Economics plays a role in every business enterprise. Sometimes the role of economics in the day to day activities of business is not so obvious and would look like a topic that is best left ignored. I have recently started learning economics and I am almost done with the book: Economics in One Lesson: The Shortest and Surest Way to Understand Basic Economics. I have now learnt a lot of insights that can help me in my business decisions. For example:
- Getting credit from a bank pushes the snowball of inflation from the top of this hill for the entire country.
- There is no point in making money and not building wealth because the nation doesn’t grow if you get more money. The country grows and becomes rich with production and value addition.
- Only way to safeguard yourself against inflation is to invest money in speculative instruments such as gold and real estate because your wealth will grow at least in proportion to the inflation.
And much more. Sometimes it is not easy to grasp such heavy concepts in one read. It may take two to three rounds of reading before the concepts sink in.
And BTW, I have started enjoying immersion reading. Immersion what? Go figure