Finance Essays Example
The presentation by Professor Hans Rosling provides interesting trends and facts that can be vital in determining one's personal financial success for the next 25 years. According to Professor Hans Rosling, almost all the countries were at the same level in terms of development 200 years ago. All the countries were poor, ravaged by sickness and diseases, and the life expectancy was below 40 years in all the countries. The decision by Western and European countries to embrace the industrial revolution was critical in propelling these countries to greater development heights leaving other continents like Asia and Africa behind. Even through the great depressions and world wars, these countries thrived towards greater economics height hence creating the big economic gap between the Western and European economic giants and other countries. Professor Hans further illustrate that most countries especially in the Asian and Africa continents began their economic development after independence and became the emerging economies.
The trend on how these countries gained economic development provides a clear illustration on how financial success can be gained for the next 25 years. The concept of financial success is determined by the sound financial decision an individual makes, proper planning and good investment decisions (Kasser, 2009). Just like Prof Hans illustrates, most people today are financially in the middle, and the wealth gap is still huge between the wealthiest and those below average in terms of wealth. This gap though can be closed. After 200 years, we have witnessed a remarkable progress. The huge economic gap between the West and the rest of the world who were left behind are now closing. According to Hans the world is converging, and with foreign aid, green technology and peace then it is possibly everybody can make it to their wealthy corner. The main strategy of achieving personal financial success in 25 years lies majorly in the planning investment and opportunity in the business environment (Kasser, 2009).
Savings and investment are the key concepts of making sure of future financial success (Kasser, 2009). Investing in publicly traded companies and Stock exchanges and other personal assets such as Hotels and parks would certainly be more advantageous to an individual and the public as a whole. To an individual, it will ensure financial success for a long period though profits and dividends earned while to the public it open doors for employment opportunities (Baron, 2012). Investments further contribute to the expansion of commerce that is essential to improving a country’s economic status. The banking concepts are vital in personal savings. Interest is earned on the amount saved over a period.
The basic requirement for security both political and financial security is an important aspect of ensuring financial success for the next 25 years. In the past according to Professor Hans’s presentation, negative aspects such as diseases, depression, civil wars, and world wars had a grave effect on the economic development of some continents like Africa and Asia. In the current world, a country that is not politically stable, affected by civil wars and unstable governments are not conducive to achieving financial success (Buchanan, 2011). This is aspect arises because there is no security for investment and business opportunities are so minimum. Financial securities can be provided by instruments such as the credit cards as they enhance cashless transactions. The contribution to the economic success by the use of credit cards helps in the prevention of insecurity whereby absence of trust within the country would be minimize making financial transactions a big success. The use of credit cards attributes in accountability of cash quickly as compared to transacting using cash. The use of credit card comes with more advantages, unlike the cash system. It means that business people get the assurance of their security by using credit card. Unlike the use of credit card, the cash system is prone to stealing and other forms of inconveniences (Buchanan, 2011).
In conclusion, one must become financially success in their thinking before achieving financial success in reality. One of the most vital and much-needed step to take on the road to financial success is to make the decision to change the way of thinking. Furthermore it is vital to impress upon the mind an unshakable belief, that it is possible to achieve the financial goals.
Baron, R. A., & Markman, G. D. (2012). Beyond social capital: The role of entrepreneurs' social competence in their financial success. Journal of Business Venturing, 18(1), 41-60.
Buchanan, J. L., Leibowitz, A., & Lindsey, P. A. (2011). HMOs for Medicaid: The road to financial success is often poorly paved. Journal of health politics, policy and law, 17(1), 71-96.
Kasser, T., & Ryan, R. M. (2009). A dark side of the American dream: correlates of financial success as a central life aspiration. Journal of personality and social psychology, 65(2), 410.