you? You work hard, you're smart, you have a good mindset, and you even have some contacts... but why does wealth seem so far?
This forum has come to one of multiple conclusions that "execution is what differentiates winners and losers, rich and poor."
Even if that's true, what exactly is "execution"? Is it about getting things done? Doing the right thing at the right time? Productivity? Consistency?
Don't get me wrong; I'm not saying this is wrong because this is not a rant.
I'm just trying to spark a debate to find what is real, because this world is incredibly vast, and people are extremely diverse.
My goal is to research and eliminate all biased answers because we, the people, have cognitive biases, and we let them unconsciously become a part of us.
----------------
Reality is extraordinarily complex.
We tend to oversimplify everything to feel safe and in control, even if it's a lie.
If you go outside, you'll see that people nowadays are frighteningly delusional.
However, we need to understand something first.
(This is very important because this is how we can understand wealth and why so many people try to become wealthy and fail.)
Correlation vs Causation:
Causation: the process of causing something to happen or exist.
Correlation: a connection or relationship between two or more facts, numbers, etc.
----------------
Let me give you an example:
Theoretical Statement: People are rich because they are well-educated.
Do people with degrees usually have more money? Yes.
Do people without any degrees usually have less money? Yes.
Does that mean getting well-educated automatically makes you rich? No.
The evidence shows that this fact is a correlation, not causation.
Short Version:
Imagine you're studying wealthy people and investigating whether having more education is linked to having more money. You find a positive connection between education level and wealth – often, people with more education also have more money. However, having more education doesn't guarantee wealth. Other factors like job opportunities and connections also play a significant role. So, the connection we see is called "correlation," but it doesn't mean education directly causes wealth.
If you hit your hand with a hammer, in 99% of cases, it will make you feel pain. This is causation. One thing directly causes another.
Detailed Version:
Imagine you're conducting a study to understand whether there's a correlation between education level and the wealth of people considered "rich." You collect data from a sample of wealthy individuals and record their highest level of education (measured in terms of degrees obtained) along with their net worth.
After analyzing the data, you might find a positive correlation between education level and wealth. This means that, on average, individuals with higher levels of education tend to have higher levels of wealth. In other words, as the level of education increases, the wealth of these individuals tends to increase as well.
However, it's important to note that this correlation doesn't necessarily mean that education directly causes wealth. Other factors could be at play, such as career opportunities, networking, access to resources, and more. Correlation helps highlight a potential relationship between education and wealth, but it doesn't establish causation.
If you hit your hand with a hammer, in 99% of cases, it will make you feel pain. This is causation. One thing directly causes another.
========
If 90% of millionaires wake up at 5 am every day.
And you wake up every day at 5 am, and magically you become a millionaire. Congratulations, you've discovered causation. (Sarcasm)
Wait? That's not realistic? So you're telling me that doesn't happen in real life? Well, that's a correlation.
Why do so many people try these crazy habits expecting them to make them rich?
Because wealth and reality are such complex topics, we need to consider some elements...
There might be more or I might be introducing the wrong elements, so consider this just a theory.
And how all of these correlate to find if there is one or more factors that could potentially be a cause of wealth.
I would like to add other things like Emergence and other concepts, but I don't want to make this longer.
(Or) if there's no direct cause of wealth and if you need a set of elements that need to correlate in order to become wealthy.
Imagine there's a bunker with gold, but you need to enter a password that resets every day. (Like in the movie Maze Runner)
In my opinion, I think the first option is the correct and true one, but instead of just one thing, there are some things that together make the cause of becoming wealthy, just like how buns, lettuce, tomato, meat, cheese, and sauces come together to create a burger.
But that's not all because this is ambiguous, and I want to find the step-by-step process of accomplishing all the requirements to create that cause.
Otherwise, I'll be like this meme:
--------------------------------
We know that if we jump from the 55th floor of a skyscraper, we will die. You don't have to be an expert to know that fire will burn you.
It's more likely that the children of the wealthy will be rich, and the children of the poor will remain poor.
Now you might say, "What about self-made millionaires?" Well, you should delve deeper into these self-made millionaires because people miss some important things.
It's not the same to become rich from a middle-class background as it is from a poor background.
It's not the same to become rich in a capitalist country as it is in a communist country.
And don't get me wrong, this is not an excuse; I'm just trying to explore the odds and possibilities.
----------------
This is just the beginning, but I want to make sure to avoid misconceptions and keep this research as clear as possible (for you and me).
So, here are some biases that are important to be aware of and avoid to get a clear result:
A little example:
Authority Bias: A millionaire can claim that their success formula is dancing naked in their garden and worship the sun.
I'm not a millionaire, but just because I'm not a millionaire doesn't mean I'm wrong; I could be right.
----------------
I created this post so as not to lose the idea, bring up some debate/conversation and to continue my research in the future. To be completely honest, I was pissed of fabout something and tried to channel my anger into something productive instead of complaining about how unfair life is.
You probably know the answer; 90% of people are lazy, envious, have a broke mindset, and whatnot.
But, is that right? I mean, sure, there are some people who fit that statement, but what about people who lack resources? People living in war-torn places in Africa or countries destroyed by communism, such as Cuba, Venezuela, etc.
And what about people like you? You work hard, you're smart, you have a good mindset, and you even have some contacts... but why does wealth seem so far?
