Credit Rating and Required Rate of Return: Suppose you and Warren Buffett borrow money from a bank. The bank will assess your credit ratings differently. Maybe the bank could offer Warren Buffett a loan without interest since it can be advertised as a bank used by the renowned investor. However, it will likely charge you interest because you have a lower credit rating and less fame than Warren Buffett. The interest rate each borrower faces, based on their creditworthiness, is called the required rate of return for creditors. Under the same conditions, the cost of poverty is much higher for the poor than for the rich. Poverty inherently involves costs. - Joseph’s “just my thoughts”
Metaphysics and Concrete Science: A CEO needs both qualities. When a CEO leans more toward metaphysics, they focus on philosophical values to improve the business, which helps for future growth. However, there’s a high risk the business could fail because profits aren’t guaranteed immediately. Conversely, if a CEO emphasizes concrete science more, they can secure profits immediately, but this approach might harm long-term growth. It may seem contradictory at first, but a good CEO must have both. To succeed, you need a noble philosophy and immediate profits simultaneously. Embracing contradictions enables survival. - Joseph’s “just my thoughts”