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What Kids Know About Wealth


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When we are kids, it's very easy to believe in magic.

Up until five or so, our brains are mostly in the theta state.

Theta state is when we are dreaming, or having rich fantasies, near sleep.

But as we grow up, we shift into mostly beta and alpha.

Beta is more awake and alert.

Alpha is kind of day dreaming.

Most people only experience theta just as the slip into sleep.

But we also have an ability to hallucinate.

An anthropologist traveled the world, looking for as many similarities as he could find between as diverse cultures as he could find.

And he found plenty.

One commonality as the belief in "magic."

Or superstition, or religion.

A set of laws and ideas that have no direct proof, but are believed to be just as true as things like rocks and trees and buildings.

Another common thing you'll find in all people, from all times, is the idea of money.

Anthropologists find these shells very far away from any ocean.

These ancient shells are found where ancient tribes used to live.

They suspect they used them as money.

This is a very natural idea that pops up in plenty of places.

The idea of choosing something as a medium of exchange.

If you have a banana, and you want a coconut, there are two ways of getting one.

Find a guy who has a coconut and wants a banana.

Or find a guy who wants a banana, and has something called "commodity money."

This is anything you will accept from him, in exchange for your banana, that you suspect somebody else might want.

This idea of commodity money is so natural, kids do this.

Without EVER needing to be told.

If you are 7 years old and are trading some Pokemon cards, for example, you'll have a sixth sense for which cards are in high demand.

You'll trade for those, and hang onto them, so you can trade them for what you want, later.

This deep and ancient instinct, of getting as MUCH of those "commodity money" things as possible is the SAME thing people do when they build wealth.

When this is constrained to an honest society, this is where ALL inventions flow from.

If you want as much of this commodity money as you can get, there is only one way to get some.

Make, or help make, or find, or help find, things that OTHER people want.

When EVERYBODY is doing this is, society grows and flourishing.

This is your instinct.

It is about as magic as you can get.

And it is what will make you rich.

Master this, and want for nothing.

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