Debt : The essence of wealth is ‘debt.’ Liabilities are regarded as debt capital and included as assets in accounting . Isn’t it odd? Debt is classified as an asset... The fundamental idea that currency is created based on the principle that debt arises is crucial. Debt can serve a positive purpose by lowering opportunity costs , but it can also be harmful if not repaid, as it deprives others of their opportunity costs since it must be paid back. Managing debt properly is essential for a company's capabilities in certain situations. Understanding others’ debts can help maintain good credit. However, there are limits to examining others’ debts. Instead, we can monitor the flow of money as an apparent interest rate. Therefore, recognizing and responding to interest rate fluctuations during economic activities is extremely important. - Joseph’s “just my thoughts”
Humans have relied on horses for transportation for a long time. Horses are anatomically designed for running, are strong, and possess excellent endurance. However, the reason this horse was chosen as a means of transportation for humanity is that its back does not shake much when it runs, which is also a crucial factor. Observe a horse’s back as it runs. Regardless of how well a horse runs, for a person to ride it, there must be minimal shaking. If running well is the primary function , a smoother ride becomes a secondary consideration . However, the world often prioritizes only the primary function, overlooking the significance of these secondary functions and their roles in actualizing that primary function. - Joseph’s “just my thoughts”