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Entrepreneurship is not a way to get rich
Entrepreneurs do not generally out-earn their peers, according to a review.
- Entrepreneurship has a higher variance. Some people will win big and others will win nothing
- It's an attractive profession as most people would love to be their own boss. This generally makes entrepreneurship a worse way to make money.
- The barriers to entry are typically low.
However, these points apply to every profession. The risk-adjusted, expected income and barriers to entry should be roughly equal.
23
193 reads
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Supply and demand
Get Rich Quick doesn't work because all career choices are part of supply and demand.
- If a career choice is desirable - because you get a lot of money for little effort and talent - more people will do it. In turn, it will increase competition, push the payoff down and won't...
15
206 reads
Entrepreneurship is not always the best path
You'll never be rich working for somebody else" is bad career advice. The idea that entrepreneurship is the best route to riches and freedom is false.
- Many of the wealthiest people earned their money working for other people, e.g. CEOs, financiers, engineers, doctors...
24
288 reads
Choosing a career path
Effort, skills, connections and credentials can open doors in niches with higher rewards and less competition. And some careers are harder and more restricting than others.
- Pick a career that matches your level of ability and drive.
- Match your career...
28
211 reads
Why people don’t earn the same amount
Three mediating factors explain why some people earn more.
- Some career choices have a higher variance. A risky profession might return more as most people are risk-averse.
- Some career choices offer non-monetary benefits, like status, securit...
16
169 reads
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