Naval Ravikant - The 6 BIGGEST Middle Class Habits Keeping You in the Rat Race

this video is sponsored by equals I think there's this notion that making money is evil right it's like rooted all the way back down to money is the root of all evil people think that the bankers steal our money and you know it's somewhat true in that in a lot of the world there's a lot of theft going on all the time the history of the world in some sense is this Predator prey relationship between makers and takers there are people who go out and create things and build things and work hard on things then there are people who come along and play with a sword or a gun or taxes or a crony capitalism or communism or what have you there's all these different methods to steal even in nature there are more parasites than there are non-parasitical organisms you have ton of parasites in you who are living off of you and the better ones are symbiotic they're giving something back but they're a lot that are just taking that's just the nature of how any complex system is built but what I am focused on is true wealth creation it's not about taking money it's not about taking something from somebody else but it's from creating a bunch abundance obviously there's not a finite number of jobs or a finite amount of wealth otherwise we'll still be sitting around in caves figuring out how to divide up pieces of firewood and you know the occasional dead deer so most of the wealth and civilization in fact not most all of it has been created and it got created from somewhere it got created from people it got created from technology got critical productivity got created from hard work so this idea that is stolen is I think this horrible zero-sum game that people who are trying to gain status play but the reality is everyone can be rich it is merely a question of education and desire you have to want it if you don't want it that's fine then you opt out of the game but don't try and put down the people who are playing the game because that's the game that keeps you in a comfortable warm bed at night that's the game that keeps a roof over your head that's a game that keeps your supermarket stock that's the game that keeps the iPhone buzzing in your pocket so it is a beautiful game that is worth playing ethically rationally morally socially for the human race and it's going to to continue to make us all richer and richer until we have massive wealth creation for anybody who wants it so wealth is a very positive sum game we create things together we're starting this endeavor to create this hopefully piece of art that explains what we're doing at the end of it something brand new will be created it's a positive sum game status on the other hand is a zero seven game it's a very old game we've been playing it since monkey tribes and it's hierarchical who's number one who's number two who's number three and for number three to move to number two number two has to move out of that slot so status is zero-sum game politics is an example of a status game even Sports is an example of a status game to be the winner there must be a loser I don't fundamentally love status games they play an important role in our society so we figure out who's in charge but fundamentally you play them because they're a necessary evil the problem is on an evolutionary basis like if you go back thousands of years status is a much better predictor of survival than wealth is you couldn't have wealth before the farming age for Farmers because you couldn't store things hunter-gatherers carried everything on their backs so hunter-gatherers lived entirely in status based societies Farmers started going to wealth-based Societies in the modern industrial economies are much more heavily wealth-based societies but there's always a subtle competition going on between status and wealth for example when journalists attack rich people or that attack the technology industry they're really bidding for status they're saying no the people are more important and I the journalist represents the people and therefore I am more important the problem is that by playing these status games to win the status game you have to put somebody else down that's why you should avoid status games in your life because they make you into an angry combative person you're always fighting to put other people down to put yourself and the people that you like up and they're always going to exist there's no way around it but just realize that most of the times when you're trying to create wealth you're actually getting attacked by someone else and they're trying to look like a goody two shoes but really what they're doing is they're trying to up their own status at your expense I think people have to be very careful to not get trapped along the way with things that you can afford with your current lifestyle like the way you're living and the way you're earning but they're also imprisoning you and the fact that you are now going to have to work this 40-hour week job in order to get this thing that you can't afford but now you're saddled down to this job you've no you're not saving you're not you're not putting things in a good place and you're working for these things working for things as rewards is a real trap that a lot of people fall into it's the biggest one you know that's even telev also says that uh you know there are two great addictions heroin and a monthly salary right and and that's why you can't get rich renting out your time because even when you start charging more and more for your time it's a slow upgrade Loop and then you upgrade your house at the same time and you pick your car at the same time you move in the neighborhood you really also have to get used to ignoring your peers or upgrading or changing the definition of your peers a lot of people here who are poor here but they would be rich if they were living in Thailand and Bali and if they have the luxury of a remotely doable job they may want to be living there and saving up money well the ignoring the peers is an issue because the Keeping Up With the Jones is a real phenomenon yeah Envy makes the world go around right yeah how does one Escape nine to five um so uh escaping the nine to five grind is actually very difficult uh and one of the big problems that many of us have in life and I face this early on too is you you just get sucked into being busy and you get something to be busy because you have a job the job kind of chews up all of your time from 9am to 5 p.m you get home you're exhausted how are you supposed to work on anything else so uh I I think the key there is trying to find a career or a job or an education where you will end up in a business where the inputs and the outputs are disconnected but what I mean by that is um let's say that you're growing up in uh you know the World 2000 years ago almost all the jobs you could have back then the inputs and the