Quote Of The Day: Saving Or Spending

from my phone

Quote Of The Day #60

“History never repeats itself; man always does”

“People do some crazy things about money, but no one is crazy. People from different generation, raised by different parents, who held different values, in different parts of the world, experience different economy learn very different lessons (about money).”

“The great depression marked millions of Americans inwardly for the rest of their lives.”

“We all think how the world works, but we all only experienced a tiny slice of it. Some lessons have to be experienced before they can be understood. We are all victims in different ways to that truth.”

“Lottery tickets. Americans spend more on them than movies, games, musics, sporting events or books combined. And who buy them? Mostly poor people. People in the lowest income group spend $412 a year on average for lottery tickets…These are the same people who cannot come up with $400 in an emergency.”

“Modern capitalism is good at two things: generate wealth and generate envy.”

“The world used to be hyper local. Over 100 years ago, nobody had cell phone or television, and that made competitions hyper local. A worker with average intelligence might be the best in their town because they didn’t have to compete with the smarter workers in another town. That’s now changed. A hyper connected world means the talent pool you are competing in has gone up, with millions spanning the globe. I am smart is increasing a bad answer because there are a lot of smart people in the world. In a winner takes all and globalized world, these kinds people are increasingly your direct competitors. Intelligence is no longer a reliable advantage in a world as connected as ours. But flexibility is… In a world where intelligence is hyper competitive, the advantage tilts towards nuanced soft skills, like communication, empathy, and perhaps most of all flexibility. If you have flexibility, you can wait for good opportunities, both in your career and for your investments.”

“There’s never a moment that you are so right that you can bet every chip in front of you. The world isn’t that kind to anyone. Not consistently anyway. You have to give yourself room for error. You have to plan on your plan not going according to plan.”

“Expecting things to be bad is the best way to be pleasantly surprised when they’re not. Which, ironically, is something to be optimistic about.”

“The more the Internet exposes people to new points of view, the angrier people get that different views exist.”

In this book, the best advice about money is to save more and to spend less, which most of us have been practicing all along. And don’t be arrogant and greedy when one has successfully made some money.

There are a lot of interesting quotes from this book “The Psychology Of Money” by Morgan Housel. I mean interesting quotes about life and psychology, rather than money. Probably because I have always hated thinking about money, but at the age of inflation, one just can’t help thinking about it since every time one goes to a store, the increased prices keep on “screaming” non-stop.