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Just my thoughts #0834

There are two primary approaches to creating something: bottom-up design and top-down design . Top-down design is often seen in architecture. People do not build bricks randomly; instead, they follow the design drawings created by the architect. This method executes a plan that has already been established. When asked why something is built in a certain way, the answer is usually that the blueprint dictates its design. Conversely, bottom-up design does not start with a fixed goal, but rather involves setting and implementing small, actionable rules. For example, termite nests follow this approach. Small termites have a simple rule: to pile up soil. They do this without knowing the reason, but over time, the finished structure is remarkable and sophisticated. The appearance of the Sagrada Familia church , designed by Antoni Gaudí and still under construction, closely resembles a termite nest, differing only in size. Setting goals and planning is one way to create, but actual achievem...

Just my thoughts #0634

Money and attention affect how we experience pain and joy. People tend to feel worse when paying in cash than when using a card . If a restaurant charges you $1 for a spoonful of food, your enjoyment diminishes because you focus more on the cost than the food itself. To reduce spending , you should make spending feel painful . For example, paying with cash rather than a credit card usually leads to less spending. Automatic debit can become a trap. A study shows electricity use increases by 4% when bills are paid via direct debit . Managing spending involves controlling how much importance you give to it. Ultimately, to reduce expenses, we need to change the system and its structure. - Joseph’s “just my thoughts”

Just my thoughts #0288

Regardless of your earnings, spending is inevitable. Therefore, spending holds more significance than merely earning, and wealthy individuals emphasize teaching their children how to allocate money toward education. This highlights that human emotions and desires are central to economic theories. Spending can be categorized into two main types: “consumption” and “investment.” “Consumption” refers to expenditures on necessities or perishable goods, whereas “investment” involves acquiring assets aimed at production. Without grasping these distinctions, money spent may be seen as a “waste.” - Joseph’s “just my thoughts”