outputs are very tightly connected so if you go and you uh you know you have to go cut wood you spend four hours cutting Woods you get four hours worth of cutting wood output uh there'll be very slight difference between the two but nowadays you have knowledge worker jobs you have intellectual jobs uh programming being my favorite example where a good developer can write a piece of code that can literally make your business hundreds of millions of dollars for the next few years and there are developers who can who can write code all day long and you know just because they're creating the wrong thing it's actually not creating value no matter how hard they work so yeah customers don't care about inputs they only care about outcomes and outputs so if you can if you can navigate towards a career where you're tracked on the output you're going to do much better what are examples of career so I give coding's example but actually sales is another one doesn't examples and especially very expensive sales very high end sales so like if you're out there for example if you're selling houses if you're a real estate agent right not a great job necessarily very very crowded but if you're a Top Flight real estate agent you know how to Market yourself you know how to sell houses it's possible you could sell five million dollar mansions in a tenth the time that somebody else is struggling to sell hundred thousand dollar apartments or condos so that is a job where input and output are highly disconnected coding and sales what else well actually building any product and selling any product and fundamentally what else is there so what you don't necessarily want to be in is a a support role like a customer service kind of role for example customer service unfortunately inputs and outputs map relatively closely towards each other the amount of hours put in matters so it helps to move towards things that have these uh skill sets where it's pretty hard to match it in close to outputs of course all the people selling get rich quick advice you know for twenty dollars like that's all complete nonsense all the people giving you stock tips or crypto tips on Twitter complete nonsense um these are all fake signals there are no get rich quick schemes that's just somebody else trying to get rich off of you it's surprising to me actually how many people fall for them it's kind of sad well yeah why why do you think people fall for that there's a certain desperation and a certain hunger for money in our society which I kind of feel bad about which is why I did you know partially all the how to get rich work to help people figure out the principles of making money or creating wealth I should say um it's the people are so desperate for how to figure that out that even when they know that this thing is probably scammy it's probably a waste of time this guy probably doesn't know what he's talking about he might have a good tidbit in there right they're so desperate and it's it's a little sad because making money as I was saying it's an inevitable byproduct of learning Ben Franklin has a he has many great quotes many great sayings one of his sayings is this is many people die at 25 but they are not buried till they are 75. what does he mean by that statement what did Ben Franklin mean by that what he meant by that is that from the age of 26 to 75 it was a living corpse and what he meant by that is that what happens with a lot of humans is that they stop learning when they finish school and that's probably one of the worst things you can do in terms of your development so when Franklin says that many people die at 25 and are buried at 75 it means that at 25 they stop growing and stop learning and so what happens with a lot of people who go to IIT or a lot of elite institutions they don't go very far in life even though they did really well academically and the reason they don't go very far in life is because they are not learning machines they have just learned what they knew in school and then they stopped learning I would say that the most important skill to getting rich is becoming a Perpetual learner okay you have to know how to learn anything you want to learn there should be no book in the library that scares you whether it's a math book or a physics book or electrical engineering book or a sociology book or an economics book you should be able to take any book down off the shelf and read it and guess what a number of them are going to be too difficult for you that's okay read them anyway then go back and reread them and reread them when you have when you're reading a book and you're not understanding a lot of what it's saying and there's a lot of confusion in your mind about it that that confusion is similar to the pain the burn that you get in a gym when you're working out your but this time you're building mental muscles instead of building physical muscles so just learn how to learn and and read the hard books and now let me leave you with some Reflections stop learning after school quote from Charlie Monger I constantly see people rise in life who are not the smartest sometimes not even the most diligent but they are learning machines they go to bed every night a little wiser than they were when they got up and boy does that help particularly when you have a long rung ahead of you end of quote quote from Navara vacant if you're a Perpetual learning machine you will never be out of options for how to make money you can always see what's coming up in society what the value is where the demand is and you can learn to come up to speed end of quote ultimately the most common way to escape the rat race is to be an entrepreneur and build businesses and there's never been a better time to be an entrepreneur in words of shopify's President remember remember that the cost of failure right now is the lowest it's ever been in the history of the world and the reason for this is that in today's world you have free leverage at your disposal your website app or media content are essentially assets that can earn while you sleep in words of Navarro weekend so an army of robots is already here it's very cheaply available and the bottleneck is just figuring out intelligent and interesting things to do to them and the way out of this bottleneck is to be a Perpetual learner now a quick word from today's video sponsor equals equals is the only spreadsheet with built-in connections to any database and many apps with versioning collaboration and direct access to gpt4 for auto feeling and it works just like Excel or sheets so you already know how to use it equals is backed by David Sachs and is loved by operators from the most Innovative companies click the link in the description to try out equals for free

Channel: Picking Nuggets

Views: 570,691

Keywords: naval ravikan, ravikant, naval ravikant

Id: p3HHBQ-chN4

Length: 13min 19sec (799 seconds)

Published: Mon Jul 17 2023