This forum has come to one of multiple conclusions that "execution is what differentiates winners and losers, rich and poor."
Even if that's true, what exactly is "execution"? Is it about getting things done? Doing the right thing at the right time? Productivity? Consistency?
Don't get me wrong; I'm not saying this is wrong because this is not a rant.
I'm just trying to spark a debate to find what is real, because this world is incredibly vast, and people are extremely diverse.
My goal is to research and eliminate all biased answers because we, the people, have cognitive biases, and we let them unconsciously become a part of us.
----------------
Reality is extraordinarily complex.
We tend to oversimplify everything to feel safe and in control, even if it's a lie.
If you go outside, you'll see that people nowadays are frighteningly delusional.
However, we need to understand something first.
(This is very important because this is how we can understand wealth and why so many people try to become wealthy and fail.)
Correlation vs Causation:
Causation: the process of causing something to happen or exist.
Correlation: a connection or relationship between two or more facts, numbers, etc.
----------------
Let me give you an example:
Theoretical Statement: People are rich because they are well-educated.
Do people with degrees usually have more money? Yes.
Do people without any degrees usually have less money? Yes.
Does that mean getting well-educated automatically makes you rich? No.
The evidence shows that this fact is a correlation, not causation.
Short Version:
Imagine you're studying wealthy people and investigating whether having more education is linked to having more money. You find a positive connection between education level and wealth – often, people with more education also have more money. However, having more education doesn't guarantee wealth. Other factors like job opportunities and connections also play a significant role. So, the connection we see is called "correlation," but it doesn't mean education directly causes wealth.
If you hit your hand with a hammer, in 99% of cases, it will make you feel pain. This is causation. One thing directly causes another.
Detailed Version:
Imagine you're conducting a study to understand whether there's a correlation between education level and the wealth of people considered "rich." You collect data from a sample of wealthy individuals and record their highest level of education (measured in terms of degrees obtained) along with their net worth.
After analyzing the data, you might find a positive correlation between education level and wealth. This means that, on average, individuals with higher levels of education tend to have higher levels of wealth. In other words, as the level of education increases, the wealth of these individuals tends to increase as well.
However, it's important to note that this correlation doesn't necessarily mean that education directly causes wealth. Other factors could be at play, such as career opportunities, networking, access to resources, and more. Correlation helps highlight a potential relationship between education and wealth, but it doesn't establish causation.
If you hit your hand with a hammer, in 99% of cases, it will make you feel pain. This is causation. One thing directly causes another.
========
If 90% of millionaires wake up at 5 am every day.
And you wake up every day at 5 am, and magically you become a millionaire. Congratulations, you've discovered causation. (Sarcasm)
Wait? That's not realistic? So you're telling me that doesn't happen in real life? Well, that's a correlation.
Why do so many people try these crazy habits expecting them to make them rich?
Because wealth and reality are such complex topics, we need to consider some elements...
There might be more or I might be introducing the wrong elements, so consider this just a theory.
- Economic and Political Background (like Social Mobility)
- Market Dynamics (like Supply and Demand)
- Actions (and their context) taken by people who achieved wealth
- Luck and Randomness
- Your personal skills, personality, character traits, attitudes, traumas
- Social Psychology and Biases
And how all of these correlate to find if there is one or more factors that could potentially be a cause of wealth.
I would like to add other things like Emergence and other concepts, but I don't want to make this longer.
(Or) if there's no direct cause of wealth and if you need a set of elements that need to correlate in order to become wealthy.
Imagine there's a bunker with gold, but you need to enter a password that resets every day. (Like in the movie Maze Runner)
In my opinion, I think the first option is the correct and true one, but instead of just one thing, there are some things that together make the cause of becoming wealthy, just like how buns, lettuce, tomato, meat, cheese, and sauces come together to create a burger.
But that's not all because this is ambiguous, and I want to find the step-by-step process of accomplishing all the requirements to create that cause.
Otherwise, I'll be like this meme:
--------------------------------
We know that if we jump from the 55th floor of a skyscraper, we will die. You don't have to be an expert to know that fire will burn you.
It's more likely that the children of the wealthy will be rich, and the children of the poor will remain poor.
Now you might say, "What about self-made millionaires?" Well, you should delve deeper into these self-made millionaires because people miss some important things.
It's not the same to become rich from a middle-class background as it is from a poor background.
It's not the same to become rich in a capitalist country as it is in a communist country.
And don't get me wrong, this is not an excuse; I'm just trying to explore the odds and possibilities.
----------------
This is just the beginning, but I want to make sure to avoid misconceptions and keep this research as clear as possible (for you and me).
So, here are some biases that are important to be aware of and avoid to get a clear result:
- Narrative Bias
- Fooled by Randomness
- Survivor Bias
- Hindsight Bias
- Authority Bias
- WYSIATI (What You See Is All There Is) and Anchoring Bias
A little example:
Authority Bias: A millionaire can claim that their success formula is dancing naked in their garden and worship the sun.
I'm not a millionaire, but just because I'm not a millionaire doesn't mean I'm wrong; I could be right.
----------------
I created this post so as not to lose the idea, bring up some debate/conversation and to continue my research in the future. To be completely honest, I was pissed of fabout something and tried to channel my anger into something productive instead of complaining about how unfair life is.
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