Adam Smith the father of modern economy

Adam Smith, the famous man in our economic lesson. Sadly, the economic lesson is so boring, and it is not capturing the essence of what great thought he have.

He tells a lot about money, invisible hand, division of labor, capitalist and free market and many more. A break through on his era and still marvelous today.

We start from division of labor, this approach could increase the worker efficiency by several folds. When people doing specific task, he will become a master, he can finish it faster yet cheaper. This efficiency gain makes commodity cheaper and affordable.

This enable people to start exchanging surplus through barter, therefore market start established.

When people start the market, price started to be established, through humble negotiation. People is free to conduct free exchange, the only bound is competition.

This proses yet also very important, people will try to maximise profit, with minimum effort to gain maximum result. This exchange is very profan, the only thing they consider is their benefit, and their self interest

Through countless exchange activity everything start goes to equilibrium, too much supply will decrease price, therefore supplier tend to decrease their production, consumer tend to increase consumption.

Too much demand will increase price, therefore consumer will decrease their consumption and producer increase their production.

Therefore price will agitate around this price.

Anyone who is less efficient will be kicked out from market, due to their inability to maintain profit.

Anyone who is efficient can get big margin.

Therefore market will provide the best supplier.

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Sleep

Do someone have problem with sleep? What you can do better if you have difficulty of sleeping.

Probably it heard sarcastic, but we need to take more serious toward this humble activity.

Durimg sleeping, our brain reorganize himself and conduct restorartion. With sleeping we increase our social capability, creativity and the most important our health.

Average man needs sleep around 8 hours a day, and it consume about 36% of our lifetime.

If you want to increase your quality of life, you’d better watch your sleep, because it has important role to your body, it is not a waste, it’s a must in our knowledge economy era.

Revert back to previous question, what you can do better if you can not sleep?

To be Liked or Feared

Sun Tzu great Chinese strategist ever said, If you can not be like you better be feared.

I agree with Sun Tzu, that you better be liked rather than feared. But to be liked is decrease our effectiveness? I don’t thing so.

To be liked means it’s easier for us to communicate, easier to get feedback and easier to find a partner.

This means we could makes our work easier to complete therefore increase our effectiveness and efficiency

But to be liked ussually means we have to be permissive? I don’t think so, you could be assertive, let your partner know that their act is unnaceptable, if you said it with respect and for their own benefit. They shall understand your concern. Try to find the risk or benefit of their act, and develop them to higher level.

If they could not accept your concern, probably your concern is not their concern, that’s your problem. If you think your concern is their concern, you have to find the missing link.

In this market economy, everyone have the free act, but their act is bounded by competition, supply and demand. They did something for a reward, if they not doing something try to think what is their reward, probably already happened unfair trade, they not receiving their reward, or worse they receiving the reward without doing their rwsponsibility.

Permissive in some acceptable condition can be justified, people can not be changed suddenly, you have to prioritize the change.

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