Many things are what we call a “double edged sword.”

This is one of those expressions that some people throw around without really understanding.

A sword with two edges means it cuts both ways. If you can imagine being in battle, standing their pushing your sword against your enemy, if he pushes it back against you, you get cut by your own sword.

As a metaphor, it’s used to describe something that can be both extremely beneficial, if used correctly, or extremely dangerous, if used incorrectly.

One thing about humans is our brains aren’t really hard wired to understand anything intuitively more than basic math. Meaning if we want to understand higher order math, we’ve got to do some thinking.

That’s why one misunderstood aspect of mathematics is one of the most potent “double edged swords” around.

What I’m referring to is the exponential function. Nature certainly understands exponential growth.

Humans, on the other hand, don’t.

Exponential growth is anything that increases as a percent, rather than a fixed about.

For example, if you’ve got a pile of money, and every month you add $100 to it. It’s ONLY going to grow at $100 a month. In ten years, you’ll have added $12K.

On the other hand, if you’ve got a pile of money and it increases by ten PERCENT every month, you’ve got a whole different ball game.

If you start with only $100, in ten years you’ll have over 8 MILLION dollars.

That’s the positive aspect of exponential growth.

The negative aspect, of course, is debt. Since debt is based on percent, you can be in deep trouble if you let any amount of debt go too long. 

I once read this list of the richest fictional characters. The richest one was one of those vampire guys from the “Twilight” movies. And the only reason he was rich was because he was 300 years old. He’d put money in the bank and just let it sit there for a couple hundred years, and it grew into billions. All on its own.

There are MANY ways you can apply the exponential function.

One way is your skills.

Every time you learn, you get better at learning. Every skill you add to your vast collection of skills, it just makes it even easier to learn more skills.

And when you make those skills satisfy these two requirements, you’re living a pretty good life.

What two requirements?

1) You enjoy doing them.

2) They make you a lot of money.

This is the secret of lasting wealth, happiness, and prosperity. Find something you like doing, that makes you ANY amount of money, and simply keep get better at doing it.

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