Do you know what is compounding interest?
I'll explain with a simple story.
Ages ago, there was a King who loved to play games. He has lots of games brought to him from all over his domain.
Even though he had a lot of games, he was bored and wanted something that was much more challenging.
In his kingdom, there lived a poor inventor. The King commissioned him to come up with a new game.
Months passed and finally the inventor came up with a game, that is now known as chess.
The King loved the game so much that he offered the poor inventor anything he wished for.
At that time, the kingdom riches was in rice. It produces the most rice and it is exported well beyond the kingdom borders.
"I'm a simple man."
I'll explain with a simple story.
Ages ago, there was a King who loved to play games. He has lots of games brought to him from all over his domain.
Even though he had a lot of games, he was bored and wanted something that was much more challenging.
In his kingdom, there lived a poor inventor. The King commissioned him to come up with a new game.
Months passed and finally the inventor came up with a game, that is now known as chess.
The King loved the game so much that he offered the poor inventor anything he wished for.
At that time, the kingdom riches was in rice. It produces the most rice and it is exported well beyond the kingdom borders.
"I'm a simple man."
"I would like one grain of rice for the first square of the board, two grains for the second, four grains for the third and so on doubled for each of the 64 squares of the game board”
The King laughed heartily, "Everybody that brings games to pay would just want gold or silver. Are you sure, that's all you want?"
"Yes, your majesty, I'm a simple man" repeated the inventor.
The king ordered his staff to lay down the grains of rice. By the time they reach the 40th square, the whole kingdoms supply of rice was exhausted.
The King learned that all the wealth in his kingdom would not be enough to buy the amount of rice needed on the 64th square.
The rice he asked will be around 18 billion billion. So if a bag of rice contained a billion grains, you would need 18 billion such bags.
“You have provided me with such a great game and yet I cannot fulfill your simple wish. You are indeed a genius.” said the King and offered to make the inventor as his top most advisor instead.
"Yes, your majesty, I'm a simple man" repeated the inventor.
The king ordered his staff to lay down the grains of rice. By the time they reach the 40th square, the whole kingdoms supply of rice was exhausted.
The King learned that all the wealth in his kingdom would not be enough to buy the amount of rice needed on the 64th square.
The rice he asked will be around 18 billion billion. So if a bag of rice contained a billion grains, you would need 18 billion such bags.
“You have provided me with such a great game and yet I cannot fulfill your simple wish. You are indeed a genius.” said the King and offered to make the inventor as his top most advisor instead.
Compounding interest only works for the banks to enslave you.
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